Limit of 4 Years to Claim Input Tax Credits
As of 12/05/09, businesses will not be able to claim input tax credits for purchases more than four years old!
This Tax Law Amendment (2009 GST Administration Measures) means that you may not include purchases at G10 or G11 four years after the due date of the relevant activity statement. A similar amendment has been applied to claiming fuel tax credits but this change will not start until 1st July 2010. When compiling data for your accounts clerk to input into your accounting system, make sure that none of the receipts/purchase invoices are older than four years from the current date. If they are, you will not be able to include them in your Business Activity Statement. Please request advice from your tax agent/accountant regarding whether or not the purchases can be included in your annual income tax return.