Recording VAT and Taxes

Overview

VAT (Value Added Tax) shows up in Dashboardly in a few different places, depending on where the tax comes from. This guide explains each one so your Profit & Loss (P&L) reflects a complete, accurate picture of your business:

• VAT lines reported by TikTok — shown under Fees & Taxes when TikTok sends them; do not duplicate them manually.
• VAT you estimate from sales — use a formula-based manual expense. Net Sales is the common default; use GMV (w/ Co-funding) if your VAT base includes customer-paid shipping and TikTok co-funded discounts/subsidies.
• Actual VAT payments — record a one-time fixed expense when you know the exact payment amount.
• Import VAT and VAT IDs — import VAT belongs in Inventory/Landed Cost; your VAT / Tax ID belongs in the billing portal.

Note: Dashboardly helps you see VAT in your profit numbers — it is not a tax-filing tool. For how much VAT you owe or can reclaim, always rely on your accountant or tax authority.

VAT Lines Reported by TikTok

When TikTok provides VAT or tax lines in settlement data, Dashboardly shows them on the Profit & Loss page under Fees & Taxes. If you see a Local VAT line there, do not enter the same amount again as a manual adjustment.

TikTok API VAT fields describe VAT paid by the platform on the seller's behalf. For many UK/EU local-shop settlements these fields can be zero or absent, so Dashboardly cannot infer seller-remitted VAT from TikTok data alone.

For VAT you are responsible for estimating, remitting, or tracking separately, use the formula-based manual adjustment below.

Estimating VAT from Sales

If you want Dashboardly to estimate VAT owed from sales each month, create a formula-based manual expense. Net Sales is the common default for VAT accrual in P&L. If your VAT base includes customer-paid shipping and TikTok co-funded discounts/subsidies, use GMV (w/ Co-funding) instead.

Recommended setup:

1. Go to the Manual Adjustments page in the left sidebar.

2. Click New Adjustment.

3. Set Type to Expense and Category to VAT/GST Payments.

4. Use these Formula fields:

• Fixed: 0.00.
• Rate (%): your VAT rate, for example 20 for 20%.
• % of Metric: Net Sales. If your VAT base includes customer-paid shipping and TikTok co-funded discounts/subsidies, choose GMV (w/ Co-funding) instead.
• Recurring Type: Monthly.
• Start Date: the date you want the estimate to begin (usually the first day of the month).
• End Date: leave empty if the estimate should continue automatically.

5. Click Save.

Dashboardly records the estimate as a manual expense under VAT/GST Payments. It appears in Profit & Loss and Sales & Profit for the active period.

Use One-Time with a Fixed amount only when you are recording a specific VAT payment you already know, such as a submitted VAT return. If you keep a monthly formula estimate, do not also record the same VAT payment as a fixed expense unless you are correcting or replacing the estimate.

Import VAT on Your Inventory

If you pay VAT when importing stock into your warehouse country, add it to your product cost so your margins reflect the true landed cost of goods.

Import VAT is one of the Landed Cost components on the Inventory page:

Landed Cost = Unit COGS + Inventory Shipping + Customs Duty + Import VAT

Set the Import VAT value per product (or per SKU) in the Inventory table, alongside Shipping and Customs Duty. If you only set the base unit cost, Landed Cost simply equals your COGS — add Import VAT for a more accurate total.

For full details, see Inventory and Setting Up Cost of Goods (COGS).

Adding Your VAT / Tax ID for Invoices

To show your VAT or Tax ID on your Dashboardly subscription invoices (useful for your own accounting), add it in the billing portal:

1. Go to Settings > Subscription.
2. Open the billing portal (Manage Billing).
3. Update your billing address and VAT / Tax ID.

These details then appear on the invoices you can download for accounting or tax purposes. See Plans and Billing for more.

For VAT-Registered Sellers (Reclaimable VAT)

If you are VAT-registered, some VAT included in TikTok platform fees may be reclaimable as input VAT on your VAT return. Dashboardly can show an Estimated Reclaimable VAT line on your P&L for this, calculated from eligible TikTok fee buckets at your configured VAT rate.

This is separate from VAT you owe on sales. It is configured per shop; contact support if you would like it enabled or disabled for your account.

Quick Reference

Common Questions

TikTok already shows a Local VAT line — should I add it again?

No. Do not duplicate any VAT or tax line already shown under Fees & Taxes. Only create manual VAT adjustments for VAT that is not already captured.

When should I use GMV (w/ Co-funding) instead of Net Sales?

Use GMV (w/ Co-funding) when your tax base includes the customer-paid shipping amount and TikTok-funded discounts/subsidies, not just the product Net Sales amount. Confirm the exact tax base with your accountant or tax authority.

Should Recurring Type be Daily, Weekly, or Monthly?

Use Monthly for the ongoing VAT estimate. Formula adjustments use daily base metrics internally, so Daily, Weekly, and Monthly should converge over a complete active period when Fixed is 0, but Monthly is easiest to audit and matches normal P&L/VAT review. Use One-Time only for an exact fixed payment.

Where do VAT adjustments show up?

On the Profit & Loss and Sales & Profit pages, within Operating Profit, under Manual Adjustments / VAT/GST Payments.