Taxomate now automatically sets up the below VAT codes during quick setup if you select UK registration.
ℹ️ The below example is VAT mappings you may wish to use if you are VAT registered in the United Kingdom and using our VAT Jurisdictional Tracking feature.
⚠️ The below does not represent any tax or legal advice, and you should speak to your accountant if you have any questions.
⚠️ Sales Invoices in QuickBooks do not work with the reverse charge codes. Please use journal entries instead.
Transaction Category | Transaction Subcategories | VAT Rate | QuickBooks Tax Code | Xero Tax Code |
Adjustments | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Advertising | VAT 20% | 20% S (Purchases) | 20% VAT on Expenses | |
Commissions and Selling Fees | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Delivery and Transport | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Fulfillment and Warehousing | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Lending | NO VAT | NOTAXS (0%) | NO VAT | |
Other | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Pending Balance | NO VAT | NOTAXS (0%) | NO VAT | |
Reimbursements | NO VAT | NOTAXS (0%) | NO VAT | |
Reserved Balance | NO VAT | NOTAXS (0%) | NO VAT | |
Shipping Expense | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Subscription and Service Fees | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Jurisdiction United Kingdom | Amazon Responsible for Remitting VAT | Zero Rated Income | 0.0% Z (Zero-Rated 0%) | 0% Zero Rated Income |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Jurisdiction United Kingdom | Seller Responsible for Remitting VAT | VAT 20% | 20% S (Sales) | 20% VAT on Income |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Jurisdiction United Kingdom | No VAT | NO VAT | NOTAXS (0%) | NO VAT |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Export | Shipped Outside UK, Dispatched From UK | Zero Rated Income | 0.0% Z (Zero-Rated 0%) | 0% Zero Rated Income |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Export | Shipped Outside UK, Dispatched From Outside UK | NO VAT | NOTAXS (0%) | NO VAT |
👉 Once you have completed the mappings, you must Reprocess each of the applicable settlements before sending the settlement to your accounting system.
👉 This example is for when you have a UK registration, one or more EU VAT registrations, and are tracking and filing EU submissions outside of QuickBooks.
For each EU marketplace, you have a VAT registration for, you should create an income/revenue account in QuickBooks/Xero.
QuickBooks: Create an Income > Sales of Product Income account for each EU country you have a VAT registration (e.g., Amazon Sales - Germany).
Xero: Create a Sales account for each EU country you have a VAT registration (e.g., Amazon Sales - Germany).
👉 The example below is a seller who is UK and Germany registered. If you have more than one EU VAT registration, you will replicate the Germany account/vat codes for each EU registration.
Transaction Category | Transaction Subcategories | VAT Rate | QuickBooks Tax Code | Xero Tax Code |
Adjustments | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Advertising | VAT 20% | 20% S (Purchases) | 20% VAT on Expenses | |
Commissions and Selling Fees | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Delivery and Transport | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Fulfillment and Warehousing | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Lending | NO VAT | NOTAXS (0%) | NO VAT | |
Other | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Pending Balance | NO VAT | NOTAXS (0%) | NO VAT | |
Reimbursements | NO VAT | NOTAXS (0%) | NO VAT | |
Reserved Balance | NO VAT | NOTAXS (0%) | NO VAT | |
Shipping Expense | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Subscription and Service Fees | Reverse Charge 20% | 20% RC SG (Purchases) | Reverse Charge Expenses 20% | |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Jurisdiction Germany* | NO VAT | NOTAXS (0%) | NO VAT |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Jurisdiction United Kingdom | Amazon Responsible for Remitting VAT | Zero Rated Income | 0.0% Z (Zero-Rated 0%) | 0% Zero Rated Income |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Jurisdiction United Kingdom | Seller Responsible for Remitting VAT | VAT 20% | 20% S (Sales) | 20% VAT on Income |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Jurisdiction United Kingdom | No VAT | NO VAT | NOTAXS (0%) | NO VAT |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Export | Shipped Outside UK, Dispatched From | Zero Rated Income | 0.0% Z (Zero-Rated 0%) | 0% Zero Rated Income |
Sales / Refunds / Gift Wrap Income / Promotions / Shipping Income | Export | Shipped Outside UK, Dispatched From Outside UK | NO VAT | NOTAXS (0%) | NO VAT |
*You should map to the account you created for the EU-registered country (e.g., Amazon Sales - Germany)
