No of persons No of Flinders
No Date attending University $ Details
PROCEDURES FOR HANDLING INVOICES FOR MEALS
Under FBT legislation there are now two types of grossed up rate. These are:
Type 1 rate of 2.0647 where the University IS ENTITLED to claim GST input tax credits.
Type 2 rate of 1.8692 where the University IS NOT ENTITLED to claim GST input tax credits.
The FBT Rate is 46.5%
Invoices for meals are subject to GST and therefore Type 1 rate (2.0647) will always be used.
1. When processing invoices from restaurants they should be coded “GST” for staff and “INPUT” for visitors.
2. Calculation of FBT will be done in the usual way but by multiplying the staff component by the “Type 1” rate. The result is multiplied by
the FBT rate. Please note: The FBT payable will be passed on to the cost centre. Sandwiches that are consumed at a meeting are incidental to the
meeting and therefore do not attract FBT. The reason for this is because light lunch is not considered meal/entertainment. The invoice
should be coded “GST”. (Most of these invoices will come from the Union and need to be a tax invoice)
3. Meals while travelling do not attract FBT. This is because the travel (to a conference, seminar etc) is part of the individual’s earning of
assessables income. These invoices will be either in the form of acquittance of advances or re-imbursement. The invoice should be coded
“GST”. It is imperative we receive a tax invoice, otherwise we will not be able to claim the GST.
Please note that if the purchase is under $82.50 (GST inclusive) it is not necessary to have a tax invoice.
Form No: TVL4 Last updated: 5/5/08