What's the issue?
I am having trouble indicating that VAT is not deductible on purchase invoices created in Holded. Also, I don't know how to assign the corresponding accounting account for those non-deductible expenses.
How to solve it
1. Create a new tax and assign it to the expense account
- Go to Settings from the Control Menu
- Click on Taxes under Invoicing
- Hit the button New tax
This step will allow you to create a 21% / 10% / 4% purchase tax in Holded and assign it to the corresponding expense account within group 6. This will prevent it from defaulting to a 477 account.
- In Name, type something distinctive like Non-deductible VAT 21%, or the percentage that applies in that case
- In the dropdown under Scope, select Purchases
- Under Tax account and Tax account (refunds), select the account to apply from group 6
- Validate that the option selected under Type is Percentage
- Indicate the VAT percentage in Amount %
- Click on Show more
- Validate that the option None is selected under Tax Group
- Hit Create
2. Indicate it in your purchase invoice
- Create or edit your purchase invoice
- Add two lines under Concept
- On line 1 add the item with the deductible VAT
- On line 2 add the one with the non-deductible VAT (the tax you've created manually)
3. Verify the entry and tax data
- Go to the General ledger under Accounting
- Click on the generated entry to assess the information registered
- Go to Taxes under Analytics
- Validate the data displayed in the VAT table
- Click on Forms to review the data saved