Prompt Payment Discount (PPD) Vat 2015 - CREDIT PRIOR INVOICE

Prompt Payment Discount (PPD) Vat 2015 - CREDIT...

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When crediting, say return of goods, invoice dated 15.03.15 for £5100 PPD of 2.5% therefore vat on the invoice at the time would be £994.50

However now that goods have been return and a credit is to be raised, do I credit £5100 +20% vat and the credit will be more than the original invoice, or credit using the original values an try to over ride but accounting software?

I cant find an answer anywhere online or on HMRC website.

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By johngroganjga
19th Apr 2015 16:18

If you credit more than the original invoice you will owe the difference to your customer! So you just credit the same amount.

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