If you claim VAT on petrol for both business and personal use, the Net cost of the petrol, as well as the VAT, needs to show in your VAT reports and account. You can make this adjusting entry by entering a zero transaction in the bank account.
To enter a fuel scale charge:
- Choose Category and Transfer List from the List menu.
- Create a new Expense category called VAT Scale.
- Choose the Account List from the List menu and open your Current account. Start a new transaction with the date as the date of the Fuel Scale Charge Entry.
- Enter the Payee name as Fuel Scale Charge and Choose the Split button.
- On the first line of the splits enter the category as VAT Scale. If the Fuel Scale required was £17.50 then the Net figure would be £100 and the gross £117.50. Enter S in the VAT code column and £100 in the Net Amount column. This will calculate VAT as £17.50.
- On the second line of the splits enter the category as VAT Scale. Leave the VAT code blank and enter -£100 in the Net Amount column. The Net must be the same as the figure on line one but negative.
- On line three of the splits enter the category Motor:Petrol and put -£17.50 in the Net Amount column. The Splits screen should have a transaction total of £0.00 so that it will not effect the Bank account balance.
- Click OK on the splits screen. Quicken will ask you if this transaction is a Payment or a Deposit. Click Deposit. This will take you back to the register. Click Record
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