Vat discrepency

E

ed_motordoc

Registered User
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I have recently started the VAT registration process and am using excel to record my accounts. I have come across a very small discrepancy between the vat and net value with some of my purchase invoices and my excel calculations (set to 2 decimal places). There is only a difference of one cent but I want to be sure I am keeping my books correctly. For example, one invoice states

total due = 296.98
vat = 55.54
net value = 241.44

however excel the values which are set with formulas show:

total = 296.98
vat = (total - (total/1.23) = 55.53
net value = (total - vat) = 241.45

Which figures should I be recording - the ones printed on the purchase invoice or the ones excel calculates based on total price? Any help would be very much appreciated
 
I have always just keyed in the vat from the invoice to avoid such problems

The first ? is: do you have a vat invoice or are u reverse engineering the pre-vat figure?

241.44 by 23% is 55.5312 which is 55.53
so which is 296.97
so where did the 8 come from?

241.45*1.23= 296.9835 which is 296.98

So what is the prevat figure on the vat invoice
 
Use the figures quoted on the invoice

Also you should round the figures when you enter them into the VAT return so I wouldn't be too worried about a few cents either way.
 
Thanks very much for the replies. I have a vat invoice from the supplier with nett value 241.44, Vat 55.54, total due 296.98 - that's their figures.I had entered the total payments in a list of many invoices and had two columns automatically calculate vat and net and just happened to notice that a few of them had different figures, just by a couple of cent here and there. I think I was over complicating things! From now on I will just enter the numbers printed on the invoices.
 
I usually add or deduct some figure in net amount.
For example 2(Net) + 0.46 (VAT) = 2.46
I for some reason excel calculates 1 cent difference I just make net amount to 2.005 or 1.995....something like that to make same gross amount on invoice.
 
Misleading thread title, that is NOT a VAT discrepancy!! :D

OP, the bottom line is that you're entitled to claim a deduction for the VAT you've been charged, so if they've rounded it up a cent, so be it.
 
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