How does VAT work?

If you are VAT registered, tick We are VAT registered in Setup → Invoices and add your VAT number. Prices then include VAT and invoices show it. The rates you can pick follow your company's country.

Reports has a VAT report for any period: UK companies get the HMRC boxes 1–9, Irish companies the ROS VAT3 boxes, and other countries a summary (sales, VAT on sales, purchases, VAT on purchases, VAT to pay). Check the figures with your accountant before filing.