The ATO have applied the cash boost against my GST and PAYG so nothing to pay and getting a refund as well. How do I show my Gst has been paid in the balance sheet acct ?by journal to clear bank and show remaining cr in PAYG acct ?
I created an invoice to the ATO for item CFB with the account used “Other Income” and No GST
I then Received the total CFB to another Bank account not our normal trading account
I then ran the payment for PAYG as normal with GST entries but made the cheque payable from the other Bank Account
I then transferred the balance from Other Bank account to the NAB account on the system.
Profit and loss reflects the boost as income but is easily separated for tax records.
Hope this is of help it fixed my issue
- when credit hits the integrated client account, process a journal Dr (Other Current Asset) Covid-19 Boosting Cash Flow, Cr Other Income Covid-19 Cash Flow Boost
- if the amount has been used to offset an Activity Statement
- pay the liability as normal but instead of applying to the bank account, apply it to a suspense or holding account
- by journal Dr suspense and Cr (Other Current Asset) Covid-19 Boosting Cash Flow
- any amount that is actually received into the company's bank account, process a deposit and allocate to (Other Current Asset) Covid-19 Boosting Cash Flow.
This was my process
Ensure you have created a Bill for your March BAS prior to these
steps to accurately clear liability Accounts.
1. Set up an "Other income account" called "Cash Booster Funds Received"
2. Create a Bill Credit to Australian taxation Office for amount credited to ATO-ICA Say $10,000
3. If this Cr was Less than the BAS total then just go to suppliers > pay bills tick the Bill and apply the credit.
4. If this Cr was more than the BAS Enter a new bill to Australian taxation Office For the amount being refunded to your bank account.
5. The account to use in this Bill is your Bank account. (this will appear as a deposit on your Bank rec)
6. Go to Suppliers > Pay Bills tick first ATO Bill and apply the Credit
7. Tick 2nd ATO Bill and apply the rest of the Credit