Re: [GNC] How can I find cost of expenses, including tax?
On Wed, 21 Dec 2022 at 05:53, Maf. King wrote: > > > another top-level of accounts is produced for VAT, so one has 6 > categories, > > not the usual 5. > > I think that as I decided that I would mostly owe VAT, I folded my VAT > collection accounts into the liability branch.Assets may be a better > choice for you. > > Speak to your acountant and get some professional opinion on this. > > regards, > Maf. > I thought that the 6th account (VAT) was run independently of the other 5, but it is a liability. As a test, I stuck an opening balance of £100 and saw the Equity go to -£100. I'm a bit puzzled why it is separated out, and not just stuck under liabilities. ___ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user - Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
Re: [GNC] How can I find cost of expenses, including tax?
On Wednesday, 21 December 2022 05:24:01 GMT Dr. David Kirkby wrote: > looks potentially interesting. This post > > https://lists.gnucash.org/pipermail/gnucash-user/2003-July/007526.html > > probably explains what these boxes are. Yeah, that's what I used to get GC set up for VAT many years ago. the "boxes" are the lines on the VAT return form from Memory, box 1,2 are the VAT you have charged on your invoices, box 4 is the VAT you've paid to suppliers, 3 & 5 are calculated values. 6-9 are the total for various categories of sales/purchases. > Unfortunately turnover is not going to force me to need to register😢😢😢, > but it might make sense to. Currently 90% of what I buy has VAT on it, but > only 10% of what I produce goes to the UK. it has always been the case that being an unregistered "middleman" between vat registered suppliers and vat registered customers is an expensive place to be. > another top-level of accounts is produced for VAT, so one has 6 categories, > not the usual 5. I think that as I decided that I would mostly owe VAT, I folded my VAT collection accounts into the liability branch.Assets may be a better choice for you. Speak to your acountant and get some professional opinion on this. regards, Maf. ___ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user - Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
Re: [GNC] How can I find cost of expenses, including tax?
On Tue, 20 Dec 2022 at 09:43, Maf. King wrote: > Morning Dave. > > I think the answer to this depends on the question "are you planning to > register for VAT?", and also falls squarely in the category of "ask your > accountant for his opinion on how to do this" > Unfortunately turnover is not going to force me to need to register😢😢😢, but it might make sense to. Currently 90% of what I buy has VAT on it, but only 10% of what I produce goes to the UK. However, the other reason for me wanting to separate out the VAT now is that it makes creating bills much easier. The main suppliers I purchase from (RS, Farnell, Mouser) only list ex-VAT prices. So it’s much easier to use the ex-VAT prices and have GnuCash calculate the VAT. As a test, I set up a new set of accounts from GnuCash, selecting the UK VAT model. I didn’t find them particularly intuitive, not helped by the fact that the instead of the usual accounts Assets, Expenses, Liabilities. Equity & Income another top-level of accounts is produced for VAT, so one has 6 categories, not the usual 5. I will have another look, but they seemed confusing to me, with reference to box 4 or similar. This video on YouTube https://youtu.be/rd76CTl1rXQ looks potentially interesting. This post https://lists.gnucash.org/pipermail/gnucash-user/2003-July/007526.html probably explains what these boxes are. > > If you are planning to register, then you might as well start your books > with > that goal in mind and have the appropriate VAT collection accounts in your > tree from day 1. Unfortunately I have just input a month’s transactions into GnuCash. All them will need to be entered again Fortunately I am a lot quicker now at entering the transactions than I used to be, so it will not be such a pain. Customer and vendor lists will be easy to just copy/paste. I think I will start again with the information needed for handling VAT. If you are not registering, then either: > > you don't record the VAT portion independently of the stock, and it just > costs > 20% "more" ( i think this is what your accountant will say) It would be a real pain for me creating bills though. > Conceptually I think you are mixing two models: either the cost of VAT is > the > cost of VAT and the cost of stock is net, or the cost of stock is gross > and > you have no cost of VAT you can't really mix the 2 models and expect > accurate or easy answers Yes, I think you are right. Fortunately I realised the problem before entering in too much data. > > You *could* mirror your expenses tree into a VAT branch too... > Expenses: > Stock > Office > VAT > Stock > Office > etc. > but that seems like pain for little gain! > > HTH, > Maf. Dave > > -- Dr. David Kirkby, Kirkby Microwave Ltd, drkir...@kirkbymicrowave.co.uk https://www.kirkbymicrowave.co.uk/ Telephone 01621-680100./ +44 1621 680100 Registered in England & Wales, company number 08914892. Registered office: Stokes Hall Lodge, Burnham Rd, Althorne, Chelmsford, Essex, CM3 6DT, United Kingdom ___ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user - Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
Re: [GNC] How can I find cost of expenses, including tax?
Could you create: Expenses->Stock->Items Expenses->Stock->VAT ? That way, reports would give you a summary of the Items and the VAT... I don't recall if they will sum the two for you... they might. On Mon, Dec 19, 2022 at 6:47 PM Dr. David Kirkby < drkir...@kirkbymicrowave.co.uk> wrote: > My company is not registered for VAT (tax), but I probably have to pay 20% > VAX (tax) on 75% of the items I buy. > > I have the following accounts > > Expenses > Expenses -> Stock > Expenses > Office supplies > > I can not see how I can determine how much I have spent on stock, > *including* the TAX. > > The account Expenses is a placeholder account, but I see that all the VAT > goes in there. So > > Expenses -> Stock > > has two sorts of transactions in it > > 1) Items where no tax has been paid > 2) The price of items excluding the tax > > which seems a bit of a muddle. That’s 100% of the cost of some items, but > 80% of the cost of the others. > > I can not find the cost (including the tax) from adding up > > Expenses > and > Expenses -> Stock > > because Expenses will contain the tax paid on Office supplies too. > > At the end of the year my accountant will want to know how much I have > spent on stock, but I can’t see a way of exporting the transactions so that > the file contains that information. My accountant would > > Expenses -> Stock > > but only some things from the placeholder account > > Expenses. > > I assume that there is a way out of this problem. > > Dave > -- > Dr. David Kirkby, > Kirkby Microwave Ltd, > drkir...@kirkbymicrowave.co.uk > https://www.kirkbymicrowave.co.uk/ > Telephone 01621-680100./ +44 1621 680100 > > Registered in England & Wales, company number 08914892. > Registered office: > Stokes Hall Lodge, Burnham Rd, Althorne, Chelmsford, Essex, CM3 6DT, United > Kingdom > ___ > gnucash-user mailing list > gnucash-user@gnucash.org > To update your subscription preferences or to unsubscribe: > https://lists.gnucash.org/mailman/listinfo/gnucash-user > - > Please remember to CC this list on all your replies. > You can do this by using Reply-To-List or Reply-All. > -- _ Richard Losey rlo...@gmail.com Micah 6:8 ___ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user - Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
Re: [GNC] How can I find cost of expenses, including tax?
Morning Dave. I think the answer to this depends on the question "are you planning to register for VAT?", and also falls squarely in the category of "ask your accountant for his opinion on how to do this" If you are planning to register, then you might as well start your books with that goal in mind and have the appropriate VAT collection accounts in your tree from day 1. If you are registered for VAT then the vat charged is not part of the cost of stock, but is technically an asset (government will pay it back (eventually and if you have no vatable income in a 1/4 )). If you are not registering, then either: you don't record the VAT portion independently of the stock, and it just costs 20% "more" ( i think this is what your accountant will say) Or, you record the VAT split to a separate expense account to track it - then you have 3 expense accounts - stock, office and VAT_Paid... and no easy way to deduce what you paid for stock+VATwhich seems to me to be where you are as such it wont matter for the annual accounts and tax return, at the simple level for a non-vat reg entity you are pretty much reporting 2 numbers (income and expense); the actual detailed breakdown of the expense is not exposed to anyone except you and your accountant. Conceptually I think you are mixing two models: either the cost of VAT is the cost of VAT and the cost of stock is net, or the cost of stock is gross and you have no cost of VAT you can't really mix the 2 models and expect accurate or easy answers You *could* mirror your expenses tree into a VAT branch too... Expenses: Stock Office VAT Stock Office etc. but that seems like pain for little gain! HTH, Maf. On Tuesday, 20 December 2022 00:46:14 GMT Dr. David Kirkby wrote: > My company is not registered for VAT (tax), but I probably have to pay 20% > VAX (tax) on 75% of the items I buy. > > I have the following accounts > > Expenses > Expenses -> Stock > Expenses > Office supplies > > I can not see how I can determine how much I have spent on stock, > *including* the TAX. > > The account Expenses is a placeholder account, but I see that all the VAT > goes in there. So > > Expenses -> Stock > > has two sorts of transactions in it > > 1) Items where no tax has been paid > 2) The price of items excluding the tax > > which seems a bit of a muddle. That’s 100% of the cost of some items, but > 80% of the cost of the others. > > I can not find the cost (including the tax) from adding up > > Expenses > and > Expenses -> Stock > > because Expenses will contain the tax paid on Office supplies too. > > At the end of the year my accountant will want to know how much I have > spent on stock, but I can’t see a way of exporting the transactions so that > the file contains that information. My accountant would > > Expenses -> Stock > > but only some things from the placeholder account > > Expenses. > > I assume that there is a way out of this problem. > > Dave ___ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user - Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
[GNC] How can I find cost of expenses, including tax?
My company is not registered for VAT (tax), but I probably have to pay 20% VAX (tax) on 75% of the items I buy. I have the following accounts Expenses Expenses -> Stock Expenses > Office supplies I can not see how I can determine how much I have spent on stock, *including* the TAX. The account Expenses is a placeholder account, but I see that all the VAT goes in there. So Expenses -> Stock has two sorts of transactions in it 1) Items where no tax has been paid 2) The price of items excluding the tax which seems a bit of a muddle. That’s 100% of the cost of some items, but 80% of the cost of the others. I can not find the cost (including the tax) from adding up Expenses and Expenses -> Stock because Expenses will contain the tax paid on Office supplies too. At the end of the year my accountant will want to know how much I have spent on stock, but I can’t see a way of exporting the transactions so that the file contains that information. My accountant would Expenses -> Stock but only some things from the placeholder account Expenses. I assume that there is a way out of this problem. Dave -- Dr. David Kirkby, Kirkby Microwave Ltd, drkir...@kirkbymicrowave.co.uk https://www.kirkbymicrowave.co.uk/ Telephone 01621-680100./ +44 1621 680100 Registered in England & Wales, company number 08914892. Registered office: Stokes Hall Lodge, Burnham Rd, Althorne, Chelmsford, Essex, CM3 6DT, United Kingdom ___ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user - Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
