Hi
We run a high Street shop so deal mainly in cash. I have created two dummy customers, one Daily Cash Sales the other Daily Credit Card Sales
I plan to change the Petty Cash account to Till and then enter daily cash takings into that. When we bank the cash I will create a general transaction to move from "Till" to Bank Account.....is this a OK way of doing it?
Also...when creating a Money Received transaction for cash takings I assume I enter sales of goods to UK customer in the VAT Treatment box - Is that correct?
One other thing...In the From Account on the same Money Received box what VAT rate should I put in there, bearing in mind these are cash transactions from customers (if that makes a difference) is it 15% or as we are on the flat rate scheme 4.5% ??
Hope that makes sense??
Many Thanks
Adrian
Hi Adrian,
Thanks for your interest in Solar Accounts. To answer your points:
You should probably rename the 'Money to be Banked' (not Petty Cash) account to 'Till' as this is the default account for payments received. And yes, create a General Transaction to record the bank deposit as described here:
http://www.solaraccounts.co.uk/help/how-to-record-a-bank-deposit.php
Yes, for retail sales the VAT Treatment should be 'Sale of Goods or Services to UK Customer'.
You should put the VAT rate the customer 'sees' - ie. 15%. You can set the flat rate for the transaction by clicking the small 'Up' arrow next to the VAT Treatment box. Solar Accounts uses both these rates to calculate how much money you are making (or losing) due to the flat rate scheme.
I think that answers your questions - let me know if you need more information.
Regards,
