For pharmacies who use both the TouchStore Rx and Retail systems, we have developed a method to address the issue where pharmacies are invariably overpaying VAT to revenue because inexact calculations of the VAT due on sales. In many instances this overpayment is considerable. We have added a menu option to TouchStore Rx which also links into the Retail 365 system and calculates the exact amount of VAT due on sales. The sales under the separate VAT rates are extracted from the three sources of income in a pharmacy:

• TouchStore Rx
• Retail 365
• The PCRS claims data.

When the application is run, the data is extracted, then processed, and the VAT on sales report is produced. This is a detailed report, giving the VAT due, and outlining each aspect of the VAT on sales incurred by the pharmacy for the selected period.

How to run the Vat on Sales Report

• Launch the Touchstore Rx application

• Select Modules -> VAT Calculator

• The following screen will then be displayed

• Enter the date range in month and year.

  • When you click on the “From” and “To” boxes a dropdown appears where you select the months.
  • The years can be entered manually or by using the up and down arrows.

• Ensure the Standard and Low Vat percentages are correct for the period in question

• Enter your Username & Password for Retail 365. This is to enable the application to access the online Retail figures.

• Enter the Gross Sales or Receipts value for the period. Your accountant will tell you which figure to use. Alternatively, you can contact TouchStore support for guidance.

• This gross figure may differ from the figure produced by the Retail 365 system. It is important that the gross sales or receipts figures are consistent with the figures entered in the audited accounts or the related bank statements.

• Click on the “Calculate” button.

• The application then extracts the data from the three sources.

• NB: There is a check to ensure that all PCRS returns for the selected periods are available on your database. The application will message if any are missing. In this case the system did not detect any PCRS payments for the Methadone schemes for the selected months.

• Once the exception message is cleared, then the screen with the extracted data is displayed.

Section 1:

This is where the VAT rates for the specified period are displayed.

Section 2

This section contains the required information from the Dispensary System Database

Section 3

This section contains the sales data from Retail 365 for the period.

Section 4

This section contains the required data from the PCRS DPS claims returns for the period.

Section 5

This section contains the required data from the PCRS GMS claims returns for the period.

Section 6

This section contains the required data from the PCRS Methadone claims returns for the period.

• If required – say for instance if some PCRS data needs to be added - the data produced on this screen can be edited.

• The next step is to click on the “Generate VAT Report”

VAT Report

• The first section of the report contains the completed EPOS system sales in each VAT rate. It also displays the actual total Gross receipts/sales.

• The second part of the report is a pro-rata correction of the system EPOS sales to align with the actual sales/receipts.

• The third large section of the report contains the VAT data from the PCRS returns.

• The fourth section of the report is where the VAT on the EPOS sales is manipulated to account for items such as co-payments prescriptions, GMS Fees, that would have gone through the POS without any VAT rate applied. Co-Payments and GMS fees are the main issues. The VAT applied to them cannot be done at the point of receipt on the POS and can only be determined after the PCRS return is received.

• The fifth section of the report is where the total sales at each VAT rate are summarised.

The level of detail in the report gives full transparency to auditors, revenue etc.