How to: Use One VAT Code in Journals

In Norway, you can use the feature one VAT code in a journal, so that you can post VAT by using a single field, VAT Code. After it is set up, the one VAT code is a quick way to fill in the commonly used VAT fields.

To set up the VAT code for purchase orders and sales orders, the corresponding VAT business posting groups and the VAT product posting groups have to be defined.

The VAT rate is calculated from the combination of VAT business posting groups, buyer information, and VAT product posting groups.

To create a VAT code

  1. In the Search box, enter VAT Codes, and then choose the related link.

  2. On the Home tab, choose New.

  3. Enter information in the Code, General Posting Type, and Description fields for each VAT code.

  4. Choose the OK button to close the VAT Codes window.

The following procedure explains the VAT posting setup.

To set up VAT posting

  1. In the Search box, enter VAT Posting Setup, and then choose the related link.

  2. On the Home tab, choose New.

  3. In the VAT Posting Setup Card card, fill in the following fields:

    • VAT Bus. Posting Group

    • VAT Prod. Posting Group

    • VAT Identifier

    • VAT %

    • Sales VAT Account

    • Purchase VAT Account

  4. In the VAT Code field, select a code from the list.

Now, when you post a document in the general journal and close it, the information specified in the VAT Posting Setup card is applied.

For example, the VAT rate posted in the journal is defined by the setup that you have specified in the VAT Posting Setup window.

Note

The VAT Code and the Bal. VAT Code fields have been added to the journal. The Bal. VAT Code is the VAT code that is used to calculate the balancing account. No changes are made to the posting.

See Also

Concepts

Norwegian VAT Codes