VAT Rate Increase - How This Impacts You At Wizard
During his February budget speech, the Minister of Finance announced an increase in the VAT rate to 15% effective 1 April 2018.
This announcement has implications for all businesses and necessitates that changes be made to accounting systems and websites to comply with the new VAT rate.
In order to ensure that we implement the new VAT rate correctly and per the law, the following will need to take place:
- At 6pm on the 29th of March 2018, we will stop processing sales orders. Therefore any orders not received by us by 6pm will only be invoiced in April and your invoice will therefore reflect a VAT charge of 15%.
- At 6pm on the 29th of March 2018, we will temporarily halt online ordering on our website. Clients will still be able to view stock availability during this time.
- During the course of the long weekend, from the 30th of March 2018 to the 2nd of April 2018 (inclusive), our IT consultants will be updating the configuration settings in our ERP System, Website and Accounting Software in order to ensure that when we resume trade on Tuesday the 3rd of April 2018, the correct VAT rate (15%) will be charged.
- At 8am on the 3rd of April 2018, our systems will be back online, and trading will resume.
It should be noted that any credit notes issued after the new VAT rate comes into effect, relating to invoices prior to 1 April 2018, will be credited at the original 14% VAT rate.
If you have any questions arising from the above, please feel free to email email@example.com