Keeping GST records is about to get easier. New laws introduced by the Government, taking effect on 1 April 2023, have modernised the GST rules for invoicing and record keeping.

The requirement to use tax invoices is being replaced by a more general requirement to provide and keep certain records known as ‘taxable supply information’.

It's important to note that how you calculate GST is not changing. The changes simply provide more flexibility around invoicing and record keeping.

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Taxable supply information (currently called tax invoices)

Taxable supply information refers to the minimum set of information buyers and sellers need to keep as evidence of a transaction.

The taxable supply information you need to provide or keep depends on the value and the type of supply.

You can continue to use tax invoices to satisfy the taxable supply information requirements (Invoicing practices compliant with the current rules will continue to comply with the new rules), but the new rules will also mean that the information can also be held in other forms, such as supplier agreements, contracts, and bank statements.

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From 1 April 2023, the 3 threshold requirements for GST supplies are:

• $200 or less
• More than $200 and up to $1,000
• More than $1,000

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For supplies of $200 or less

Taxable supply information includes:

• Seller’s name or trade name
• Date of invoice, or where no invoice is issued the time of supply
• Description of the goods or services
• Total amount payable

This information could be contained in an invoice or contained in your business records.

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For supplies of more than $200 and up to $1,000

Your taxable supply information must show all the details mentioned above for 'supplies of $200 or less' plus:

• Seller’s GST number
• A clear indication of the amount of GST included in the sale price

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For supplies of more than $1,000

Your taxable supply information must show all the details mentioned above for 'supplies of more than $200 and up to $1,000' plus:

• Information to identify the buyer of the goods or services

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Note: The taxable supply information does not need to include details relating to the quantity or volume of the supply. However, this information should be captured elsewhere in your business records.

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For more information:

Watch the IRD's Changes for GST: Invoicing and records keeping changes webinar

Visit the IRD website: Rules for tax invoices are changing on 1 April 2023

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Unsure what this means for your invoicing and record keeping?

Please contact your Campbell Tyson advisor or call our 24/7 help desk on 0800 883 718.

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^{Source: Inland Revenue, www.ird.govt.nz, the information in this article is current as at 23 February 2023.}