VAT Profiles
Video - Adding VAT Profiles
VAT Profiles are used in various places across the system for invoices, rate plans etc.
The system comes pre-loaded with a UK Standard VAT profile but you will probably need to add additional profiles for use.
The typical profile to add for UK customers is the one for VAT Notice 709/3 which allows the VAT on Accommodation to drop to 0% for days beyond 28 days. Because Serviced Apartments are not only accommodation as they include other services such as cleaning then the typical rule is that you charge 20% of the VAT i.e. 20% of 20% = 4%.
You can set up VAT profiles so that the tax rate will drop after a certain period of time, as demonstrated below.
1 - Select Admin > Finance > VAT Profiles.
2 - Select 'Add VAT Profile'.
3 - Enter a name and a description for the VAT Profile.
4 - Select 'Add Tax Season'.
5 - Select the start and end date for the high tax code.
6 - Select the blue magnifying glass to select the high tax code.
7 - Select the high tax code.
8 - Select the boundary day, after which the tax rate will drop.
9 - Select the blue magnifying glass to select the low tax code.
10 - Select the low tax code.
11 - Select 'Save'.
12 - The details you have selected will appear in the 'Tax Seasons' section.
13 - Select 'Save VAT Profile'.
14 - The VAT Profile will then be saved.
