Postponed VAT Accounting

Software problems

Following the changes to import VAT accounting after Brexit we have noticed that different accounting software is dealing with import VAT in different ways.

This adds to confusion of how to account for it and also how to claim it back.

One of the problems with the new system is that import VAT can be dealt with in two different ways at the point of entry.

It can either be paid by deferment and then reclaimed afterwards (C79) or simply be dealt with by postponing.

For a VAT registered business to reclaim the input tax it is essential to get the software data entry right, but it's not always obvious how to do this.

If any clients are unsure of the correct process you should contact us for further guidance .