Changes to Tax codes in Proactis
Simplification of VAT processing for purchases and expenses
[Posted on 07 February 2012]
The Tax Team have been working on the simplification of VAT processing for Purchases and Expense claims following feedback from a selection of staff. Further to this the following changes will be implemented with effect from 1pm on Wednesday 8th February 2012:
The following VAT codes will be removed:
- EXN – Supply exempt from UK VAT – No VAT on invoice
- ZRN – Supply subject to UK VAT – Zero rated – No VAT on invoice
- OSN – Item outside the scope of UK VAT – No VAT on invoice
- INT – Internal transfer
They will be replaced by a single VAT code:
- NOV - No VAT on Invoice/Transaction
This is the VAT code that should now be used when no VAT is expected on the transaction.
The following VAT codes will also be removed:
- FPN - Free Post - VAT element non-recoverable
- FPP - Free Post - VAT element residual - goes to pot
- FPR - Free post - VAT element recoverable
These codes are surplus to requirements as the same functionality that these codes provide is available by using the Tax override in edit and match with the relevant SR* code. This will significantly reduce the choice of VAT codes and will simplify the process for dealing with certain transactions.
If you have any queries about these changes, please do not hesitate to contact the Tax team.