VAT - Partial Exemption Calculation
Ability to have a VAT partial exemption calculation.
Purpose: Because some industries (e.g. charity) have VAT partial exemption, having this ability would save users time in calculating the VAT.
AdminXero Team
(Admin, Xero)
shared this idea
Thanks for sharing this idea. We recognise that native partial-exemption calculations are a known gap in Xero, particularly for businesses that make both taxable and exempt supplies.
We’re moving this idea to Accepted to reflect that. It isn’t currently on our roadmap, but we’ll continue to track interest and consider it as part of our longer-term planning.
In the meantime, partial-exemption adjustments can be calculated manually and entered on the VAT return.
-
Tatjana Satenevskaya
commented
I am afraid a solution offered by Hannah does not resolve PE calculations as these are just individual %ages adjustments. For industries, where there need to be a working produced to block relevant VAT claims i.e. residual
VAT based on de-minimis rate and custom proportions are always manual, therefore, this idea is critically important to ensure the VAT compliance with HMRC. -
Lynn Collins
commented
We deal with alot of medical practices with pharmacies. We cannot bring them on to Xero as the partial exemption is too complicated to do.