In this session we'll look at CIS Domestic Reverse Charge and how to process it in Sage 50 Accounts.
This session has now taken place, but don't worry you can catch up with a recording: Open the recorded webinars article
View slides from today's presentation:
Sage 50 Accounts - CIS domestic Reverse Charge.pdf
Recent questions and answers
| Question | Answer |
| We have a supplier who is mainly materails only but once in awhile they supply labour and materials on one invoice, how should this be entered. | If it's materials only then DRC would not apply. If labour is charged aswell on the same invoice then it may or may not be applied depending whether you are the end user etc. |
| We have a customer that deducts 20% reverse charge vat from some of their remittance advice / payments, we raise a credit note at the point of deduction should this be raised using T21? | HMRC rules means that if DRC is applied that it should be declared on the original invoice, and credit notes should not be used. |
| When paying the supplier, do we pay the full value of the invoice or will sage deduct 20% as per standard CIS subcontractors? | If you've entered the invoice with DRC applied, so not VAT value entered, you would pay the invoice value. If CIS deductions are applied on top then theis will be calculated at time of payment. |
| I am using the cis module but it only lets me have the 6000 cis codes where I used to use the 5000 Nominal codes, but I can't change it on the cis module. | Open the CIS nominal code guide |
| I don't need to change the nominal code only the cis module is only bringing up the 6000- 6003 ones and no other nominal codes are on the list. | When you are creating an invoice from the CIS module it will only bring up the CIS nominal codes. If you want to see both CIS and non CIS nominal codes create the invoice via the suppliers module where you will see more options for nominals. |