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Re: Credit Card Business Purchases

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I am a sole trader and often make purchase on my business credit card for my business. 

 

When I make purchases or pay an invoice for my business via the credit card when can I claim the GST on these transactions? Is it the date the purchase has been made or the date I pay the amount off the credit card? 

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ATO Certified

TaxTime Support

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Hi @DairyMaid,

 

Thanks for your question!

 

In addition to the information provided by @macfanboy, if you are accounting for GST using the cash method, then you will report it when you have paid the invoice or made the purchases. This is regardless of the payment method you have used to make those purchases.

 

You can find out more about GST accounting methods here.

 

Hope this helps,

 

Rachael B.

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Taxicorn

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The date that you incurred the debt.

Best answer

ATO Certified

TaxTime Support

Replies 0

Hi @DairyMaid,

 

Thanks for your question!

 

In addition to the information provided by @macfanboy, if you are accounting for GST using the cash method, then you will report it when you have paid the invoice or made the purchases. This is regardless of the payment method you have used to make those purchases.

 

You can find out more about GST accounting methods here.

 

Hope this helps,

 

Rachael B.

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