Month End and VAT Procedures

Month End and VAT Procedures

There is no absolute requirement to close month ends as all month end reports can be run to a date current or in the past.

 

However I would suggest

  • Close Purchase Ledger/Sales Ledger
    • I would suggest closing the Purchase and Sales ledgers when you finalise your Vat report. This will keep the Sales and Purchase day books in line with the Vat reports.
  1.  Vat Report
    1. The Vat report should be finalised in line with your Vat return – normally every 2 months.
    2. If you Vat is annual I would still recommend finalising your Vat Report as stated 

1. Run the VAT Provisional report for the Month/2 Months and Review. If looks reasonable Report can be Finalised.
2. Run the finalize Option for the Month/2Mth period
    This report can be printed or exported to Excel
3. The VAT amount for the period finalised is transferred to the Vat Liability account B28500 on the Nominal Ledger.

4. This will gove you an indication as to how close rge Direct Debit is to the actual vat doe at any given time.

 

At the moment to get the figures for the ARD it is necessary to export each finalised report and sum the figures.

These reports can be run and exported, if not exported, when finalising each period, in Vat, Previous Vat Periods.

It will be possible to run a report for the year to prepare the ARD in Agility Insight, the new reporting software.


The nominal ledger can be left open.
If you prepare management accounts you would close the periods when accounts finalised.

 

Agility can have 2 years open at any given time.


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