Here’s a list of the key points for your VAT return, so you that you know which cases may occur when completing a VAT statement. (The list is not company-specific and does not include all possible cases.)
Turnover reconciliation
Your turnover reconciliation must indicate how you have compared and reconciled the tax period with your financial statement for the year. It is important to reveal which billing method and tax rates were applied.
The following should be taken into account:
- Expense reductions
- Remuneration for staff use of vehicles
- Sale of resources (e.g. vehicles)
- Advance payments
- Revenue reductions
- Bad debt losses
- Accruals that are not relevant to turnover
- Provisions and deferrals that are not relevant to turnover
Input tax reconciliation
Your input tax reconciliation should demonstrate that you have compared the input tax in your financial accounts with the tax which you declared and made any corrections that might be necessary.
The following should be taken into account:
- Reverse charge tax
- Input tax corrections for private and mixed use
- Input tax reductions