1.7.2 VAT Calculations
For VAT transactions there are three important amounts that need to be recorded:
- VAT exclusive amount x 1.15 = VAT inclusive amount
- VAT inclusive amount ÷ 1.1.5 = VAT exclusive amount
- VAT amount:
- - Deduct VAT exclusive amount from VAT inclusive amount
- - VAT exclusive amount X 15 ÷ 100 = VAT amount
- - VAT inclusive amount X 15 ÷ 115 = VAT amount
