The unit is designed to develop students’ skills in preparing and submitting returns to the relevant tax authority in situations where the transactions that have to be included are relatively routine. This unit provides students with the knowledge and skills that they need to keep their employers and clients compliant with the laws and practices that apply to the indirect taxation of sales and purchases.
Students will learn about VAT legislation and the importance of maintaining their technical knowledge through monitoring updates. Students will be taught how to complete VAT returns accurately and must understand the implications of failing to do so. Inaccuracy and omission, late submission of returns and late payment or non-payment of VAT need to be understood in terms of the sanctions and penalties that are available to the relevant tax authority. In particular, students will learn how to calculate the VAT value correctly in different circumstances, verify the calculations of the submitted return and correctly use an accounting system to extract relevant data for the return. Students will learn about how to deal with errors made in previous VAT returns and how and when these errors are corrected. They will also learn about communicating VAT matters to relevant individuals and organisations, including the special rules that apply when goods and services are imported into and exported out of the UK and the European Union (EU).
- Understand and apply VAT legislation requirements
- Accurately complete VAT returns and submit them in a timely manner
- Understand the implications for the business of errors, omissions and late filing and payment
- Report VAT-related information within the organisation in accordance with regulatory and organisational requirement