Start with VAT/ICP declarations in Profit for the first time

If you are starting out with VAT/ICP declarations in Profit for the first time, we recommend you first create one or more annual supplementations up until the year in which you want to start and to create a dummy declaration for the last period before the desired start period. The VAT entries of the preceding years then go to the annual supplementations. The dummy declaration gets all entries up until and including that period.

You create dummy declarations from the last period of the preceding year (the year preceding the year in which you want to start sending the declaration) through the period declaration you have already submitted to the Tax Authority.

These dummy declarations will include all old entries (for example, ICP) to ensure they do not contaminate the first real declaration. If you do not create a dummy declaration first, the first VAT declaration will also contain all historical data from past years (periods) originating from before this declaration.

Make sure that as many financial entries as possible have been recorded in Profit before you add the annual supplementation and dummy declarations.

You must finalise these annual supplementations and dummy declarations, but you do not send them to the tax authority (meaning you do not have to prepare them).

After that, the first real declaration can be created.

Example:

You want to start with the VAT/ICP declarations in January 2014. To get a correct declaration, you first create an annual supplementation up until 2014. The VAT entries of the preceding years are included in the annual supplementations. You have to finalise these, but suppress their sending (convert status). You then first have to add the declarations (VAT and ICP) in the old year (2013) that will hold the historical data. You must finalise the dummy declaration, but you do not send it to the Tax Authority. After that, you add the declaration for the 2014 period.

To add a dummy VAT/ICP declaration and finalise it for starting in Profit:

In this example you add an annual supplementation from 2013 and a dummy VAT declaration for Period 12, Year 2013 to start with the VAT/ICP declarations in January 2014.

1. Go to:Financial / VAT/ICP / VAT/ICP-declaration.
2. Click on the action:Annual supplement.
3. Add the annual supplementation running up until the year in which you want to start, in this example up until 2014.

   The annual supplementation is not final yet. In the view, you see that the Permanent check box is not selected. You can still change or delete a provisional declaration, but not a finalised one.

4. Finalise this annual supplementation and suppress sending it by converting the status using the Suppress supplementary declaration action. You do NOT send this annual supplementation to the Tax Authority.
5. Go to: Financial / VAT/ICP / VAT/ICP-declaration.
6. Click on: New.

   When you add a VAT/ICP declaration for the first time, you create a dummy declaration for the period before the actual first declaration period you want to start with. If you do not do this, the first VAT/ICP declaration will also contain all historical data from past years (periods) originating from before this declaration.

   The period for which you create a dummy declaration must be the last period before the required start period, for example, Period 12, Year 2013.

   This VAT/ICP declaration is a provisional declaration which is not final yet.

7. Check this dummy VAT/ICP-declaration.
8. Finalise the declaration.
9. You do NOT send this dummy declaration to the Tax Authority. That means that you do NOT Prepare this dummy declaration.
10. You can now create the first real VAT/ICP declaration.