# Jan 2012 Vat contains a 21% sale - how can I file this on VAT RTD for 2012?



## MidlandsBase (12 Jan 2013)

Hello,

December 2011 I issued an invoice dated 31/12/2011 at 21% Vat. Payment was made in January 2012 so therefore I submitted this as part of my Jan - Feb 2012 VAT 3 return.

My query for the VAT RTD form for 2012 is how do I indicate that one sales item should have 21% applied and not 23%? I only see a column in ROS for 23%.

Regards,
Midlandsbase


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## MidlandsBase (12 Jan 2013)

One way I can see around this is as follows but would welcome opinions:

21% sales value for the December issued invoice was 7310 which at 21% gives 1535.
For my VAT RTD could this sales value be reduced to 6675? At 23% vat applied this also results in 1535 being payable so therefore the amount which I have paid in the VAT3 is unaffected (and is the correct amount) and what is due to the Revenue is the same.

Is this satisfactory? In the absence of a 21% box in the VAT RTD form online this seems to be my only recourse to file.


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## mandelbrot (12 Jan 2013)

No you shouldn't manipulate your net sales figure, you can just include the amount with the 23%. I'm basing this on the notes on completing the paper RTD here: [broken link removed] - you'll see on the second page it says rates will change from time to time - the same row should be used for both old and new rates.

So if the sales were standard rated sales they are to be included in the standard rate box on the RTD.

On a side note, make sure you're registered for the cash receipts basis rather than the invoice basis of accounting for VAT.


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## MidlandsBase (12 Jan 2013)

Hi Mandelbrot,

On ROS Online each line is broken out in %. If I put my sales figures (the one 21% figure plus my other 11 monthly sales figures) total into the 23% box I will be deemed to have underpaid my vat, i.e., my 21% sales figures will be subject then to 23%. How will ROS know that out of my total a percentage of this should be subject to 21% when the box I am putting the total into has a row heading of 23%?


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## mandelbrot (12 Jan 2013)

MidlandsBase said:


> Hi Mandelbrot,
> 
> On ROS Online each line is broken out in %. If I put my sales figures (the one 21% figure plus my other 11 monthly sales figures) total into the 23% box I will be deemed to have underpaid my vat, i.e., my 21% sales figures will be subject then to 23%. How will ROS know that out of my total a percentage of this should be subject to 21% when the box I am putting the total into has a row heading of 23%?



The RTD is an informational return only - it doesn't calculate your VAT liability, you've already done that on your VAT3's.


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## MidlandsBase (12 Jan 2013)

Thanks for that Mandelbrot. That's where my confusion lay. I thought it triggered a calculation in the background once submitted and therefore would have incurred an unnecessary liability.

Thanks very much for taking the time to respond and clarify.


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## Joe_90 (13 Jan 2013)

The RTD is a summary of your sales for the year.

Why are you including sales from Dec 11 on the 12 RTD?

Remember that when you file your tax return you have to include the sales figure.  It should be the same as the figure you put on the RTD!


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## MidlandsBase (14 Jan 2013)

Because I issued the invoice on December 30th 2011 and got paid in January 2012 as detailed in my first post.


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## mandelbrot (14 Jan 2013)

MidlandsBase said:


> Because I issued the invoice on December 30th 2011 and got paid in January 2012 as detailed in my first post.



That is only the correct way of accounting for VAT if you've registered as accounting for VAT on a cash receipts basis - you should check this is the case.

Also, when Joe talks about your tax return I suspect he means your income tax return. For income tax purposes the accruals basis applies, so you include any work invoiced (plus the value of work in progress) in your 2011 income.


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## MidlandsBase (14 Jan 2013)

yes - I am registered on a cash receipts basis.

Income tax return is fine - no issues from that regard.


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