Vat Increase  

Changing the Vat rate in Sage 50 to 20% and how to then update your Bluestone Software
 

Increase in the standard rate of VAT

In his 2010 Emergency Budget the Chancellor announced an increase in the standard rate of VAT from 17.5 per cent to 20 per cent effective from 4 January 2011.

Effect on businesses – what you need to do

This change affects any VAT registered business that sells or purchases goods or services that are subject to the standard rate of VAT.

You should charge VAT at the rate of 20 per cent on any sales of standard rated goods or services that you make on or after 4 January 2011.

Other rates of VAT are not affected

For further information please click here.

You will need to amend the Vat Rate in Sage and any other applications that use a Vat Rate.

In line with our previous advice we suggest changing the main T1 rate to 20% on the 4th of January 2011. We suggest that you use another T code and set it to the (now) old 17.5% for old out-standing purchase invoices.

Select T1 and then Edit 

(To create this document we have use images from our lasts years article so you need to set T1 to be 20)

Change to 20 Select OK

Then Apply

Finally Close, ( you do not save unles you wish to) 

Now in same way use a unused code and set it to 17.5% to cover any old purchase invoices that come with the old vat rate and make sure the "include in Vat return" box is ticked.

Blustone Applications

In Code Purple

Thats Vat changes in Code Purple .... Done

Cellar Master , Store Master Stock Master

If you do not link to sage you will need to change it manually

 If you have the Sage links enabled

Code Orange Users

Select the Maintenance button

Tick the "Tax Codes" option and then select "Run"

If you need further information please do not hesitate to contact us.