Next steps after conversion to Sage Accounting
We try to make your conversion as comprehensive as possible, aiming to save you as much time as we can. However, there are some things that we are not able to do because of limitations in the software process we use.
This means that there will be some post-conversion tasks that you will need to perform and this document is provided as a guide to completing these tasks. The post-conversion tasks should be done as soon as possible after the conversion. If you encounter problems or think something might not be right please refer to our troubleshooting page.
These are the tasks you will need to perform post-conversion:
Clean up VAT
We do not set your VAT number and return periods. This is something that you will want to correct before completing your next VAT return.
Go to Settings > Financial Settings > Accounting Dates & VAT
You can now set your VAT details as required.
File the most recent VAT period you’ve already submitted to HMRC. Sage will then be able to recognise any future transactions entered that are dated back into historical VAT period as “late” claims. These should then automatically be included in the next VAT Return.
Click the Reports menu and select VAT Return. If asked to authenticate for MTD choose not to do this. You will be able to do this at a later date once you’ve indicated to Sage that the a return has already been submitted
Pick the date for the most recently submitted VAT Return. Calculate the Return to show the appropriate details.
Sage Accounting will display if there’s any transactions prior to the calculated VAT Return that haven’t already been included in a VAT Return. Choose “Now – Include them on this return.”.
Now, choose Submit to HMRC by other means and then click Save.
If the payment for this return period has already been made within the conversion period then it will already have been converted. You will then need to leave this VAT return unpaid in Sage Accounting so as not to duplicate payments.
If the return has not already been paid in the conversion period you will be able to apply the payment without creating any duplicate. You may need to leave the return partially unpaid or enter a separate transaction to record any payment over the return amount.
You can then authenticate for MTD from the bottom of the Settings > Financial Settings > Accounting rates and VAT page
Note also that when preparing your first VAT Return in Sage Accounting, it won’t include any unfiled “late” claims relating to prior periods and may be incorrect if we’d had to use some workarounds. We recommend you carefully check the figures in this first VAT Return. If the figures provided by Sage Accounting are different to those you need to file with HMRC you may need to submit an adjusted VAT Return direct to HMRC. This should only affect the first VAT Return to be submitted to HMRC. Subsequent VAT Returns should not require any manual adjustments. To read more about why VAT Returns may be different for the same period in the old and new software please click here.
Tidy foreign currency (if applicable)
The recommendations below may not always be required or optimal for your user case. Please read them carefully and consider if they are relevant to you before attempting to apply them.
All bank accounts will be in base currency so create new foreign currency bank accounts. You’ll need to have setup Multicurrency from the Advanced Settings. Once the currencies are added, add the bank account.
Once you have the new foreign currency account you may wish to transfer the GBP balance into the new foreign currency account. Do this by navigating to the plus (+) icon in the top right and selecting Funds Transfer. Enter the date to be the same as the “convert to” date selected for the conversion. Apply an exchange rate such that the GBP account will be emptied and the deposit in the foreign currency account will reflect the correct foreign currency amount.
If you have any outstanding foreign currency invoices or bills at your convert to date, then these will also have been converted at their GBP equivalent value. You may wish to edit (or void / delete then re-enter) these to correctly reflect the foreign currency values owed or owing. To edit them you’ll first need to create a new contact and whilst doing so choose the appropriate currency in the payment and billing tab. You can then edit the invoice or bill contact and amount to be the newly created foreign currency contact and foreign currency amount. For further details on doing this click here.