This article will describe how to record EC Purchases.
This is only applicable if you are VAT registered and have ticked the box on the Suppliers page to say they are in another EC member state.
Preparation:
For your VAT return, you may want purchases made against a nominal code to be treated as a product for suppliers in other EC states. To set this up for a purchase code, go to, Settings > Purchase Codes > Select purchase code > Tick box, “Treat purchases of this Code from suppliers in other EC states as a product on my VAT returns.”
You are now ready to record EC Purchases.
Go to, “Purchases” and record the purchase as you normally would. For the VAT rate, enter the correct rate for the line item or purchase and for the VAT amount enter as £0.00.
You have now recorded an EC Purchase.