off topic GST question

does anyone know anything about GST rounding?

If you have something worth net $4.65 you add a rounded 47 cents GST. I got that.

What if, you have 5 of these things?
Total net then comes to $23.35
Is the GST payable $2.34 or is it (5 x 47) $2.35?

Its only 1 cent, but just wondering how an invoicing system should be coded, even though I am going to do it the latter way.

If someone buys 500 units will they want their $1?

hmmm just like if it takes a week to walk a fortnight, how long is a piece of string?

It is the total of the sale

the GST always works in favour of the tax man, lets face it he set the rules, you don't think he's going to let you have it easy.
if you bought 1 item for $23.35 how much GST would you pay?

Bizarre wrote:It is the total of the sale

yeah what he said . automatic done on receipt
to add the gst u x by 1.1🙅
to get gst you divide by 11😎

In a retail situation the GST should be given in the advertised price of the UNIT to the customer WITHOUT even mentioning the word! That little bloke said this when it was introduced, you know, the bloke who said at his election that there would never be a GST under him. However, he then said "I really meant in my first term of government!!!!!!" The loophole the suppliers use is "if they are supplying to industry".

A couple of suppliers to my old work lost quite a few thousand dollars when at first they added GST to the quoted price and then added freight as well to what was originally a firm price. All but one quickly learned that I was just as stubborn and never sold another carbide tool to us in 5 years.

If it's a retail outlet, remind them that you do not need to know what the GST is, just the total price you pay!

DH

there are some cash sales but mostly b2b. What makes it a little more complicated is that some cheese is gst free and some isnt. Plain cheese = fresh produce so no GST. Sprinkle pepper on top and it attracts GST. It get into the John Hewson birthday cake type situation.

I reckon there is a lot of the Richard Prior in SupermanIII type riches lying around somewhere due to all the rounding that is going on. Different invoices for different things I have show GST is added and rounded differently at different stages

The main thing when invoicing is to be consistant, if you chose to add gst on a unit price then ALWAYS do it that way, because if you are seen to be profiting off the collection of gst the ATO will come down on you like a ton of bricks. It is the same when doing stocktakes I worked for a company who did stocktakes monthly and put a price on each item that was a fair COGS and pay tax on that then on yearly returns they LOSE all stock and profit from not counting them! ATO did an audit and fined them a rather large bit of dosh. Lesson is if your going to be a bit dodgey dont have paper work to back it up!!!!!!!!!!!