VAT Tax Reporting & Compliance
Streamline your periodic tax returns. NespoCASH automatically segregates output VAT collected on sales and input VAT paid on vendor purchases.
[IMAGE - VAT tax return report showing standard supplies, VAT collected, recoverable input VAT, and net tax payable]
Generating Tax Returns
- Navigate to Ledger -> Tax Reports.
- Select your tax period (e.g., Q1, Q2, or Monthly).
- Review taxable sales, exempt supplies, and input tax deductions.
Accounting & Ledger Impact
| Account Name | Code | Classification | Debit | Credit |
|---|---|---|---|---|
| VAT Output Tax Liability | 2210 | Current Liability | Settlement Amount | Collected VAT |
| VAT Input Tax Recoverable | 1310 | Current Asset | Paid Purchase VAT | Offset against Output |
Note: Net tax payable equals Output VAT minus Input VAT.