The procedure for recovering VAT from advances (postings). VAT on advances: postings and examples Invoice: Reflect the VAT deduction in the purchase book by the date of receipt

The restoration of VAT on advances issued is the result of its deduction and is not used very often. How to correctly recover VAT from advances? What conditions must be met in order to accept advance VAT as deduction? What entries need to be made in both cases? Let's look at all the pros and cons of VAT on advances in our article.

Is it necessary to restore tax on advances received?

When receiving an advance payment, in most cases the seller is obliged to calculate the tax on it for payment to the budget (clause 1 of Article 154 of the Tax Code of the Russian Federation), and later, when making a shipment, against this advance payment, take all or part of the amount of the tax paid from the advance tax as deductions (clause 8 Article 171 and Clause 6 Article 172 of the Tax Code of the Russian Federation). In other situations (when the advance is returned to the buyer or the overdue debt on it is written off), VAT restoration will also not be required. In the 1st case, it can be taken as a deduction on the date of return (clause 5 of Article 171 of the Tax Code of the Russian Federation), and in the 2nd case it must be written off as expenses not taken into account in the calculation of income tax.

Thus, for advances received, the picture always turns out to be the opposite of the main condition for recovery: first, the tax is calculated for payment, and then taken as a deduction or written off. That is why there will never be a situation of VAT restoration on these payments.

Conditions for deducting tax on advances issued

When calculating the tax on the advance payment received, the seller issues an invoice for it and sends 1 copy of it to the buyer. Based on this document, the buyer has the right to take into account the amount of tax allocated in it as deductions (clause 12 of article 171 of the Tax Code of the Russian Federation). Although he may not do this, since deductions are not an obligation, but are made voluntarily (clause 1 of Article 171 of the Tax Code of the Russian Federation). It is better to consolidate the taxpayer’s position regarding deductions for advances issued (whether they will be applied or not) in some document (for example, in the VAT accounting policy).

However, these 2 circumstances (payment and invoice) are not enough for the buyer to deduct it. Additional conditions for carrying out such an operation follow from other provisions of the Tax Code of the Russian Federation:

a condition on the possibility of transferring an advance payment must be included in the supply contract (clause 9 of Article 172 of the Tax Code of the Russian Federation);
The invoice for the advance payment must be dated within the 5-day period allotted for issuing such documents (clause 3 of Article 168 of the Tax Code of the Russian Federation), and have all the required details for it (clause 5.1 of Article 169 of the Tax Code of the Russian Federation).

Acceptance of deductions from the buyer will be reflected in the following posting (for each individual document):

Dt 68/2 Kt 76/VA,

Procedure for recovering VAT from advances

VAT recovery on an advance payment is made in the following situations (subclause 3, clause 3, article 170 of the Tax Code of the Russian Federation):

the delivery has been completed against which an advance payment has been made;
the supply contract is terminated or its terms are changed and in connection with this the advance payment is returned to the buyer.

Accounting entries for VAT recovery from advance payment

The VAT recovery posting will always be the same for each individual invoice:

Dt 76/VA Kt 68/2,

68/2 - subaccount for accounting for settlements with the budget for VAT on account 68;

76/VA - subaccount for accounting for VAT on advances issued in account 76.

The results of VAT recovery for specific advance invoices will vary depending on the ratio of the amount of the advance and the cost of supply associated with it:

for the first 2 cases (the amounts of the advance and delivery are the same or the amount of the advance is less than the cost of delivery), with this posting the amount of tax on the advance, listed in subaccount 76/AB, will be closed completely;
in the 3rd and 4th cases (the amount of the advance is greater than the cost of delivery or the contract contains a condition on partial offset of the advance towards payment for the supply), in subaccount 76/AB after the restoration of VAT there will be a balance of unrecovered tax.

Read about the latest changes in the document reflecting tax recovery operations in the material “Sales Book - 2019: new form” .

Pros and cons of deducting VAT on advances issued

The positive aspects of the use of such deductions occur with significant amounts of advances issued and manifest themselves as follows:

A large deduction amount can not only significantly reduce the total of the declaration drawn up for the period of its application, but also make it result in the amount of tax reimbursement from the budget.
A deduction for an advance on account of several deliveries for it is made one-time, ahead of time and in a larger amount than deductions would be made for each of the deliveries separately. At the same time, VAT restoration occurs in parts and can be extended over several tax periods.

On the positive side, there are also conditions for payment of only part of the delivery using the transferred advance payment. In this case, deductions for the advance payment issued and for the delivery document will occur earlier and will be taken in full, and the VAT restoration will be made only in part of these amounts and will be extended over time.

The following points will be negative:

increasing the volume of accounting operations and document flow;
there is no point in using deductions for advances if we are talking about small amounts and the period for transferring the advance often coincides with the period of shipment for it.

Read about the rules for issuing invoices for advance payments.

Results

The question of recovering VAT on advances paid to suppliers arises if the taxpayer takes tax deductions on invoices issued by the supplier for prepayment. The provision for advance payment must be included in the supply agreement. VAT on advances issued is recorded in a separate subaccount of account 76.

2016-12-08T14:03:45+00:00

Write to register " VAT Purchases" ensures that the issued advance is included in the purchase book.

Forming a shopping book

We create a purchase book for the 1st quarter:

And here is the received invoice for the advance payment:

We look at the final VAT refund for the 1st quarter

There were no other business transactions in the 1st quarter, which means we can safely form the “VAT Accounting Analysis”:

VAT refund for the 1st quarter was 13,728 rubles 81 kopecks:

2nd quarter

Receipt of goods

We enter into the program the receipt of goods from LLC "Supplier" on 04/01/2016 in the amount of 150,000 rubles (including VAT):

Create a new document:

The invoice from the supplier will be like this:

In the invoice received from the supplier, the amount “excluding VAT” was not highlighted as a separate line. Therefore, before filling out the tabular part, we set the tax calculation method as “VAT in total”.

We analyze the postings and movements of registers...

The previously paid advance to the supplier was credited to debit 60.01 in correspondence with credit 60.02 in the amount of 90,000 rubles.
127,118.64 (150,000 minus VAT) went to the cost of goods (to the debit of account 41.01) in correspondence with our debt to the supplier (credit 60.01).
22,881.36 went to “input” VAT, which we will accept for offset (debit 19.03) in correspondence with our debt to the supplier (credit 60.01).

An entry (with a + sign, receipt) in this register accumulates our “incoming” VAT (similar to an entry in the debit of account 19).

Register the received invoice

Together with the invoice, Supplier LLC gave us a regular invoice dated 04/01/2016 for the amount of 150,000 rubles (including VAT).

To register it, go to the newly created document “Receipt of goods” and at the very bottom:

We enter the number and date of the invoice from the supplier.
Click the "Register" button

We will not analyze in detail the wiring and movements of this texture, since we have already dealt with this in part.

We look at the VAT refund for the 2nd quarter

We again form the “Analysis of VAT accounting” (this time for the 2nd quarter):

VAT refundable for the 2nd quarter was equal to 22,881.36:

Why 22,881.36?

This is VAT on a single invoice received from a supplier in the second quarter in the amount of 150,000 (including VAT): 150,000 * 18 / 118 = 22,881.36.

But what about the already accepted VAT in the amount of 13,728.81 for the 1st quarter on an advance payment of 90,000, you ask?

And you will be absolutely right.

After all, VAT on the advance payment we took as offset in the 1st quarter must be accrued (reinstated) by us for payment in the 2nd quarter, when the goods arrived and we received a regular invoice from the supplier for the full amount.

This is exactly what the entry in the gray box in the VAT analysis report indicates to us:

Making an entry in the sales book

To restore the VAT taken as offset from the advance payment, go to the “VAT Accounting Assistant”:

In the document that opens, go to the “Recovery by Advances” tab and click the “Fill” button:

The program discovered that the advance payment, from which we offset VAT in the 1st quarter, was offset (a regular invoice document for the same buyer and agreement) in the 2nd quarter.

And now his VAT needs to be restored for payment through the sales book - otherwise we would have offset the VAT on the advance twice:

We post the document “Creating sales book entries” through the “Post and close” button:

Let's analyze the transactions and register movements of the sales book entry document...

We restore VAT from the advance issued in the 1st quarter to the debit 76.VA (VAT on advances issued) in correspondence with the credit 68.02.

VAT on advances received and advances issued is one of the tools for regulating an organization’s expenses for tax payments. To account for VAT on advances, subaccounts 76 of account are used: 76.VA - for received, 76.AB - for issued.

An organization that has paid an advance to a supplier has the right to claim for deduction the VAT paid. Necessary conditions for obtaining a VAT deduction from an advance payment:

the condition for advance payment must be clearly stated in the contract with the supplier;
the advance payment must be presented to the SF (no later than 5 days after payment).

VAT deduction is provided in the tax period when the advance was transferred. When the final payment for the delivery occurs, that is, the goods are received from the supplier under the acceptance certificate, the organization is obliged to restore the amount of VAT previously claimed for deduction.

In addition to the receipt of goods, the obligation to restore the deduction arises for the organization in the following cases:

changes in the terms of the contract;
termination of the contract and return of the advance.

VAT is restored in the same amount in which it was previously accepted for offset. If the terms of the contract determine that the delivery of goods occurs after receiving 100% advance payment, the buyer can transfer the advance in installments. In this case, the amount of VAT reflected in the SF for the supply is restored. In any case, this value coincides with the amount of VAT on all advance tax payments for this supply.

VAT on advances received

When selling products (goods, services) to the buyer, a mandatory condition may be specified in the contract - advance payment in the amount of up to 100%.

On the received advance, the organization issues a tax return and charges VAT at a rate of 18/118%. The amount of this advance is included in the sales book as accrued VAT, that is, a tax that the organization is obliged to pay to the budget.

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In practice, after issuing a SF for the advance received, 3 situations are possible:

during the advance period the sale occurred;
no sales occurred during the advance period;
return of advance payment to the buyer (termination of contract, change of conditions, etc.).

In the first case, after the shipment has been made, the selling organization has the right to present previously paid VAT on the advance received for deduction. That is, the advance SF is closed with a purchase ledger entry.

In the second case, the amount of the advance and the VAT accrued on it is reflected in the VAT return for the current period in line 070 of Section 3.

In the case of an advance refund, it is also possible to claim the VAT paid for deduction, that is, an entry is created in the purchase book. You can take advantage of the deduction within a year after termination of the contract.

In the event of liquidation of the purchasing organization before full fulfillment of the delivery conditions, if it is impossible to return the advance payment, VAT accrued upon receipt of the advance payment is not subject to deduction.

Examples of entries for accounting for VAT on advances

Example of an operation for advances received

Harmony LLC, under an agreement with the buyer Amalgama LLC, must supply a consignment of goods in the amount of 212,400 rubles, incl. VAT — 32,400 rub. 07/10/2016 "Amalgam" transfers an advance payment of 50% of the contract amount: 106,200 rubles. VAT on advance: 106,200 * 18/118 = 16,200 rub.

We reflect in the postings VAT on advances received from the buyer:

In August, Harmony ships a consignment of goods to Amalgam. Sales transactions and deduction of VAT from advances received:

Transactions on advances issued

Let's consider the same operation from the buyer's side. The accountant of Amalgama LLC will reflect VAT on advances issued by postings:

Upon receipt of the goods, the deduction of VAT on the delivery is reflected.

There are two options for VAT recovery.

Reinstatement of VAT that was paid earlier. In this case, the VAT amount is returned to the account of the payer organization.

Restoration, when the payer organization must pay the tax that the budget has submitted for reimbursement.

Both options have the same term, but the meaning is opposite. You can see the difference by analyzing the VAT on advances when we receive them and when we transfer them. When receiving an advance from a counterparty, obligations arise to pay VAT on the transferred amount. Also, the obligation to pay VAT arises from the sale of goods upon sale. A VAT refund is provided for the received advance payment upon presentation for reimbursement (recovery). When transferring an advance payment to a supplier, it is also possible to recover VAT from the specified amount; on this basis, the total amount of tax is reduced. Subsequently, after receiving the goods, you will need to transfer VAT to the budget (so that the refund does not repeat). We propose to analyze in detail how VAT is restored from the received advance payment, which was transferred by the buyer counterparty.

The program will automatically recognize the received payment as an advance payment and generate the necessary transactions:

Please note that VAT accounting transactions are created by the “Invoice” document. It can be generated either when an advance is received on the account, or through special processing at the end of the accounting period (month).

Let's create an invoice issued based on receipt to the bank account:

Let's check the wiring:

When creating the “Implementation” document, the advance payment should be generated automatically. You can check using the implementation transactions:

The “Invoice” document itself, created upon implementation, does not create any postings, but reflects the movement of VAT in other important accounting registers.

The VAT recovery process is reflected through the document “Creating purchase ledger entries”:

In this case, filling out the “Received Advances” tab in 1C occurs automatically. All amounts for received advance payments that can be submitted for VAT recovery are reflected here:

Checking the wiring:

You can track the results of routine VAT accounting operations by generating the “Sales Book” and “Purchases Book” reports:

If you go to the “Sales Book” report, then for one counterparty-buyer there will be two records reflected for the accounting period (month) for the received advance and the created sales:

If you look at the “Purchases Book” report, the same counterparty will appear here, and the entry for it will compensate for the advance payment in the sales book.

The same amount will be reflected in all entries. It follows from this that payment of VAT to the budget will be one-time. By generating the “Turnover balance sheet” report, you can check the closure of account 76. AB (VAT on advances and prepayments):

From advance payments from suppliers, VAT recovery in the 1C 8.3 program occurs in a similar way. In this case, documents must be generated in the following order:

Debiting from the current account.

Invoice for advance payment received from the supplier.

Purchase Invoice.

Invoice against delivery note.

The only difference from the previous option is that VAT is restored according to the document “Creating sales book entries”.

The document “Purchase Book” will reflect the records of the advance payment and receipt:

And in the “Sales Book” an entry about VAT restoration will be displayed:

VAT on advance payments to suppliers is accounted for in account 76.VA (VAT on advances and prepayments issued), the movement of which can be viewed in the balance sheet:

A few more nuances when VAT can be restored:

When selling products at retail (excluding VAT), intended for sale at a rate of 18%. In this case, it is necessary to restore (return to the budget) the VAT on the material used in production.

If the tax office recognizes the supplier’s “Invoice” document as invalid or lost.

There are also reverse situations when an organization can restore previously paid VAT. For reflection in the 1C program there is a standard document “VAT Restoration”:

This document, in fact, is a corrective document for the purchase book and sales book, depending on the purpose of VAT recovery. For example, the amount of recovered VAT can be written off to the expense account:

In this case, the restored VAT will be reflected in the “Sales Book” document as an entry on an additional sheet.

An amateur's cheat sheet regarding filing a VAT return (quarterly). What should you immediately remember to watch in the next quarter?

First we get all the documents from all suppliers and buyers

We do not leave “receipt of goods” and “invoices” (retail sales reports), etc. NOT posted.

We deal with suppliers for 60 contracts (invoices).

For 62, we also deal with buyers in terms of contracts (invoices).

Don’t forget to get statements from all your banks

There are spare (reserve accounts) in case one bank gets worse; you can try to transfer funds to another bank in time.
Don’t forget to download the statements there, because the commission is most likely charged, i.e. there is movement.

Suppliers count 60

60.01 D remainder = 0!
60.02 K remainder = 0 !

76.VA D remainder = 0
76.VA K = 60.02*18/118 - provided that all suppliers have issued an account for the advance. But in reality this doesn’t happen: 76.VA loan

Useful to view the status of documents - Invoices from suppliers

60 - see Purchases - Invoices from suppliers? status = Not Received!

19.3 19.4 VAT from suppliers

19.3 balance Credit = Debit = 0 - everything should be closed without balances, all debit turnovers within the quarter are equal to credit ones.

Buyers 62.01 62.02

62.01 K remainder = 0
62.02 D remainder = 0

do not forget to create sales ledger entries and create purchase ledger

Search in " VAT reporting". I have a document created by 1C itself once at the end of the quarter.

This is where interesting moments arise in accounting. In fact, VAT from the buyer’s advance payment falls into the document “formation of the purchase book”. This is how things are - it’s like you’re buying VAT.

don't forget to make a count. in advance to buyers!

1C can do this automatically. Search in " VAT reporting".

76.AB K remainder = 0
Remember the debit balance is 76.AB = 62.2*0.18/1.18.

Note: during the transition from 18% to 20%, this formula will not work.

Don't forget to check retail sales reports

We remove data from the OFD for cash registers

This means the cash register must also be verified with the OFD (there’s no escape)

We simply do an analysis of the 50th invoice - here we have Retail Revenue and Income from Customers (LEs) together. Usually the amount and the OFD data immediately agree. if it doesn’t match, we look for refunds, etc.

Note: there may be replacements for fiscal drives. Attention, you need to go through all the FN for this period)

VAT Accounting Assistant

We search for the word VAT, which may be related to the VAT check.

Let's start studying Operations / Closing a period / VAT accounting assistant.

There is also a useful summary report in 1C 8.3, see. Reports - Analysis of VAT accounting .

Invoice: Reflect the VAT deduction in the purchase book by the date of receipt

If payment and shipment (receipt) are in the same period, then everything is taken into account very simply: all my “Goods Receipts” documents in the Invoice received have the “Reflect VAT deduction in the purchase book by the date of receipt” ticked.
Those. here we immediately make entries for VAT refund (68.02) All shipments are similarly marked with “invoice issued” and accordingly there are entries (90.03

Thus, as a result, the document formation of the purchase book and sales book is almost empty.
And all sorts of advances and other evil spirits ended up there, which makes the life of an accountant bright and eventful.
The problem is that if you give up and don’t deal with the advances, then it will all come out anyway. Therefore, we are looking for algorithms for checking advances.

During the transition to VAT 20% (2018/2019)

We analyze invoice 90.03 and see if we issued invoices with VAT 18% in 1Q. 2019 - We correct it by 20%.

What is below is old nonsense, it is better not to read: What logic first tells us (or an amateur is delusional) - all options (where there are 2 periods, in one payment, in the other shipment) are divided into:

1.1 client prepayment
1.1a счф. for advance payment (76АВ
1.2 shipment of goods to the client + regular invoice (there are no postings here, but see its shipment 90.03
1.2a we cancel the SCHF. for an advance payment (occurs when creating a purchase book - oddly enough).

2.1 shipment of goods to the client
2.2 payment by the client

3.1 prepayment to the supplier
3.1a supplier to you SCHF. for advance payment (68.02 Purchases - invoice for advance payment
3.2 receipt of goods from the supplier + regular invoice (68.02
3.2a we cancel the SCHF. for advance payment (76VA

4.1 receipt of goods from the supplier (19.03
4.2 payment to the supplier

Please note that for paragraphs. 2 and 4 no SCHF is created. for advance They only appear if payment is made first.

76AB This appears as a result of creating an invoice for the advance payment. The verification algorithm is as follows: according to 62.2, we look at the total amount at the end of the period, highlight from it how much VAT there will be, and this amount is the total according to 76.AB. This is provided, of course, that all goods have the same VAT.

God, how can I check all this crap with contractors, since since 2015. Each invoice must contend with the counterparty's accounting department.

Let's look at what the document "formation of a purchase book" contains.
Attention! : the document can only be found through this path: Operations - Regular VAT reports(it is not in the log of all transactions).

acquired values 68.02
advances received 68.02

recovery on advances 76VA

First conclusions:

1. If the transaction has gone through 2 stages (shipment and payment) in full, then logically this can be seen in account 62 (there are no balances there) and, as a result, all advances are on the account. 76 of this counterparty must close, i.e. There should also be no leftovers.

2. If the client has an advance payment (there is a balance on account 62.2), then accordingly there will be a balance on account 76 in the ratio (62.2*0.18/1.18=76.AB). This is where a report on 62 with additional would be stupid. column according to the formula (62.2*0.18/1.18=76.AB).

3. If we made an advance payment to the supplier, then by law he must make an invoice. for an advance payment and send it to us, but usually this does not happen for obvious reasons: the supplier has made an SSF for himself. for an advance payment (paid VAT), but he doesn’t care about you - your problems, you need it - come for the SCHF yourself. for advance And it can also be understood - invoice documents and regular invoices are handed over with the delivery of goods, usually in boxes. If, after all, there is such a financial system. for an advance from the supplier, then it must be handled in Purchases - Invoices received - Advance invoice.

4. If there were schf. for an advance from the supplier, then after the full cycle the balance is on the account. 60 of our supplier is empty and, accordingly, the balance of 76.VA for our supplier is empty.

5. If there is a balance left in the prepayment to the supplier at 60.2, then there should also be a balance at 76.VA, in the ratio (60.2*0.18/1.18=76VA).

That's all, miracles don't happen. Everything is very simple! And by the way, having calmly spent 1 day getting to grips with the meaning of VAT charges and another 1-2 days sorting out mutual settlements with suppliers and customers, as well as re-processing documents + re-closing months 30 times, I had noticeable confidence (turning into euphoria ) that we did VAT correctly.

We reclose sequentially January, February, March through the “close month”. In the same place, see the formation of a book of purchases and sales; by the way, the creation of these documents must be controlled manually, since it has been noted that they may not be created automatically.

We prepare a VAT return for the 1st quarter. She appears in Reports - Regulated reports - list (VAT declaration). There is a sequence for filling out Sections - see the icon on the right? .

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