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Practical VAT

It’s good practice to keep a Vat control account as part of your business accounting records. When you enter a transaction into your accounting system, transfer the Vat element to the Vat control account as well.
This is important because, if you can’t claim an input tax deduction on an item, it mustn’t appear on your Vat control account. Nor should you find those income items on which no Vat should be charged.

 

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