VAT Reverse charge only for output tax

[former_member839523]

Hi,

Please help me on below.

We got a requirement related to reverse charge.

where we have maintained settings in ftxp created new tax code and maintained ESA -20% and ESE -100% and maintained 2 different g/l accounts for both ESA and ESE When we post reverse charge entries in fb 60 the postings are like as below

31 Vendor a/c -1000

40 Electric power 1000

50 Output vat service -200

40 Input vat service. 200

As per our user requirement the entries should look like below

31 Vendor a/c -1000

40 Electric Power 1200

50 Output Vat. 1200

Please advise on the above user requirement..

[Former Member]

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[wnash7658]

You as the "buyer" must recognise the input tax and output tax as they will balance to zero rated for reverse change. As the invoice received should show a zero tax rate. One scenario could be that the vendor has no VAT number ....