About prerequisites and preparation

To set up the VAT calculation process in Visma Net, you have to configure all required VAT-related entities and link them to one another.

The General ledger workspace must be configured before you configure the VAT workspace.

You should create all VAT rates that your company uses.
The settings for each VAT include the VAT rate, the VAT calculation method, the VAT validity period (if any), and other required parameters.

You should create all needed VAT zones and include the VAT rates applied in the corresponding location in each VAT zone.
You then associate an appropriate VAT zone with each of your suppliers and customers according to their locations.

You should create the needed VAT categories for all goods or services (which are represented as stock items and non-stock items in Visma Net) that your company sells or purchases. For each VAT category, you should add all VAT rates that are applied to the corresponding category of goods and services in all geographical locations where your company conducts business.

For each tax agency to which you will submit VAT reports, you should create a supplier account in the Suppliers (AP303000) window with the Supplier is tax agency check box selected.

The entities that you have configured in the VAT workspace should be linked with the following entities, which you create in other Visma Net workspaces (or add VAT-specific information for the entities if they have already been created):

To calculate VAT amounts in the documents in which you specify item IDs, create stock items (for goods) and non-stock items (for services) and associate each item with the appropriate VAT category.

The initial VAT category on customer documents is based on the VAT category on the item class in combination with the customer location's export type. For more information, see: About suggested VAT categories.

The VAT category defines the VAT rates that can be applied to this stock or non-stock item.

You should create needed suppliers in the Supplier ledger workspace and customers in the Customer ledger workspace if they don't already exist. Depending on the geographical location of the sale or purchase transaction, different VAT rates can be applied to the document.

To define which VAT rates are applied in the location of your supplier or customer, you should assign the appropriate VAT zone to each new or existing supplier and customer.

If you define an export type on a customer location or customer class, this will be used for defining VAT rates for customer document lines with item IDs, see also About export types and About suggested VAT categories.

Once these entities are configured, the system will calculate VAT amounts when a user enters a document in the system.

The system does this by applying the particular VAT or taxes determined by the system according to the location of the selected customer or supplier and the line items specified in the document.