Home – New Forums Money matters Missing GST?

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  • #988204
    atariboy
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    Hi All,

    I’m involved in a 3 piece band, we play once a week and all of us invoice the band manager but not for gst. so wondering where the leftover amount is going.

    Here’s the breakdown –

    The manager invoices the venue for $1200+gst ($1320)
    Manager takes 15% commission – $180+gst ($198)
    Leaving – $1122.

    Member #1 invoices – $350
    Member #2 invoices – $350
    Member #1 invoices – $300

    There is $122 left over that the manager is keeping, is he actually meant to be withholding that or is he double dipping?

    Hope that makes sense and sorry to sound dumb but I’m about to take over management and need to clear things like this up.

    Anyones help would be fantastic.:)

    Matt

    #1166153
    bb1
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    I am guessing you arent registered for GST and that is why you are not invoicing for GSt.

    In which case when the Manager puts in his BAS he needs to declare and Pay the GST to the tax office, so he is paying it to the ATO as part of his BAS.

    #1166154
    atariboy
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    bb1, post: 192346 wrote:
    I am guessing you arent registered for GST and that is why you are not invoicing for GSt.

    In which case when the Manager puts in his BAS he needs to declare and Pay the GST to the tax office, so he is paying it to the ATO as part of his BAS.

    Thanks for the reply!

    OK, so the GST for the entire service in this case is $120 which has to be paid through to the ATO no matter what eg via the manager and/or band members?

    And no, I’m not registered for gst….yet.

    #1166155
    Rhys
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    Hi Matt,

    From the way you have phrased the question I am assuming that your manager is registered for GST, and that each of the band members are not. If so the difference is actually $20, not $122 – you need to look at the inc & ex GST amounts separately.

    He invoices the venue $1200, so less his $180 commission he has $1,020 left to distribute to the band. You guys invoice him $1,000, so there is $20 not being accounted for. The remaining $102 ($120 less $18) he pays to the ATO when he lodges his BAS.

    Hope that helps,

    Cheers, Rhys

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