GST on Expenses¶
Understanding how GST works on your business expenses.
How It Works¶
In FairBooks, expense amounts are entered GST-inclusive. You then specify the GST component separately.
For a standard GST expense:
- Amount: $110.00 (total paid)
- GST Amount: $10.00 (the GST portion)
No GST?
For expenses with no GST (e.g., bank fees, some insurance), set the GST Amount to $0.00.
Impact on BAS¶
GST claimed on expenses reduces your GST liability in your BAS report. FairBooks uses cash basis accounting, so only expenses with a paid date within the BAS period are included.
See BAS Reports for more details.