GST code of Retention when posting account

hello, everyone, i know the “retention” from construction work should be only pay the GST when “a payment in respect of such amount is received or a tax invoice for such retention sum is issued by the contractor, whichever is the earlier”.
I shown you my double entry, please help me check whether it is correct or not,and  what is the gst tax code of retention when I post my first entry,  can i blank it or put os?
from example,
Dr.Debtors 105,700
Cr.Construction income 95,000 (SR)
C.Retention (income) 5000 (??)
Cr. GST output tax 5,700 (95,000*6%)

Thank for advise!

Asked on March 27, 2017 2017-03-27 07:49:23 Business (商家)
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2 Answer(s)

For GST purposes, a retention sum will be treated as a supply when a payment in respect of such amount is received or a tax invoice for such retention sum is issued by the contractor, whichever is the earlier.
You have to account for GST after you receive the amount of retention sum, or when you issue an invoice related to the retention sum, whichever is the earlier.

Answered on March 28, 2017. 2017-03-28 09:17:34

Is that mean I do not need to fill any GST code for retention now (GST code blank) ,  and Only need to account the GST when i issue the tax invoice or receive it?

on March 29, 2017. 2017-03-29 02:37:20
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Yes.

Answered on March 29, 2017. 2017-03-29 05:06:36

tq u so much!

on March 29, 2017. 2017-03-29 05:19:07
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