---
title: "VAT on Sales to Government for Periods 2020 and Older"
description: "Enter your VAT on Sales to Government straight into your JuanTax account."
url: https://help.juan.tax/en/articles/432-vat-on-sales-to-government-for-periods-2020-and-older
collection: "Value-Added Tax"
updated: 2025-05-17
language: en
---

# VAT on Sales to Government for Periods 2020 and Older

Enter your VAT on Sales to Government straight into your JuanTax account.

**STEP 1:** Go to your **Dashboard**, then click on **Transactions**.

![](https://downloads.intercomcdn.com/i/o/312013197/53132de992a6c160e2969b2c/image.png?expires=1730691000&signature=3be1f3b191fb8026e53d9e604185aa1500ad720736417a4a03488be58b3832a3&req=dyElFsh9nIhYFb4f3HP0gD%2FXT0pJi8RkfnHaCNgJvGg1NEBZPLBYJg5dsF4Q%0AufE%3D%0A)

**STEP 2:** Click on **Add Transaction** > **Add Manua**l > **Sales.**

![](https://downloads.intercomcdn.com/i/o/181611511/dd0c43a22e78275620803a29/Screen+Shot+2020-02-03+at+1.33.55+PM.png?expires=1730691000&signature=29410da4f3a087c2b0c39957fb123a042c13a2c3758d7e04c61c43a44d4f7cfd&req=dSgmEMh%2FmIBeFb4f3HP0gHSU%2FqPUMbhfOQ3WFaTahg3DRjq6gfbv1AoWj2Kx%0AkA0%3D%0A)

**_NOTE_**: There are 2 ways to add a transaction; Add manual and Import CSV. And, there are 3 types of transactions; Sales, Purchases, and Journals. For this example, we will add a  manual transaction under Sales.

**STEP 3:**  Fill out the table shown and select the correct Tax Type. In this transaction make sure the tax type is set to **Sales to Government**. You can do this for both Goods and Services type of transactions

![](https://downloads.intercomcdn.com/i/o/181616008/c34f2f188408724ff9a52a40/Screen+Shot+2020-02-03+at+2.19.32+PM.png?expires=1730691000&signature=f20e2ac003cbf84d2bdec416f1af5f44478b1c57541cc38255896bfd8426e020&req=dSgmEMh4nYFXFb4f3HP0gKsCf%2FQS4cfhnaTJIEhr3DUckbvNcGjfolDFSHnN%0ANoU%3D%0A)

**STEP 4:** After you’ve entered all the information go back to the **Dashboard,** click T**ax Forms**, choose **Value Added Tax Return** then select the **Monthly Value Added** Tax you made earlier.

![](https://downloads.intercomcdn.com/i/o/181616174/086cd888b89816edabdabf7b/Screen+Shot+2020-02-03+at+2.21.33+PM.png?expires=1730691000&signature=bedb3b0acbdecd40d7b865bfa41830bd8176e3c06b9758561a212a23b8108d66&req=dSgmEMh4nIZbFb4f3HP0gPIicssGkSBi2j7gBnhKa96H0vfUu%2ByqOtyEoe1e%0AMps%3D%0A)

**STEP 5:** Click on **Edit Schedule 4.**  
​

![](https://downloads.intercomcdn.com/i/o/181616272/5e90722da9b980f0fe2569b9/Screen+Shot+2020-02-03+at+2.22.29+PM.png?expires=1730691000&signature=477d8f16b385e3bc2c4cbe3e035a205f5c27718bdad2d61beb3e37f86f1fe63e&req=dSgmEMh4n4ZdFb4f3HP0gE2R8nxXtEBpIb%2Fdyg7WjFyfbwwMROpjlsBdnCaM%0AplE%3D%0A)

**STEP 6:** Input the Tax Attributable to Sale to Government, enter your numbers in the appropriate text boxes then click **Calculate** to get the amounts. Hit the **Save** button to save your changes

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# Formulas needed for you to complete Schedule 4 of your [2550M](https://www.juan.tax/form-2550-m/) form:

## Standard Input Tax to Sale to Government

This kind of VAT on Sales is the result of taxable sales transactions to the government with 12% VAT multiplied with taxes withheld from sales coming from products/services sold by suppliers to the government (7%).

**Formula: \[Taxable Sales to Government   X   Amount of Input Tax not Directly Attributable\]**

Example:

If you have 1,400,000 of total sales, and 200,000 of it were sales to government, then:

**200,000 x 0.07 = 14,000**

## Total Input Tax Attributable to Sale to Government

To calculate your total input tax attributable, you should get the sum of both your **Input Tax Directly Attributable to Sale to Government** with the **Amount of Input Tax Not Directly Attributable**. See formula below:

\[Input Tax directly attributable to sale to government  +  Amount of Input Tax not directly attributable\]

## Input Tax on Sale to Govt. Closed to Expense (To Item 20B)

To get this amount, subtract your **Total Input Tax attributable to sale to the government** with your **Standard Input Tax to sale to the government.**

**Formula: \[Total Input Tax attributable to sale to the government - Standard Input Tax to sale to the government\]**

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**Helpful Links:**

-   Please check this Help Center article if you are entering [VAT on Sales to Government for Periods 2021 and above](https://help.juan.tax/en/articles/5049384-sales-to-government-what-s-new.md).
    

-   To read more about the RMC 36-2021, you may check our [blog](https://juan.tax/blog/sales-to-govt-shift-from-final-to-creditable-system-on-value-added-tax/).
    

-   Visit this [article](https://help.juan.tax/juantax-xero/tips-and-tricks/vat-on-sales-to-government-xero-version) for you to learn how to apply this process in the Xero integrated version of JuanTax.