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Import GST Sales Tax

JonJazzJonJazz Member Posts: 6

Hi, I import products from overseas and pay GST (sales tax @15%) on the value of the goods and shipping. This expense is 100% tax. How do I deal with this on on the transaction page?

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    AlexLAlexL Member Posts: 2,869 ✭✭✭

    Hi @JonJazz . Just to confirm with you here, are you looking to add a sales tax to all of your transactions to account for the 15%, or do you have 1 separate expense transaction in your Transactions page which represents the total value of the sales tax on the order?

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    JonJazzJonJazz Member Posts: 6

    I have already set up Sales tax for products and sales. What I want to add is the GST I pay when importing goods. So for example the total bill from my customs broker there is $189.75 of GST and the invoice total is $257.42. Applying sales tax of 15% to the total would give an incorrect figure of how much GST I have actually paid.
    My work around was manually overriding the sales tax total which gave the correct result. Perhaps there is another way to do this?

    edited March 7, 2019
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    SophiaSophia Member Posts: 147 ✭✭

    Hey @JonJazz can you elaborate on that example a little more? I'm not an import/export expert, so I'm a bit confused why the GST you pay on your example invoice seems to be ~280% of the other costs on the invoice? If you're paying your broker, is it possible this is duties and not GST? A little more detail would be really helpful, thank you :)

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    GuyGuy Member Posts: 3

    Hi,

    I am also needing to add import GST too.

    When we import a product from overseas we are charged GST on the value of the items, So we pay for a broker to clear the goods and then we receive an invoice from them for there fees but also we are required to pay the GST on the value of the goods as part of there invoice

    Example:

    Customs Clearance $50
    Duty $10
    GST $100 ( This line needs to be linked to our Tax account, not just the %)
    Brooker Fees $200

    Total = $360

    • GST =

    So we basically need to add a line to link the GST paid in the invoice to reflect the value not just add a %

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    JamieDJamieD Administrator Posts: 1,156 admin

    @Guy While editing this isn't possible on the invoice itself, it is technically possible to change the total amount of the sales tax on a transaction in Wave. Perhaps this gives you a bit of assistance when you are recording your transactions, but I do understand the need for being able to have it on the invoice section itself.

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    GuyGuy Member Posts: 3

    Hi JamieD,

    That is the workaround I have done at the moment so the GST reflects the total amount, I just don't know how that will go if I was to be audited.

    It would be good if we could create a Product/Service and have that linked directly to the Tax Account.

    Regards

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