ࡱ> 342ܥhW e|&c|#RRZZZZZ|[|[|[|[|[|[[v|[a\\\\\\\\P]R]R]R]8]_aWbXbdaZ\\\\\a\ZZ\\\\\\Z\Z\P]GܛZ2([TZZZZ\P]\l\ NACCHO & the GST A Workbook Judith Davies NACCHO LOGO to go here GST START-UP ASSISTANCE OFFICE logo to go here This project was funded by the GST Start-Up Assistance Office National Aboriginal Community Controlled Health Organisation 2000 ISBN 0 9578010 2 5 National Aboriginal Community Controlled Health Organisation Alia House, 1st Floor 9-11 Napier Close Deakin ACT 2600 Tel. 02 6282 7513 Fax 02 6282 7516 Editorial and layout: Blessington House Pty Ltd Contact details and sources of information The Australian Taxation Office will provide information and guidance with technical or other changes that will arise from the introduction of A New Tax System. The following publications are already available and may be of assistance: Guide to Registering for the New Tax System Charitable, Religious and Non-Profit Organisations and the New Tax System GST-free and taxable food and beverages The Charity Pack and The Gift Pack These booklets can be obtained by: telephoning the Business Tax Reform Infoline on 13 24 78 downloading them and other resources from the Tax Office website at 222.taxreform.ato.gov.au writing to the Tax Office at PO Box 9935 in all capital cities. GST Start-Up Assistance Office Telephone: 13 30 88 Fax: 13 28 60 Enquiries and general information on registration Telephone: Tax Reform Infoline 13 24 78 Internet: www.taxreform.ato.gov.au Mail: PO Box 9935 in all capital cities. How to register for an Australian Business Number Telephone: Tax Reform Infoline 13 24 78 Internet: Governments Business Entry Point www.business.gov.au or: through a tax agent. Translating service If you, or someone you know, does not speak English and needs help from the ATO, telephone the Translating and Interpreting Service (TIS) on 13 14 50. A TTY service is available by contacting 1300 130 478. (iii) Note from NACCHO This workbook is intended as a guide only. You should not act solely on the basis of the information contained within. Many aspects of the material have been generalised and the taxation and GST laws apply differently, depending on the circumstances in each case. Further, there may have been changes to the law since the notes were compiled. NACCHO and the author expressly disclaim all liability to any person for the consequences of anything done or omitted to be done by any such person relying on a part or the whole of the contents of this workbook The comments contained in this workbook are not intended to be advice, whether legal or professional. Do not act on information contained without first obtaining specific advice regarding the particular circumstance from a tax professional or the Australian Taxation Office. Note from ATO Please read the following important information concerning this material This material is provided under the Commonwealths GST Start-Up Assistance Program, and is designed to provide general information on the GST and on business skills, practices and processes necessary to operate with the GST, focussed on small and medium enterprises and the community and education sectors. Because business circumstances can vary greatly, the material is not designed to provide specific GST or business advice for particular circumstances. Also, because aspects of the GST are complex and detailed, the material is not designed to comprehensively cover all aspects of the GST as it applies to small and medium enterprises and the community and education sectors. Further, the laws implementing GST, and rulings and decisions under those laws, may change. Before you rely on this material for any important matter for your business, you should: make your own enquiries about whether the material is relevant and still current, and whether it deals accurately and completely with that particular matter; and as appropriate, seek your own professional advice relevant to that particular matter. This material is provided on the understanding that neither the Commonwealth nor its personnel, nor any other organisation or person involved in developing or delivering the GST Start-Up Assistance Program, is thereby engaged in providing professional advice for a particular purpose. These limitations and warnings also apply to information based on this material presented at any seminars or workshops provided as part of the GST Start-Up Assistance Program. (iv) Contents Contact details and sources of information (iii)Chapter 1A New Tax System1Key changes1What is the GST?1Operating costs not subject to GST2The impact of GST on non-profit organisations2What the new tax system means for individuals2The role of the ACCC3Take the first steps now to prepare for the GST3Chapter 2Registration4Registering for the GST4What is an entity?4Entity and Grouping4Units5Enterprise5Application for an Australian Business Number5Registration for the GST6Key benefits of registration6Key benefit of not registering6When to register for the GST6Endorsement7Registration and community-based non-profit organisations7Fines and penalties7Notes on completing the application form for A New Tax System8(v) Chapter 3Supplies11What are supplies?11What are taxable supplies?11Examples of taxable supplies11GST-free supplies12Examples of GST-free supplies12Financial supplies13Input-taxed supplies13Input-tax supplies and supplies by non-registered organisations13Non-registered entity13Chapter 4Input tax credits14Claiming back input tax credits (refunds)14Input tax credits are available for all relevant inputs14Input tax credits can be claimed for all operating expenses14Where input tax credits are not available15Summary - input tax credits15Chapter 5The Business Activity Statement16Tax periods16Attribution rules16Cash basis - taxable supplies made by an entity17Cash basis - taxable supplies acquired by an entity17Accrual basis - taxable supplies made by an entity17Accrual basis - taxable supplies acquired by an entity17How to submit a Business Activity Statement17Community non-profit organisations and the Business Activity Statement18Grouping under the GST18Advantages of grouping18Summary notes on the Business Activity Statement18Chapter 6The Tax Invoice19What to include in a Tax Invoice20Record-keeping20Working out how much GST you have been charged21(vi) Chapter 7Accounting for the GST22Control accounts22Manual record-keeping22How to record manual payments on a cash basis22Journal exercise23How to record manual receipts on a cash basis26Journal exercise27Bank Reconciliation Statement30Chapter 8Computer accounting for the GST31Generalised computer accounting applications31Company setup32Invoices customer setup32Supplier setup32Setup inventory32Master file setup32General ledger33Creating Tax Invoice formats33The BAS and its key fields33Tax reporting33Receipts exercise34Payments exercise34Chapter 9Fringe Benefits Tax (FBT)38Pre-GST Fringe Benefits Tax38Keep records38Individuals may lose Government entitlements38Quasi fringe benefits also included39Legislative changes related to excluded benefits from 1 April 199939Other benefits not included39Employees group certificates not required to be issued earlier than 14 July 200040Identifying taxable value40Employers must still pay FBT on all taxable benefits40Six steps to follow to reconcile your FBT return form and group certificates41Case study: Determining an employees reportable FBT amount41(vii)Chapter 9Fringe Benefits TaxEmployees reportable fringe benefits total42(cont.)(cont.)Reconciliation of employers FBT return form with individual employees42Schedule 1: Consolidation of employers total taxable value of benefits43Schedule 2: Taxable benefits ignoring excluded benefits44Schedule 3: Excluded benefits provided to employees44Schedule 4: Employees where individual fringe benefit amount exceeds $1,00045Schedule 5: Employees individual reportable fringe benefits worksheet45Schedule 6: Employees who receive fringe benefits with a taxable value not exceeding $1,00046FBT reportable fringe benefits letter to employee46Example of letter to employee46Note for employee47Post-GST48Example: Expenses classified48Pay As You Go (PAYG) system - FBT implications49FBT and the general interest change49Appendix50Tax InvoiceBusiness Activity StatementFBT return 1 April 1999 to 31 March 20002000 Group CertificateManual Cash Receipts BookManual Cash Payments BookPetty Cash BookGlossary (viii) .An  3G>@,- .a { (/V\^_jkNVu&|& UV]cU]c]cV]U]c]U]c,U]c8U]c U]c0U]c(U]O|&&u 0123GHIJL !"#6789:;Zz###############y###########################+>?@,-YL ,-##########y#K#K#####,#,#,#,#,###*#*#*#*##### 4  4!-.`a 3 _ u s t z { )./##K#K######K#K#######K#####K###########K#####3&*OPQRSTUV[\]^_hijk## ##############D#K#y#y#y KK KK KK l  #  4$BDEFGuwxyz KK KK KK KK KK KK KK KK  l  #+-/0128:;<=HJKLM{}~KK KK KK KK KK KK KK KK KK l  #+QSTUVjlmno KK KK KK KK KK KK KK KK  l  #* 03456HKLMNlopqrKK KK KK KK KK KK KK KK KK l  #+"#&'()SVWXY %()3STWXYZfijkl~ KK KK KK KK  KK KK KK  l  #+~'*+,-dghij !"KK KK KK KK KK KK KK KK KK l  #+"#TWXbrsvwxy  KK KK KK KK KK KK KK KK  l  #* 14567MPQRS  569:;<ilmKK KK KK KK KK KK KK KK KK l  #+mno}7:;<=K KK KK KK KK KK KK KK KK  l  #+KNOPQcfghi{~     6 9 : ; <  KK KK KK KK KK KK KK KK KK l  #+ !!!!!T!W!X!Y!Z!!!!!!!!!!!!!!!!!!!!!!" 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