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ToniM1's avatar
ToniM1
User
4 years ago
Solved

Purchases that are GST free & GST from a supplier who is not registered for GST

Hi,

 

I think I'm overthinking in the following scenario and would appreciate any guidance and clarification.

 

  • Coffee Van that is registered for GST & PAYG Withholding has just been purchased from the previous owner, who was not registered for GST.
  • The new owner has purchased stock, to the value of $500 for coffee (Free) $150; milk (Free) $50; softdrinks (GST) $120 and snacks (GST) $180
  • When I record the invoice from the previous owner (who I set up as a supplier as GNR), do I enter all the items as GNR or enter them as their correct tax codes, i.e. Free or GST?

I just want to make sure that I'm doing it correctly.

 

Thanks in advance

ToniM1

  • Tracey_H's avatar
    Tracey_H
    4 years ago

    Hi ToniM1 

     

    Thanks for your post. As we're not accountants or tax advisors we're not permitted to advise on which tax code to allocate to transactions so you will need to check with your accountant or the ATO. 

     

    Please don't hesitate to post again if you need help with your software.

     

    If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.

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  • Tracey_H's avatar
    Tracey_H
    Former Staff
    4 years ago

    Hi ToniM1 

     

    Thanks for your post. As we're not accountants or tax advisors we're not permitted to advise on which tax code to allocate to transactions so you will need to check with your accountant or the ATO. 

     

    Please don't hesitate to post again if you need help with your software.

     

    If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.