Overview

The claiming of input tax is often a manual process although the capturing of information on the supplier’s tax invoice can be automated with the use of technology like optical character recognition (“OCR)” software.

Hence, the accounts payable (“AP”) team of a company plays an important role for GST compliance because they are the one who decides whether the GST is claimable on the supplier’s tax invoice. 

The question is: As the transactions get voluminous, how do you know that the accounts payable team is making the correct decision for GST purposes?  Or more importantly, what are the controls and checks that you can put in place to prevent and detect errors on input tax before the quarterly GST return is submitted?

JedTax is pleased to organise a two days advance course on input tax claims for the accounts payable team, the internal auditor and the reviewer of the GST return.  The objective of this course is to introduce the best practices amongst multi-national companies so that the GST risks on input tax claims can be mitigated.

Day 1

• What is input tax?
  • Qualifying conditions for input tax claim
  • Is the supply made to the taxable person?
  • Is it used for the purpose of the business?

• Disallowed expenses
  • Common disallowed expenses
  • GST controls on disallowed expenses

• Fringe benefits provided to employees
  • Close nexus test
  • GST rules on gifts
  • GST controls on fringe benefits

• Staff claims
  • GST risks on staff claims
  • GST controls on staff claims

• Partial exemption and input tax claims
  • De minimis rule
  • Attribution and apportionment
  • Longer period adjustment

• Quiz on topics covered in day 1

Day 2

• Import GST
  • GST risks on import GST (i.e. ownership of goods, documentation and over/under payment of import GST etc)
  • Incoterm and its implications on who should be claiming import GST
  • GST controls on import GST

• Self-billing arrangement
  • GST risks on self-billing arrangement (e.g. transactions denoted in foreign currency, timing of input tax claims etc)
  • GST controls on self-billing arrangement

• Supporting documents to support input tax claim
  • Practical tips on checking for validity of tax invoice
  • Alternative documents to support input tax claim

• Quiz on topics covered in day 2
• How to prepare for an IRAS desk audit?
• IRAS voluntary disclosure programme – what if you have done it wrongly?