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Thread ID: 41575	2004-01-15 07:58:00	[OT] Tax Advice	Lohsing (219)	Press F1

Post ID	Timestamp	Content	User
207659	2004-01-22 19:03:00	You can't charge gst if not registered, but you can claim gst on something from a non-registered person. This is because a non-registered person pays gst on things they buy and their perception of value is a gst-inclusive one. It just seems funny with services. Unless that has changed recently, I suppose. I worked for a company that bought a $25m chunk of land from a non-registered person (where the ANZ tower stands in Albert St in Auckland) and the IRD had a complete fit when we claimed the gst on it and they didn't get the same amount from the vendor. They eventually paid. robo.	robo (205)
207660	2004-01-23 06:42:00	Well Mike, I'm not sure about this tappets business. Are you saying Kawasaki used some exotic metal for the rockers that didn't expand and contract as the motor warmed up? Any engineers here? Personally I ride a BMW R80 (ex-Ministry of Transport) and I'm sure it adjusts it's own tappets with Teutonic precision. But I do harbour a fond affection for the Z1. Did many high speed miles on the back of a mates machine years ago. Anyway Loh, forget registering for GST unless you expect to do a fair bit of independent work in the coming years. Nothing wrong with GST but it is true that once you are in the system you have to keep doing returns even if you have no business income. A lot of people don't understand that. No problem to do a job as an independent contractor. For example I once did reviews for a newspaper and simply sent them a bill. No GST involved. There are a lot of misunderstandings over with-holding tax and you might need IRD to back you up there. You can get free advice from Bizinfo which is taxpayer funded. Cheers Winston	Winston001 (3612)
207661	2004-01-23 09:01:00	robo wrote: >I don't think it matters what industry you are in, the withholding tax is there for situations where the invoicing party is considered to need source deductions. It tends to be startups and very small businesses. Sorry for the late reply but I have been in Wellington for two days. I am sorry robo, but your comments are incorrect - you must have been badly advised the way I was - it took IR to sort it out with the accountants for me. If you look at the following page on the inland revenue website, you will see the categories (eg actors, jockeys, hunters, whitebaiters etc) that are covered by the withholding tax regime - it does not apply to everyone in the way in which you describe - it is as I set out in my original post. www.ird.govt.nz John	John H (8)
207662	2004-01-23 09:05:00	Sorry, that link doesn't seem to work when posted on PressF1 like that. Try: Withholding tax (www.ird.govt.nz)	John H (8)
207663	2004-01-31 04:55:00	> You can't charge gst if not registered, but you can > claim gst on something from a non-registered person . > This is because a non-registered person pays gst on > things they buy and their perception of value is a > gst-inclusive one . It just seems funny with services . > Unless that has changed recently, I suppose . I worked > for a company that bought a $25m chunk of land from a > non-registered person (where the ANZ tower stands in > Albert St in Auckland) and the IRD had a complete fit > when we claimed the gst on it and they didn't get the > same amount from the vendor . They eventually paid . Robo, perhaps your explanation here isn't quite as clear as it should be . When buying something from a non-registered person you cannot claim GST back on that purchase, because the non-registered person did not charge GST in the first place . In your case, it sounds like your company purchased some land from a non-registered person and made what is called a "Secondhand goods" claim for an input deduction . This is specifically provided for in the Act (GST Act) and so allows the purchase of goods from a non-registered person to be deductible (IF that person paid GST on it in the first place - i . e . the vendor purchased the goods after 1985) . The secondhand goods claim rules can't apply to services (as is the topic of discussion here) because there's no way that those services can be secondhand to begin with . HTH	Yeah Right : Tui (5120)
207664	2004-01-31 06:36:00	I know very little of tax and other stuff, so I showed this thread to a friend of mine who's an investigator for the IRD. He said he was pleased that some people find the IRD so approachable (not everyone does ;) :p). But he also said that he was horrified at some of the incorrect advice that has been given to people through the thread, and hopes that before people take the advice given in the thread as gospel they'll check out with the IRD (perhaps just by looking on their website) to make sure the advice is correct. :D it's all greek to me! Most of it, for me, goes in one ear and out the other :p Mike.	Mike (15)
207665	2004-01-31 08:05:00	>>so I showed this thread to a friend of mine who's an investigator for the IRD. Doesn't he have access to PF1. He could be the resident tax advisor. Totally anonymous of course!	Dolby Digital (160)
207666	2004-01-31 10:04:00	> > > so I showed this thread to a friend of mine who's > an investigator for the IRD. > Doesn't he have access to PF1. He could be the > resident tax advisor. Totally anonymous of course! I don't think he's allowed to offer tax advice to anyone. Mike.	Mike (15)
207667	2004-02-02 09:16:00	If you do not have a GST number, you have not been charged GST so you can not give a GST invoive. (No GST number for your customer to quote to IRD) BUt you yourself have been charged and paid GST on any materials and services to do with the paticualar job. What i always try and do, is get my customer to buy the materials in their name. I do woodwork jobs, i prepare a list of materials and my customer collects from and pay Placemakers and get a GST invoive. So they can claim. Unless you have a GST number, you can not pass on the cababilty of claiming GST back.	Peter Pecka (4984)
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