Saturday, July 8, 2017

How To Setup VAT Value Added Tax in MS Dynamics NAV 2017 ?

Dear All,

As we Know GCC countries are soon going to implement VAT Taxation System in their countries so

I just want to share some important steps for you all.

This is a summarised step and I hope it will help you out all for successful implementation and

upgrade your system to access VAT in MS Dynamics NAV 2017.

What is VAT Value Added TAX?

The Esteem Included Expense, or VAT, in the European Union is a general, comprehensively 

construct utilization impose surveyed with respect to the esteem added to merchandise and ventures.

 It applies pretty much to all products and enterprises that are purchased and sold for utilize or 

utilization in the European Union. Subsequently, merchandise which are sold for fare or 

administrations which are sold to clients abroad are regularly not subject to VAT. Then again imports 

are saddled to keep the framework reasonable for EU makers so they can contend on square with 

terms on the European market with providers arranged outside the Union. 

Esteem included duty is 


a general duty that applies, on a fundamental level, to all business exercises including the generation 

and dissemination of products and the arrangement of administrations. Be that as it may, if the yearly 

turnover of this individual is not as much as a specific point of confinement (the limit), which 

contrasts as per the Part Express, the individual does not need to charge VAT on their deals.

How to Setup VAT in MS Dynamics NAV 2017 ?

Step 1.
Create a new vendor.
Define gen. bus. posting group, VAT BUSINESS Posting Groups For Customer And Vendor
and Vendor Posting Group.
Step 2.
Create an item,Gen. Product Posting Group,Vat Product Posting Group,Inventory Posting Group.
Step 3.
Create Purchase Invoice and now Setup VAT Posting Setup,
Create new Code and define VAT & Percentage define Accounts also for sales and purchase.
Step 4.
Create a customer and define
Gen. Bus Posting Grp
VAT Bus. Posting Grp
Customer Posting Group
 Step 5.
Create a sales Invoice and post the invoice.
Step 6.
Check for VAT Entries.
Step 7.

Now check for Reporting VAT

You have to search for VAT Statement in search bar.
Create a new statement
EDIIT VAT Statement
Row No.
Setup For Sales And Purchase VAT Statement here
Now run this batch report to settle VAT amount in Chart of Accounts.
Report Name

Calc. and Post VAT Settlement

No Start Date
Enter Ending Date
Posting Date
Provide a document No.
Provide a Settlement No.
Run this report.
Step 8.

Check VAT Entries.