Tax Information Bulletin: Corrections

Correction - Threshold to account for GST on a payments basis (May 2006)

We have been asked to clarify whether the taxable supplies threshold for accounting for GST on a payments basis, as advised in an earlier Tax Information Bulletin item, should read as a GST-inclusive or exclusive value.

Background

Tax Information Bulletin, Vol 12 No 12 (December 2000) advised that the threshold under which a registered person can elect to account for GST on a payments basis has been increased to $1.3 million "(including GST)". However, the quoted words do not appear in the legislation.

Clarification

The value of a supply of goods and services is an amount that, with the addition of the tax charged, is equal to the aggregate of the consideration for the supply. On this basis, the $1.3 million threshold related to the value of taxable supplies is to be read as GST-exclusive. The equivalent GST-inclusive amount would, on current rates, be $1,625,000.

Other pages in: Corrections

• Corrections - to TIB Vol 23, No 1 (February 2011)
• Corrected foreign currency amounts - conversion to New Zealand dollars
• Summary of Supreme Court Ruling on "Trinity"
• Incorrect currency rates - October 2009
• Correction - incorrect figure in the National Average Market Values of Specified Livestock Determination, 2008
• Interim judgment printed in error
• Incorrect currency rates
• NZIT investments not exempt
• Correction
• Correction - SPS 07/05 - Transfer of depreciable property between associated persons - section EE 33 of the Income Tax Act 2004
• Correction - Operational Statement OS 06/01 GST Treatment of Supplies of Telecommunications Services
• Correction - SPS 06/02 Writing off outstanding tax
• Correction - to TIB Vol 19, No 3 (April 2007)
• Correction - FBT tax value of vehicle under different balance date scenarios

Date published: 04 Apr 2006

Back to top