6 years ago

GST- Imbalance

Hi,

Can anyone please help me out with this.

As i am doing GST return from Myob . I am generally paying GST on Payment basis. But whenever i go to GSt paid or colleted ledger it is showing me Gst working on Invoice basis. Becasue of this i am unable to settle my Gst liability in books of account in Myob.

I wan to know how can i settle my gst account if i have paid or received gst as per my calculation.

Mike_James
6 years ago
Hi Meenakshi , you are preparing GST returns on a different basis to your accounts, and so there will always be differences between what you return for GST and your GST account balances.

The difference can be reconciled as follows:

(1) GST on income
Take the movement for this account during the return period
Add the GST on debtors at the beginning of the period
Deduct the GST on debtors at the end of the period
This figure should equal the GST returned on a payments basis.

The GST on debtors can be found using the "Receivables with GST report" (in AccountRight).

(2) GST on expenses
Take the movement for this account during the return period
Add the GST on creditors at the beginning of the period
Deduct the GST on creditors at the end of the period
This figure should equal the GST claimed on a payments basis.

The GST on creditors can be found using the "Payables with GST report" (in AccountRight).

The movement figures should exclude (add back) amounts (if any) relating to payment of previous GST returns.

Mike_James
Ultimate Cover User
6 years ago
Hi Meenakshi , you are preparing GST returns on a different basis to your accounts, and so there will always be differences between what you return for GST and your GST account balances.

The difference can be reconciled as follows:

(1) GST on income
Take the movement for this account during the return period
Add the GST on debtors at the beginning of the period
Deduct the GST on debtors at the end of the period
This figure should equal the GST returned on a payments basis.

The GST on debtors can be found using the "Receivables with GST report" (in AccountRight).

(2) GST on expenses
Take the movement for this account during the return period
Add the GST on creditors at the beginning of the period
Deduct the GST on creditors at the end of the period
This figure should equal the GST claimed on a payments basis.

The GST on creditors can be found using the "Payables with GST report" (in AccountRight).

The movement figures should exclude (add back) amounts (if any) relating to payment of previous GST returns.
- Meenakshi
  6 years ago
  Hi Mike,
  
  Thanks for your quick reply. I have done according to your guidance and my gst collected amount is tally with return but there is diffence in gst paid.
  And also do i have to make any entry relating to this so that my gst account should tally with return. I have checked that by adding and deductin in excel but how should i reflect that in my accounts.
  
  Can you please explain me this one-
  The movement figures should exclude (add back) amounts (if any) relating to payment of previous GST returns.
  
  Once again thanks for the reply.
  - Tracey_H
    Former Staff
    6 years ago
    Hi Meenakshi
    
    After you have reconciled your GST Paid and Collected as per Mike_James great instructions and your BAS has been lodged you enter a Spend/Receive Money transaction for the payment/refund. This transaction allows you to reconcile your GST accounts in MYOB.
    
    This support note may be helpful - Recording your ATO payment or refund
    
    A handy tip is that you can open BASlink, click on Reports, select Transaction report and print. Enter the payment/refund exactly as shown in the transaction report.
    
    You can then reconcile your GST Paid/collected accounts back to zero through the Reconcile Accounts screen.
    
    If you have any further questions please don't hesitate to ask