We are able to support in the design, implementation and testing of ERP and accounting systems used to report VAT. Stripping away the complexity of the ERP system down to the core processes impacting VAT determination is an essential step if the business wants to ensure VAT decisions are automated as much as possible.
The holy grail of pressing a button at period end to generate a VAT return requiring little amendment is aspirational for most businesses, but using the system as effectively as possible will get you as close as possible to this.
Tax codes hold the key to the effectiveness of accurate VAT recording and reporting but this is a fact that is not necessarily that well understood by tax teams – there remains a knowledge gap and element of mystique around the ERP system and how it determines VAT. We can advise on the appropriate range of tax codes to have in place (not too many but sufficient to enable VAT returns to be completed without further data sorting) and help you understand if they are being used properly by the business.