Banking and reconciliation
Recording a VAT payment to the Tax Authority
When you pay the Tax Authority your VAT liability, you need to record it to reduce your VAT liability on your balance sheet.
Assume you've made a payment of SAR 10,000 for your VAT liability to the Tax Authority. To record this payment:
- Go to
Bank transactionson the left side menu.
- Click on
Transactionson the bank account you made the payment from.
- On the transactions sheet in a new row, enter the following:
Dateyou made the payment.
Description, for example, "VAT payment for Jan-Mar 2022".
Amountpaid. Make sure you enter the amount as a negative, i.e.
-10,000, since this is money leaving the account.
Classify to account, choose
VAT is a system account
VAT account is the system account that Wafeq uses to keep track of your VAT.