answered
Q: Im in the building game, just wondering if when invoicing, do i charge Tax on the whole of the price (labour and materials) or just gst on the labour alone, as materials have already had tax applied at time of sale from my supplier, meaning the taxman would be getting a double slice of pie as tax then has been applied to the materials twice?
A: Scott thanks for your answer but i think you have mis read if i charge gst on my labour and materials as a whole the total would come to $280.50 yeh..
If i charge gst on labour only $200.00 + 10% = $220.00
Then put materials gst inc as its already been paid by me from supplier $55.00 the total would then come to $275.00.....with me?
I still cant get an answer as to why it cant be done like this... these small figures mentioned its only 5 bucks but when it comes to tens of thousands its quite a bit of money.
answered
Q: Im in the building game, just wondering if when invoicing, do i charge Tax on the whole of the price (labour and materials) or just gst on the labour alone, as materials have already had tax applied at time of sale from my supplier, meaning the taxman would be getting a double slice of pie as tax then has been applied to the materials twice?
A: Ok lets talk trademans terms, Say i do a job labour is $200.00,
if materials cost $55.00 with $5.00 of that being gst why cant i just make the total bill for $275.00 as gst has already been payed on materials,
Instead of charging the $285.50.
:-Tax is still being payed.
:-The customer gets his job done cheaper.
Im not paying as much Gst at the end of the 1/4.
:- i still claim a tax credit on gst for materials against the gst charged on labour more money in my pocket the customers and less for malcom turnbull
Is it not able to be done this way?
Sure Gst has to be passed on but does it have to have this snowball effect for every set of hands it goes through?
The more i make the more they take and im sick of working for the barstards. less they get the better..
question
Q: Im in the building game, just wondering if when invoicing, do i charge Tax on the whole of the price (labour and materials) or just gst on the labour alone, as materials have already had tax applied at time of sale from my supplier, meaning the taxman would be getting a double slice of pie as tax then has been applied to the materials twice?
