Question:
Our forwarder will pay our GST Tax on behalf of us for all import shipment.
Hence , when we match foreign supplier invoices , we do not pay GST to the supplier .
We have to key in tax code for IM for this supplier but the tax rate is zero .
However , when we pay to forwarder we need to pay 6% of the foreign bill amount .
Please advise how QnE Software handle this transaction .
Answer:
QNE provide a facility to handle this issues, Please follow the steps by steps guide below:
1. for example, the purchase invoice from Oversea Supplier IS usd 100,000,
Please select tax code IM0 when you input the purchase invoice as below:
Please take not that, GST will be imposed when we remove the goods from customs, since Oversea Supplier is not a Malaysia GST registered company, Oversea Supplier cannot charge us GST and GST rate is zero, thus we cannot user the tax code IM now. and we should use the tax code IM0.
2. When you make a payment to supplier, you can make payment anytime and it is not subject for GST.
3. However, when we make payment for forwarder, we need to pay the GST at the same time since the forwarder company already make the payment of GST on our behalf. At this time, Please go to General Ledger --> Payment Vouchers, enter the payment to the forwarded company.
For example, Carriage Inwards - RM2000, for the payment of GST, please right click and select "Imported Goods Removed From Customs Control (K1"
4. After right click, you should be able to see the below screen, Please follow the steps below, GST is charges based on the Assessed Value by Customs, there is instance that the purchse Invoice amount will not be the same as the assessed value, thus we have to change the "Total Assessed Amount" in the step 6 below :
5. After you click OK button, you should be able to see the below payment voucher with the status "Imported Goods (K1)"
6. Click save then view the journal button and you should be able to see the below posting
If Tax exclusive the posting will be as below:
Note:
The calculation of the Input Tax from Carriage Inwards is MYR 2,000 x 6% = MYR 120
The Input Tax will be calculated from "Total Assessed Amount" MYR 500,000 x 6% = MYR 30,000
DONE
Please download the guide HERE