Thank you for visiting our Partner Zone. This area is an exclusive space for MYOB Partners. Find out how to Partner with MYOB.
March 2018 - last edited March 2018
March 2018 - last edited March 2018
As a designer I frequently purchase font and image licenses from overseas, billed to me without GST of course. My question is when allocating transactions, what tax code should I be using? Zero Rated and Exempt don't seem to be appropriate from the definitions I've read. Is one of these the correct code for these instances?
March 2018
March 2018
Hi @Ms_larking.
There are 3 codes for 0% GST. You are right! It is one of the areas that confuses most of my clients - when to use which one.
I have been in touch with IRD and their recommendation is to send an email to them via MyGST and they will provide more information on that in case you can't find anything in IR375 which is GST Guide Working with IRD.
I have sent an email to find out the appropriate code and I will follow through as soon as there is any progress from them.
Also, meantime I will recommend you to seek the help of your accountant to get an expert advice.
March 2018
March 2018
Hi there,
For overseas purchases you need to use either E or N-T. The Z code is only for export sales - as using this code populates Box 6 which is Zero rated supplies. An overseas purchase is exempt of GST - therefore I tend to use the E code - if this helps you remember which one to use.
8
|
181
|
|||
7
|
701
|
|||
15
|
765
|
|||
0
|
625
|
|||
11
|
1172
|