Accounting for GST in cashflow

Depending on whether your body corporate is registered for GST or not, the cashflow table will display different amounts.

Body corporates registered for GST

For GST registered body corporates, maintenance costs, fees and contributions do not include GST when determining the impact on cashflow. This is because the GST component that a body corporate would pay out for maintenance work will be offset against the GST they charge on the contributions, and therefore GST is not recognised as an expense applied to the maintenance fund.

Body corporates registered for GST

For body corporate that are not registered for GST, the GST component of any maintenance costs or fees is recognised as a real expense against the maintenance fund, and therefore is included in the cashflow calculations.