Important Notice for all Customers with Irish Operations:

As part of the Financial Provisions (Covid-19) (No. 2) Act 2020, the Irish government has  initiated a temporary reduction in VAT rate. As a result, from 1 September 2020, a 6-month reduction in the standard rate of VAT from 23% to 21% will apply.

In general, goods and services supplied before 1 September 2020 are liable to VAT at the rate in place at the time of supply, namely 23%. A trader supplying goods and services to private individuals should always apply the VAT rate in place at the time of supply. However, where goods and services are supplied in August 2020 by a trader who is obliged to issue a VAT invoice, and that trader issues the invoice after 31 August 2020, the rate in place in September applies, namely 21%.

The following is the process for adding a new 21% VAT rate for use from September 1st 2020 by utilising the effective date functionality in Epicor 9, 10.0, 10.1 & 10.2 versions.

STEP 1: Navigate to Financial Management > Account Receivable > Setup> Tax Type
 
Step 1: Navigate to Fin Mngt, Acc's Receivable, Setup, Tax Type
STEP 2: Select your current VAT Tax ID

Step 2: Select your current VAT Tax ID

STEP 3: Select New > New Effective Rate

Step 3: Select, New, New Effective Rate

STEP 4: Enter an effective date of 01/09/2020
STEP 5: Ensure the rate type is percentage
STEP 6: Enter 21.0 into the percentage field
STEP 7: Save the record

Step 7: Save

STEP 8: Select > New > New Effective Rate
STEP 9: Enter an effective date of 01/03/2021
STEP 10: Ensure the rate type is percentage
STEP 11: Enter 23.0 into the percentage field
STEP 12: Save the record

Step 12: Save

NOTE: This setup will mean that a rate of 21% will come into effect on 01/09/2020 and on the 01/03/2021 the effective rate of 23% will come back into affect.

NB: If you are using Epicor Vantage or Vista 8.0, the effective date option is not available. You will have to set the VAT rate manually at 01/09/2020 and back on 01/03/2021.

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