OneUp supports both worldwide VAT and U.S. sales tax.

Jump to VAT section
(for a company based outside U.S.A.)

Jump to Sales Tax section 
(for a company based in U.S.A.)

 

 

VAT Section - for a company based outside U.S.A.

VAT is tracked automatically when you take any action that should result in VAT calculation. This includes main features like Invoices, Expenses, Vendor Bills, Receipts, and credit memos.

At the end of a period, in order to preview or file your VAT, you will need to Close a VAT Period in Accounting > ⚙️ > Closed VAT Periods.

 

Collected VAT on Sales

Collected VAT is what is applied when you sell goods or services to your customers with Invoices or Sales Receipts. You were given default Collected VAT rates when you created your account. You can view your list of rates for editing with View VAT in the Sales menu.

When adding a product to a sales document like Invoice, Quote, or Sales Order: VAT rates are set as default on your product. If needed you can adjust the VAT rate per line.

 

You can also set up your customer with a priority VAT that should overwrite the product VAT, if selected in the customer details.

 

Deductible VAT on Purchases

Deductible VAT is what is applied when you buy goods or services from vendors with Expenses or Vendor Bills. You were given default Deductible VAT rates when you created your account. You can view your list of rates for editing with View VAT in either the Expenses or Purchases menu.

When adding a product to a purchasing document like Vendor Bill or Purchase Order: VAT rates are set as default on your product. You can later specify a different rate per line.

 

 

Changing Account VAT Rates and Labels

Your account was given pre-set VAT rates and labels based on the country selected when you created your account.

The VAT label (editable in Company Settings) is what is printed on your sales documents, but you will see the general label "VAT" inside many screens of the application.

 

updating VAT label in Company Settings under "Sales and Purchase Tax Label"

custom VAT label on a printed sales document

 

Setting Default VAT for a Product

linking your products to the VAT needed directly affects your sales documents as a default tax setting

Setting Default VAT for a Customer 

Screen_Shot_2018-01-31_at_2.02.52_PM.png
default sales tax and priority VAT in customer details 

 

Setting VAT on a Sales or Purchase document

The Sales VAT (collected) is set as a default in your sales documents,
but of course you will be able to overwrite your VAT, if needed

Creating a VAT tax rate

In company settings - VAT rates, you are able to create a New VAT Rate. To cover sales and purchase taxing, you will need to set up a tax for each "side":

Type="Collected" for what you charge to your customers and "deductible" for what you pay to your vendor.

Fill in the necessary information here: (once for "collected" and a second tax for "deductible")

 

Accounting Tip:

Let OneUp create a separate accounting accounts for each VAT rate so the VAT will be easier to maintain and reports can be reconciled with less effort.

 

Accounting created from VAT

For the Invoice above you will have following accounting:

If you don’t want to show any VAT on your documents

You can disable VAT completely from Company Settings.

If you wish to suppress VAT from a single document, please select “--” as your VAT rate in the sales or purchase lines. No VAT label and no VAT rate will then appear on printouts.

 

 

Why is my VAT rate not showing in the expenses, when I want to select the rate?

Please note that you need to create two VAT rates, one will be used in sales documents (type “collected”) and one will be used in purchase documents and expenses (type “deductible”). Should your VAT not show in the selection list in an expense, you most probably need to add the missing VAT rate for type “deductible”.

So, if the rate you need does not show, it might not have been created yet in settings - VAT rates.

 

Close a VAT Period and view the VAT Report

Depending on the location of your business, you will need to periodically report your sales tax earnings.

Make sure your books are ready then use Close a Tax Period (in Accounting - green button - Closed VAT periods or Close Sales Tax periods) to close the range of books you are reporting.

Before you close any period, you'll have the possibility to check your tax report. Check or correct the period that is set by OneUp as default and click "View the Tax Report" to verify your numbers. If all looks good, click DONE to close the tax period.

You will then be able to print a sales tax report on page 2 of the corresponding wizard. You can open past tax reports for viewing and printing with View Tax Report in Accounting - green button - close tax period.

 

Please note: Once you close the period, you cannot cancel/delete the this transaction. Nevertheless, if you create further transactions for an already closed period, those transactions will be added to the next open tax period for later closing, if you flag the check mark accordingly. 

 

Sales Tax Section (U.S.A.)

For US companies, sales tax is the tax you charge on sale of goods to your customers. You set your sales tax rate when you created your account.

Sales tax rates can be created directly from sales documents, like sales orders and invoices (click "Create a new.." in the tax selector. View your list of sales tax for editing with View Sales Taxes.

In the sales document you specify in the header which tax is applicable to this document. In the order lines use the checkboxes in the "Tax" column to include tax on individual lines.

Please note: US purchase tax needs to be registered in bills using the tab "expenses".

US sales tax group

To be able to create a tax group , you must have already created the simple tax rates that need to be included in the group.

Example: .

You create a City tax for 6% tax as a simple tax

You create a State tax for 9% tax as a simple tax

You then create a tax group "City and State" - type "sales tax group tax" and add those two simple tax codes using the add button. The Group Sales tax now shows 15%

In the invoice you then select the taxes needed in the header on top right side in the field "sales tax" to add either the simple tax or the tax group.

 

 

Close a Sales Tax Period and view the Tax Report

Depending on the location of your business, you will need to periodically report your sales tax earnings.

Make sure your books are ready then use Close a Tax Period (in Accounting - green button - Closed VAT periods or Close Sales Tax periods) to close the range of books you are reporting.

Before you close any period, you'll have the possibility to check your tax report. Check or correct the period that is set by OneUp as default and click "View the Tax Report" to verify your numbers. If all looks good, click DONE to close the tax period.

You will then be able to print a sales tax report on page 2 of the corresponding wizard. You can open past tax reports for viewing and printing with View Tax Report in Accounting - green button - close tax period.

 

 

Please note: Once you close the period, you cannot cancel/delete the this transaction. Nevertheless, if you create further transactions for an already closed period, those transactions will be added to the next open tax period for later closing, if you flag the check mark accordingly.

 

 

 

 

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