We are pleased to make available our step-by-step guides to updating your system to support the VAT changes announced in the budget. From January 1st VAT charged on goods which up to now were at 21% will be subject to the new rate of 23%. The following guidelines are relevant:
Both your Sales and Purchase VAT rates are affected; typically users will have 3 codes to deal with: one on Sales and two on Purchases (goods for re-sale and for non-resale) – these need to be amended.
You may need dual rates for a period; allowing 21% to apply on invoices dated before Jan. 1st and 23% on invoices after 31st December. These rates can be set-up immediately; you do not have to wait until January. Step-by-step guides to setting up new rates in the different
software versions are available on our website:
- Pegasus Opera 3
- Pegasus Opera II
- Pegasus Opera for Windows/DOS
We advise you to invoice all possible SOP/Invoicing documents on or before the last working day of December 2011.
You must use the new rate of 23% (where applicable) for all invoices that you issue on or after 1st January 2012.
If you have version 6.7x of Pegasus Opera II (or later) or Opera 3 the following will not apply as the software will automatically use the correct rate based on the date of the invoice.
Once in January, if you need to progress any existing Invoice document to Credit Note or re-Invoice the same Invoice for a second time – You should only do this if your new Invoice or Credit Note will be dated prior to January 1st so that the same VAT rates apply.
If you have existing un-invoiced Invoicing/SOP documents (Contracts, Quotes, Proformas, Sales Orders, Deliveries) they will need to be manually edited on each line in order to ensure that the new VAT rate applies when you decide to progress.
