A seller must provide supply correction information to correct an error in the original taxable supply information, or filed return.
It does not matter if the buyer has already paid for the goods or services.
When supply correction information is required
- when a buyer adds more items or cancels an order
- all or some of the goods are returned to the seller
- some of the goods were not delivered to the buyer
- there is an incorrect description of the goods or services
- incorrect seller or buyer details included
- the date is incorrect
- GST is calculated at the wrong rate
- an incorrect GST amount is charged.
What supply correction information must include
Buyers and sellers must retain supply correction information with all of the following details:
- the seller’s name (or trade name) and GST number
- the date the correction was provided
- details identifying the taxable supply information (for example, an invoice number)
- the correction to the taxable supply information including, if relevant, a correction to the amount of tax charged for the supply.
Supply correction information for a particular supply should only be provided once, but if the buyer loses theirs you can provide a copy. Copies do not need to be marked as 'copy only'.
You will not be required to provide supply correction information if the correction results from a discount or rebate and the terms have been agreed to in writing or set out in the taxable supply information.
You can not use supply correction information to fix a mistake in a return after a certain time period.
A document may contain supply correction information as well as taxable supply information for a different supply.
Adjusting for supply correction information
You must include the supply correction information in the GST return for the period it was provided in.