Why does Solar accounts calculate the Box 7 figure (value of purchases excluding VAT) to include all purchases, even VAT free sums like bank charges and owners personal drawings. ?
Hi Alan,
You need to set the VAT Treatment for those transactions to 'Out of Scope'. Open the payment window for each transaction and click More Options > VAT Treatment > Out of Scope. Then refresh the VAT Return Detail report - you should find that the transactions no longer affect box 7.
Thanks Mark.
Hi Mark,
Do I need to do this for every new VAT free purchase or does Solar "remember" which type of transactions are "out of scope" as most of mine are recurring payments.
Regards
Alan