The VAT rate decrease has been announced. Currently, are probably a lot of newsletters and other information on how to implement this change in Odoo. First of all, however, we would like to point out that it is difficult, if not impossible, to find a “one size fits all” solution. After all, the type of adaption very much depends on the individual set up. Connections and links have to be considered, price calculation, and, of course, the effect on online shops or POS systems.

We are currently reviewing all our set-ups to discuss the ideal implementation and the necessary steps within the relevant parameters. This clearly shows that there is no such thing as THE standard solution or THE best way for this task. Nevertheless, we can distinguish two basic approaches to tackling this requirement that are feasible almost independently of the individual Odoo versions.

Step 1, Preparation:

First of all, the charts of accounts need to be extended. For a Datev Export it is essential to create the same accounts as in Datev SKR03 or SKR04. Unfortunately, our first Google search did not yield any tangible results, only a catalog of measures for individual financial sectors: https://www.datev.de/web/de/aktuelles/informationsseite-zur-corona-krise/konjunkturpaket-unterstuetzung-durch-datev/massnahmen-in-den-datev-loesungen/.

In other words, this initial step requires coordination with your tax consultant. You should at least discuss the creation of tax accounts and one corresponding revenue account each. I recommend duplicating an existing revenue and tax account as soon as you know the account number and name.

Step 2, Application of tax rages:

The next step is to duplicate my 19% tax rates for sales and purchase, as well as the two 7% rates. Remember to adjust not only the labels and the tax rate, but to configure the account assignment created in the first step as well.

To be on the safe side, you can now re-open the tax accounts and file each of the newly created tax rates as ”Default Taxes.“ I do not think this is necessary, however.

In turn, the ”Tax Grid“ may remain, no matter how you call it, since the new tax rate should be listed in the same paragraph in your Tax Report.

Step 3, Version 1 & Version 2:

As indicated already, there are roughlytwo possible solutions from a technical point of view. Solution 1 works the same way in any Odoo version. Solution 2 is different for each version, and users of newer Odoo versions are clearly the winners. But there is also a serious disadvantage to this solution.

Solution 1 – Mass update for products

The first solution is, of course, an update for all products. Accordingly, I need to export all products as “import-compatible export.“ To be able to do that, I need “Customer Taxes“ and “Vendor Taxes” plus all other fields that my support orientation. In my very simplified case, this would look like this:

Once I have done this, I will update my values in Excel (see text highlighted in purple):

Note:

In my case, the sales price is a net price, i.e., my subtotal in the offer/order/invoice line does not change; only the total will be reduced. If this is requested, there is no need to adjust the sales price.

If the tax rate indicates that the price already includes the statutory tax, you need to be careful. In this case, you also need to adjust the sales prices, if you want to add the reduction. And you need to remember that you have to re-label your products accordingly.

However, this blog only discusses technical solutions; everything else needs to be decided or considered on a case by case basis.

For the last step, the re-import, we will upload the excel list. All fields that do not have updated data compared to Odoo need to be removed from the import (see my “Don‘t import“ below). The result might look like this:

For the reverse change, you should follow the same process back to the old (or higher) percentages.