A Complete Guide For Goods and Service Tax (GST)
If you are residing in Australia, you should know what GST is. So, what exactly GST is? To delve a bit deeper, its fuller form is Goods and Services Tax. It is basically a ten percent tax incurred on the costs on the maximum number of goods. You need not gauge or worry about the percentage of GST on the things you buy every day. This is because the GST is already added to the price of the product which you’re buying.
GSTs For Businesses
GSTs for businesses are completely different from that of the GSTs incurred on the goods in our daily parlance. You must collect GSTs from the several of your clients and customers. Similarly, you also need to pay GST to the Australian Taxation Office according to the nature of your business. Paying and garnering GST is indeed a tricky procedure. As a customer or that of a business owner, you should know how this process exactly functions. A comprehensive guide related to the same can be considered below.
Register for GST at the Australian Taxation Office
So, to get started, make sure you register for GST at the Australian Taxation Office (ATO). There are certain things which you need indispensably as a part of this procedure. The first thing which you will require for sure is an Australian Business Number. Next, you need to ascertain that whether you earn an income of $75000 every year or not. This limitation applies if your business is not a non-profit organization which is incurred by a constraint of AU$150,000 every year.
There are certain criteria which you need to provide as a part of your GST registration process. These chiefly include the following:
- The unique structure of your business
- Evidence that substantiates your actual identity proof. These chiefly include the details of your address, date of birth, and name.
- Your pertinent tax file number (not imperative if you already have an Australian Business Number).
- The various details related to the activities of your business
- A valid reference number pertaining to your Australian Taxation Number in case your application is incomplete.
- A substantial tax agent number (if you want to appoint a tax agent)
- Crucial details of each organization or individual encompassing the business. Say, for instance, your shareholder, secretary, director, or that of a partner, etc.
- Authentic contact details and address of the organization or business and
- Authentic contact details and the name of the applicant.
Hire a GST Tax Agent in Perth to get the most remunerative assistance in this matter. After you obtain your ABN, you need to move on to your GST registration. Make sure you provide an unblemished Australian Business Number (ABN) while doing so. Besides, do provide all your pertinent banking details too to attain optimal results related to your GST registration. Contact the top GST tax agent in Perth to get more comprehensive bits of information about Australian GST.
You must provide a tax invoice if you’ve made a taxable sale over AU$82.50 which is inclusive of GST. It will allow your clients registered for GST to claim they’re pertinent GST credits effectively. It may happen that you’ve failed to provide a tax invoice to any of your customers. In that case, you can provide them the tax invoice within the next twenty eight days. Appoint a registered tax agent in Perth to get the choicest assistance pertaining to your GST accounting.
Reporting for GST
To report all your periodic business tax claims and liabilities, make sure you’ve prepared a substantial business activity statement (BAS). GSTs applying to the following circumstances are considered to be eligible.
- Business costs related to your Pay As You Go Withholding tax
- Business costs related to your Pay As You Go instalments
- All the pertinent sales of your small business and
- All the pertinent credits incurred on the various purchases of your business
Thinking that who is the best tax agent near me in Australia? Then you need not go anywhere but come to Perth, Australia. This is because the best tax agents are awaiting you in Perth to give you the best assistance. After assessing the nature of your business carefully, your tax agent will tell you that specifically which GST tax you’re liable to pay to the Australian Taxation Office.
Income Tax Deductions and GST
Have you until recently purchased an item on which you can claim an income tax deduction? If your reply is yes then you can only claim the portion for the net amount excluding the GST. Conversely, you can claim for the entire amount in case no GST credit incurs on that particular item.
Appoint a Tax Agent in Perth!
So, hopefully, today’s posted has been a comprehensive guide for you related to the Australian GST. Hire a Tax Agent Perth to attain a clear understanding of Australia’s different types of GSTs. One of the best tax agents in Perth will assist you to lodge your GST tax return impeccably as well.