Business norms percentages No. 1 - hot bread shops
Am I an eligible hot bread shop operator?
You may be eligible to use the business norms percentages to estimate your GST -free sales and purchases if your retail hot bread shop's cash flow is mainly from sales of bread (as opposed to shops that specialise mainly in cakes).
Your hot bread shop must also:
- be registered for GST
- have a simplified GST accounting methods (SAM) turnover of $2 million or less
- not have point-of-sale equipment that can identify and record your mix of taxable and GST -free sales, and
- sell taxable and GST-free food from the same premises.
If you meet all of the eligibility requirements, you can use the business norms percentages to estimate your GST -free sales and purchases at the end of each tax period, rather than having to record every transaction at the point of sale.
The business norms percentages for hot bread shops are:
- GST-free sales - 50%
- GST-free purchases - 75%.
If you do not want to use the business norms simplified GST accounting method, you can use the snapshot simplified GST accounting method.
If you do not want to use any of the simplified accounting methods you must work out the amount of GST payable by accounting for each of your transactions.
For more information refer to:
For a copy of our publications or for more information:
- phone us on 13 28 66, or
- write to us at:
Australian Taxation Office
PO Box 3524
ALBURY NSW 2640.
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