We have a client that is going to upgrade from GP7.5 to GP2010 this year. Back in '04 when they implemented GP, some customization was required to meet statutory reporting requirements in the EU. Have VAT enhancements been sufficient to now meet those requirements?
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Frank E. Hamelly, MCP-GP, MCP-AX, MCITP, MCT, MVP
GP is fully VAT compliant in that it calculates and records VAT correctly. We have many customers throughout Europe using GP without issue. The Standard Tax module (Tax details and Schedules) is flexible enough to handle EU VAT.
The GP VAT Module itself has most of the EU Countries VAT reports as canned reports...but most customers don't use these, preferring to develop their own reports in SRS etc - bascially because their requirements are a bit different.
GP also has an Intrastat module and produces the new ESL report. There are other European features specific to Germany, France, the Netherlands etc. And Reverse Charge VAT as used in the UK.
The VAT 2010 package from the EU made changes to VAT legislation on intra EU transactions, and these can be handled easily enough using the Tax Detail / Schedule set up. There is probably more work to do for Microsoft on this front, but to be fair to them, the exact requirements are not known yet as many EU countries still have to declare their reporting requirements based on the VAT 2010 rules.
You should have no problem accounting for and reporting on VAT and meeting theEU reporting regulations.
Ian Stewart MVP - International support for Dynamics GP. Local knowledge, local timelines, local GP talent. Genesys Financial Systems (Europe) Microsoft Gold Certified Partner http://dynamicsgp.wordpress.com/
Thanks so much Ian! I knew you'd come through :)
Ian I have been trying for weeks to get asisstance implementing VAT Daybook for our UK subsidiary. We keep getting referred to our p[artner, and if they could help i would have never had to ask Microsoft to get involved. I need documentation oin what is necessary to setup VAT Tax for the UK, and setup VAT Daybook to handle UK VAT returns. All I see in the user manuals for VAT Daybook is related to Canada. I keep hearing how well GP meets these needs, but nobody seems to know what to do. What do you suggest? I have been implementing GP for 16 years, was a partner for 8, and am now with an end user. Please help.
Ian basicaslly the issue for me is access. I know there are professionals such as yourself at MBS that know how to do this for the UK. The problem is getting access to them, or to documentation as to what needs to happen. That is really what I am after. Any suggestions would be great. Thanks again.
Hi Dan - I just sent you a friend request from this forum. My email address is in it. Drop me an email and we can see about getting you set up.
Found this post and I am picking up the pieces behind Dan. I have never particularly dealt with VAT before but everything I read so far points to the fact that you have to use the tax detail and schedule to get the VAT tax charge on the invoice. I am just a little confused on how u fully do that? Is it just like regular tax in that it gets assigned to the item and what if I am using non-inventory items?
Hi Floyd. Yes - it operates just like standard sales taxes as in the US - except you won't generally have multiple tax details per tax schedule as you might do in the US. Generally its just a one to one relationship. Whether you assign the tax detail to the item or the vendor/customer is up to you...all depends on what you are selling and what the VAT treatment of the item is. For non inventory - the same rules apply - you can assign a tax schedule to non inventory items or just use the customer / vendor tax schedule. If you need help - reach out. I was able to help Dan above get sorted.
Awesome Ian, I can use some help as I am unsure where I would assign the tax detail to the misc/non-inventory item. These are items that change for each campaign we bill and is not setup in the Inventory module. They are integrated in via a scribe integration.
All understood. Can you send in the tax with the integrated documents?
If your source system is tracking the VAT percentages and/or amounts - it would be best to send these in so that both systems agree - additionally you wouldn't have to worry about GP defaulting the VAT - would make system maintenance easier as all you would need to have is the VAT details/schedules set up. Assigning VAT Schedules to customers / items wouldn't be required.
Or you could integrate Item [maybe service type items] records. For each new campaign - the first time the item is sent in on a SOP document - you could get scribe to create it with all of the correct set up including VAT.
Where is the Company based for VAT reporting purposes and where is it selling into?