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This proposal is for an Option for VAT Statements and Returns to be based on 'Document Date' instead of 'Posting Date'.


There is a conflict between concepts around 'Month End' and 'VAT Tax Points'.


Month End - There is a Desire to 'Draw a line under' reported results, in that you don't want to post transactions back into prior periods. If you were to do so to be compliant with VAT, then re-running reports such as Trial Balance, Aged Accounts Payable etc will not match reported results.


VAT Tax Points - The principal problem is that Purchase Invoices are received after Monthly Management Accounts are reported, dated in the prior period.


While work arounds are possible, they are time-consuming and inefficient.


Note, the functionality will need to consider:

  • Posting Dates used for closing VAT Entries in the Calc. and Post VAT routine
  • Setting of Document Date for unrealised VAT transactions
  • Whether a restriction should be applied to prevent Document Date being after Posting Date if this option chosen.



STATUS DETAILS
Completed
Ideas Administrator

Thank you for your valuable feedback. We have decided to deliver this idea and make it available with Business Central 2022 release Wave 2:
Adding new 'VAT Date' on documents and journals and option for VAT Statements and Returns to be based on new 'VAT Date' field instead of 'Posting Date' in W1.

Your help was greatly appreciated,

Aleksandar Totovic
PM, Microsoft