We are excited to announce the arrival of Automated VAT for Monthly Budgets and Forecasts. This update is designed to streamline your financial planning by automatically calculating VAT/GST based on your existing accounting data, while still offering the flexibility to make granular adjustments when needed.

Here is everything you need to know about this new functionality.

For Syft customers who use Xero and Sage, manual VAT/GST calculations for future periods are largely a thing of the past. Syft now uses the VAT settings already established per account within the accounting provider. It applies these VAT/GST rules directly to each account value during population, automatically calculating the VAT/GST for your Budget or Forecast period.

You have the option to enable Automatic VAT/GST for your Budget or Forecast. You will be prompted to select the VAT/GST payable account as part of default account selection.

A major upgrade from our previous tool is the ability to manage VAT/GST on an event-by-event basis.

When you raise a sale or expense using “Add Events”, it will automatically populate with the default VAT/GST settings for that respective account. However, you now have complete control here and can override this if you want. You can effectively apply specific VAT/GST/Sales tax rates to individual events, ensuring your forecast reflects reality accurately.

Real-world cash flow doesn't always match standard VAT/GST logic. While we use the Entity Settings to apply standard payment logic to your Budget/Forecast in terms of VAT/GST, you have the power to adjust these manually. If you know you cannot settle the entire VAT/GST payable account in one specific period, you can manually adjust the forecast to settle it over a longer timeframe (e.g., spreading the payment over the next three months).

The introduction of Automated VAT/GST for Monthly Budgets and Forecasts marks a significant step forward in simplifying and adding accuracy to your financial planning with Syft.

By automatically applying the VAT/GST rules already established in your Xero and Sage accounts, we've eliminated the tedious, error-prone work of manual calculations. This allows you to generate robust, compliance-ready forecasts faster than ever before.

But speed doesn't compromise control. With granular management via Events and the flexibility to adjust the VAT/GST Payable account manually, you have the power to fine-tune your forecast to reflect the unique complexities of your real-world cash flow and operational decisions.