| GST Errors on Business Activity Statement Returns |
| Taxpayers, who prepare their own Business Activity Statement, may be unaware of the following issues, which the Australian Taxation Office say are the most common mistakes. |
Private or Business Use
Checks by the Australian Taxation Office have identified that claims are often overstated for apportionment of private/business use. In some instances the private use is entirely overlooked by clients preparing their own Business Activity Statement. Any private use must be dealt with in the period in which it occurs.
Hire Purchase/Lease
It is a common error for taxpayers who lodge their Business Activity Statement on a cash accounting basis, and who acquire goods under hire purchase or lease arrangements, to claim the whole input tax credit for those goods or lease payments in the Business Activity Statement for the period when the goods are delivered. The input tax credits should be claimed progressively as payments are made.
8th-September-2003 |
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