This guide is designed for businesses that have previously made VAT submissions but are preparing their first VAT return using Ember.
Items included in your VAT return
Your Ember VAT return will automatically include all transactions, expenses, supplier invoices, and invoices dated within the VAT return period. If you have items dated before the start of your VAT return period that you need to include on your current return, perhaps because you missed the transactions on a previous system, please contact our support team for assistance.
Reviewing transactions before submission
It is important to check which items are included before submitting your VAT return. To do so, navigate to the Sales & Purchases page, which is accessible directly from within your VAT return.
Sales Tab: Here, you’ll see all items you’ve charged VAT to your clients, creating a liability to pay HMRC.
The Purchases Tab: Here, you’ll see items for which your suppliers have charged VAT, which could lead to a potential reclaim from HMRC.
Note for Flat Rate Scheme Users: If you’re using the Flat Rate Scheme, only transactions using the Capital Purchases VAT rate (assets costing £2,000 or more) will appear in the Purchases tab.
VAT receipts and documentation
When reclaiming VAT, ensure you have valid VAT receipts. While you aren’t required to attach these receipts to transactions in Ember, doing so can help keep your records organised. Items with attachments will display an attachment icon for easy reference.
Confirming VAT rates
It is important to verify that the correct VAT rate is applied to each item. Accurate VAT rates ensure that the correct amount payable or reclaimable from HMRC is calculated.
Submitting your VAT return
Once you've reviewed and confirmed all transactions, you can submit your VAT return by clicking the Submit Return button. You’ll need to declare that the information provided is accurate.
After submission
Upon submission to HMRC:
If you owe a liability, it must be paid by the VAT deadline.
If you have a Direct Debit arrangement, no further action is needed—the payment will be automatically collected, typically a few days after submission.
If you don’t have a Direct Debit set up, Ember will create a VAT liability task under My Tasks to remind you of the payment deadline.
Once you have paid, you should return to the VAT return to mark the payment as done to clear the task.
If HMRC owes you money, they usually repay you via bank transfer if they hold your bank details within 30 days of your submission. Otherwise, they will send a cheque. Read here for more information.
Locking down items before and after submission
On your first VAT return, Ember will automatically lock down all transactions, expenses, supplier invoices and invoices dated before the start date of the return when you first visit VAT. Upon navigating to VAT via the main navigation or via a Task, Ember will prompt you, asking you whether you’re ready to lock these transactions down. Once you confirm you’re ready, these transactions will no longer be editable, but you can still match them to payments if they’re awaiting payment.
Submitting a VAT return will also lock down all transactions, expenses, supplier invoices, and invoices dated on or before the end date of the return. If they’re awaiting payment, they can still have payments associated with them.
Payment deadline
The deadline for submitting VAT returns and making payments is typically one month and seven days after the end date of the VAT period. For instance, a VAT period covering 1 January to 31 March has a submission and payment deadline of 7 May.
To make a payment:
Click the Pay button on your VAT return for bank details and instructions.
Alternatively, Ember provides a direct link to HMRC’s website for secure payment.
After payment, mark your VAT return as paid in Ember to clear the outstanding task.
What’s Next?
Once you submit your return and settle the payment, you can relax until your next VAT return is due.