Preparing for Brexit with Platinum

Summary

From January 1st 2021 the UK is leaving the EU and therefore there will be new rules coming into effect for the import and export of goods to and from the UK.

This article explains the changes we are making to Platinum to assist your business to comply with the new regulations

Please ensure you are on the latest version of Platinum as indicated by each stage

This article explains how to check your version: How do I check when I last had a Platinum update?

This article explain how to update your Platinum system: Downloading a Platinum update

More Information

Changes to Platinum are being implemented in stages. The details and planned release date of each of the stages are listed below:

Stage 1 - Commodity Codes on Parts and Units

The addition of fields to Stock Properties and Unit Properties to allow you to record the Country of Origin and Commodity Code on your stock and unit records.

Please update your Platinum system to ensure you are on version 14.12.2020 or later.

Please see How do I enter a commodity code? for instructions on how to enter the information on your stock and unit records.

If you wish to update your stock or unit records en masse please contact our sales team as this option requires a chargeable import (only available to customers with the Data Import module).

Stage 2 - Customer Changes - VAT Rates and Export flag

The addition of a customer attribute for export customers and the defaulting of EC customers to Zero Rated VAT.

Please update your Platinum system to ensure you are on version 22.12.2020 or later.

Export Attribute

A new customer attribute will be added to your Platinum system. You will need to allocate the 'Export Customer' attribute to the relevant customers. Where relevant, invoice and delivery notes will print Commodity details for Parts and Units only for customers with this attribute.

Please see Stage 3 for details on how to obtain the updated document formats.

Please see How do I assign attributes to a customer?.

If you would like to apply the Export attribute to all EC customers en masse (only available to customers with the Data Import module) please Contact your Platinum dealer or our sales team on 0116 230 1500 or by using our website sales contact page to request a chargeable import.

VAT Rate

You will need to check your existing customer database to ensure that relevant EC customers are correctly categorised as Zero Rated for VAT.

Prior to January 1st 2021, unless you had a customer's VAT Registration Number, VAT at the prevailing UK rate would be applied to customer transactions.

To produce a list of all EC customers please go to " Reports & Settings Reports Accounts Report Generator"

Enter 'ECV' and click [Search].
Select 'EC Customer Settings' and click [Start].
Press [F2] to print the list or change the view in the bottom left hand of your screen from 'Document' to 'Table'.
- Press <Ctrl+P> and select [Excel].

Check your customer list to ensure the country code shown is still correct.

Those marked as 'Check Account' should be reviewed as their VAT rate is not currently set to be Zero Rated but they are in a current EC Member country.
The customer VAT Rate can be set on the [Invoicing] tab of the customer account. See this article: Customer details.

If you would like to change all EC customers en masse (only available to customers with the Data Import module) please Contact your Platinum dealer or our sales team on 0116 230 1500 or by using our website sales contact page to request a chargeable import.

From 1st January; newly created EC customers will automatically have their VAT Rate defaulted to Vat Rate 2 - Zero Rated. You must be on the latest version of Platinum for this change to be implemented.

If you have work in progress for a customer as of December 31st 2020, e.g. a workshop job with parts booked to it, a unit sales order or an uninvoiced parts quote or order, the VAT Rate applicable to the customer at the time the goods were added to the order will be applied when you raise the invoice. You are advised to check your document carefully before producing the final invoice.

If you charge VAT in error please see this article for how to credit the VAT element of an invoice.

Customer EORI Number & Incoterms

From Platinum version 11th April 2021 a customer EORI number and their default Incoterms can be recorded in dedicated fields on the customer account within the [Invoicing] tab.

Prior to this date we advise you to use the fifth Notes line within the [Detail] tab of the customer account to record their EORI number using the steps below:

Go to " Reports & Settings Maintenance Options System Administrator Platinum Settings".
Enter 'notes prompt' at "Search on".
Select the "Customer notes prompt" to edit and click [Edit].
Enter 'EORI No.' then click [OK].
Click [Done] and [Accept].

Within the customer account, enter their EORI number in the "notes" field alongside the 'EORI No.' prompt.

You should also enter your company EORI number/s into the header details on your print records. This will ensure it prints at the top of your document. See How do I add header and/or footer text to documents? for instructions. Make sure you enter this information into each print record you print through e.g. 01, 90, 91, 92 and any others you may use.

Stage 3 - Document Changes

The addition of the facility to print Commodity information on documents.

Additional fields have been made available to allow Commodity details to be printed on the following document formats:

Stock Control Full Invoice, Credit Note, Quotation and Delivery Note.

Due to their limited size commodity details will not be available for Slip Print receipts.

Sales Order Processing Full Invoice, Credit Note, Pro Forma, Confirmation and Delivery Note.
Unit Sales Quotation, Sales Order and Invoice.
Workshop Full Invoice, Credit Note and Quotation.

Please notes these are not automatically added to your existing documents. Please follow the steps below:

You must make sure your Platinum system is on version 04.01.2021 or later to allow your system to have the capability to print the new information.
You should then Contact your Platinum dealer or our support team on 0116 230 1500 or by using our website support contact page to advise us that you require the new formats adding to your system.

Please note these formats will replace your existing document formats.

If you have bespoke documents there will be additional charges to amend your own formats to include the new fields for Country of Origin, Commodity Code, Weight and Total Weight. Please Contact your Platinum dealer or our sales team on 0116 230 1500 or by using our website sales contact page for more information.

Stage 4 - Postponed VAT Accounting

Full VAT submissions from 1st January 2021 are to be submitted under the new regulations. You must update your Platinum system to ensure your VAT return includes the changes.

Please ensure you are on version 11.4.2021 or later.

You should continue you post your EC supplier invoices/credits onto Platinum as usual. When submitting your VAT Return you will need to calculate and enter an adjustment to account for the estimated/actual PVA VAT amount. Please see How do I run the VAT 100 report?.

You may need to create new Purchase centres and Nominal centres to account for any import charges from couriers/shippers.

If you wish to journal these fees please see this article and take care to correctly categorise the VAT element of the posting.

C79 Import VAT Notice

If you or your courier pay VAT on Imports at the border and therefore receive a C79 Import VAT Notice please seek advice from your accountant as to how to validate the values on the C79 and for advice on when to claim the import VAT.

Interim Adjustments

If your VAT frequency requires you to make a return under the new regulations, prior to April 2021, you will need to adjust the VAT return to exclude postings for EC countries from boxes 2, 4, 8 & 9.

This can be done by posting an invoice and credit using Sales Ledger/Purchase Ledger postings. See below:

Calculate the nett amount for your sales/purchases to/from EC customers/suppliers.
- Go into the VAT return for the period and click the 3 dots alongside Box 2, 8 and 9.
- Once on screen press <Ctrl+P> and select [Excel].
- The VAT Reg number, Country and EC Member columns will guide you to the transactions you need to consider.
Create a single EC customer and supplier account e.g. 'VAT001 - VAT Adjustments'.
Set the country as any EC country and enter a VAT Reg number of 99999999
Post a single Credit/Invoice at Vat Rate 2 for the nett amount you have calculated to be adjusted from the VAT return i.e. to reverse the values currently being reported in the VAT return.
Use the date as the document number e.g. 010121
If posting a Credit, click [OK] when asked if you wish to post an unallocated credit.
Use the last date of the VAT period for the posting and enter a comment of EC VAT Adjust.
Create a single Sales/Purchase Centre and link it to nominal centre 'Z990 - Suspense Account'.
Save the posting.
Create a single GB customer and supplier account.
Make sure the VAT Reg number is blank.
Post a single Credit/Invoice at Vat Rate 2 for the nett amount using the opposite transaction from the previous steps.
Use the date as the document number e.g. 010121
If posting a Credit, click [OK] when asked if you wish to post an unallocated credit.
Use the last date of the VAT period for the posting and enter a comment of EC VAT Adjust.
Use the newly created Sales/Purchase Centre for the posting.
Save the posting.
On each account pay off the transactions in full using Receipts/Payments with the last date of the VAT period as the date of payment. Enter 'Z990 - Suspense' as the payment centre.

FAQs

Q. Can I apply commodity codes to a range of items in one go?
A. Currently there is no option to apply codes en masse. This option will be added in the future and will be chargeable. Please Contact your Platinum dealer or our sales team on 0116 230 1500 or by using our website sales contact page for more information.

Q. Can I update my EC Customer records from a file?
A. You are advised to print the report as described above. You can then ensure you have personally checked the records, for customers you export goods to, are set up correctly under the new trading terms. Please Contact your Platinum dealer or our sales team on 0116 230 1500 or by using our website sales contact page if you wish to discuss a chargeable import to update the records.

Q. How do I ensure my documents will print the new fields?
A. Please contact our support team on 0116 230155 or email support@catalyst-uk.com to advise that you need this ability adding to your system. We will have some standard layouts which we can load onto your system for you. If you have bespoke documents please Contact your Platinum dealer or our sales team on 0116 230 1500 or by using our website sales contact page for more information as changes may be chargeable.

Q. How do I record additional charges on an invoice and Incoterms e.g. Freight or Insurance?
A. These items should be added as a non-moving part. Please see How do I Create Non-Moving Items?

Q. Can I print a list of items and units by Commodity Code?
A. This facility, along with a sales report, will become available in a future release of Platinum.

Q. Can I print packing information on a delivery note?
A. As listed in Stage 3, there will be some standard formats which will print weight and total weight on them. There is currently no facility to print packaging information on documents. Further developments may follow in the future. If you have specific requirements please Contact your Platinum dealer or our sales team on 0116 230 1500 or by using our website sales contact page to discuss the charges for additional changes.

Preparing for Brexit with Platinum

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