GST on payments

Each payment carries a GST amount beside its amount. Backed works it out the first time the payment is made, and you can change it on the payment later.

This appears only when Payments is turned on for your organisation, and changing a payment needs the Can access Payments permission.

How the GST amount is worked out

A payment has one of three GST treatments:

• GST <rate>%, for example GST 10% or GST 15%: the GST amount is the amount times the rate, rounded to the nearest cent. A payment of 4,000.00 at GST 15% has a GST amount of 600.00; at GST 10%, 400.00.
• No GST: the GST amount is 0.00.
• Manual: you type the GST amount yourself.

The rate is your organisation's tax rate, unless the payment has its own Tax rate. A part payment has GST on its own amount.

Whether a milestone's payments carry GST is decided once, the first time it is needed (when the milestone is first paid, approved in a batch or sent to an accounting system), from whether the recipient is registered for GST. It does not change later when the recipient's answers change.

Change a payment's GST

On the milestone's page, select Edit on the payment.

• Change GST Treatment and the GST amount is worked out again as you watch.
• Choose Manual to type the GST amount. It must be between 0 and the amount: otherwise Backed says "GST Amount must be between 0 and the Amount".
• Enter a Tax rate to give this payment its own rate, between 0 and 100. Leave it blank to use your organisation's rate.

Saving keeps the payment's status, and the change is kept in the payment's history with the old and new values. If your organisation sends payments to an accounting system, a GST amount you set is kept when the payment is sent.

See also

• Paying a milestone from its page
• A payment batch's page and marking it paid
• Payments