In the Office & In the Field. Government Knowledge Base & Staff Turnover in the ATO Spotlight. Accounting, Clerical, Accounts Payable/Receivable &

Transcription

1 GST In the Office & In the Field Government Knowledge Base & Staff Turnover in the ATO Spotlight Essential Training For: Accounting, Clerical, Accounts Payable/Receivable & Business Unit Staff Responsible For: Assets, Property, Contracts, Purchasing, Environmental Services, Grants & Community Groups Train with the specialists in taxation education for government agencies Contact Details TaxEd Pty Ltd ABN Tel: Fax: PO Box 1168 Kensington VIC

2 Issues The Issues GST knowledge base across government Sound GST knowledge within most government organisations is limited to a few individuals. In many cases GST treatment is left to one person. It has been acknowledge time and time again that errors occurring in government GST compliance result from a lack of knowledge of even basic GST rules. This applies to transactions occurring across all business units. Staff Turnover Staff turnover since initial implementation training has meant many staff have had no GST training specifi c to government. The ATO has acknowledged that this is the main contributing factor to poor compliance in the sector. Signing off on Government GST Compliance In many States, Executive Managers and Elected Officials are obliged to sign off on GST compliance guarantees or similar documentation. It is widely acknowledged that this is NOT a realistic statement of the true compliance status. Even where this is not compulsory, it is expected that executive management have a full understanding of the GST compliance status of the organisation. ATO shift in audit policy towards government sector The ATO has made it clear that their audit focus on the government sector has shifted from one of an education model to a full compliance model. As a result general interest charges, penalties and fi nes are being liberally imposed. Costs of Complacency We are aware of many councils and agencies who have recently received substantial fi nes and penalties. In two such cases involving relatively small organisations, the combined cost was over $2,000,000 in GST, GIC, fi nes and penalties. People Not Just Systems GST is not a systems issue alone. The largest GST issue facing government, is a human resource issue. The GST knowledge base amongst all key staff is vital and relevant training essential. presenter Presenter Kevin Smith B.Comm, LLM (Tax Law); LLM (Commercial Law) Kevin is one of Australia s most experienced and accomplished taxation educators. As a specialist taxation advisor to the government sector, he is highly qualifi ed, and has a vast knowledge of taxation issues in relation to government and tax exempt bodies. Founding Director of TaxEd, Kevin has presented well over 300 taxation workshops and training sessions around Australia over the past five years. Kevin is a regular advisor to numerous taxation committees, forums and meetings around Australia. This experience, as well as the hundreds of formal questions Kevin receives each year, places him in a very strong position to provide valuable and specifi c training directed to the sector s needs. EXCELLENT! - Melbourne 2004 I ve been to a number of tax sessions over the years and this was certainly one of the best - Brisbane 2004

3 GST In the Office & In the Field Sessions Session One 10.00am Where & Why Mistakes are Being Made Overview of key areas where government compliance is poor and the reasons why. Communication what questions you should be asking and to whom. ATO Audit Targets The ATO is well underway with a national audit program of government agencies. We will discuss their targets / fi ndings and what you should have in place to identify potential issues. Preparing for an audit What if you disagree with a particular audit fi nding? Essential GST for Government Defi nitions you can t make up your own. Supplies Government makes thousands of them every day. All key staff must learn to recognise where you have a supply for GST purposes and where you don t. GST is not just about Goods and Services. Consideration once again there are many ways this is made. What is it? How to identify it? How it is so often mistaken. In-kind transactions. What are they? Why are they one of the most common GST mistakes made by government? Working with registered and unregistered entities. What is the enterprise of government? International transactions how do you treat that software contract from Germany? Should your supplier be registered in Australia? Lunch noon Session Two 12.45am Property Land swaps - mistakes are costing councils and agencies a small fortune. How to treat the variety of circumstances that arise What you need to know about selling or buying under the Margin Scheme Leases contracts, outgoings, transitional rules and input tax credits Taxable, GST Free & Input Taxed supplies of property. Compulsory acquisitions of land Assets Sale of assets still rests comfortably in the number two position in ATOs list of most common mistakes made by the government sector. The enterprise of government Where the confusion still exists Sale / purchase of assets Contracts GST considerations need to be addressed in ALL formal and informal contracts. Often GST in these transactions is missed because those responsible are not aware of how broad the defi nitions of supply and consideration are. Common mistakes Making a taxable supply what wording you should include Transitional rules and July 2005 Contracts as tax invoices Overseas contracts Attribution with long term contracts Break 2.30pm Session Three 2.45pm Accounts Payable / Receivable Dealing with registered and unregistered entities Incorporated and unincorporated bodies Valid tax invoices Receiving and providing Recipient Created Tax Invoices (RCTIs) requirements and obligations Making a creditable acquisition Withholding Individuals Buying artwork from Bob the Builder How about that cleaning contractor is he really a contractor? Your responsibilities - Watch Dogs and Blood Hounds Grants & Appropriations There have been major changes in the treatment of funding in the past months. There are crucial issues you must look out for? Your responsibilities as a funding provider and recipient You can NOT rely solely on the advice of the funding provider as to the GST treatment of a payment. Tests you should use in determining if funding is taxable Wording of funding agreements how to ensure your intentions are consistent with your agreements Terminology is a major pitfall that has cost councils and agencies millions of dollars DON T LISTEN TO LABELS like: - Sponsorships - Donations - Tied and Untied Grants General issues Division 81 Support / funding of community groups and management committees Insurance Unbundling of fees and charges Fines Conclusion 4.45pm N.B This training will count for six Professional Development hours.

4 Round Two Locations ons & Dates Aug 05 Location Venue Monday 22nd Rockhampton Country Comfort, 86 Victoria Parade, Rockhampton, Wednesday 24th Townsville Jupiters Hotel & Casino, Sir Leslie Thiess Drive, Townsville Friday 26th Cairns Cairns International Hotel, 17 Abbott St, Cairns Monday 29th Alice Springs Crowne Plaza, Barrett Drive, Alice Springs, Tel: Wednesday 31st Port Lincoln Hilton Motel, King Street, Port Lincoln Sept 05 Location Venue Friday 2nd Naracoorte Naracoorte Town Hall, 95 Smith St, Naracoorte Monday 5th Melbourne ANZ Pavilion, Victorian Arts Centre, 100 St.Kilda Rd, Melbourne. Wednesday 7th Mildura Best Western Chaffey Motor Inn, 244 Deakin Avenue, Mildura Friday 9th Bendigo All Seasons Quality Resort, 171 McIvor Rd, Bendigo. Tel: Monday 12th Warragul Arts Centre, Albert St, Warragul Friday 16th Armidale Drummond & Smith College, Meredith Rd, University of New England, Armidale Monday 19th Sydney Crowne Plaza Darling Harbour, 150 Day St, Sydney Wednesday 21st Canberra Crowne Plaza Canberra, 1 Binara St, Canberra Friday 23rd Wagga Wagga The Pavilion, Kincaid St, Wagga Wagga, Monday 26th Dubbo Western Plains Zoo Conference Centre, Obley Rd, Dubbo Wednesday 28th Caloundra The Sebel Maroochydore, Aerodrome Road, Maroochydore Friday 30th Toowoomba Burke & Wills Quality Inn, 554 Ruthven St, Toowoomba Oct 05 Location Venue Monday 3rd Longreach GST Albert Park Motor Inn, Sir Hudson Fysh Rd, Longreach Tuesday 4th Longreach FBT Albert Park Motor Inn, Sir Hudson Fysh Rd, Longreach Longreach LONGREACH The Longreach session is being provided at the special request of councils in the area and will be a two day program covering GST & FBT. Cost for a single day is $395.00, or $ for both days. A 25% discount applies if two or more staff attend both days. Please indicate your preference on the following registration form. The FBT program will cover all relevant issues including a detailed session on Remote Area Benefi ts (housing, travel & fuel). To help with the viability of this session and ensure it goes ahead, we encourage councils to forward these details on to other organisations in the area who would benefi t. The presentation was entertaining as well as very informative. The presenter has a very good knowledge of government issues - Sydney 2004

5 COST & REGISTRATION GST In the Office & Out in the Field Register online now at ORGANISATION tax ed taxation education for government agencies... Address... (NB No payment is required at this time. A Confirmation Letter and Tax Invoice will be ed.) Principal contact Name... Position Telephone... I would like to register (number) delegate/s for on the / /05. (city/town) (Date) COST (Includes - Training, Support, Full Catering and GST): Standard registration $ per person (1 to 2 delegates) Small Group registration $ per person (3 to 4 delegates) Medium Group registration $ per person (5 to 6 delegates) Large Group registration $ per person (7+ delegates) For organisations with budget restraints In-House Option for this financial year, payment can be Unlimited delegates from the one organisation deferred until the 2005/6 financial year. Ability to specify content Organisation to provide location and catering Cost - $4400 (inc GST) + $18.00 per workbook or an electronic fi le will be provided at no charge. To register your interest for in-house training please tick here then complete and fax this form. Our organisation would like to join the TaxEd Train Us Support Services (TaxEd Train Us is part of the TaxEd Plus membership service. For further details Two free delegate positions for this training series + 10% off for additional delegates. Year round online technical Q&A support. Access to TaxEd s national Q&A database Monthly updates issues papers, ATO news, rulings, IDs and cases analysed. COST (Including GST): $1295 (Membership till 30 June 2006) Sub Total $ Purchase Order Number (optional) Total $ CANCELLATIONS: More than 5 working days before the seminar cancellations incur an $78 (incl. GST) per delegate administration fee and must be requested in writing. Within 5 working days of the seminar no refunds will be available for cancellations, although the Delegate Support Package will be provided. Transfers to other seminars in this series can be made with 3 days notice. TaxEd reserve the right to cancel or reschedule courses, and to change speakers or revise content as necessary. Register or Fax to Our organisation is registered with TaxEd Train Us support services. If yes please tick Closing date Friday the 12th of August 2005 and we will credit you with any sessions still owing and/or a 10% discount for additional delegates. As this training is highly relevant to a large number of staff, we have heavily discounted the cost for larger groups to attend.