We are a supplier of products to an online marketplace that advertises our products to their customers. We are both GST registered and have a signed RCTI Agreement. To explain the process - A customer goes onto the marketplaces website and buys the item - this then comes into our system via Shopify as an RCTI Invoice e.g. zero GST for us to send the product direct to the customer. We are now wondering if it's better for this market place to be set up as "Dealer" in our system, and we process them like we are 'drop shipping' instead of like our normal D2C customers? Then we can track all the RCTI orders under the Marketplace. Does anyone have any advice on how they deal with marketplaces using RCTI? Then also how do we account for the tax of 10% (that we need to record) within our order management system before it flows into Xero - then claim our GST for the products. Any help greatly appreciated.
69 views
1 replies
69 views
1 replies
All replies
Hiya @KimmyG
Recipient-created tax invoices (RCTIs) are allowed where both parties are GST-registered and have a valid written agreement.
For the parts of your question relating to how you manage system setup or tracking (e.g. treating the marketplace as a “Dealer” or managing order flow into Xero), this isn’t something we can provide advice on. You may want to speak with your accountant or bookkeeper to ensure your setup meets your business and reporting needs.
Featured articles
15 Apr 2026 · 4 min read time
22 Apr 2024 · 6 min read time
15 Apr 2026 · 4 min read time