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OneSixth
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Pre-launch beta

Help us improve OneSixth before launch

We're opening early access feature by feature — and across every platform we support. Put a real scheme through its paces on Xero, QBO, Sage or FreeAgent, shape the workflow, and tell us where it can be sharper. We'll invite you as each area opens up.

Built for UK Accounting Professionals

Every UK VAT Margin Scheme &
Partial Exemption, in One Platform

Calculate, record, and post margin VAT and partial exemption journals directly to Xero, QuickBooks Online, Sage, or FreeAgent. Built for UK accountants and their clients.

onesixth.app / dashboard
Clients4 platforms
Northgate Motors LtdMotor Trade
Posted
Blue Horizon TravelTOMS
Q3 due
Curio & Co. AntiquesSecond-hand
Posted
Harbour Property LLPPartial Exemption
Draft
TOMS · Q3 2026
£9,043.33
Output VAT due (1/6 of margin)
Selling price£184,200.00
Direct costs£129,940.00
Gross margin£54,260.00
Post journal

The problem

Specialist VAT schemes don't fit cloud accounting platforms

Xero won't calculate it

Xero, QuickBooks, Sage, and FreeAgent are excellent at standard VAT. None of them automate partial exemption, TOMS, or VAT margin schemes. Xero's own product team has acknowledged this on their public ideas board. The major platforms have decided the calculation belongs in the practitioner's hands — which means a spreadsheet.

The spreadsheet breaks the digital link

MTD for VAT requires an unbroken digital link from source records to submitted return. HMRC tolerates a spreadsheet workflow as long as the link is unbroken — but the moment a backdated invoice arrives, or a transaction is recategorised after submission, the spreadsheet is stale. The compliance failure isn't visible until HMRC asks.

The annual adjustment compounds errors

Partial exemption is provisional all year. At year-end you recalculate, post a single adjustment journal, and live with the consequences if transactions have moved. The adjustment is mathematically correct but loses the trail back to which transactions caused which movement. A year of errors compounded into one figure.

OneSixth was built to fix this — without replacing the ledger.

Built for accounting firms across the UK

Xero · QBO · Sage · FreeAgent

All four major UK platforms

HMRC-compliant

All current live guidance

Free to start

30-day trial, no card needed

How It Works

Four steps to margin VAT compliance

Works the same way for every scheme — connect, choose, record, post.

01

Connect Your Ledger

Sign in with Xero, QuickBooks Online, Sage, or FreeAgent. Secure OAuth — we never see your password.

02

Select Your Scheme

Choose which VAT scheme applies to each organisation — motor trade, TOMS, second-hand goods, partial exemption, or more.

03

Record or Pull Data

Add stock records, classify transactions, or let us pull data from your accounting platform automatically.

04

Calculate & Post

Review the calculation, preview the journal, then post directly to your ledger with a full audit trail.

Features

Everything you need for margin VAT

Connect once, manage everywhere

Multi-Platform, Multi-Org

Connect Xero, QuickBooks Online, Sage, and FreeAgent — all from a single dashboard. Switch between clients instantly, manage team access with role-based permissions, and keep every firm's data organised.

onesixth.app / organisations
Northgate Motors LtdXero
Motor Trade
Blue Horizon TravelQuickBooks
TOMS
Curio & Co. AntiquesSage
Second-hand
Harbour Property LLPFreeAgent
Partial Exemption
Automated calculations

Margin VAT & Partial Exemption

Automatically calculate VAT due on the margin for every supported scheme — motor trade, second-hand goods, global accounting, horses, and TOMS — plus full Partial Exemption with provisional quarters and the annual adjustment. HMRC-compliant figures, no spreadsheets.

TOMS · Q3 2026 · provisional calculation
Total selling price£184,200.00
Direct costs£129,940.00
Gross margin£54,260.00
Output VAT due (1/6)£9,043.33
Checked against VAT Notice 709/5 · period unlocked
Post directly to your ledger

Journal Posting & Audit Pack

Review the calculated adjustments, preview the journal, then post directly to Xero, QBO, Sage, or FreeAgent in one click. Every action is captured in a comprehensive audit log with downloadable audit packs for HMRC.

Journal preview → Xero
AccountDebitCredit
820 · VAT control—9,043.33
500 · Margin scheme sales9,043.33—
PostedAudit pack readyView in Xero
Work together, securely

Firms & Accountant Portfolios

Invite team members with admin, member, or read-only advisory roles. Accountants get a portfolio view across every client entity, with accountant-led billing built in.

Firm settings · team & portfolio
AMAlex MorganFull access · connections
Admin
PSPriya ShahCalculate & post journals
Member
CNClient: NorthgateRead-only reports
Advisory
12
Clients
4
Platforms
31
Periods filed
Supported Schemes

Every margin scheme & partial exemption, one platform

Pick the scheme that applies to each organisation. All HMRC-compliant, all posting directly to Xero, QBO, Sage, or FreeAgent.

Motor Trade

Live

Second-hand vehicle dealers using the VAT margin scheme.

HMRC guidance →

Tour Operators (TOMS)

Live

Tour operators, travel agents, and conference organisers.

HMRC guidance →

Second-Hand Goods

Live

Antiques, works of art, collectors' items, and general second-hand goods.

HMRC guidance →

Global Accounting

Live

Simplified scheme for high-volume, low-value second-hand goods dealers.

HMRC guidance →

Horses & Ponies

Live

Equestrian trade margin scheme with BETA form support.

HMRC guidance →

Partial Exemption

Live

Standard Method with quarterly provisional recovery and the annual adjustment.

HMRC guidance →

Houseboats & Caravans

Coming Soon

Margin scheme for second-hand houseboats, caravans, and motor caravans.

Auctioneers

Coming Soon

Auctioneers acting as agents or principals under the margin scheme.

Pricing

Pricing

Two clear plans. One for accountancy practices and bookkeepers. One for businesses and charities buying for themselves. No setup fees, no per-user charges, cancel anytime.

Support

Need help? We're here.

Whether you have a question about margin VAT, need technical help, or want to discuss your firm's needs — our UK-based team is ready to assist.

support@onesixth.app
Mon–Fri, 9am–5pm GMT

General enquiries: hello@onesixth.app · Sales: sales@onesixth.app · Billing: billing@onesixth.app

Ready to simplify
margin VAT?

Join accounting professionals across the UK who trust OneSixth for accurate, efficient margin scheme compliance.

OneSixth

Simplify margin VAT, TOMS and partial exemption across Xero, QuickBooks Online, Sage and FreeAgent. Built for UK accounting professionals.

Product

  • How It Works
  • Features
  • Pricing
  • Join the beta
  • Changelog

Solutions

  • VAT margin schemes
  • Tour Operators' Margin Scheme
  • Partial exemption
  • Free guides

Resources

  • Help centre
  • Plans & pricing policy
  • de minimis blog
  • Free guides
  • Support
  • Changelog

Trust

  • Trust Centre
  • Security
  • Sub-processors
  • DPA

Legal

  • Privacy Policy
  • Terms & Conditions
  • Cookie Policy
  • Terms of Use

OneSixth is a trading name of Option To VAT Limited, a company registered in England & Wales (company number 15668306). Registered office: One Express C/O Beever And Struthers, 1 George Leigh Street, Manchester, M4 5DL, United Kingdom. VAT registration number 523 3658 94 (effective 1 August 2026). Registered with the UK Information Commissioner's Office, registration number ZC197273. Contact: support@onesixth.app.

Not tax advice. OneSixth provides VAT margin scheme, partial exemption and TOMS calculations from data you and your connected accounting platform supply. It is a software tool — not tax, legal or accounting advice. You remain responsible for reviewing every calculation and journal before submission to HMRC. For advice specific to your circumstances, consult a qualified tax adviser.

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