Processing a Consolidated VAT Return

The Making Tax Digital Submission must be completed before processing a Consolidated VAT Return.

The Consolidated VAT Return is generated by running a system rule, which automatically creates the VAT Transfer documents for each location and posts them to the REGISTER period for approval. An email is then sent to the applicable approver for each location, advising the document needs to be approved before it is posted to an accounting period. The applicable approver is typically set up in the ACADEMY ledger. For more information please see Setting a VAT Approver.

Once all documents have been approved, the VAT Transfer documents are automatically moved to the applicable accounting period and the VAT account is automatically allocated and closed.

Before running the consolidated VAT return, please ensure the Status of the VAT period is set to Manual. This ensures no automatic postings are entered into the VAT period whilst the VAT return is being completed.

We recommend downloading a copy of the VAT100 or VAT126 report.

  1. The first part of the process is to identify the VAT period for which the return is being produced. Select Maintenance, then select Keylist from the menu.
  2. The Keylist Maintenance dialog is displayed. Select the PARAMETERS keylist from the left-hand panel.
  3. Expand PARAMETERS to see the individual keys within the list, then select EDIT.
  4. Enter the VAT period you want to run the VAT return for in Text. This must match the code of the VAT period exactly as it appears in the VAT account list. Select SAVE.
  5. Once the required VAT period has been selected, you are now ready to run the rule. Select Rules, then select Consolidated VAT Return (Global) from the menu.

     

  6. A Do you wish to run the rule 'Consolidated VAT Return' message is displayed. Select Yes.
  7. A Consolidated VAT Return has been scheduled to run as soon as possible message is displayed. Select OK.
  8. This sends an email to the applicable VAT authorisers, requesting the VAT Transfer documents are authorised. This can take several minutes if other rules are running at the same time. The VAT Transfer documents for each location are created. The applicable approvers should log into IRIS Purchasing to approve the VAT Transfer documents.
  9. When all of the VAT Transfer documents have been approved, the VAT period is automatically allocated and closed.
    It is important that the VAT account is not re-opened once it has been closed and the return has submitted to HMRC. If any amendments need to be made to documents, these should be processed using a general journal.