Home Forums Money matters How to deal with tax when invoice and payment dates in different financial years

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  • #1231503
    amitkumar78
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    Hi,

    I am a small business. I sent an invoice to my client in FY 2020-21 and received the payment in FY 2021-22. In the previous financial year, I was not GST registered. However, I register myself from 01 Jul in the current FY. Just wondering if I need to include this payment in my current quarterly BAS? I am using cash method.

    #1231525
    Leanne
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    As you are using the cash method you will account for this when payment has been recieved. But as GST was not registered until after this date GST is not required.

    • This reply was modified 1 month, 1 week ago by Leanne.
    • This reply was modified 1 month, 1 week ago by Leanne.
    #1231528
    Leanne
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    Therefore, the invoice will be reported on your current BAS but with a zero GST portion.

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