The SAP add-on extracts all the relevant VAT return data from Standard SAP to calculate the nine boxes of the VAT return:

  • The add-on transforms the VAT accounting data into final numbers of the nine boxes of the VAT return in a legally required JSON format.
  • The add-on developed and approved by HMRC generates the JSON file automatically, and the Client can submit the VAT return to HMRC and retrieve liability and payments reports.
  • Functionality for effective and efficient management of VAT in SAP is possible via the SAP add-on Cockpit.
  • The SAP add-ons support all HMRC’s APIs.
  • In the cockpit of the SAP add-on, manual adjustments or relevant VAT data can be added. The add-on can display these changes made and therefore contains audit trail functionality. In the add-on and standard VAT controls to test whether the source data contains VAT errors.
  • All information is available in SAP or can be archived on a local server. The Client can provide quickly to HMRC when HMRC requests that data for tax audit purposes. Starting April 1, 2021, when it becomes mandatory, the Client can submit the underlying VAT accounting data. The underlying digital VAT accountancy data is available in the cockpit and can be sent in a JSON file when the tax authorities request that information.
  • Manual corrections in the add-on with an audit trail of the VAT result, i.e., easy to follow initial results +/- modifications to final VAT result. The digital accountancy data is archived in SAP and can be stored on a local server.
  • Reconciliation of VAT result and GL balance on VAT accounts
  • Reconciliation VAT results and other reports if applicable, e.g., VIES, Intrastat, etc.
  • Linkage with clients existing calculation files if applicable or requested
  • Any enhancement based on the Client’s requirements is feasible as the add-on can be tailored based on client demands.

Source: KGT