Method 1 - Prior Period Adjustment
Enter a deposit transaction for the refund received, and allocate the $ value to the original purchase category, selecting the “A” “Adjustment: Prior Taxable” GST rate.
For example, goods to the value of $275 were returned to a store for a refund…
The effect is to:
Take $275 off the Goods purchase category
Add a $275 prior period adjustment to G7 of the GST Calculation Sheet for the BAS form.
Method 2 - Net off against new purchase
Enter a transaction for the net value of the purchase and…
Allocate the new purchase as normal.
Enter the return of the taxable goods as a refund to the purchase expense category, selecting the “1” “Taxable” GST rate. Note that you don’t use the adjustment rate in this case.
For example, goods to the value of $275 were returned to a store for a refund, while purchasing additional goods to the value of $660.00
The effect is to:
Allocate a net total of $385 to the Goods purchase category
Add a net total of $385 to G11 of the GST Calculation Sheet for the BAS form.
