flat rate scheme

[sun_051966]

Hi Anthony
Have purchased accounts plus corporation tax package for period May09 to April10. During this period the flat rate scheme was applied. However during this period there were vat rate changes from 15% (upto dec09) to 17.5% (from jan10), so the flat rate %'s were 9.5% and 11.5%. On reviewing the forum Q&A's I found that vat %'s can be changed under the sales spreadsheet column G row 4. I have done this but the vat shown in the vat column does not equate to 9.5% (vat inclusive) when extracting the vat from the gross figure. Not sure how this can be worked out / shown on the sales spreadsheet to ensure that the vat amount equates to the flat rate %? Please help.
Many thanks

[antonycc]

Hello,

For Flat rate VAT you can just multiply the turnover by the rate for the period.

Assuming everything entered into sales should be included in the "flat rate turnover" (see http://www.hmrc.gov.uk/vat/start/sch...at-rate.htm#4), you can calculate the VAT due by multiplying the total gross sales for each month by the VAT rate in force in that month. (Cell F1 in Sales.xls for each month).

So for a VAT return covering December 2009 - February 2010, using the rates quoted above this would be:

Sales.xls > Dec09 > Cell F1 * 9.5% +
Sales.xls > Jan10 > Cell F1 * 11.5% +
Sales.xls > Feb10 > Cell F1 * 11.5%

Cheers,

Antony.

[sun_051966]

thanks for your reply re flat rate scheme.

just had another query with regards to the directors loan - in the current accounts sheet I have shown payments made to the Directors inserting directors loan but when I see check the balance sheet tab in the financial accounts it shows as a negative balance - should not this be a positive? as the director has withdrawn monies and thus owes these amounts to the company? should I be doing something for eg change the +/- signs? will be grateful if you could assist with the above.

Many thanks

Sun_051966

[antonycc]

Hello,

The Director's Loan appears on the Balance Sheet as a creditor (someone the Company owes money to). So yes if it's the directors that owe the money to the company the Directors Loan Account figure should be negative on the balance sheet.

To confirm this behaviour I added a single entry into the current account sheet (currentaccount.xls) of £2000 in the Payments section (Columns S onwards) and assigned this to the Code Letter DL. All figures entered were positive and the negative Director's Loan Account appears on the balance sheet.

(If an entry is made on the Receipts section of currentaccount.xls the opposite happens and a positive number appears on the loan account)

Thanks,

Antony.