Paying Sales Tax on Receipt of Payment rather than on invoice sent date

D_nonameD_noname Member Posts: 1
Greetings

I'm based in Ireland and using sales tax to do my VAT calculations. I'm noticing that the sales tax is calculated from when the invoice is written/sent not when it's paid. Is there anyway to change it to calculate from when the invoice is paid.

Basically I send a tax return every 2 months and sometimes the invoice hasn't been paid yet so I potentially am paying tax on money I haven't received.

Regards
Dave

Comments

  • BarsinBarsin Member, Moderator Posts: 2,041 ✭✭✭

    Hey there @D_noname

    Are you able to change your report from Accrual to Cash basis accounting? Accrual usually takes into account accounts receivable even before the deposit occurs. While Cash shows you the cash basis report on money that you've made only.

    Hope this helps!

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