Set up VAT

Created on 07 August 2023 | Last modified on 11 June 2026

Summary

How to set up VAT in Sage Accounting.

Before you enter any transactions, make sure you've set your VAT up correctly. This ensures your VAT calculates correctly on the VAT Return.

To ensure the VAT is correct on your transactions, it's important you check and enter your VAT scheme settings correctly.

To submit VAT Returns from Sage Accounting, you must authorise for MTD with HMRC.

To make sure you're using the correct VAT rate, set up your company VAT defaults in Sage Accounting.

If you process sales to EU customers or import goods from outside the UK, you can set up VAT for trading abroad.