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Two VAT rates on one invoice with purchase order

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Hi,

I often receive invoices with two VAT rates on them.

Example, invoices with £10k zero rated and then £4k standard 20%.

We use purchase orders in our business, so matching them up to one invoice line is proving difficult.

Is there a way to split the VAT amounts on one invoice line, or do you need two ?

If you need two, then the PO has to have two lines also, which is not always the case.

I know there is a VAT adjustment option, but what effect does this have on VAT code reporting, ie would the full invoice amount show as only one VAT code ?

Any help is appreciated.

Thanks,

Ray

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AR-01121610-0 4,967 Moderator on at

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Hy,

you need to have two lines (on PO and Invoice), each line has it's item tax code either "no tax" or "full tax".

Hope this helps.

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Gaurangkumar Jani 4,534 User Group Leader on at

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Hi there,

Can you provide me some examples why you have 2 rates for the same PO Line?

For system to work you need to have 2 different lines of item to calculate different Tax rates of each line.

Thanks,

Gaurang

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Community member 6 on at

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Hi gaurang,

I have invoices that come in, such as consultancy or aeronautical related invoices that are split between zero rated & standard.

So when raising a PR, we may know the total amount of the works to be completed, but we will not know the VAT split until we receive the actual invoice.

This is why I think it is hard to have the two lines on the PO as no split is confirmed until invoiced.

Thanks,

Ray

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BillurSamdancioglu 19,854 Most Valuable Professional on at

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Hi,

You may not be able to do by OOB functionality.

So you may ask for this functionality from Ideas Portal.

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