With GST affecting virtually all business transactions, it is inevitable that businesses will make mistakes in their GST returns. This is evidenced by the IRAS collecting $219.5 million in additional tax and penalties from GST audits for FY2017/18, which forms more than 50% of the total collections from audits conducted across the different tax types.
As the GST errors can be reduced or avoided with a better understanding of the GST rules, it is critical for the company to equip its staff with the right knowledge and how the rules apply to transactions so as to mitigate the exposure to penalties. The IRAS has also indicated in its Voluntary Disclosure Programme that penalties can only be reduced or waived for timely voluntary disclosure of errors.
GST concepts relating to revenue / supplies
• What are the different GST classification for my supplies?
• When and what value should I report in the GST returns?
• What conditions do I need to comply with in order to zero-rate my supplies?
• Sale of goods
• Supplies of services
• What are the recent GST changes?
GST concepts relating to purchases and expenses
• What conditions do I need to comply with in order to claim GST on my expenses?
• Contracting party
• Tax invoice
• Business purpose
• Exchange rates
• Can I claim GST on fringe benefits?
• Can I claim GST on expenses not paid to suppliers?
• Am I subject to input tax restriction?
• Is there any GST implications when I give gifts?
GST concepts relating to recovery of expenses
• What are the GST treatments of my recovery of expenses?
• Disbursement vs reimbursements
• GST classification
• Can I claim GST on disallowed expenses that are recovered from another company?
• Common business examples to illustrate the application of the GST rules for recovery of expenses