Updates to the VAT / Sales Tax invoicing system

We need to make the VAT charging system more flexible.
In other countries they call it various names like Sales Tax and charge it in different ways.

1) We need to add ability to change VAT rate on a specific charging line entry with default set from global settings. So for example VAT is not technically due on Parking. We need to be able to have a switch on the quote and on the invoice to take the VAT off this item or any other line item.

2) VAT is not always due for the whole amount on some items. So, for example on the labour under some circumstances, VAT is only due on the profit. So for example, the painter charges you £10 per hour and you bill the customer £15 per hour and the VAT payable is actually on the £5 profit or 20% of £5 = £1. This is only valid in some exceptional circumstances but we need to be able to cope with it.

We need to think about how this will be displayed in the invoice.
I have attached an example below

LT Invoice


So basically, the invoice is showing what the line item cost to the company and what it is being sold at to the customer for. I think this information could be taken from the quote itself and we should probably make this a part of the project called ‘Quote to invoice’. Basically, where we need a drop down button selection in the quote and in the charges section to just turn the quote into a detailed invoice.

Written By

Adrian Portsmouth