How is the tax value calculated in Payments Dashboard
This is one of my previous statement which has following figures. I am currently using quickbooks to manage everything and I am having an issue trying to understand how amazon has calculated tax of £483.26?
I recently registered for VAT and I need to prepare a VAT return. I thought the tax amount would be the VAT amount on my sales figure of £3,052.53 but that is not the case. Does anyone have any idea how to calculate the tax amount given below?
I can get close it to if I do the following but I can’t seem to get the exact figure of £483.26. I do have an accountant, however, they have not dealt with VAT on amazon before and I have a deadline coming soon to submit VAT so before I find a new accountant, I thought it would be easier to try and work things out my self.
(Sales £2,462.26 - Refunds £48.16) x 0.2 = £482.82 (close but not the same figure)
Figures
- Beginning balance £604.79
Sales £3,052.53 - Product charges £2,462.26
- Tax £483.26
- Shipping £102.00
- Other £5.01
Refunds -£48.16 - Refunded expenses £6.72
- Refunded sales -£54.88
Expenses -£2,111.61 - Promo rebates -£32.44
- FBA fees -£9.04
- Amazon fees -£2,070.13
Account Level Reserve -£523.11
Net Proceeds £974.44
17 replies
Seller_7VbclcPFFRTnc
Use the date range reports instead - the vat is in its own section at the bottom right hand side
You’ll also need the invoices from tax document library
You also need to now ensure all your product tax ID codes are correct
Seller_esvgLzKXw2YAl
If your not already using accountancy software, you might seriously want to look into it.
You can then use something such as link my books to pull in the transactions and essentially do your vat returns automatically.
You also have to use “Making tax digital” now, which adds another layer to it.
Far less time and errors then.
Seller_ae51e0CJoHqCX
I use quickbooks and have an accountant to check my annuals etc.
I tend to work around it by doing a date range report which tells me everything including the tax and in quickbooks, I disregard the payment from my bank and enter the figures from the Amazon transactions as a single quarterly figure minus the refunds as you have done above as an invoice.
I then go to my bill payment section and create bill payments for the invoices in my tax document library for all of my vatable stuff like postage and advertising.
Hope that make some sense. I have tried to reconcile it with my payments every two weeks and it did my head in.
