VT Transaction+ does not directly calculate the tax due by a business, but clearly can provide the numbers, such as profit for the year, that are used to compute the liability.
Income Tax
Income tax on the profits of an unincorporated business (e.g. a sole trader or partnership) is normally left out of the accounts of the business, since the individuals are taxed directly through their personal taxation.
The profit and loss account and balance sheet for unincorporated businesses can be sent to the following tax packages from VT Transaction+:
•Absolute Integrated
•Absolute Software
•BTC Software - SA Solution
•Forbes - ProTax
•Legatio - Ftax
•QMS - SA2000
•PTP Software - TaxReturn
•TaxCalc
•TaxFiler
Sending data is very easy; you just have to choose the Send To Tax Package command or button.
Data is sent via the Clipboard (like copy and paste) in an agreed format called Standard Name Format (SNF).
If tax is paid out of a business bank account, the payment should be analysed to the Capital account: Drawings account.
Corporation Tax
For companies, corporation tax due on profits should be entered on a journal as follows (JRN button on the main toolbar):
Screenshot of a section of the Journal dialog
When corporation tax is then paid, the payment should be analysed as a debit to the Creditors: Corporation tax account.
