In some countries, under certain conditions, companies can apply the cash basis. The cash basis means businesses may account for VAT as payment comes in from their customers. It is easier to manage than the normal method, which forces businesses to account for VAT based on invoices issued, regardless of whether or not the money has come in. The key advantage to accounting for VAT on a cash basis is the cashflow benefit to your business. The effect of the cash basis is that you only become liable for VAT when you have actually received payment, so you don't have to fund the VAT on your debtors. This is particularly helpful in a startup situation and in the case of an expanding business.
This module gathers all the basic functionalities that allow to handle the cash basis.