How do I work out the GST-free trading stock percentage for the sample period?
First, work out the total amount of your trading stock purchases for the sample period that includes: • where you account for GST on a cash basis – the total amount you pay for trading stock during the sample period, or • where you account for GST on a non-cash basis – the total price of trading stock you have purchased when: • an invoice has issued for the purchase, or • you have made any payment for the purchase • whichever is the earlier. After working out your total trading stock purchases, work out the total amount of these purchases that were GST-free.
