VAT Changes for Pegasus Opera Users

What are the  VAT changes?

The standard rate of VAT will increased from 17.5% to 20% on Tuesday 4th January 2011. This increase in VAT affects any VAT registered business that sells or purchases goods or services that are subject to the standard rate of VAT. For any sales of standard-rated goods or services that are made on or after this date, you must charge VAT at the new rate.

The change only applies to the standard VAT rate. There are no changes to sales that are zero-rated or reduced-rated for VAT. Similarly, there are no changes to the VAT exemptions.

For more information on the VAT changes visit HMRC website:
http://www.hmrc.gov.uk/vat/forms-rates/rates/rate-increase.htm

How does this affect Pegasus Products?

Opera 3 and Opera II

For customers using Opera 3 V.1.00 and Opera II V.6.72 or higher, you have the ability to change the rate manually in the software, quickly and easily. This includes the ability for a Sales Order to be raised at one VAT rate and delivered/invoiced at another VAT rate without the need to change any underlying data. A VAT utility is not required.

In System Maintenance, users can go to the VAT processing form and find the relevant standard VAT code for Sales and Purchase and make the following changes:

Rate 1: 17.5%
Date 1: 01/01/10
Rate 2: 20.00%
Date 2: 04/01/11

If you are running an Opera II version lower than V.6.72 you do not have the ability to change the rate manually so if you have un-invoiced Sales Orders at the time of the VAT rate change, you will be required to upgrade to the latest version of Opera. Upgrading Opera will give you other benefits such as patches for previously reported issues and added enhancements since your release. If however you do not want to upgrade your system we can offer a VAT utility which you can use to make the changes for a one off admin charge of £25.00 + VAT.

Opera

As of 30th September 2010, Pegasus ceased supporting and maintaining Opera, therefore Opera customers need to move to Opera 3 V.1.00 or the latest release of Opera II V.6.83 to make the change.

Capital Gold Accounts

Capital Gold Accounts customers will be required to upgrade to the latest release of Capital Gold Accounts V.3.70 which supports the forthcoming VAT increase. In addition, any of your customers with any orders raised prior to the VAT change that are to be invoiced after the increase will also need to run the VAT utility included on the CD. A new activation key is required for this upgrade.

If you have any questions or queries please do not hesitate to contact a member of the Pegasus team on 01902 578300 or by email; pegasus@tecman.co.uk

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