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Previously on "MTD VAT account a mess"

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  • ladymuck
    replied
    Originally posted by barely_pointless View Post
    I said this to them and they responded with a read-back "yes of course" we do Cash basis on that, then 1st VAT return, different VAT team, no comms, Mr Barely where's the 7K ? , back to accruals based on invoices, so I mitigate this by not sending invoices that have not been paid, it's seagull /goldfish time at the VAT team, does not seem to matter they always default back to accruals, maybe that's the problem it's a mess.........
    Change accountant!

    Leave a comment:


  • barely_pointless
    replied
    Originally posted by ladymuck View Post
    Perhaps if they operated on cash accounting basis rather than accruals you'd have an easier time of it.
    Cash Basis Accounting vs. Accrual Accounting | Bench Accounting

    If you keep all the VAT collected in a separate account then in time you'll have a tidy running balance to call on to get the next return paid.
    I said this to them and they responded with a read-back "yes of course" we do Cash basis on that, then 1st VAT return, different VAT team, no comms, Mr Barely where's the 7K ? , back to accruals based on invoices, so I mitigate this by not sending invoices that have not been paid, it's seagull /goldfish time at the VAT team, does not seem to matter they always default back to accruals, maybe that's the problem it's a mess.........

    Leave a comment:


  • ladymuck
    replied
    Originally posted by barely_pointless View Post
    Yes, VAT total mess, overpaid last year by 4K because the accountants (could not comprehend the the VAT paid on final qtr is die 2nd month in New FY ???) , refunded some amount, over paid some amount, adjustment in November because I overpaid, final VAT last qtr 2019-20, paid adjustment again ,

    Accountants can't seem to understand that if I don't get paid, I can't collect VAT, and therefore can't readily have a float of 6-8K per QTR to account for invoices made but payment not yet received, it's a merry go round to be honest.

    I just want them to go away to be honest........

    ps: I'm on flat rate and claim naught, so this should be a lot easier than my accountants are making it
    Perhaps if they operated on cash accounting basis rather than accruals you'd have an easier time of it.
    Cash Basis Accounting vs. Accrual Accounting | Bench Accounting

    If you keep all the VAT collected in a separate account then in time you'll have a tidy running balance to call on to get the next return paid.

    Leave a comment:


  • barely_pointless
    replied
    Yes, VAT total mess, overpaid last year by 4K because the accountants (could not comprehend the the VAT paid on final qtr is die 2nd month in New FY ???) , refunded some amount, over paid some amount, adjustment in November because I overpaid, final VAT last qtr 2019-20, paid adjustment again ,

    Accountants can't seem to understand that if I don't get paid, I can't collect VAT, and therefore can't readily have a float of 6-8K per QTR to account for invoices made but payment not yet received, it's a merry go round to be honest.

    I just want them to go away to be honest........

    ps: I'm on flat rate and claim naught, so this should be a lot easier than my accountants are making it

    Leave a comment:


  • ladymuck
    replied
    Originally posted by malvolio View Post
    Sure thats not because VAT payments have been deferred...?
    Not by default.

    If you want to defer your payment, you have to cancel the DD if you have one in place.

    Anyway, that doesn't explain why HMRC persist in saying I owe nothing.

    Leave a comment:


  • malvolio
    replied
    Originally posted by ladymuck View Post
    Well things haven't improved for the last quarter.

    I owe just under £3,800 from my return. MTD VAT account says I owe nothing. They haven't requested the DD that ought to be leaving my bank account tomorrow.

    So, another quarter, another manual payment.

    I suppose I ought to phone up and ask what the hell is going on but my paranoia says that if I don't stick my head above the parapet, they'll leave me alone.
    Sure thats not because VAT payments have been deferred...?

    Leave a comment:


  • ladymuck
    replied
    Well things haven't improved for the last quarter.

    I owe just under £3,800 from my return. MTD VAT account says I owe nothing. They haven't requested the DD that ought to be leaving my bank account tomorrow.

    So, another quarter, another manual payment.

    I suppose I ought to phone up and ask what the hell is going on but my paranoia says that if I don't stick my head above the parapet, they'll leave me alone.

    Leave a comment:


  • TheInvoicer
    replied
    Yeah, total shambles. Called then and the help desk confirmed payments etc then mentioned that they have had some “issues” in IT and a once a week batch job is being run now on a Sunday to update payments on web etc Make Tax Digital lol


    Sent from my iPhone using Tapatalk

    Leave a comment:


  • ladymuck
    started a topic MTD VAT account a mess

    MTD VAT account a mess

    Just having a look at my VAT account and notice that the recording of returns and payments made is an absolute mess. Apparently there's loads of payments and refunds (that I've never requested because none are due) and it currently says I owe about 2/3 rds less for Q2 than stated on my return. Obviously I'm going to still pay the amount due per my VAT return and not the lower value.

    I'm going with paying per my returns and keeping records of returns and payments just in case but I really don't see how this MTD malarkey is helpful. The account status info previously was far simpler and more logical.

    Has anyone else had a look at their online tax account and noticed similar nonsense going on?

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