Macron, a VAT registered sole trader, has the following transactions in the quarter ended 31 December 2018.  Unless stated otherwise, all sales and purchases are standard rated and all figures are exclusive of VAT.

1. Purchased goods for trade amounting to £355,000 during the quarter. 
2. Expenses: £14,000 (£2,000 is for entertaining UK customers).
3. Total domestic sales are £280,000 including goods sold for £12,000 to Sogo Traders. The invoice issued to Sogo stated that there is a discount of 4% on sales if invoices are paid within 15 days. The invoice was actually paid 10 days after the issuance.
4. Supplied goods amounting to £2,300 to a customer in Belgium who is VAT registered there.
5. Goods costing £120 were taken out of inventory for private use. The replacement cost of goods was £140.

Required:

Compute the VAT liability of Macron for the quarter ended 31 December 2018. You should list all the items, using a zero (0) for any items having nil input or output tax.

Answer rating: 100% (QA)

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