VAT Reports in Sage Intacct

In Sage Intacct, generating and managing VAT reports (Value-Added Tax) is an essential part of ensuring compliance with tax regulations, especially for businesses operating in countries where VAT is applicable. These reports help businesses track and report VAT collected on sales and VAT paid on purchases, facilitating accurate tax filings. Sage Intacct provides several tools and reports to manage VAT-related transactions and simplify the preparation of VAT returns.

This video walks you through VAT Reports in Sage Intacct.

Key VAT Reports in Sage Intacct:

1. VAT Transaction Report

This report shows all VAT transactions for a specific period, providing a detailed breakdown of VAT charged on sales and VAT paid on purchases.

• Report Content:
  • Transaction Date: The date the VAT transaction occurred.
  • Customer/Vendor: Information about the customer or vendor involved in the transaction.
  • Invoice/Transaction Amount: The total amount of the transaction, including VAT.
  • VAT Amount: The VAT amount applied to each transaction.
  • Tax Rate: The VAT rate applied to the transaction.
  • Tax Type: Different types of taxes can be included, such as sales tax, purchase tax, or import/export tax.
• Customization: You can filter the VAT Transaction Report by date range, customer/vendor, or specific tax codes, making it easier to review the relevant transactions for VAT purposes.

How to Run the VAT Transaction Report:

• Go to Reports > Tax > VAT Transaction Report.
• Select the desired date range and tax codes.
• Click Run Report to view the results.

2. Sales Tax Summary Report

The Sales Tax Summary Report summarizes all sales tax collected on transactions within a given period. This is particularly helpful when preparing VAT returns, as it shows the total VAT collected from customers.

• Report Content:
  • Total sales tax collected by tax code.
  • Total VAT amounts by taxable sales.
  • Breakdown of VAT by tax jurisdiction or tax codes.

How to Run the Sales Tax Summary Report:

• Go to Reports > Tax > Sales Tax Summary Report.
• Choose the date range and any relevant filters for tax codes or jurisdictions.
• Click Run Report.

3. Purchase Tax Summary Report

This report summarizes the VAT paid on purchases and other expenses. It helps you track the VAT on purchases that can be reclaimed, offsetting the VAT collected on sales.

• Report Content:
  • Total VAT paid on purchases.
  • Breakdown of VAT by vendor, tax code, or jurisdiction.
  • The total VAT paid by category or expense type.

How to Run the Purchase Tax Summary Report:

• Go to Reports > Tax > Purchase Tax Summary Report.
• Select your filters (such as vendors or tax codes) and date range.
• Click Run Report.

4. VAT Return Report

The VAT Return Report is the primary report used for VAT filing. It consolidates all the VAT collected on sales and VAT paid on purchases into a format that can be used for tax filings, often reflecting the local government requirements.

• Report Content:
  • Output VAT (VAT on sales).
  • Input VAT (VAT on purchases).
  • Net VAT payable or refundable.
  • Summary of VAT based on tax codes or jurisdictions.

How to Run the VAT Return Report:

• Go to Reports > Tax > VAT Return Report.
• Choose the VAT period and other filters.
• Click Run Report to generate the VAT return.

5. Tax Liability Report

The Tax Liability Report gives a detailed view of the total tax liability based on VAT collected (output tax) and VAT paid (input tax). It’s used to determine the net VAT liability or refund amount for the reporting period.

• Report Content:
  • Total output tax (VAT charged to customers).
  • Total input tax (VAT paid to vendors).
  • Net tax liability (the difference between output and input VAT).

How to Run the Tax Liability Report:

• Go to Reports > Tax > Tax Liability Report.
• Select the desired tax period.
• Click Run Report to see the liability for the period.

6. Tax Code Report

This report provides an overview of the tax codes used in Sage Intacct, which helps ensure that the correct VAT rates are applied to each transaction. You can review the tax rates for different products, services, and jurisdictions.

• Report Content:
  • List of all tax codes and their associated rates.
  • The description of each tax code.
  • The jurisdiction or region associated with each tax code.

How to Run the Tax Code Report:

• Go to Reports > Tax > Tax Code Report.
• Review the list of tax codes, ensuring they are correctly set up and assigned to transactions.

Tips for Effective VAT Reporting in Sage INtacct:

1. Regularly Reconcile VAT: Reconcile your VAT reports periodically to ensure that VAT collected and VAT paid match the corresponding transactions. This will help prevent discrepancies during VAT filing.
2. Customise Reports for Specific Needs: Use filters to tailor reports based on customers, vendors, or specific tax codes. This allows for more granular insights, especially if your business operates in multiple regions or jurisdictions with varying VAT rates.
3. Automation: Use the Revenue Recognition feature for subscription-based or long-term contracts to automatically track VAT on a time-based schedule.
4. Compliance: Ensure the reports you generate align with your local VAT return filing requirements. VAT regulations can vary by jurisdiction, so it’s essential to understand the specific requirements for the regions in which you operate.