If your Subcontractor is VAT registered then they may charge you VAT which you need to pay but should not include on your CIS 300 or CIS Statements.
Click 'Employees' in the main menu and click on your Subcontractor.
Under the 'Employment' tab you'll see a checkbox to say that they are VAT registered.
Once that is ticked you can set the VAT rate. Once you've set this you should update the record.
Whenever you create a pay run that included a VAT registered Subcontractor we will automatically calculate the VAT amount based on the settings you just made.
If you make any changes to the amount the Subcontractor is paid then the VAT amount will be automatically updated.
There may be occasions when you want to override the amount we've calculated and manually set the amount.
Click on the relevant entry in the list under the Payroll menu to edit the payslip.
Click on the line that shows the VAT amount. You'll see you have the option to manually provide a VAT amount.
If you do manually set an amount then it'll no longer be automatically updated when you make changes.
On the next pay run it'll be automatically calculated and you can follow this process again to change it if you need to.