Filing VAT returns have never been this easy!
Xero recently launched the VAT201 Report as a better alternative for the long existing VAT Audit Report. The new VAT201 Report has a finalise option that enables you to end each VAT period to prevent any prior period adjustments or late claims to fall back into your initial VAT period.
Essentially, any prior period adjustments are classified as ‘Late Claims’ on your new VAT201 report and will automatically be included in your new VAT amount due.
The tax fields were created to reflect as a copy of the VAT201 return on eFiling, making the filing of a return so much easier. A list of transactions within each tax field can be viewed or a specific transaction can be searched, opened, and edited, if necessary.
This evolutionary report provides a link on each line item that redirects you to the original transaction. These links are also included when this return is exported to Excel.
Xero has indicated that a new Xero-to-eFiling feature will be released in the following months.
Once your VAT201 return is finalised, you will be able to select an option to submit your VAT201 directly to SARS.
The return status will update as the return is filed and received by SARS.
Not only will this feature save you time and effort, but you will also be able to manage your VAT directly in Xero, without having to log in to eFiling.
More information, will be provided as soon as Xero has released this feature.