Vat among European countries

Dear all,

I would like to use this list to see whether there are European users
of ERPnext who have implemented the tax for intra-community sales/
purchases.

Let me explain how far I am with an example.

I have made entries in the tax file for every Item: VAT and VAT_EU.
(actually vat6,vat19,vat6_eu, and vat19_Eu)
So I have four (4) VAT account heads!!

We buy goods in Germany and receive a purchase invoice with zero VAT.

This data I enter in a Purchase Receipt and than I select the Tax
template “EU Purchase” , that puts the VAT into VAT_Eu account heads.

This all works ok, but the problem arises when making the bank/cash
payment voucher. The debit/credit is now the German purchase invoice
plus the calculated taxes.
Not correct since we paid the amount without tax. If I manually
correct and enter the without tax amount (that i actually paid to the
supplier) i violate accounting rules, since there is one debit
recording of the tax and no counter credit!!

I checked how NL accounting systems deal with this and found a
reference in Dutch here:http://home.hccnet.nl/van.asperen/Boekhouden/
Cursus/btw.htm

The example is for 19% VAT:

Case 1: Purchase in NL so the standard purchase, Euro 1000 with 19%
VAT

Debit Stock (1000), Debit Purchase VAT(190), and credit supplier
(1190).

Case 2: Purchase in the EU Euro 1000 no VAT.
Debit Stock (1000), Credit supplier (1000) , Debit Purchase VAT (190)
and credit VAT_EU (190).

Since this system is the same for all EU countries I believe it is
worthwhile to work this out.

I am curious whether I am a lonely pioneer in the European ERPNext and
Tax landscape or there are others

robert

Lets get a list of all EU users and connect them?


Begin forwarded message:

From: robert <be...@gmail.com>
Subject: [erpnext-user-forum] Vat among European countries
Date: 28 February 2012 4:08:56 PM GMT+05:30
To: "ERPNext User's Forum" <er...@googlegroups.com>

Dear all,

I would like to use this list to see whether there are European users
of ERPnext who have implemented the tax for intra-community sales/
purchases.

Let me explain how far I am with an example.

I have made  entries in the tax file for every Item: VAT  and VAT_EU.
(actually vat6,vat19,vat6_eu, and vat19_Eu)
So I have four (4) VAT account heads!!



We buy goods in Germany and receive a purchase invoice with zero VAT.

This data I enter in a Purchase Receipt and than I select the Tax
template "EU Purchase" , that puts the VAT into VAT_Eu account heads.

This all works ok, but the problem arises when making the bank/cash
payment voucher. The debit/credit is now the German purchase invoice
plus the calculated taxes.
Not correct since we paid the amount without tax. If I manually
correct and enter the without tax amount (that i actually paid to the
supplier) i violate accounting rules, since there is one debit
recording of the tax and no counter credit!!

I checked how NL accounting systems deal with this and found a
reference in Dutch here:http://home.hccnet.nl/van.asperen/Boekhouden/
Cursus/btw.htm

The example is for 19% VAT:

Case 1: Purchase in NL so the standard purchase, Euro 1000 with 19%
VAT

Debit Stock (1000), Debit Purchase VAT(190), and credit supplier
(1190).

Case 2: Purchase in the EU Euro 1000 no VAT.
Debit Stock (1000), Credit supplier (1000) , Debit Purchase VAT (190)
and credit VAT_EU (190).

Since this system is the same for all EU countries I believe it is
worthwhile to work this out.

I am curious whether I am a lonely pioneer in the European ERPNext and
Tax landscape or there are others

robert






















Will add Christoph and other not so active EU users.

Thanks and regards,
Umair Sayyed

On Wed, Feb 29, 2012 at 10:21 AM, Rushabh Mehta <rm…@gmail.com> wrote:
Lets get a list of all EU users and connect them?


Begin forwarded message:

From: robert <be...@gmail.com>
Subject: [erpnext-user-forum] Vat among European countries
Date: 28 February 2012 4:08:56 PM GMT+05:30
To: "ERPNext User's Forum" <er...@googlegroups.com>

Dear all,

I would like to use this list to see whether there are European users
of ERPnext who have implemented the tax for intra-community sales/
purchases.

Let me explain how far I am with an example.

I have made entries in the tax file for every Item: VAT and VAT_EU.
(actually vat6,vat19,vat6_eu, and vat19_Eu)
So I have four (4) VAT account heads!!



We buy goods in Germany and receive a purchase invoice with zero VAT.

This data I enter in a Purchase Receipt and than I select the Tax
template "EU Purchase" , that puts the VAT into VAT_Eu account heads.

This all works ok, but the problem arises when making the bank/cash
payment voucher. The debit/credit is now the German purchase invoice
plus the calculated taxes.
Not correct since we paid the amount without tax. If I manually
correct and enter the without tax amount (that i actually paid to the
supplier) i violate accounting rules, since there is one debit
recording of the tax and no counter credit!!

I checked how NL accounting systems deal with this and found a
reference in Dutch here:http://home.hccnet.nl/van.asperen/Boekhouden/
Cursus/btw.htm

The example is for 19% VAT:

Case 1: Purchase in NL so the standard purchase, Euro 1000 with 19%
VAT

Debit Stock (1000), Debit Purchase VAT(190), and credit supplier
(1190).

Case 2: Purchase in the EU Euro 1000 no VAT.
Debit Stock (1000), Credit supplier (1000) , Debit Purchase VAT (190)
and credit VAT_EU (190).

Since this system is the same for all EU countries I believe it is
worthwhile to work this out.

I am curious whether I am a lonely pioneer in the European ERPNext and
Tax landscape or there are others

robert

























--
Thanks and Regards,
Umair Sayyed
www.erpnext.com

---- ERPNext - World's most affordable ERP ----

Well, I believe found the solution together with the erpnext team:

The BTW, that is not actually paid, is recorded twice:
Vat6 in the normal vat6 account, and vat6_eu has a negative vat of 6%

Enter directly in the item input screen: vat6 and vat6_eu (-6).
That tax file looks like

AAA vat6 6
AAA vat6eu, -6

The purchase tax template has two lines, one for vat6 and one for
vat_eu, the net result is zero

robert

On Feb 28, 11:38 am, robert be...@gmail.com wrote:

Dear all,

I would like to use this list to see whether there are European users
of ERPnext who have implemented the tax for intra-community sales/
purchases.

Let me explain how far I am with an example.

I have made entries in the tax file for every Item: VAT and VAT_EU.
(actually vat6,vat19,vat6_eu, and vat19_Eu)
So I have four (4) VAT account heads!!

We buy goods in Germany and receive a purchase invoice with zero VAT.

This data I enter in a Purchase Receipt and than I select the Tax
template “EU Purchase” , that puts the VAT into VAT_Eu account heads.

This all works ok, but the problem arises when making the bank/cash
payment voucher. The debit/credit is now the German purchase invoice
plus the calculated taxes.
Not correct since we paid the amount without tax. If I manually
correct and enter the without tax amount (that i actually paid to the
supplier) i violate accounting rules, since there is one debit
recording of the tax and no counter credit!!

I checked how NL accounting systems deal with this and found a
reference in Dutch here:http://home.hccnet.nl/van.asperen/Boekhouden/
Cursus/btw.htm

The example is for 19% VAT:

Case 1: Purchase in NL so the standard purchase, Euro 1000 with 19%
VAT

Debit Stock (1000), Debit Purchase VAT(190), and credit supplier
(1190).

Case 2: Purchase in the EU Euro 1000 no VAT.
Debit Stock (1000), Credit supplier (1000) , Debit Purchase VAT (190)
and credit VAT_EU (190).

Since this system is the same for all EU countries I believe it is
worthwhile to work this out.

I am curious whether I am a lonely pioneer in the European ERPNext and
Tax landscape or there are others

robert

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