Expenses for the June quarter (inclusive of GST where appropriate): Fabric and thread purchases Fabric donated (market value $3000) Subcontractors (not registered for GST) Rent Lunch at local restaurant* Accommodation for staff at conferences (Hotel) Airfares for staff to attend conferences* * Bookkeeping services First Aid courses for staff members New sewing machine Business Loan (Principal S450 and interest S50) *Lunch at the local restaurant was for Tanya, the owner of Born Again Bags, and a commercial garment manufacturer who donates waste fabric to the business. For income tax purposes this amount would be classified as entertainment and a deduction would be denied under 532-5 ITAA97. =|""During the period Born Again Bags paid for air fares for staff to attend a conference in Sydney where Tanya was speaking. Tanya was ill the week before the conference and could not attend. Consequently, the staff did not attend either and $1,100 of the airfares mentioned above were not used. The airiine did not refund this amount. Born Again Bags also imported labels from Canada. The cost of the labels was $550 and the freight was $35 (Australian Dollars). The supplier in Canada did not charge GST on these goods