January updates 2025

With the first minor update of this year, we’ve made VAT calculations on sales documents even more precise and introduced a new filter in the unpaid invoices report.

Here’s a closer look at the updates:

Improved VAT calculation on sales documents

Good news! We’ve refined the VAT calculation logic for sales documents (sales invoices, quotes, and orders) to make it even more accurate. Previously, VAT was calculated and rounded to two decimal places for each invoice line. Now, the calculation is performed with six decimal places, and the process works as follows:

VAT is calculated for each line with a precision of six decimal places;
The VAT amounts for all lines with the same VAT rate are summed up and then rounded to two decimal places;
Finally, the total VAT amount across all rates is rounded to two decimal places.

Note: The display of amounts remains unchanged, and all totals will still be shown rounded to two decimal places. This update only affects the calculation logic used to determine the VAT amount for each invoice line.

Activation required for existing companies

For existing companies, this new calculation logic is disabled by default. You can activate it under Settings – Settings – 6-decimal-place VAT calculation on sales documents (Yes/No). For companies created after the update, this setting is already enabled by default.

We recommend enabling this setting if you issue invoices with many line items or unit prices with decimal points. However, If your company has fixed sales prices including VAT, we recommend not changing the parameter value.

How the new setting affects existing documents

If a new document (e.g., a purchase invoice created from a sales invoice via More – Create purchase invoice, or a sales invoice created from a sales order) is generated from an existing sales document, the VAT calculation logic applied will match the setting of the original document.
However, when copying a sales document (via the Copy button), the VAT calculation logic will follow the current setting.

New filter in the unpaid invoices report

You can now filter invoices based on whether their payment deadline has passed. We’ve added a new Overdue filter to the Unpaid sales invoices and Unpaid purchase invoices reports.

The filter options are: