The recent Budget means a change in the standard rate of VAT to 23% from Jan 2012.
This change will need to be made in your accounts software before processing 2012 transactions to ensure you capture accurate VAT information.
To change the standard rate of VAT in Sage 50 or Sage Instant Accounts, you should edit the standard rate tax code (T1 by default). Note: You should make this change on 1 January 2012.
- Open the Settings menu, choose Configuration then click the Tax Codes tab. The tax code information appears.
- Select T1 then click Edit. The Edit Tax Code window appears.
Note: If you use a different tax code for your standard rate of VAT, select the relevant tax code then click Edit. - In the Rate box, enter 23 then click OK. The Edit Tax Codes window closes.
- To apply the change, and return to the accounts desktop, click Save then click Close.
Tip: If you are prompted to save your changes, click No.
You have successfully changed the standard rate of VAT.
Sage 50 or Sage Instant Accounts applies the new rate of VAT to any new transactions that use this tax code. All existing transactions remain unchanged at the old rate of VAT. If you have any memorised or recurring entries, you must update the VAT rate before posting.
Note that this article is for guidance only and does not constitute accounting advice – we recommend you.
- Consult the Revenue web site for additional information http://www.revenue.ie/en/tax/vat/leaflets/increase-in-standard-rate.html
- Contact your professional advisor for additional information
For more information on this VAT change and how it applies to you Sage 50 software please contact our support desk on 01 424 2222 or support@enclave.ie
