Tax code in MYOB
CODE LABEL GST Code NOTES - Description/ Explanation
INCOME
Income GST if registered generally - but could be ITS (eg Residential rent or interest income)
Interest Income ITS Care re INP expenses
Fringe benefit reimbursements GST ! Employee reimbursements re say car fringe benefits by 31 March A GST liability arises even if journalised.
EXPENSES :
Advertising GST newspaper adverts, brochures & other media
Accountancy GST professional fees for accounting
Bank Charges N-T Transaction fees but care as some bank service fees (eg merchant fees) include GST -check your statements
Bank -Merchant fees GST credit card merchant fees
Bookkeeping GST fees for bookkeeper if external
Courier GST monies paid for document exchange & couriers
Commissions GST, GNR or QUE Care to ensure a TAx Invoice has been received ! commissions for work related expenses
Computer expenses GST Seek advice here ! Is an asset account label appropriate ? This item may cover :
1. Computer consumables -floppies, CDs labels -or label as stationery
2. Software updates -but only if minor low cost seek advice here -40 % depreciation may apply - if so code as computer software fixed (depreciable) asset
Depreciation N-T Normally handled by Accountant - do not code any payments here -see Asset coding
Electricity GST electricity used for business
Entertainment Care here as food may be FRE NB May not be deductible unless FBT applies
- Client Restaurants GST No portion allowable re staff functions but not light lunches on premises -see staff amenities- This area is complicated. Seek professional advice !
- Staff
Filing Fees FRE Lodgement fee for Government for Company documents eg. business names and Annual Return.
Fines (non-deductible) NTD fines relating to late payment for group tax or parking fines.
Fringe Benefits Tax paid to Deputy Commissioner of Taxation
NT relating employee fringe benefits - use for quarterly instalments & final payment
Insurance FRE - disability
- sickness & accident
Insurance GST - public liability
- workers compensation
Interest expense INP either interest paid on overdraft per bank statements Car re interest income is a separate code see below
Lease expenses GST or QUE care - do you have a Tax Invoice or are payments N-T ? leasing expenses for equipment- - may be subject to GST but check documentation
Motor Vehicle Expenses GST except registration - petrol
- insurance "green slip" now creditable
- registration GST free For help see : www.myob.com.au/support/notes/gst
- maintenance and repairs- lease expenses - may be subject to GST but check documents
Postage GST all monies paid for stamps, postage
Printing & Stationery GST all monies paid for printing and stationery, business cards etc.
Repairs & Maintenance GST repair of faulty equipment, eg. fixing switch on fax machine, mending broken chair, not purchasing new item of equipment.
Rent - office GST if Landlord registered for GST - care here ! code may be INP or NT if Landlord not registered for GST or 48.5 % withholding if no ABN ! all monies paid for leasing premises, rates & outgoing
Staff Amenities FRE Milk, coffee, sugar, -GST FREE.
Staff Amenities GST or FRE depending upon tax invoice GST Items include:
1. Light lunches on premises (no alcohol)
2. Toiletries (soap, tissues etc)
Note Tax invoices not required if less than $ 55 GST included
Care Re Difference between Entertainment and Staff Amenities ! Call for advice.
Seminars GST - registration
GST - out of pocket expenses
Subscriptions GST - Trade Associations
- Professional, Business or Trade Journals
- Loose-leaf technical
Superannuation contributions N-T -Compulsory and optional employer contributions.
Sub-contractors GST if subcontractor registered for GST - Care here ! Code may be "GNR" if subee" has ABN but not registered for GST or 48.5 % withholding if subcontractor has no ABN ! Gross up for any withholding.
Telephone GST -but watch apportionment of Input tax credits for part busines items if sole trader enterprise. - mobile
- office
- home
- internet
-pager
Travel GST - Local, taxis & fares
GST - Interstate conferences
FRE Care here - Overseas travel
GST - Accommodation
Uniforms GST Care here as special rules apply for deductions for uniforms. Protective clothing is treated differently. Concessions may apply to laundry.
Wages N-T - employee wages - gross inclusive of PAYE tax.
Assets
Equipment GCA New items of equipment or furniture purchased for office -see Notes on Depreciation
Computer Software licences See above re computer expenses.
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