When we say:
- sales we are referring to the GST term supplies
- purchases we are referring to the GST term acquisitions
- GST credits we are referring to the GST term input tax credits
- payment made or received we are referring to the GST term consideration
- reporting period we mean the tax period that applies to you.
You may use either the accounts method or the calculation worksheet method to complete the relevant GST boxes on your activity statement for the reporting period.
The amounts you report on your activity statement will depend on the accounting basis you have chosen or are otherwise required or permitted to use. You can account on a cash basis or a non-cash basis.
What are vouchers?
A voucher:
- is a voucher, token, stamp (but not a postage stamp),coupon or similar article, or a prepaid phone card or facility
- has a stated monetary value
- can be redeemed for other supplies in accordance with its terms.
The stated monetary value may be:
- printed on the voucher
- printed on documents accompanying the voucher
- a top up amount for a phone card.
Broadly speaking, if you sell a voucher for its stated monetary value and the holder is entitled to redeem it for goods or services up to that value, you don't account for the voucher on your activity statement until it is redeemed.
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For more information on cash and non-cash accounting, refer to:
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Redeeming vouchers
When a voucher is redeemed in full for goods or services you sell, the payment for the sale is the stated monetary value of the voucher and any additional payment received.
You report the full price of the sale (including the value of the voucher if it is fully redeemed and any additional payment received) at G1 (total sales) on your activity statement for the reporting period in which the voucher was redeemed.
If you use the accounts method to calculate the amount of GST on your sales, report the GST in the price of the sale, for which the voucher was redeemed, at 1A (GST on sales) on your activity statement in the relevant reporting period.
If you use the calculation worksheet method, use the worksheet to calculate how much to report at 1A.
There are other rules relating to vouchers that you may need to know about, for example, where:
- the price of the voucher exceeds its stated monetary value
- the voucher does not have a stated monetary value
- the voucher is not redeemed, or
- the voucher is only partially redeemed.
How you claim GST credits on your activity statement
Broadly speaking, when you buy a voucher, you don't claim input tax credits on your activity statement. When you redeem a voucher for goods and services, you claim input tax credits on your activity statement.
If you purchase a voucher and then use the voucher to obtain something that is a taxable supply to you, you are entitled to claim a GST credit if that purchase is used in your business. However, you are not entitled to claim a GST credit for that purchase if it:
- relates to making input taxed sales, or
- is of a private or domestic nature.
Regardless of whether you account for GST on a cash or non-cash basis, you must claim your GST credits for any purchases you make with the voucher, in the same reporting period you redeem the voucher, and not in the reporting period that you purchase the voucher.
Report the price you paid for the voucher at G11 (non-capital purchases) on your activity statement.
If you are using the accounts method, report any GST credit you are entitled to claim at 1B (GST on purchases).
If you are using the calculation worksheet, use the worksheet to calculate the amount of GST credit to report at 1B.
More information
If you need more information, refer to Goods and Services Tax Ruling GSTR 2003/5 Goods and services tax: vouchers.
To obtain a copy of our publicatins or for more information:
- visit our website at www.ato.gov.au
- phone 13 28 66, or
- write to us at
Australian Taxation Office
PO Box 3524
ALBURY NSW 2640
If you do not speak English well and want to talk to a tax officer, phone the Translating and Interpreting Service on 13 14 50 for help with your call. If you are calling from overseas, phone +61 3 9203 4027.
If you have a hearing or speech impairment and use a TTY or modem, phone the National Relay Service on 13 36 77. For 1800 toll-free numbers, phone 1800 555 677 and quote the number you need. If you are calling from overseas, phone +61 7 3815 7799.
If you have a speech impairment and do not use a TTY or modem, phone the Speech to Speech Relay Service on 1300 555 727. For 1800 toll-free numbers, phone 1800 555 677 and quote the number you need. If you are calling from overseas, phone +61 7 3815 8000.
Last Modified: Thursday, 29 March 2012