Sage 50cloud Payroll

Correcting a previous payroll run

Mistakes can happen or information arrives late after the payroll has been processed don’t worry in Sage 50cloud Payroll it’s easy to go back and correct things.

If you need to go back and correct a previous payroll run, the Rollback option can be used to make amendments that affect some or all your employees.

What the rollback does

When you run a rollback, these values are reset to what they were before the period your roll back to:

• Change of pay frequency
• Tax code
• NI category
• Leaving date
• YTD values
• History
• Diary entries
• Nominal link posting date
• Pension schemes

TIP: If an employee included in the rollback is receiving statutory payments, you need to check that the dates within the Absence Diary are correct, as these dates can be entered in arrears, whereas roll back will only clear up to the exact week you select.

Before you roll back

Make sure you have details of your employee’s original payments.  This will help you to calculate any adjustments after you make the correction.  To get this information, you can reprint the employee’s payslip.

If you need to reverse a nominal link posted to your Sage Accounts software as part of the rollback, you should print the Nominal Link Transaction Report (Un-Grouped) report.

Roll back your employees

1. Take a backup of your data.
2. On the Employees List select the required employees.
3. Click Tasks then click Rollback.
4. Click Next then click Next.
5. Select the earliest pay period that you want to remove.
6. Click
7. Click Next then click Finish.
8. Click Ok.

You can now process the payroll again for the employees that have been rolled back.  If you have made changes to the pay period after you have submitted your normal FPS, you need to submit the FPS adjustment to let HMRC know.

If you would like help with Roll Back or need any other help or advice with your payroll please contact us

Sage 50cloud Accounts

Preparing your EU VAT Return for One Stop Shop (OSS) and Import One Stop Shop (IOSS) – UK

The way VAT is handled for online sales from business worldwide to consumers B2C in the European Union (EU) changed on 1^st July 2021, instead of registering and paying VAT in each country you sell to, you can choose to report and pay all EU VAT through a single return using:

• One Stop Shop (OSS)
• Import One Stop Shop (IOSS)

We will explain how to run OSS/IOSS reports in Sage 50 Accounts V27.2 and above to help you produce your EU VAT Returns and how to record your VAT Liability payments when based in the UK.

When using OSS/IOSS Reporting it is recommended you also use the Foreign Trader feature to help simplify the reporting process.

How OSS/IOSS affects your UK VAT Return

When you process under the OSS or IOSS scheme, certain transactions may appear in boxes 6 and 8 of your UK VAT Return.  This does not affect how you process your UK VAT return and you submit your UK VAT returns as normal.

Run your OSS/IOSS reports

When you need to produce your quarterly OSS VAT return or your monthly IOSS VAT return, you will need to run your OSS/IOSS reports to identify the following:

• OSS / IOSS values for the return period, and
• Any corrections to the values for the previous period.

Running Reports for the Return Period

To get the values for the return, you will need to run the relevant summary report for the scheme you are using.

1. In Sage 50 Accounts, click VAT then click Reports.
2. Click OSS IOSS transactions, then select the summary report for the scheme you are using, for example, IOSS Transactions (Summary).
3. Click Preview, enter the return start and end dates and then click OK.
4. For future reference you should print or save the report, click Print or Export to do this.
5. To close the report, click Close.

It is also recommended that you follow the above steps to print or save the detailed report for your scheme for example IOSS Transactions (Detailed).  This is useful if you need to identify corrections at a later date.

Identify previous Period Corrections

When completing your return, you must also declare any corrections you have made in previous periods.  Any correction only needs to be declared once.

1. Run your summary report for the previous period you want to check.
2. Compare this to the original report you used to complete the previous return.
3. If any totals differ, run the detailed report for the previous period.
4. Compare this to the original detailed report from the previous period to identify the correction
5. If you have not already declared this correction, you should declare it on the next return for this period.

Exchange Rates

When using Foreign Trader, the report shows the values in the destination country currency.  If you need to convert your values to a different currency for your return, you should do this manually using the European Central Bank exchange rate on the last day of the reporting period.

When not using Foreign Trader, you must first manually convert foreign currency transactions to capture the value of VAT in the destination currency as at the transaction date.   Then if a further conversation is needed for your return, you should do this using the European Central Bank exchange rate on the last day of the reporting period.

Post your OSS/IOSS VAT Transfer Journals

When you post an OSS/IOSS transaction, the VAT element is not posted to your normal VAT liability nominal code.  Instead it is posted to one of the following nominal control accounts depending on the scheme you are using.

• 2205 – Union OSS Tax Control Account
• 2206 – Non-union OSS Tax Control account
• 2207 – IOSS Tax Control Accounts

Once you calculate the VAT due for your OSS/IOSS VAT Return, you must transfer that amount from the relevant control account to your VAT liability nominal code.  This shows the VAT amount due to be paid to the tax authority you have registered with for the scheme.

Note – Your VAT transfer journal must be posted in your base currency.

1. In Sage 50cloud Accounts, click Nominal codes then click journal entry.
2. In Reference, enter a reference, then in Posting Date enter the current date.
3. Enter the details to record the VAT liability transfer. For this example, we are using the IOSS scheme and have a liability of £1500.00

N/C       Name                                          Details                          T/C       Debit                Credit

2202     VAT Liability                                 IOSS VAT Liability         T9                                1500.00

2207     IOSS Tax Control Account           IOSS VAT Liability         T9        1500.00

4. Click Save then click Close.

Make your EU VAT Liability Payment

Once you make your OSS/IOSS VAT liability payment to the relevant tax authority you can record this as a bank payment.  This reflects the payment in your bank account, and also reduced the balance on your VAT liability account

1. Click Bank accounts, click Payments, then click Bank payment.
2. Complete the Bank Payments window as follows:

Bank                Date                   N/c       Details                        Net                   T/C    Tax

Bank Account    Payment Date     2202     IOSS VAT liability        1500.00             T9       0.00

3. Click Save then click Close.

If you would like help running your EU VAT return for the One Stop Shop (OSS) and Import One Stop Shop (IOSS) or  need any other help,  please contact us