What should year end VAT balance on Balance sheet relate to?

Client is on the flat rate scheme and cash accounting.

I understand what how the quarterly VAT returns are calculated but what should the year end VAT balance relate to in the year end accounts

The client has posted invoices onto Sage in the normal accruals method as you would with a normal sales day book and purchase day book but using this method the closing VAT balance is calculated on the accruals method, rather than the FRS and cash accounting


Is this balance therefore correct or do i adjust to reflect the fact they are operating the FRS and cash accounting schemes and if so how do i do this?

Hope this maks sense??

Thanks in advance

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flat rate gain/loss

Monsoon |
Monsoon's picture

VAT query

newstarter |

Yes, but ...

Euan MacLennan |
Euan MacLennan's picture