Frequently Asked Questions

Question 1.  Can I log into my computer and my phone at the same time using the same licence?

YES: You can log into multiple devices at the same time using the same licence / username.

Question 2.   If I update information on my phone, will it update my computer and visa versa?

YES: The information is updated LIVE which means it is saved as soon as you click on the SAVE button on any device.

Question 3.  How do I access other feature that are not included in my licence?

You simply UPGRADE your licence and the new features are visible in your existing system.

Question 4.  How do I export my data?

You can click the EXCEL icon at the bottom of every LIST SCREEN and this will export the data into a Microsoft Excel file.

Question 5.  How long is the contract term?

We bill customers monthly and you can cancel your licence at any time.

Question 6.  Will the App help my business to become GDPR compliant?

YES: Your customer and supplier contact information is encrypted in the database.

Question 7.  How secure if this App?

As a technology provider, cyber security is our number one priority.  The App is developed to the highest technical standards.  In addition to this, we hired an independent cyber security specialists to carry out a detailed technical audit on all aspects of the App.

Question 8.  Does the App do MTD VAT and / or  MTD Self-Assessment?

YES: The App does both MTD VAT and  the MTD Self-Assessment and it is all included in the same Licence fee.   As a note:  Both require you to keep electronic records of your income and expenses.

Question 9.  Can I import my data?

YES: You can import your CONTACTS from your Phone or you can upload them from a spreadsheet.  The Rhino team will also import your INVOICES and your EXPENSES which needs a little consideration.

Question 10.  Is the MTD Bridging Feature a separate App or is it all one App?

The MTD Bridging feature is a simple component of the Rhino MTD VAT feature.  It reads the content of an EXCEL spreadsheet and populates the 9-Box form.

Question 11.  Can I use just the MTD Bridging Feature without having to input Invoices and Expenses?

YES: you do not have to input Invoices or Expenses if you are using the MTD Bridging Feature.

Question 12.  Can I use use this product if I am not VAT registered?

YES: You simply disable the VAT feature in the SYSTEM SETTINGS and this removed all references to VAT throughout the system.

Question 13.  Is there anything in the system that helps me to stay under the £85k VAT registration threshold?

YES: We have a rolling 12 month sales summary on the main dashboard that help you monitor your sales to ensure that you do not exceed the £85k VAT threshold.

Creating Multiple Rhino Accounts

Question 1:  Can I create Multiple Accounts in Rhino for different Businesses?

Yes, this is a very common requirement and it is good practice to set up a separate Rhino Account for each Business.   This enables you to have separate logos, terms and conditions, and expense types and a separate invoice numbering system.  It also makes it very easy for your accountant to identify which transactions belong to which business entity.

The good news is that if can easily move from one account to another provided each account has the same email address and password.

To create another Rhino Account, please select from one of the following two options.

For FSB Members

Create New Rhino Account

For Non FSB Members

Create New Rhino Account

CIS Sub-Contractor Invoices

Question 1:  How do I enter a CIS Sub-Contractor Invoice?

When entering a CIS Sub-contractor invoice, we would recommend the following steps are applied:

1. Create an Expense Type (System Settings – Expense Types) called CIS Invoice or another suitable description of your choice.  Ensure the Supplier Bill switch is turned ON.

2. Record the Invoice as a Supplier Bill (Expenses – Supplier Bill) with the Expense Type as per step 1 and the Total Cost of amount due to be paid to the sub-contractor.  (i.e.  The invoice total amount less the CIS deduction).  Enter the CIS deduction amount in the Notes field.

3. Attach the Invoice to the Supplier Bill using the Upload Receipt functionality.

4. Once the Supplier Bill has been paid update the Date Paid field to record the date of the payment made to the sub-contractor.

5. You can use the app Contacts Notes to record key information of the CIS Subcontractor such as Registered CIS Name, CIS Rate applicable to them, Unique Taxpayer Reference and Subcontractor Verification Number.   This information would be required for monthly HMRC CIS Return.

6. When the CIS Return is due to be filed with HMRC, go to Expenses, search on the Expense Type created in step 1.  This will list all the CIS Invoice related expenses.  You or your agent/accountant would then use this information to complete the CIS Return.

Note:  Currently the payment that would be made to HMRC cannot be recorded in the app.  This feature will be enabled with the introduction of the banking reconciliation feature planned for Q2/Q3 2022.

If you have an agent/accountant, we would strongly recommend you discuss with them on how to handle CIS subcontractor invoices as well.

VAT Margin Scheme

Question 1:  I am on the VAT Margin Scheme.  What do I have to do on the app?

Below are the set of guideline steps which could be followed for a business on HMRC’s VAT Margin Scheme.  In the example below, an art gallery business buys a work of art for £1,500 and sells it for £2,000.  Using the margin scheme, the business needs to pay VAT at 16.67% (one-sixth) on the difference £500. This means the business will need to pay HMRC £83.33.  To record the purchase and sale of the work of art the business would perform the steps below in the app:

1. If VAT was paid on the purchase of goods that are be resold, the VAT amount cannot be claimed back from HMRC.  Therefore for the purchase invoice received for £1500 for the work of art should be entered as a BILL EXPENSE with a Total Cost of £1500 and VAT Amount of £0.00.

2. When entering the sales invoice, as per HMRC guidelines, the VAT amount should not be shown on the sales invoice.  The sales invoice should therefore be entered as an INVOICE with a Total Invoice of £2000 and VAT of 0%.

3. Use the INVOICE Notes field to make clear the invoice relates to the margin scheme to the customer.   For example populate the notes with, ‘margin scheme – second hand goods’, ‘margin scheme – works of art’ or ‘margin scheme – collectors’ items and antiques’.

4. You may record the actual VAT amount using the NOTES widget at the bottom of the INVOICE.  This information is not shown to the customer.   E.g.  VAT Amount charged on margin was £83.33.

5. When the VAT submission is made, using the MTD VAT feature, the app will automatically populate the following boxes as follows:

  •     Box 1     £0          (Output Tax on all eligible goods sold in the period covered by the return.)
  •     Box 6     £2000    (Full selling price on all eligible goods sold in the period, less any VAT due on the margin.)
  •     Box 7     £1500    (Full purchase prices of eligible goods bought in the period.)

6. Adjustments will need to be made to Box 1 and Box 6 for the VAT due on the margin which was £83.33.  Using the Adjustment boxes on the MTD VAT return, enter 83.33 in Box 1 and -83.33 in Box 6.

Important to note if you have an accountant/agent, please review with them how you plan to enter invoices and expenses related to the VAT Margin Scheme.   Please also refer to HMRC (https://www.gov.uk/vat-margin-schemes) for further information as rules are subject to change.

Q&A for VAT for EU import/exports for goods/services

Question 1.  I am VAT registered and import goods from the EU.  I’m using Postponed VAT.   What should I do in Rhino?

Pre-Brexit, you would of entered your supplier bill with the appropriate VAT amount which you would of then reclaimed later when completing your VAT return.  This would have been done by completing Box 2 (VAT due on EU goods acquisitions) and Box 4 (VAT reclaimed on purchases) on your VAT return.  As Brexit may introduce delays in receiving goods from the EU which may impact businesses cash flow, “Postponed VAT” was introduced so that VAT registered businesses did not have to pay the VAT on imported goods but would still be required to declare the VAT on their VAT Return.  If you are on Postponed VAT, enter the supplier bill with zero VAT and set the “Tax Region” to “EU”.  If “Tax Region” does not appear on the Supplier Bill entry page, go to “System Defaults – VAT Settings” and ensure “International” is switched on.  When completing your VAT return, obtain your Postponed Import VAT Statement from HMRC which should detail the VAT due on the goods imported.  Enter the VAT amount as an adjustment in Box 1 (VAT due on sales) and Box 4 (VAT reclaimed on purchases).  Rhino will automatically calculate Box 7 (Total value of purchases) and Box 9 (Total value of EU acquisitions).

Important to note if you have an accountant\agent, please review with them how you plan to enter the supplier bills for EU imported goods.  Please also refer to HMRC (such ashttps://www.gov.uk/guidance/vat-imports-acquisitions-and-purchases-from-abroad) for further information as rules are subject to change.

Question 2.   I am VAT registered and import goods from the EU.  I’m located in Northern Ireland so not using Postponed VAT.   What should I do in Rhino?

If you are based in Northern Ireland and importing goods from the EU, enter your supplier bill for the imported goods with the appropriate VAT amount and set “Tax Region” to “EU”.  If “Tax Region” does not appear on the Supplier Bill entry page, go to “System Defaults – VAT Settings” and ensure “International” is switched on.  When completing your VAT return, Rhino will automatically populate Box 2 (VAT due on EU goods acquisitions), Box 4 (VAT reclaimed on purchases), Box 7 (Total value of purchases) and Box 9 (Total value of EU acquisitions).  Important to note if you have an accountant\agent, please review with them how you plan to enter the supplier bills for EU imported goods from Northern Ireland.   Please also refer to HMRC (such as https://www.gov.uk/guidance/vat-imports-acquisitions-and-purchases-from-abroad) for further information as rules are subject to change.

Question 3.   I am VAT registered and import services from the EU.  What should I do in Rhino?

If you are importing services from the EU then you will not have to pay VAT.  Although no VAT will be invoiced, you are required to enter the invoice at the VAT rate amount that would of applied if you purchased the services from the UK (domestic VAT rate amount).  This VAT amount can not be reclaimed so requires reversing out on your VAT return. To do this on the Rhino app, enter the supplier bill with the domestic VAT rate amount and set the “Tax Region” to “EU”.   When completing your VAT return, Rhino will automatically populate Box 2 (VAT due on EU goods acquisitions), Box 4 (VAT reclaimed on purchases), Box 7 (Total value of purchases) and Box 9 (Total value of EU acquisitions) as the app treats the purchase as goods.  A manual adjustment is therefore required to reduce Box 2 (VAT due on EU goods acquisitions) and increase Box 1 (VAT due on sales) by the amount of VAT on the invoice.  Important to note if you have an accountant\agent, please review with them how you plan to enter the supplier bills for EU imported services.   Please also refer to HMRC (such as https://www.gov.uk/guidance/vat-imports-acquisitions-and-purchases-from-abroad) for further information as rules are subject to change.

Question 4.   I am VAT registered and export goods to the EU.  What should I do in Rhino?

If you are exporting goods outside the UK, zero VAT will apply.  Invoices raised should therefore be entered with zero VAT.  Although not required, for audit trail purposes, we recommend that you populate a note under the “Notes” icon to advise this invoice was not applicable to VAT as related to exported goods to the EU. When completing your VAT return, Rhino will automatically populate Box 6 (Total of sales).  Important to note if you have an accountant\agent, please review with them how you plan to enter invoices for EU exported goods.   Please also refer to HMRC (such as https://www.gov.uk/guidance/vat-on-goods-exported-from-the-uk-notice-703) for further information as rules are subject to change.

Question 5.  I am VAT registered and export services to the EU.  What should I do in Rhino?

If you are exporting services outside the UK, zero VAT will apply.  However your invoice should include an additional note to advise the reverse charge may apply which can be populated in the “Notes” section.  For example, the “Notes” section could be populated with “This invoice may be subject to reverse charge and VAT may need to be accounted for by the customer.”.   When completing your VAT return, Rhino will automatically populate Box 6 (Total of sales).  Important to note if you have an accountant\agent, please review with them how you plan to enter invoices for EU exported services.   Please also refer to HMRC (such as https://www.gov.uk/guidance/vat-on-goods-exported-from-the-uk-notice-703) for further information as rules are subject to change.

Question 6.  I am VAT registered construction business (CIS) and need to raise an invoice to a customer who is responsible for the VAT liability.  What should I do in Rhino?

In this situation the Domestic Reverse Charge (DRC) would apply.  Further details can be found on HMRC at  https://www.gov.uk/guidance/the-vat-domestic-reverse-charge-procedure-notice-735.  The invoice you raise to your customer should not charge VAT but should advise the amount of VAT that would have been charged so the customer can account for VAT and pay the VAT directly to HMRC.  This additional information should be added into the “Notes” of your invoice.  For example, the “Notes” section could be populated with the wording: “Reverse charge applies to amount of £200 at a VAT rate of 20%.  Customers need to account for VAT on these items to HMRC”.   When completing your VAT return, Rhino will automatically populate Box 6 (Total of sales).  Important to note if you have an accountant\agent, please review with them how you plan to enter the invoices applicable for Domestic Reverse Charge.

Question 7.  I am VAT registered and I need to enter an invoice from a supplier who has advised I need to account for the VAT as a reverse charge.  What should I do in Rhino?

In this situation the Domestic Reverse Charge (DRC) would apply.  Further details can be found on HMRC at  https://www.gov.uk/guidance/the-vat-domestic-reverse-charge-procedure-notice-735.  The supplier bill your received should quote the VAT amount that would have been applied but excluded due to DRC.  In the Rhino app, enter the supplier bill with “Total Cost” equal to the total amount invoiced by the supplier plus the VAT amount quoted.   Also enter the same VAT amount into the “VAT Amount” field.  When completing your VAT return, Rhino will automatically populate Box 4 (VAT reclaimed on purchases) and Box 7 (Total value of purchases).  As the VAT amount under the Reverse Charge has to be paid to HMRC rather than reclaimed, Box 4 requires adjusting to reduce the amount of box 4 by the reverse charge.  Likewise the VAT amount for Box 1 (VAT due on Sales) needs to be adjusted so Box 1 is increased by the reverse charge VAT amount.  Important to note if you have an accountant\agent, please review with them how you plan to enter supplier bills applicable for Domestic Reverse Charge.

Disclaimer

Rhino Software Limited provides this product to facilitate the submission of your VAT Return.   How you use the product and the content of the data is solely the responsibility of the customer.  Submission of VAT Returns are subject to HMRC Rules which can change from time to time.  If you are in any doubt, we advise that customers should seek professional advice.

Click on the following link to view our full terms and conditions.  https://rhinoapps.com/terms-and-conditions/

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