I am a VAT Tax Payer and I am uploading my income and expense into Taxumo. What Entry Type should I use for my Cash Flow entries?

When entering an income entry in Taxumo for a VAT Company, select the following entry type if:

  • VATable Sale - Choose this option if 12% VAT is included in the income that you are recording for an income entry. ┬áIf you're at all unsure, the safe bet is to assume your income is subject to VAT.
  • Zero Rated VAT Sale - Choose this option if you have issued a VAT Invoice or Official Receipt for Zero-Rated (0% VAT) Transaction. You can learn more about zero-rated VAT here.
  • VAT Exempt Sale - Choose this option if you have issued a VAT Invoice or Official Receipt to a VAT-exempt transaction. You can learn more about VAT Exempt sales here.
  • Mixed Entry - Choose this option if your income contains VATable Sale, Zero-Rated VAT Sale, and VAT Exempt Sale in a receipt.
  • Sales to Government - Choose this option if the income entry was acquired from a sale to the government. Government entities usually allow a different tax rate to be applied.

As for expense entries, you can normally refer to how taxes are broken down in the receipt. To explain further:

  • VATable Purchase - Choose this option if 12% VAT is included in the expense that you are recording for an expense entry.
  • Zero Rated VAT Purchase - This is used for purchases that use a zero rated VAT rate.
  • VAT Exempt Purchase - If your purchase is VAT Exempt, choose this option.
  • Mixed Entry - Choose this option if your expense contains VATable sale, Zero-Rated VAT Sale, and VAT Exempt Sale in a receipt.
  • Not Qualified for Input VAT - If your purchase does not qualify for Input VAT, choose this option.
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