Check data warning - 'Transaction (number) uses tax code (tax code) which is not currently being used in the VAT return'

How to resolve this warning, which can appear when you run Check Data in Sage 50 Accounts.

When you check your data you may get the following warning:

'Transaction (number) uses tax code (tax code) which is not currently being used in the VAT return'

This warning appears if the tax code used on the transaction is not included in the VAT Return and is not set as the non-vatable tax code.  

If the tax code is between 0 and 99

Amend the tax code to be included in the VAT Return.

1. Click Settings then click Configuration and click the Tax Codes tab.
2. Select the tax code mentioned in the warning and click Edit.
3. Select the Include in VAT return check box and click OK.
4. Click Apply then click Close.

Alternatively, amend the non-vatable tax code to use this tax code.

1. Click Settings then click Company Preferences and click the VAT tab.
2. Click Non-Vatable Tax Code drop-down and click the required tax code.
3. Click OK.

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If the tax code is not between 0 and 99

As the tax code is not one which can be selected this warning cannot be fixed online, we would recommend you restore an error free backup and re-process.

Next steps

• I have other errors, warnings or comments
• I've removed all errors and warnings