11-23 – GST Certificate – Revised Requirements

Category: Circular to CouncilsStatus: Active
Circular Details: 11-23 / 12 September 2011 / A244632Contact: Finance Policy Section / 02 4428 4100
Previous Circular: 05-26Attachments: Nil
Who should read this: NilAction required: Nil
PDF Version:Council Circular 11-23 – PDF

The purpose of this circular is to advise councils of changes to the requirements for GST compliance for the 2011/12 financial year.

As outlined in Circular to Councils 05/26, the current approach requires councils to provide the Division of Local Government with voluntary GST payment advice before 1 June each year. This advice is then provided to

NSW Treasury for confirmation with the Commonwealth Government.
NSW Treasury has provided a new date for verifying voluntary GST payments by councils. Certificates are now to be provided to the Division by 31 July each year, thereby incorporating the whole financial year, July to June.

Further, in an effort to reduce red tape, the Division has determined that the GST certificate is no longer required to be submitted to council. As an
operational matter, it has been determined that the signatures of the General Manager and the Responsible Accounting Officer only are required.
Amendments have been made to the Division’s pro-forma certificate to reflect these changes.

Councils are expected to follow best practice when complying with their GST obligations. Councils’ responsibilities extend to developing and maintaining internal controls, which should ensure compliance and reduce the risk of cash flow issues and under/over payment of GST.

Ross Woodward
Chief Executive, Local Government