Hello,
This sound stupid but here goes, when I enter the opening balance for a customer it asks me for the NET amount, I am entering these amount indivually so for example customer 1 Invoice 1 November 7th 2012 £100, my question is what happens to the VAT for this invoice? I'm moving from a older system, this customer has not yet paid, how will VAT be accounted for?
Any replies would be greatly appreciated.!
Info: Sage 50 Professional 2012, new system is not live yet.
Replies (3)
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O/bal
Enter the opening balance using the O/Bal button in the customer records (button next to Balance box) You enter the gross amount of the invoice ie £100 + VAT = £120. Sage uses T9 for opening balances. The VAT is taken care of when you enter your TB. You need to get the opening balances right as they are pain to correct!! If you go to your help files in Sage, there is a more detailed explanation.
Just a thought, the example you give in your question dates 7th November, you sure it's an opening balance?
o/bAL
Also, check you are not cash accounting for VAT because if you are you need to set the ledger accordingly and analyse out the net & vat when entering the o/balances for it to pick up it on the vat return