This article will provide guidance on AutoEntry's functionality which supports EU Destination VAT schemes for sales invoices in Sage Accounting.
Sage Accounting/SBCA UK&I users who have Business-to-Consumer (B2C) sales in the EU and wish to use destination VAT from 1st July 2021
On 1st July 2021, the EU introduced new optional VAT schemes for sales to EU consumers (customers in the EU who are not VAT registered).
Destination VAT settings and reports were made available in Sage Accounting from 1st July. Please consult the guidance issued by Sage Accounting on correct application of this here.
You are not impacted by this if:
you have EU B2C sales but wish to continue zero-rating their supply (in this case you would simply have the setting disabled in Sage Accounting), or
as a company in the UK excluding Northern Ireland, you do not have EU B2C sales that are greater than the low-value consignment rules allow, or
as a company in Northern Ireland, Ireland or the rest of the EU, you do not have EU B2C sales.
To use AutoEntry for sales requiring destination VAT:
Ensure that the option to apply destination VAT to EU B2C sales has been enabled in your integrated Sage Accounting company.
Re-sync your Sage Accounting data with AutoEntry (see here).
Autoentry will sync all of the destination tax codes associated with the set of that company’s customers which are:
a) located in the EU and
b) not VAT registered (i.e. “consumers”).
These destination tax codes will then be available for you to assign to your sales invoices.
For example, as a UK company with a German consumer, the following set of Irish tax codes will sync into AutoEntry:
Note that this solution to support Sage Accounting’s destination VAT functionality is only possible for the sale of goods only; the sale of OSS (One Stop Shop) services is not yet supported (until after Sage Accounting’s Products and Services become available in AutoEntry). If you wish to use destination VAT for sales of OSS Services in the interim period, then you will need to create those invoices manually in Sage Accounting.
If you any queries, please let us know through the chat bubble in the bottom right corner of the screen!
This article provides general rather than specific guidance to assist all of our customers. We always do our best to make sure that the information is correct, but as it is general guidance, no guarantees can be made concerning its suitability for your particular needs. The information is valid at the time of publishing and is provided without any warranty of any kind, express or implied. You should take professional advice if you require specific guidance on your individual circumstances, for example to ensure that the results obtained from using our software comply with statutory or regulatory requirements. For VAT, customs and excise and duties enquiries relating to the UK, you should call the HM Revenue and Customs (HMRC) National Advice Service Helpline on 0300 200 3700, contact your local HMRC office or visit their website at www.hmrc.gov.uk; for the same enquiries in Ireland contact Revenue. In no event will we be liable to you for any direct, indirect, consequential or incidental loss or damage arising out of or in connection with your use of the information provided.