Question
Kitchen Things Limited (KTL) is a New Zealand tax resident company that imports kitchen products and sells it to retail stores throughout New Zealand. KTL
Kitchen Things Limited (KTL) is a New Zealand tax resident company that imports kitchen products and sells it to retail stores throughout New Zealand. KTL is registered for GST on an invoice basis and files GST returns monthly. All relevant documentation is held by KTL at the time the GST return is filed.
KTL recorded the following GST-exclusive transactions that occurred during February 2022:
On 3 February 2022, an order of cast iron pans arrived in New Zealand. The total value of the order was NZ$120,000 and an invoice was received with the goods. KTL completed the New Zealand customs import entry form on 12 February 2022.
$5,400 of bad debts was written off (GST on the original sale had been returned in August 2021). The entry to record the write-off was made in KTL's accounting software on 22 February 2022.
$425,000 of domestic sales was invoiced to customers; of this amount $30,000 remained outstanding at 28 February 2022.
$230,000 of taxable supplies was acquired from GST-registered persons (along with accompanying tax invoices); 100% of the supplies was used to make KTL's taxable supplies.
What is KTL's total GST payable in the GST return for the month of February 2022?
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