There are two main options to control VAT codes while posting a consignment. These can be set up depending on the type of trade performed by the company.
The setting of the default VAT code per supplier is available on the supplier account, Secondary Details tab.
For each consignment, you are required to select a supplier code. If the system identifies that there is a default VAT code linked to the supplier, it will automatically allocate this VAT code to the consignment. This VAT code is applied to each of the products within the current consignment. This is useful for companies that import consignments from EU and non EU countries and sold with the same VAT rate.
For those companies that require to report different VAT codes for different products within the same consignment, the following settings are required to be set in SIMS.
The above setting will work in conjunction with the option available on each of the consignment header check box, Non EU Consignment.
If the Non EU Consignment check box is not ticked on, in other words the consignment is an EU Intra community supply, the system will default the VAT Code from the Stock Group field - VAT Import EU.
Non EU Consignment
If the Non EU Consignment check box is ticked on, in other words the consignment is imported from outside the EU, the system will default the VAT code linked to each product Stock Group – VAT Imp. Non EU.
This option is applicable for items purchased and sold with different VAT codes including 0%, 5% or 18%. With this setting switched on, the VAT code is defaulted by the system based on the setting available on the Stock Group of each product automatically.