Edited version of your written advice

Authorisation Number: 1012959188637

Date of advice: 8 February 2016

Ruling

Subject: Goods and services tax and Tax Invoices

Question

Does an invoice that does not include the word "GST" on it, meet the requirements of a tax invoice in accordance with section 29-70 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)?

Answer

Provided that the relevant invoice contains sufficient information to ascertain the information that is required under section 29-70 of the GST Act and it is able to be clearly identified that the invoice was intended to be a tax invoice, an invoice that does not include the word "GST" will meet the requirements of a tax invoice.

Whether or not a particular document contains sufficient information to ascertain that the document meets the requirements of section 29-70 of the GST Act is dependent on the facts of each case.

We are of the view that the sample invoice that you have provided meets the requirements of a tax invoice as there is sufficient information to ascertain the GST amount payable on the supply made by the supplier and it also contains the other information as required by section 29-70 of the GST Act.

Relevant facts and circumstances

You are registered for goods and services tax (GST).

A significant number of tax invoices you have received have all the information to qualify as a tax invoice in accordance with section 29-70 of the GST Act with the exception that the word "GST" does not appear anywhere on the document. In most cases the word "Tax" is used and the amount of the "Tax" is itemised and is shown as 10% of the purchase price.

You have contacted your suppliers and have been told that the invoices are system generated and cannot be changed. Many of your suppliers are using software developed in another country which has no capacity to edit the invoice format to include the word "GST". A number of suppliers you use are paid in advance which makes it difficult for you to get an amended invoice from them.

You are able to confirm your suppliers' ABN and determine that they are registered for GST.

You have provided a sample invoice that is typical of invoices you receive from your suppliers.

Relevant legislative provisions

Reasons for decision

Subsection 29-70(1) of the GST Act states:

A tax invoice is a document that complies with the following requirements:

(a) it is issued by the supplier of the supply or supplies to which the document relates, unless it is a *recipient created tax invoice (in which case it is issued by the *recipient);

(b) it is in the *approved form;

(c) it contains enough information to enable the following to be clearly ascertained:

(i) the supplier's identity and the supplier's *ABN;

(ii) if the total *price of the supply or supplies is at least $1,000 or such higher amount

as the regulations specify, or if the document was issued by the recipient - the recipient's identity or the recipient's ABN;

(iii) what is supplied, including the quantity (if applicable) and the price of what is supplied;

(iv) the extent to which each supply to which the document relates is a *taxable supply;

(v) the date the document is issued;

(vi) the amount of GST (if any) payable in relation to each supply to which the document

relates;

(vii) if the document was issued by the recipient and GST is payable in relation to any

supply - that the GST is payable by the supplier;

(viii)  such other matters as the regulations specify;


(d) it can be clearly ascertained from the document that the document was intended to be a tax invoice or, if it was issued by the recipient, a recipient created tax invoice.

Goods and Services Tax Ruling GSTR 2013/1 Goods and services tax: tax invoices (GSTR 2013/1) in paragraphs 13 to 15 state the following in relation to "clearly ascertained":

Clearly ascertained

13. Paragraph 29-70(1)(c) requires that the particular information in subparagraphs (i) to (viii) is able to be clearly ascertained from the information in the document. This means that the information does not have to be specifically stated or in a particular format. What is required is that the information can be found in the document or determined from information within the document. It further means that to be clearly ascertained, enough information must be present and it must be clear what the information represents. (emphasis added)

14. If the information required by subparagraphs 29-70(1)(c)(i) to (viii) can only be determined by reference to another external source (such as the Australian Business Register (ABR)) or another document, then that information cannot be clearly ascertained from the information contained in that document as required by the opening words of paragraph 29-70(1)(c).

15. One piece of information may be sufficient to satisfy more than one requirement in subparagraphs 29-70(1)(c)(i) to (viii).

In the sample invoice you have provided, most of the information required as set out in paragraph 29-70(1)(c) of the GST Act is evident. The information missing from the sample invoice is the word "GST". Paragraph 29-70(1)(c)(vi) of the GST Act requires the amount of the GST (if any) payable in relation to each supply to which the invoice relates to be shown on the tax invoice.

The sample invoice provides the value of the supply at label A which is followed by label B which is 10% of label A. These two labels add up to the total payable amount at label C.

Therefore, although the sample invoice does not specifically state that the amount at label B is the GST amount, it can be clearly determined that this amount is in fact the GST amount being 10% of the value of the total supply. This would in turn clearly ascertain that the total supply stipulated in the sample invoice is in fact a taxable supply. Therefore in the case of the sample invoice provided, it can be clearly ascertained that the requirements of a tax invoice in accordance with section 29-70 of the GST Act are met.

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