Maintenance Tasks

9.3.3 Account Maintenance: Receivables Paid: Accounting for GST on Cash Basis

Trustees of Funds that account for GST on a cash basis will need to enter GST on Receivables at the time of receipt.

Using the example of rent on our West End unit (above), the Receivable entry would be:

Receivables: Entering receipt with cash basis GST

The receipt has been debited to the bank and credited to Accounts Receivable as before, but the GST that was included in the original invoice has been deducted from the income account and credited to GST Collected so that it can be reclaimed in the next BAS return.

about the author:

Lorraine Cobcroft

With a background in accounting and financial management, followed by two decades writing software documentation, Lorraine joined the Mclowd team in mid-2016 and is enjoying working with a dynamic team to enhance an innovative product that has the potential to revolutionize the way Australians manage their retirement funding. Lorraine is also an accomplished business writer, ghost-writer, novelist and short-story writer and poet.

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