Net Method

In AbaNinja, you can create new billing periods under the VAT settings and select the net method as the billing method. With the net method, amounts are recorded net, without VAT. VAT is calculated and booked separately. This means that the tax amount is shown separately from the net amount and is not included in the total amount.

Benefits:
The net method allows for accurate and transparent VAT accounting, as the tax is shown separately and booked separately. This method is particularly suitable for companies that require detailed VAT accounting or have specific accounting requirements. The net method is available in AbaNinja as a paid subscription and offers enhanced control over VAT bookings.

The calculation of the tax is based on the formula:
Booking amount / (100) * tax rate

How to add a VAT period with the net method

1. Go to Settings > VAT.
2. Click on Add period.
3. Set the desired period (start and end date).
4. Select the net method as the billing method.
5. Save the settings.

Notes and tips

• The net method is only available with a paid subscription in AbaNinja.
• Once the first booking has been made in the fiscal year, the billing method is definitive. A change is only possible to the next quarter if there are no bookings in this quarter.
• With the net method, invoices are created net, and VAT is calculated and booked separately. Example: An invoice of CHF 100 is recorded net, and VAT is calculated and booked separately.
• The posting is done automatically with separate postings for the net amount and VAT, which allows for precise accounting.
• For the use of the net method, you should ensure that your accounting and trust support this method and can set it up correctly.
• When adding a VAT period, carefully define the period (start and end date) and select the net method as the billing method.