Goods and Services Tax (GST) Rate Codes

The following GST codes are to be used when processing taxable, GST-free and input taxed acquisitions and supplies.

Code Explanation
C Current Rate (10 % taxable acquisition or supply)
Z Zero rated (GST-free acquisition by University)
F GST-free (GST-free supply by University)
E Exports (GST-free)
I Input taxed
P GST Credit not claimable
NA Tax not applicable (out of scope and internal transactions)

Valid Tax Invoices

A valid tax invoice is required in order to claim an input tax credit for an item costing more than $75 (from 1 July 2007) and it must:

  • State that it is a tax invoice
  • Contain the name and ABN of the supplier
  • Have a description of the items supplied
  • Note the total price including GST, or the GST amount and the total price

There is no obligation to issue a tax invoice if the value of the supply (excluding GST) is $75 or less from 1 July 2007.

If the tax invoice is over $1,000 it must also include the name and ABN of the recipient and the quantity of each item supplied.

Business Activity Statement (BAS)

The University is classified as a large withholder under the GST Act, and is obliged to lodge its BAS monthly to the ATO.

The University accounts for its BAS on an accrual basis and includes calculation of GST, deferred GST, Fringe Benefits Tax (quarterly) and Withholding Tax. The University's controlled entities submit their own BAS.

Financial Services currently administers the lodging and reconciliation of the University's monthly BAS.

Correcting GST Mistakes on BAS

A time limit of 3 months and a correction limit of $25,000 apply to the University to correct GST mistakes made on a previous BAS.

Where a mistake or omission relates to an earlier BAS that fall outside the time and correction limits, the University needs to revise that earlier BAS.

Deferring GST on the Importation of Goods

The University is registered for the "deferring GST payment on importation of goods scheme". Under this scheme, the Customs department records the deferred GST liability when goods arrive in Australia to avoid GST charged directly at the point of goods clearance. The deferred GST then is offset on the BAS in that month.

Entities with no ABN – Withholding Tax

The University is obliged to withhold 46.5% on payment to suppliers who do not quote their ABN on invoices unless they fall under one of the following exceptions:

  • The payment does not exceed $75 GST exclusive
  • The supply is made in the supplier's private capacity, or as their hobby
  • The payment is exempt income for the supplier
  • The payment is to a non-resident who is not carrying on a business in Australia or through an agent in Australia

An exception applies when the supplier provides a written statement that meet one of the conditions contained in the ATO form "Statement by a Supplier".