How to Create VAT in Swiftly Workspace
Step 1: Accessing the VAT Configuration
Let’s begin by opening Swiftly Workspace.
From the homepage:
Click on Configuration
Then select Master Data Management
A new window will appear.
Scroll to the ITEMS section and click on VAT.
This is where you define the VAT settings that apply to your sales and purchases based on location, tax rate, and applicable exemptions.
Step 2: Understanding the Purpose of VAT Configuration
VAT (Value Added Tax) is applied to goods and services depending on the customer's or supplier’s location and the nature of the transaction.
Configuring VAT in Swiftly Workspace allows you to:
Automatically apply the correct tax rate in sales and purchase transactions
Stay compliant with local tax regulations
Support exemptions or zero-rated transactions using VAT free reasons
Simplify tax reporting and calculations
Each VAT entry can be customized by country, rate, and exemption logic.
Step 3: Creating a VAT Record
To add a new VAT record:
Click the “+” button in the top-right corner
Fill out the following fields:
Country
Select the country to which the VAT applies. This ensures the rate is only applied when the transaction involves that country.
Percentage
Enter the VAT rate as a percentage.
Examples:
0.00% for exempt transactions
6.00% or 21.00% for standard EU VAT rates
VAT
Enter a descriptive name or code for the VAT setting (e.g., VAT_BE_6% for Belgium 6%).
This label will appear in drop-downs and tax settings across the platform.
VAT Free Reason (optional)
Select or define a VAT Free Reason if this rate is 0%.
Examples:
Intra-community supply
Non-profit exemption
Export outside EU
This reason provides traceability and documentation for tax-exempt transactions.
Use the Active toggle to enable or disable the VAT setting
Only active VAT rates will be available for use in transactions.
Step 4: Example Setup
Let’s create a VAT record for Belgium’s standard 21% VAT:
Country: Belgium
Percentage: 21.00
VAT: VAT_BE_21%
VAT Free Reason: (Leave blank — this is a taxable rate)
Toggle Active ON
This setup ensures that all taxable transactions involving Belgium will automatically apply a 21% VAT rate.
Click Save to store your VAT configuration.
Step 5: Editing or Deactivating VAT Records
To modify an existing VAT entry:
Click on the VAT name to open the detail view
From here, you can:
Adjust the percentage
Update the VAT name
Change the VAT Free Reason if needed
Toggle the Active status
You may want to deactivate VAT rates that are no longer applicable due to tax law changes.
Click Save or Save & Close to confirm your updates.
Step 6: Applying VAT in Transactions
Once configured, VAT entries are used automatically in:
Sales orders
Invoices
Supplier purchases
Tax reports and audit trails
Swiftly Workspace will match the country and VAT rules to apply the correct rate or exemption — reducing manual errors and ensuring compliance.
You’ve now successfully:
Created and activated VAT records
Assigned country-specific tax rates
Linked VAT-free reasons to 0% rates
Applied VAT configurations across customer and supplier transactions
