Overview

The rules to determine the GST treatment on a recovery of expense can be confusing.  How do you decide whether the recharge of expense to an overseas person qualifies for zero-rating?  Do you look at where the services are performed, the bill-to party or where the goods are located?

What happens if you recover the expenses at cost, or with a mark-up?  What happens if the recharges of expenses are disallowed expenses in the first place?

We recognise that one will only be able to effectively determine the GST treatment on a recovery of expense by  first understanding the basic rules on GST.  We have developed a two days advance course that will help you to decide the GST treatment on that cost recovery.

If you think that all services provided to an overseas person qualifies for zero-rating under the “international services” provision, it is time for you to attend this course to correct the misconception.

JedTax is pleased to organise a two days advance GST course for people who needs to decide the GST treatment on cost recovery.

Day 1

• Basic concept on a supply of goods
• Common misconceptions on international services
• What qualifies as international services
• Transportation services
• Services provided to overseas person
• Services performed wholly outside Singapore
• Services directly in connection with land or goods outside Singapore
• Services relating to qualifying ships and aircraft
• Other international services (e.g. advertisement, telecommunication, sea and air container, co-location services, trust services etc)

• The terms “directly in connection with” and “directly benefit”
• GST treatment on routine support services provided to related entity
• Case study on common business scenarios

Day 2

• Common misconceptions on recovery of expenses
• The rules for differentiating between a reimbursement (taxable) and disbursement (non-taxable); 
• The GST treatment for the recharge of expenses; 
• Recovery of expenses at cost and with mark-up
• Recovery of expenses that are disallowed under the GST Act
• Recovery of expenses that are exempt in nature (e.g. bank charges) 
• Case study on common business scenarios
• Cost-pooling arrangement and pass-through cost  
• Common business examples to illustrate the application of the GST rules for such recharges.
• GST controls on the recovery of expenses – how to do it right every time?
• IRAS voluntary disclosure programme – what if you have done it wrongly?