The ATO has warned taxpayers that it has identified five of the most common errors made by taxpayers when reporting GST. These errors comprise over half of the overall corrections made to GST reporting.
While the ATO did not reveal the specific errors made, they provide general advice on avoiding these types of errors when reporting GST. According to the ATO, taxpayers should:
- make sure the timing is correct, and report for the correct tax period;
- check the figures to avoid accidental miscalculations and simple transcription errors;
- ensure claims for GST credits can be substantiated; and
- check there is a creditable purpose so GST is not claimed for goods purchased for personal use.