How AI Can Solve VAT Allocation Errors for Accountants

The VAT Allocation Struggle: Why It’s a Problem

VAT allocation is one of the most time consuming and error-prone tasks in bookkeeping. Whether it’s missing VAT classifications, incorrect zero-rating applications, or handling mixed VAT invoices, these errors cost businesses money and create compliance risks.

For many accountants, manually reviewing VAT allocations is a tedious and repetitive process. But what if AI could handle it for you?

How AI Automates VAT Allocations

VendorFlow has been trained on the VAT Act to ensure accurate, automated VAT treatment for every invoice. Here’s how it works:

  • Extracts invoice details using OCR – No more manual data entry.
  • Identifies correct VAT treatment – Whether it’s standard-rated, zero-rated, or exempt.
  • Handles complex VAT scenarios – Even for mixed VAT invoices or international transactions.
  • Pushes data directly into your accounting software – No extra steps required.

  • The Benefits: Save Time & Reduce Compliance Risks


  • Reduce Human Errors: AI eliminates manual mistakes, ensuring VAT is allocated correctly the first time.
  • Save Hours of Work: No need to review VAT allocations manually—VendorFlow does it instantly.
  • Ensure SARS Compliance: Stay compliant with accurate VAT classifications, reducing audit risks.

  • Are You Still Manually Allocating VAT?

    It’s time to stop wasting hours on VAT reviews and let AI handle the heavy lifting. VendorFlow ensures accurate VAT allocations so you can focus on higher-value work.