Explain what a tax invoice is and the information

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4 Explain what a Tax Invoice is, and the information that must be included on a tax invoice. (120–150 words)
The total price including GST of the taxable items A brief description of each good and service supplied If all items include GST then it should be stated ‘the total price includes GST’ or the GST amount should be shown If the invoice includes taxable and GST free items then GST for each taxable item must be shown For Tax Invoices greater than $1,000 additional information is required. The recipient’s name, address and ABN must be included A detailed description of the services supplied or the quantity of goods 5 Why are tax invoices necessary? (20 words)
Activity 6 1 A business had in a quarterly reporting/ payment period: o a GST credit of $15,000 o a PAYG instalment liability of $6,000 o a PAYG withholding liability of $1,500, and o an FBT liability of $1,000 In these circumstances, would the business need to make any payments to the ATO, and if not, why not? (30 words)
2 Why is it necessary to maintain adequate records to support the taxation accounting system and to code purchases and/or payments as per GST classifications? (100–120 words)
same coding system. Purchases or payments should be shown on the BAS at G10 Capital Purchases (such as computers, cars, plant and equipment), G11 Non-Capital Purchases (such as stationery, rent, phone expenses) and 1B GST on purchases. If an entity’s turnover is expected to be less than $1 million then only capital items costing more than $1,000 need to shown as Capital on the BAS otherwise they can be included in Non-Capital Purchases.

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