How to Set Up VAT Codes

In the 'VAT' process table, various VAT rates can be created. Additionally, the links between general ledger accounts and the VAT rates can be maintained. A distinction can be made between country types.

In MKG, lines can be created with the different percentages. These lines are linked to general ledger accounts for Purchase, Sales, and Foreign Purchases/Shifted. In addition to linking with general ledger accounts, a link is also made with the VAT categories used on the VAT return form:

1a. Supplies/services taxed at the high rate (21%)
1b. Supplies/services taxed at the low rate (9%)
1c. Supplies/services taxed at other rates
1d. Private use of business assets
1e. Supplies/services taxed at 0% or exempt

VAT on purchases does not need to be split into different accounts at the high and low rates for the VAT return. One general ledger account can be used for this.

In principle, 5 general ledger accounts are sufficient to process VAT correctly in MKG:

Payable high (credit)
Payable low (credit)
Payable foreign purchases and shifted purchases (credit)
Recoverable high/prepayment (debit)
Period settlement Tax Authorities (VAT payment)

Please note!
For foreign purchases, MKG always makes a posting for 'VAT not stated on the invoice'. This VAT must also be declared as payable on the return form but is deducted as a prepayment.

Knowledge Center
How to Set Up Purchase Groups
How to Set Up Sales Groups

vat general ledger account vat return vat section vat shifted value added tax create sales invoice foreign country percentage domestic european union enter invoice

Published:29 jun 2025 11:01
TypeHandleidingen
Category
Financial, VAT
Product
MKG5 MKG3
Availability
Openbaar