DESKTOP EDITION CLOUD EDITION SERVER EDITION GUIDES FORUM

Ritc


#1

Is there a way to specify when I am not able to fully claim a GST credit/rebate. Depending on the service, I may for example, only be able to claim 75% of the GST amount as a GST rebate. These are know as Reduced Input Tax Credits and are quite prevalent in the financial service industry.


#2

How many transactions would be subject to this reduced GST rate? If not too many, you can simply split transaction where only 75% of the amount would be allocated to GST code.


#3

The GST rate isn’t reduced as I still have to pay the full 10%, its that I can only get a tax credit/claim for GST paid on the services/product, at a rate of 75% or 55% of the GST cost incurred (the rate depends on the service/product purchased).


#4

Yeah that’s right. If you can claim only 75% or 55%, you need to split those transactions as shown above.

That’s why I was wondering how many transactions would be applicable to this splitting as with too many transactions, this method would be way too tedious but with a few it’s workable.


#5

Thanks. That works, but it may prove a bit of a pain down the track as transaction volumes increase.

I guess I play it by ear for now.