I am a GST instalment payer who does not have any WET or LCT obligations. Does a refund from my Annual GST return effect my status as an instalment payer?
There are two situations where an instalment taxpayer will receive a refund from their Annual GST return (PDF, 110KB). Where the refund is solely a result of the instalments being in excess of the amount of net GST calculated [2B is greater than 2A on the Annual GST return (PDF, 110KB)] you are able to remain in the GST instalment system. However, where the refund is a result of the amount of GST paid being in excess of the amount of GST collected [1B greater than 1A on the Annual GST return (PDF, 110KB)], you are in a net refund situation and cannot continue to use the GST instalment option. At quarter 1 of the next financial year you must revert to Option 1 or Option 2.
