In VAT Posting Setup, create combinations of VAT Business Posting Groups and VAT Product Posting Groups.
Assign the correct VAT/Tax Percentage based on the applicable tax rate for that combination. Note: The VAT% field must always be set to 0 (zero).
In the same VAT Posting Setup table, you must assign the correct G/L Accounts for:
- Sales VAT Account: The account where output VAT is posted for sales.
- Purchase VAT Account: The account where input VAT is posted for purchases.
