How do I change the GST Method in Ostendo from Payments (Cash) to Invoice Basis?

How do I change the GST Method in Ostendo from Payments (Cash) to Invoice Basis?

On occasions there will be instances when an Ostendo Company database needs to be changed from Cash GST method to an Invoice (Accrual) method.

This change is a significant change to how a business accounts for its GST, and therefore it is advised that an Accountant be fully involved in this process.

(NB: This is not always as simple as changing the method in the System Settings)

The issue here relates to GST on unpaid Sales and Creditors Invoices. Under a Cash basis the GST has not been reported on these transactions, therefore a 'one off' GST adjustment is required on your GST return in order to take up the GST in one bite at the transition point. Some of this information will come from Ostendo and the rest will come from the Accounting Software, so care must be taken throughout this process.

Pre-Requisites:

  1. Ensure all Sales Invoicing are completed up to the point of transition
  2. Ensure there are no 'Planned' Sales Invoices (Check the Batch Invoicing screen for this)
  3. Ensure all Customer Payments are fully processed, and there are no open batches (Check the Customer Payment Screen for this)
  4. Perform a full Bank Reconciliation in the Accounting software to ensure all Payments have been recorded

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