Goods and services tax (GST) is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia. It contains a bewildering array of inconsistencies, anomalies and traps for the unwary. When well managed and understood, it can provide a potential risk or reward to business cash flow, , depending on which widgets or services are sold.
We can provide comprehensive advice on GST issues that are affecting your business to ensure you understand and meet your obligations as well as minimising your tax liability.
We provide information and services related to GST based on the following broad categories:
- Planning for GST
- Exempt Supplies
- GST for Small Business
- Property Development
- Imports and Exports
Planning for GST
Like most things to do with Australian taxation law, it is often the decisions you make about how to conduct your business that determine its tax efficiency going forward. We understand the strategic value of good tax planning and we recognise its importance in the GST regime.
As a GST-registered business, you will likely charge and collect GST. If the GST you collect from sales is more than the GST credits you are claiming (for the GST in the products you purchased for your business), you send the difference to us with your business activity statement.
Most businesses do this every three months, however there are options to report and pay monthly or annually depending on your business size and circumstances. Abbotts can provide guidance to businesses on cash flow management and understanding the GST regime, so you can meet your obligations when they fall due.
GST for Small Business
If you run a small business, you are likely to have some GST obligations.
Let Abbotts help you understand what your obligations entail and assist with maintaining compliance - from registration, to reporting requirements, when to issue a tax invoice, and explaining what products and services the GST legislation applies.
It is a complex tax system, and may impact on almost every transaction you enter into. We can provide comprehensive advice and ensure your business complies with the GST legislation and its reporting requirements.
There are complex rules surrounding property development that if not managed carefully can lead to very poor taxation outcomes. We have extensive experience in the GST issues surrounding property developments (including the GST withholding obligations that commenced 1 July 2018), and can help you plan ahead to minimise both the monetary and record-keeping impacts of the legislation.
If you are registered for GST - or required to be – the goods and services you sell in Australia are taxable unless they are GST-free or input taxed.
Non-profit organisations may be entitled to certain concessions, depending on the transaction.
Abbotts can help you and your business correctly apply the GST legislation for goods and services that are tax exempt. This may depend on your industry, who the other party of the transaction is, or the specific product or service being offered in the transaction.
Imports and Exports
GST is payable on most goods imported in to Australia. This tax is payable by the business or individual, whether registered for GST or not. On the other hand, goods exported from Australia are generally classified as GST-free, however specific exemptions to this general rule do apply.
Abbotts can provide both advice and paperwork assistance to your business in understanding your businesses situation in relation to the legislation, and ensuring you comply with all financial and record-keeping issues.
Partner, Abbotts Chartered Accountants
David is our Tax Specialist and has worked in the tax and accounting field since 1982. David spent several years early in his career working in the ATO. He joined the Abbotts team in 1997 and became a Partner of the Practice in July 2000.
Stephen is a Senior Associate of the Practice. He joined the firm in January 2000 and brings with him many years of experience in Taxation and Business Services. He is an Associate of the Institute of Chartered Accountants in Australia since 1989, and a member of the Chartered Accountants (UK) since 1991.
Contact Abbotts today to learn more about our taxation services
Please fill in the form below and one of our staff will be in touch.