Correction for Unpaid Invoices

Has an invoice you sent not been paid and will not be paid? Then there are two important things to keep in mind:

1. Make sure you correct your bookkeeping properly
2. You’ve likely already reported the VAT to the tax authorities – you may be able to claim that VAT back

Adding a Correction

You have sent an invoice for example of €1.000 inc. VAT which has not been paid. You can correct this by entering a correction on the invoices page of Gekko.

Go to your invoices overview and click in the upper right on '+ Upload', then select "Correction". 

When setting up your correction, make sure your select the same customer. Enter -1000 as the amount, note that by default a correction is including VAT. 

Optionally, upload the original invoice as an attachment.

Lastly, check your correction and click Save. 

In your invoice overview, you'll now see that the amount has been deducted. The correction will be marked with a "Correction" label so you can easily find it later.

Claiming VAT Back from the Tax Authorities

You can reclaim the VAT once it is certain that your invoice will not be paid. Since January 1, 2017, new rules apply:
An invoice is officially considered unpaid no later than 1 year after the agreed upon due date between you and your client.

If you create a correction in Gekko, it will automatically be included in the VAT time period of which you saved your correctoin.
However, there are specific rules that apply to this process. For more detailed information, please consult the website of the Dutch Tax Authority (Belastingdienst) or read the blog post we’ve published on this topic.