Hi
I thought this information maybe useful for accountants in Business. There are two points I would like to mention first
1) If you using cash Vat Accounting it is the T1 code you need to change
2) Otherwise if you want you can set a different code for the new vat rate our use T1 and change it , it is advised not to use T9 as this is the default code for items that should not appear in the Vat return.
Steps to follow to change all your customers, Suppliers, Products, Sales orders, Purchase orders, Sales Qoutes, Bank Payments and Receipts by batch
Settings
- Go to settings at top menu
- Configuration
- Tax Codes Tab ( Codes wil appear) Edit your code and remember to tick the box Include in Vat Return.
- Click Apply (not save) and close.
To Change Customers / Sales by Batch
- Go to your Customer Module and make sure your view is the list of Customers
- Make sure none of them are highlighted
- Click Swap Button in between the Search and Clear button .
- You will now see the Batch Change Button light up in the same grey area
- Click the Batch Change Button and go to the Defaults tab
- under Miscellaneous Defaults go to the Default Tax code drop down box and pick your tax code at 20%
- tick the box to Use Default Tax code for Sales and then Save
- You will get a message saying you have chosen to make changes to multiple records .Do you want to save changes ?
- Pick YES
To Change Purchases/ Suppliers by Batch
Exactly the same procedure as above. and tick the Use Default Tax Code for Purchases .
PLEASE NOTE YOU CAN OVERIDE THE DEFAULT CODE FOR PURCHASE INVOICES BANK PAYMENTS OR RECEIPTS IF YOU RECEIVED OLD INVOICES WITH 17.5% AND IF YOU NEED TO SEND OUT A SALES INVOICE YOU CAN OVERRIDE THE CODE BY PRESSING F3 SO YOU EDIT ITEM LINE (INCLUDING VAT CODE
IF YOUR HEAT AND LIGHT IS AT 5% YOU CAN HIGHLIGHT THESE SUPPLIERS AND DEFAULT THEM TO 5%
To Change Products by Batch for those who use stock and product Invoicing, sales orders. Purchase orders and Quotes
- Go to your Products Module and make sure your view is the list of Products
- Make sure none of them are highlighted
- Click Swap Button in between the Search and Clear button .
- You will now see the Batch Change Button light up in the same grey area
- Click the Batch Change Button and there is only one tab details.
- under Defaults second area down go to the Tax code drop down box and pick your tax code at 20% and pick save
- You will get a message saying you have chosen to make changes to multiple records .Do you want to save changes ?
- Pick Yes
Please note You do not need to change Bank payments and Receipts
If you changed all the above they will be the same, as above you can overide the codes during entry.
If you are using Cash accounting on Sage if you get a Customer receipt or make a puchase payment the Vat will still be worked out correctly .
It is very important to mention if you pick a different code for when you receive a Customer Receipt or Purchase payment when you go to Allocate those payments you will not be allowed to sometimes and it will come up with a message mismatch tax codes. ( Note : This is the reason you must pick the same T code as you have been using. But using the above procedure help to prevent errors.
Hope this Helps
Kindest Regards
Sarah @Douglas Accountancy and Bookkeeping Services . Bearsden Glasgow
Replies (16)
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thanks....
Many thanks Sarah
I hadn't got around to this task yet but have now dealt with it in about 2 minutes flat!
Just to point out that when I applied the swap to suppliers, I first of all clicked on the records I didn't want to change before applying the batch change which saved having to amend the records afterwards- such as insurers, fuel suppliers and non-vat registered suppliers.
Another point is on the use of the actual sage tax code. I have kept T1 as the old 17.5% rate and now utilise T20 as the std rate. I did the same when we were temporarily using 15% and used T15. This ensures that if you run vat checking error reports the system isn't confused in to thinking that the vat element is "wrong" when comparing expected and actual amounts. I just find it neater too. Plus if you have a VAT inspection it enables clearer reporting for the various rates.
Again, thank you Sarah.
Jane
VAT codes in Sage
Thanks for your advice Sarah. Can I just confirm my understanding? I wonder if I'm missing something.
Like you, I would have expected to just change the T1 code to now be 20% and then set up a new code (say T10) to be 17.5% in case you needed to use it. ...therefore no further amendments required.
Having done that, why would you need to change the customer and supplier defaults - surely they'll just pick up the new rate you've put against T1? Was this batch change only if you set up a brand new 20% code and wanted to use that for all your customers and suppliers?
Thanks
Julian
Batch Changes
Hopefully Sarah won't mind me jumping in here - you'd only need to use the batch change options if you have changed the VAT Code that you are using for standard VAT. So, if you have simply changed the rate for the existing T1 code then there is no need to use the batch change.
John
Batch postings
Thanks for your help.
The batch posting on supplier terms, etc was useful advice too.
@sarah
Thanks for pointing Julian in this direction, it's exactly what we hoped the Discussion Groups would be used for.
Cheers
Sage Line 50 S1 Purchases default tax code change
We have succesfully changed all the defaults for products, suppliers, customers to the new tax code. (We picked T16 this time). However, S1 purchases are still defaulting to 17.5%, not 20%. Any idea where I can change this setting?
S1 & VAT
The S1 product code is 'hard coded' to the T1 tax code and this can't be changed.
John
S1 Hard coded
Thanks very much for such a fast reply..........guess we'll wait for all the old 17.5% stuff to clear through and then modify back to T1 then.
Thanks again
Stuart
S1
Hi Sarah,
If there is a way to change the tax code that S1 is linked to then I've never been aware of and I worked at Sage for 9 years :)
John
S1
I'm guessing that it's probably something that has never crossed their minds as, when the VAT Rate changes, Sage don't have to change their code so it will have passed them by. If a VAT Rate change required code changes in the product it's probably something they'd address at that point.
John
Product Tax Code
I need some advice our Accountant has changed our Tax code from T10 to T1 the problem I have all our products on Sage are T10! So when we go to invoice out product is showing O% vat. Is there a quick way I can change all the product tax codes from T10 to T1 rather than doing each one individually
I have a old Sage version 8.20.0011
Thanks in advance