how to implement GST/VAT splits?

[Andrew Greig]

On Sun, 2009-04-05 at 13:59 -0700, J. Alex Aycinena wrote:
> On Sat, Apr 4, 2009 at 13:41:43 +1100,  Andrew Greig
> <algreig at bigpond.net.au> wrote:
> 
> >
> > Hi Andrew,
> >
> > (For the benefit of other readers, outside of Australia: ATO =
> > Australian Tax Office, and GST = Goods and Services Tax, similar to VAT
> > elsewhere)
> >
> > I copied the set up in MYOB.  I created 2 GST accounts under Liabilities
> > - one is GST paid, the other is GST Collected, I set them up under a
> > place-holder account called "GST Payable to ATO" (note the presumption
> > of profit?). So the Parent account for "GST Payable to ATO" is
> > "Liabilities", and the Placeholder and Tax related check boxes are
> > checked.
> >
> 
> Perhaps I am mistaken on this but I believe that there are two 'tax
> systems' in gnucash that shouldn't be confused with each other: an
> 'income tax' system (the Tax related check box in the account
> maintenance dialog, the Edit-Tax Options dialog, and the Tax Report)
> and a 'sales tax' system that is part of the business features related
> to billing and payables. I believe you are using the 'sales tax'
> features to satisfy your GST needs.
> 
> Why do you check the Tax related check box in the account maintenance
> dialog? Does it actually make any difference whether this is checked
> or not for what you are trying to do?

Hi Alex,

Because IANAA I checked a "Tax Related" check box when creating a "Tax"
account.  I know it works, but I have not tried it the other way, so I
have not determined whether the action was superfluous.  I am unlikely
to change it because it works fine, "if it ain't broke ..yada yada".

A summary report would be nice where I just got the totals, eg:

Sales $x      GST Collected $y
Expenses $M   GST Paid      $N

At the moment I get a report which lists every transaction for the
quarter, with Monthly subtotals and then the Grand Total.  Since I print
these for retention it takes a few pages instead of a couple of lines.

I am, however very happy with GnuCash.

Andrew