As a seller, are there any implications on providing a tax invoice to a buyer.
Sold a laptop on Gumtree.
Because the item still has warranty left on it? Or they want you to produce a tax invoice for second hand goods?
Not for warranty purposes, but I believe they'll be looking to make a claim during tax time.
Are you registered for GST? If not, then you can't provide a "tax" invoice.
If you're registered for GST, your invoices should be called 'tax invoice'.
If you're not registered for GST, your invoices should not include the words 'tax invoice'
why did you have you to give a tax invoice for gumtree sales?
If you're just selling a personal item, you can just write a receipt and they can use that as a record of purchase to claim it on tax, if that is what they are wanting to do (assuming its for their work purposes etc). You don't need to link it to your business etc. Unless, it's your business officially selling the item to the person.
Also put Private Sale on the Receipt?
Interesting, how do you think the ATO validate how much you paid for the privately purchased item assuming your looking to claim a deduction based on that purchase.
If the buyer is claiming a tax credit and gets audited the ATO will look at the tax invoice. If it follows the ATO rules for Tax Invoices they will have your business name and ABN and be able to validate against your BAS.
If the tax invoice doesn't contain the required information, they will probably revise their tax assessment so the buyer has to pay the tax and issue a fine as well. The buyer could challenge that assessment, but it's hard to imagine that they would go to court over a laptop bought from gumtree.
If you don't have an ABN then you shouldn't be issuing tax invoices. The ATO has a special form for suppliers who are not required to state an ABN as detailed here:
Statement by a supplier not quoting an ABN
Substantiation is 'written evidence' (paper or electronic),
so one would assume: an invoice (note doesn't have to be a tax invoice )/ other simple documentation / gumtree ad / text messages - especially in terms of a cash transaction you would have to come up with additional substantiation of this sort if you don't have a cash wdl in your bank account (quick perusal suggests a contact details
e.g. via a quick google search : https://www.insightaccounting.com.au/2017/04/claiming-gumtre...
the gumtree tools referenced: https://taxandsupernewsroom.com.au/gumtree-facebook-group-so...
anyway tax ruling time—
you'll be able to pull out plenty more legislative references and examples:
second hand transactions fall within being 'wholly of a private or domestic nature'
the statement is referenced in a tax ruling (regarding withholding an amount 47% (highest tax threshold) from payments)
a statement would probably be overkill, but is very easy documentation to prepare for this transaction
Its a private sale, don't do it.