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Seahorse
03-05-2007, 11:26 AM
Sorry if Ive already asked this.
I was talking to my dad about what 'documentation' I send customers, and I said I have a receipt duplicate book,he said I needed an invoice as well for their own paperwork records.
I queried this as I said nobody nowadays waits for an invoice to be delivered(by post) and then they sent payment etc.
Basically I can see that invoices are a good idea but are they necessary?

icecreamgirl
03-05-2007, 11:28 AM
I would say no they aren't necessary.
I think people will ask if they need an invoice for their own paperwork.

candles by lisa
03-05-2007, 12:02 PM
I would say as long as there was some form of paperwork you would be okay.

Business are different, they will always want an invoice to be able to submit to the IR at the end of the year.

Cheers.

Lisa

0103media
03-05-2007, 12:44 PM
If you are running a website and use a 3rd party bank e.g. google/paypal it creates these for you..

How and why?
Well someone actually buys your items from paypal and then you can withdraw that money from them..

One of the reason I use paypal and alike for lots of sites is that you don't need to create invoice..

Hope that helps.

Seahorse
03-05-2007, 12:56 PM
Thats what I was trying to say to my dad, the email re the purchase is the invoice(ive eve looked at some of mine and noticed it says 'invoice' on it.
But my dad knows more than me so I thought id look into it.Il let him know..

Thanks all

candles by lisa
03-05-2007, 01:20 PM
Yep Paypal gives invoices and delivery notes so covers you for pretty much all events.

Cheers.

Lisa

Tip Top
03-05-2007, 01:43 PM
If you are using Paypal to create invoices for your sales, make sure you regularly download all your records (say once a month) - they download in excel format so you can keep a track of all payments in and out of your paypal account.

Keeps the tax man happy!:mf:

0103media
03-05-2007, 01:57 PM
If you are using Paypal to create invoices for your sales, make sure you regularly download all your records (say once a month) - they download in excel format so you can keep a track of all payments in and out of your paypal account.

Keeps the tax man happy!:mf:

Yep..

Its sends you a email for all transaction too..

My first year I printed off all the emails of all the transactions and my account said there is no need.. The excel is fine as long as you can get hold of the full transaction details if needed..

This year it was a 9 page excel sheet vs about 300 pages lol.. My accountant was happy :D hehehe..

Seahorse
03-05-2007, 02:17 PM
But..if for example..I didnt have a printer..had no idea what this excel thingy is ....and was generally thick, could I just keep the emails as a record and/or write down each transaction in some kind of account log?

0103media
03-05-2007, 02:31 PM
write down each transaction in some kind of account log?

Same thing..

But with excel it take 1 click for the entire year..

no writing.. :D

Seahorse
03-05-2007, 03:20 PM
Same thing..

But with excel it take 1 click for the entire year..

no writing.. :D

But I like writing, I had my quill sharpened and my ink refilled only the other day.

hehe, thanks.

Potter Doodle Doo
03-05-2007, 06:47 PM
Hi,

My husband is an accountant and I asked the question to him for you.

If you are VAT registered then you must provide your customers with a VAT invoice so that they can reclaim the VAT (of course they can only claim back if they are VAT registered too). Copies of these must be kept for several years and be available for inspection if required. They can be stored electronically, however do remember that occasionally computers can crash, therefore it's always wise to back up accounting information on a regular basis.

If you are not VAT registered, then you do not have to provide an invoice. You're not actually obliged to provide a receipt, however this is beneficial to both you and your customers.

Your accounts can be kept either electronically or manually. There's no right or wrong on that one, it's just a matter of personal choice. I think with the computer age however more and more are switching to electronic methods. A simple excel spreadsheet is sufficient for this to show all your business income and expenditures. It is simple to set up, if you want to use this and are having difficulty, let me know and I'll try and help.

Hope this is of some help to you.

0103media
03-05-2007, 06:59 PM
ooo.. yeh sorry forgot about how its different if your VAT reg..

Good point.. have some rep :D

Seahorse
04-05-2007, 09:57 AM
Thanks for the info.

Seahorse
16-05-2007, 03:14 PM
Got myself a small duplicate vat book, not much detail but should be sufficient.

mjbelkin
16-05-2007, 03:20 PM
The main thing really is to have consistent records.

A duplicate receipt/invoice book is often useful, but depending on your business status it will depend how much info needs to go on it.

If you're VAT registered, then you need to state your VAT number, the tax point (usually the same as the invoice date), the VAT rate, and if it contains items at different VAT rates, then these need to be shown too.

If you've got a Limited Company (or an LLP), then you need to show the Company number and the registered office address.

swirlyarts
16-05-2007, 04:40 PM
We have little slips with the VAT number on and registered office etc. What is the tax point? I haven't put that on any invoices yet!!

mjbelkin
16-05-2007, 06:00 PM
There are certain situations where the 'tax point' is a different date to the 'invoice date' - its to do with delaying when the VAT is due to HM R&C.

Just make sure that you do write the date on all receipts invoices you issue, and make sure they have "date and tax point" on them - this way, you're covered :D