VAT Reclassification at the End of the Month

Note

In the current version Polish Localization, the following functionality is only available to companies that do not have an additional reporting currency defined on the General Ledger Setup page.

The Calculate and Post VAT Settlement VAT feature that is available as part of the Business Central version W1 is not compatible with the Polish Localization functionalities that support the processing of VAT entries. Compatibility problems occur when:

• in Polish Localization, specific VAT operations such as changing the date in the VAT Settlement Date field or operations used within the Postponed VAT functionality are used. For such entries, the VAT statement that is available in the Business Central W1 version does not work correctly;
• VAT entries will be closed by the standard script in the Calculate and Post VAT Settlement function. In this case, it is not possible to change the VAT attributes and change the VAT settlement date in VAT entries. Such changes may be required in order to correct historical VAT entries and to report the corrected SAF-T VAT with the declaration.

Therefore, the Calculate and Post VAT Settlement action available as part of the standard Business Central W1 functionality has been blocked in Polish Localization and it is not recommended to use it. Instead, a new feature has been prepared that allows VAT reclassification at the end of the month with the generated VAT declaration.

Account Setup for VAT Reclassification

To define the accounts to be used for VAT reclassification:

1. Choose the icon, enter VAT Setup, and then choose the related link.
2. On the VAT Setup page, on the VAT Reclassification FastTab, enter the following settings:

• VAT Settlement Account Type - Specifies the account type to which VAT will be reclassified. The available options are G/L Account or Vendor.
• VAT Settlement Account - Specifies the account to which VAT will be reclassified.
• Penny Difference Profit Account - Specifies the account to which positive penny differences resulting from VAT calculations will be reclassified.
• Penny Difference Loss Account - Specifies the account to which negative penny differences resulting from VAT calculations will be reclassified.

Additional Account Setup

Not all amounts in the VAT declaration are automatically calculated based on data in the system. The following elements in the declaration must be entered manually:

• K_33 - The sales tax amount due on goods covered by the physical inventory referred to in Article 14. sec. 5. of the VAT Act,
• K_34 - The refund amount equal to the deducted or refunded amount that was spent on the purchase of cash registers referred to in Article 111 sec. 6. of the VAT Act,
• K_35 - The sales tax amount due on intra-Community purchase of means of transport, shown as the amount of sales tax due on intra-Community purchase of goods, payable within the time limit referred to in Article 103 sec. 3, in relation to Article 103 sec. 4,
• K_36 - The sales tax amount due on intra-Community purchase of goods referred to in Article 103 sec. 5aa of the Act, payable within the time limit referred to in Article 103 sec. 5a and 5b of the Act,
• K_44 - The purchase tax amount resulting from purchase tax adjustments referred to in Article 90a-90c and Article 91 of the VAT Act (purchase of goods and services the taxpayer registers as fixed assets),
• K_45 - The amount of purchase tax resulting from purchase tax adjustments referred to in Article 90a-90c and Article 91 of the VAT Act, for the purchase of other goods and services,
• P_49 - The amount spent on the purchase of cash registers, deductible in a given settlement period, deducted form the sales tax amount.

In order to automatically reclassify VAT amounts for the above-mentioned elements, it is possible to define the accounts from which the amounts will be reclassified. To define accounts for these elements:

1. Choose the icon, enter VAT Setup, and then choose the related link.
2. With the VAT Setup page, select the SAF-T Area Elements Settlement Accounts action.
3. With the JPK VAT Elements page, define the VAT Settlement Account setting.

Running VAT Reclassification

To initiate the reclassification process, generate and export the SAF-T VAT file with the declaration. For more details, see Executing JPK VAT with the Declaration.

Then, on the SAF-T VAT page, expand the VAT Settlement action and choose Calculate and Post VAT Settlement.

Note

The action can only be run for JPK VAT files with the Exported status.

On the Calculate and Post VAT Settlement report request page, on the Options FastTab, fill in the appropriate fields:

Note

The Starting Date and Ending Date fields come directly from the SAF-T VAT and cannot be edited.

• Posting Date - Specify the posting date used when posting the VAT settlement.
• Document No. – Specify the document number used for the posted VAT settlement.

Note

G/L accounts are entered based on the VAT Setup page and are displayed on the report request page for informational purposes only.

• Posting Preview - Enabling this option allows you to view the general ledger entries that will be created when posting VAT settlement.

Note

If the Calculate and Post VAT Settlement report for a given SAF-T VAT report has already been run, it cannot be run again. When you restart the application, the appropriate G/L Register page will open, allowing you to view the general ledger entries for this posting.

Correcting the SAF-T with the Declaration

The VAT settlement posting for the SAF-T VAT correction is the same as for the SAF-T VAT submitted for the first time. The processes differ only in cancellation of the settlement posted based on the previous declaration.

VAT Entries

After the VAT settlement has been posted, all VAT entries used for a SAF-T VAT calculation are marked as Included in SAF-T VAT.