VAT Post Brexit Transition Period End

[Maxshow]

I am surprised that there has been no response to this thread this week

Clearly there are issues with the patch which needs urgent work (& communication) by Sellerdeck

[brucet]

With regard to the issues raised here:

1) We have a support ticket open for the report error. If anyone experiences this, please report it to support. This may aid our investigation, and will ensure you are kept up to date with progress.
2) SD-8338 - this occurs when an order has excess weight, and there is no shipping class that allows it. From v16.0.7 / v18.0.5 the software will show a warning in this case. It's worth checking whether you can set up your PayPal account to match the weight settings in Desktop.
3) VAT is not shown on the invoice if the percentage is zero. This was correct at the time and I'm not aware that HMRC rules have changed. I'm happy to be corrected if anyone knows differently and can point me to the new rule, in which case we will address it.
4) The tax value is a tricky one. As far as I'm aware, the tax value should be preserved when the tax point is set, but there are different events which can trigger that. For example, if you take payment with the order, the tax point is set then. But if you only pre-authorise the payment, it should be set later. The software follows some quite careful rules about this, but it's possible there is a loophole. I will investigate and try to find out more, but hopefully it's a passing issue.

I hope this helps

[Mantra]

With regard to the issues raised here:

4) The tax value is a tricky one. As far as I'm aware, the tax value should be preserved when the tax point is set, but there are different events which can trigger that. For example, if you take payment with the order, the tax point is set then. But if you only pre-authorise the payment, it should be set later. The software follows some quite careful rules about this, but it's possible there is a loophole. I will investigate and try to find out more, but hopefully it's a passing issue.

We pre-authorise and I added Croatia to the VAT 0% tax levied zone and EU shipping zone uploaded and checked a previous order from September 2020 taxed at 20% and there was no change to the previous tax levied so it appears that the tax value is preserved when the tax point is set in this case.

It would be useful to know if any other users with these settings have experienced any problem with Sellerdeck zeroing previous VAT 20% on historic orders to EU countries as I am holding off moving other EU countries into the 0% tax levied zone -V16.0.7 UNME.

[zgap111]

I see a problem with the weight field on the invoice...

We sell items by weight... the unit on sellerdeck is per kilo... the units on sellerdeck can only be an integer... therefore when we sell something eg. 12.5kg, we add 0.5kg as an adjustment...

Problem with the EU invoice... the total weight won't be right.
We would invoice 12kg + 0.5kg adjustment, and the total weight would only show 12kg

I believe there should be a weight adjustment in addition to the value that it is right now - see attached image...
or...
quantities on sellerdeck can be non-integer values... = this would mena no more working out and adding adjustments
- this one preferred as having it on the adjustment won't be associated with a commodity code... unless you have a further field for HC code in adjustments...

[marklow]

We are having a similar problem with the VAT amounts.

If we open an old EU order (shipped, paid, completed) before Brexit it recalculates the VAT down to Zero and shows excessive payment.
If we open a recent EU order (Ordered before Brexit, but shipped after Brexit) it does the same

All our orders are paid online at the time they are ordered. None are using pre authorisations. They are classic, straight forward online orders.

In trying to follow the recommendations (which could have been a bit clearer) on how to handle the new VAT rules we :-
1) Created a new Tax Zone Called 'EU Zero VAT'
2) Created a new Tax called 'EU Zero Rate' with the the percentage at 0%
3) Moved the countries out of the existing EU Tax Zone and into the new 'EU Zero Vat' zone

Is that correct?

Bruce, I don't think we can treat it as a passing issue. Whilst it wont (I don't think) affect any new orders placed at the new rate, it will mean that every old order that we even open up to look at will have have the vat amount changed. That's not something we can live with. I've now got all my EU orders placed over Christmas stuck in the system as I cant export them to sage at the VAT amounts are all now wrong and they are sitting on the pending screen showing excessive payment.

We haven't yet applied the Brexit patches as I noticed some people were having problems with it. Not sure if that's relevant or not.

Cheers,

Mark

[guccij]

Am getting an error on trying to print the new EU packing list: ODBC error: system resource exceeded.

I'd like a response to this error please.

[zgap111]

Regarding re-calculation, not a fix but may help:

If you can have multiple sites:

Since the data for us can get large and affect performance, I have yearly sites, eg. site1-2020 / site1-2019 etc...they act like backups,
- I ensure earlier ones are put on "test" mode and then remove all network details to avoid accidental download/upload to the live site.

So you can have 2020 and earlier as a site (for backup purposes), and current 2021 as the "live" site.

[brucet]

I see a problem with the weight field on the invoice...

Presumably that's with offline orders? Or have you found a way for customers to choose half kilos online?

[brucet]

1) Created a new Tax Zone Called 'EU Zero VAT'
2) Created a new Tax called 'EU Zero Rate' with the the percentage at 0%
3) Moved the countries out of the existing EU Tax Zone and into the new 'EU Zero Vat' zone

Is that correct?

That should be fine, although I think you could have just changed the tax rate for your original EU zone

[brucet]

Bruce, I don't think we can treat it as a passing issue. Whilst it wont (I don't think) affect any new orders placed at the new rate, it will mean that every old order that we even open up to look at will have have the vat amount changed.

Have you tried that? It doesn't happen on my test site, but I haven't yet tested with a whole new tax zone. I will try it.

[zgap111]

Presumably that's with offline orders? Or have you found a way for customers to choose half kilos online?

With all orders, regardless whether it's online or offline.

Well we offer items that are sold by the kilo, but in reality, the weights are never whole numbers.
- the half kilo variance you mentioned was just an example
- the variance is generally +/-10% : so 12 kilo order can be a number between 10.90kg to 13.20kg.

We can't change the quantity in Sellerdeck because the quantity there is always an integer - the 12 remains as 12

The only way round this is to add/deduct an adjustment.

So for the EU invoices : we can change the value with an adjustment, but can't change the weight.

[brucet]

With all orders, regardless whether it's online or offline

How would I go about ordering 13.2 kg of something from your website? Can you point me to a page where I can see how that is set up?

[Jax001]

We are experiencing the same problem as "marklow". We have tried both moving EU countries to a zero percent tax zone as well as also moving them to no tax levied.
In all cases if we open a previous order pre 2021 tax point. The order opens and is then stripped of VAT. Various fields change in the order table when analysed with Access and the order goes back into pending with order status excess payment received. However the tax point when looking at order status still says 2020

Out of interest what tax settings are people using. We are using Business settings/tax/advanced tax/ Exclusive of tax pricing model

You already have a snapshot of our database on a different issue relating to EU Invoice and packing list errors although this snapshot was done as a support snapshot without cust details (SDCS-55621).

[brucet]

We are experiencing the same problem as "marklow"

I've discussed this with our technical team, but it won't be possible to debug the issue via the community. Please raise tickets with support if you haven't already done so, separate from any tickets you may have raised for other issues. We will probably need snapshots in order to investigate.

[Jax001]

Hi Bruce,

Fine I will raise a further 3 support tickets tomorrow. 1 for our main site and 2 for our secondary site all with different errors.

On our main CMB site (Tax Exclusive), if you open a historical EU order (pre 2021) The following occurs:

The main fields that change in the orders tables are as follows. The caveat being this is on our sites and ids may be different on other users sites


Status N Changes to S
Shipping Tax *(amount originally charged) Changes to 0
Tax Total Cost 1 *(amount originally charged) Changes to 0
nPaymentStatus 10 (full payment received) Changes to 11 (Excess payment received)

Occasionally we are also finding field "dtax1ShippingRate" also moves from 2000 to zero but not on every order.

We have managed manually through MS Access to put the orders back to the original status, but this is a not ideal solution.
Obviously for our staff who can have queries especially about delivery sometimes look at older orders on the system, in which case each order is thrown back into pending with excess payment received.

Completed dates and Tax points do not change neither does invoice number.