NAV: VAT Partial Attribution

Owned by Veronika Zagrapanova (Deactivated)
Last updated: Jun 29, 2021 by Lucie Odehnalová
3 min read

This functionality might not be available in the standard NAV version.

Overview

This document is a quick reference for how to set up and work with VAT Partial Attribution functionality.

How to find

In the beginning, you need to create new VAT Product Posting Groups for VAT Partial Attribution purposes and create a VAT Posting Setup for them. Then VAT Part Attribution can be activated in Purchases & Payables Setup.

New VAT Product Posting groups

It’s necessary to create two new VAT Posting groups, e.g. see below:

  • PARTIALACT – Partial Actual

 

  • PARTIALPRO - Partial Provision

Purchases & Payables Setup


In the Purchase & Payables setup, a new created VAT Product Groups have to be chosen, VAT Part Attribution has to be activated and VAT Partial Attribution Rates have to be filled in, see the pictures. 

G/L Account Card

In the G/L Account Card, it is possible to preset whether the account is subject of the VAT Partial Attribution. Mentioned preset value can be of course changed at the purchase/sales documents.

Purchase Invoice

How to proceed

For using the VAT Partial Attribution, make sure that you have the column of the same name visible in Purchase Invoice lines. If you use the Full Attribution value in G/L Account Card, a default will be set the same value. So if you want to use Partial Attribution for some Purchase Invoice line, you have to switch the default value into the Partial Attribution, see picture above.

Example of posting

For the vendor Mr. Vasallo one line with the amount of €1.000 excluding VAT in the VAT Partial Attribution regime will be posted.

This line of Purchase Invoice will generate six lines in General Ledger Entries.

  • Line with amount €1.000 for the expense account with the description from the Purchase Invoice line.

  • Line with amount €180 for the input VAT account with the description from the Purchase Invoice line.

  • Line with amount €0 and VAT Amount €-23,11 with the description VAT Partial Attribution + actual Provisional Rate from VAT Partial Attribution Rates.

  • Line with amount €-23,11 for the input VAT account with the description VAT Partial Attribution + actual Provisional Rate from VAT Partial Attribution Rates.

  • Line with amount €23,11 for the expense account with the description VAT Partial Attribution + actual Provisional Rate from VAT Partial Attribution Rates.

  • Line with amount €-1.180 for the creditor’s account.

You can see all the lines in the picture below.

Line of Purchase Invoice will also generate two lines in VAT entries.

  • Line with amount €180 with Normal VAT Calculation Type

  • Line with amount €-23,11with Full VAT Calculation Type

You can see all the lines in the picture below. 

Calculation of VAT Partial Attribution

In our example VAT is €180. If VAT partial attribution is 87,16 %, calculation below is valid:

€180*(100-87,16)/100 = €23,11