Source VAT and FRS liability are different figures
An invoice can carry normal VAT rates for the customer while the amount payable under the Flat Rate Scheme is calculated using the client's configured FRS percentage and turnover rules. Balansix keeps those concepts separate so source VAT remains evidence rather than becoming the FRS liability.
Invoice or cash workflow
Use the configured FRS invoice or cash workflow for Document-Led clients. Bank-Led operates from cash/bank activity and therefore uses the cash-turnover route. Do not manually convert a Bank-Led client into an invoice-led workflow for FRS.
Capital-goods input VAT review
Ordinary FRS input VAT is not treated like Standard VAT. Where a qualifying capital-goods input VAT claim may be available, Balansix can surface the item for explicit review rather than applying a routine input-VAT assumption.
VAT control and posting
The prepared return and FRS liability posting should agree to the VAT control position. If the control does not reconcile, investigate source turnover, period selection, return status and any capital-goods decision before finalising the return.