About filing calendars

Learn about setting up the default workflow and managing filing calendars.

VAT Filing can be complex and time-consuming, especially for international companies or organizations with multiple entities in one country. As you prepare and file declarations, Sovos filing solutions offer organization and clarity to the often confusing process of meeting different deadlines while complying with multiple tax authorities' differing rules and regulations.

Note:

Check the VAT and GST Returns page for a complete list of currently available declarations.

Sovos' offerings are standardized but customizable to your needs, no matter how complex or unique. Each of your tax returns is added and set with a specific location and return period, also known as tax return cadence. After the tax return cadence is set, the system stores this information and automatically places the tax return in a workflow when it's time to report.

Default workflow

Sovos provides a default workflow that you can customize to meet your organization's specific needs. Customizable options are:

Adding, removing, or renaming workflow steps.
Specifying the internal due date of each step to plan effectively around the government deadline. For example, if a return's deadline is the 20th of each month, you can set a manager review on the 15th, five days before the deadline.
Specifying a default assignee for each step, such as a team manager.
Modifying internal due dates and default assignees. For example, you may choose to set more conservative internal due dates for returns that are high-risk or carry steep penalties if late.

Note:
See the Set up and Manage Returns in the Filing Calendar page to learn more about customizing return preferences.

Filing calendar setup

VAT Filing's interface lets you choose from several standard tax returns and declarations, as well as customizable preferences within each return.  Customizable options are:

Filing frequency: The filing frequency determines when the return appears in your monthly workflow, so you never risk missing a return. A monthly return displays each month, whereas a quarterly return only displays once every three months.
Start date: Specify when you want to prepare your first return. Choose from the current date, a historic date for back-filing, or a future date for a future requirement.
End date: Specify when the return should end. The most common end date is, "Never Expires," but choosing a specific end date is helpful for frequency changes. For example, switching from one frequency to another frequency on January 1.
Workflow: For each return, you can optionally override the default workflow to assign certain steps to specific users, or choose earlier or later internal due dates.

Past due tax returns

When you add a return to your filing calendar, Sovos automatically sets the start date to the date of creation and assigns the return to the current filing period. The return is not added to already closed filing periods, keeping your audit trail and historical records accurate.

However, if you need to generate returns for past filing periods, you can select a historic start date. Sovos adds a new return into every applicable filing period, and you can process each return through the normal workflow. Backfilings are treated the same as all other returns and are stored for future reference in your Sovos account, within the corresponding filing period.

When to set up your filing calendar

You can add or edit the filing calendar at any time. However, changes to this calendar only impact future filing periods or returns that were never started. Any return in progress or marked as filed is not changed.

A common scenario for organizations is to adopt a common government directive to file returns more or less frequently. Sovos makes it easy to respond to such changes by allowing you to set an end date for the current frequency and add another subscription with a future start date for the new frequency.

Advanced configuration

Sovos offers advanced configuration for these unique scenarios:

Custom accounting periods: Some companies have custom accounting periods, also called a 4-4-5 calendar, with the start date and the end on a weekly cadence, rather than on a monthly cadence. This is common in the retail and manufacturing industries, as it's easier for each period to be the same length and always end on the same day. With Sovos' Sales Tax filing solutions, users can customize a calendar to their needs and as a result, all tax returns will be calculated based on the custom periods.
Advanced signing preferences: Return signing is specified by the tax authority and can vary from return to return, sometimes requiring a written signature by an authorized employee. In select Sovos products, you can automate the signing process and assign specific asignees for each return and Tax Identification (Tax ID) number.