Trustees of Funds that account for GST on a cash basis will need to enter GST on Receivables at the time of receipt.
Using the example of rent on our West End unit, the Receivable entry would be:
The receipt has been debited to the bank and credited to Accounts Receivable as before, but the GST that was included in the original invoice has been deducted from the income account and credited to GST Collected so that it can be reclaimed in the next BAS return.
