GST Advisory Services

Transaction structuring involves evaluating how a supply arrangement is classified, contracted, and executed and identifying whether an alternative structure produces the same commercial outcome at a lower effective GST cost while remaining fully compliant with the Act. Common structuring opportunities include reclassifying mixed supplies to apply the most favourable rate, reorganising procurement to maximise ITC eligibility, and designing export arrangements to optimise refund recovery. No structuring recommendation we make involves positions that are not defensible under the Act and applicable rules.

The highest value advisory engagement is one that precedes the transaction before a contract is signed, before a supply chain arrangement is locked in, or before a new business line is launched. Advisory engaged after the transaction can manage the compliance position but rarely changes it. For businesses already operating, an advisory review of the current GST structure frequently identifies optimisation opportunities and exposure points that periodic compliance filings have not addressed.

Not necessarily. The composition scheme reduces compliance burden and applies a lower flat tax rate but it restricts ITC claims, prohibits interstate supply of goods, and prevents the business from issuing tax invoices that allow recipients to claim credit. For businesses with significant B2B supply activity, high input tax costs, or interstate operations, the regular scheme frequently produces a lower effective tax cost despite the higher compliance requirement. Scheme selection should be evaluated against the specific financial and operational profile of the business rather than turnover alone.

Anti-profiteering provisions require businesses to pass the benefit of GST rate reductions or increased ITC availability to recipients through commensurate price reductions. Compliance requires both a pricing adjustment mechanism and documented evidence that the benefit was passed on. Advisory support covers the computation of the required price adjustment, implementation of the pricing change, and maintenance of the documentation trail that demonstrates compliance reducing the risk of anti profiteering proceedings that can result in demand for the profiteered amount with interest.

A structured GST review should be conducted at minimum annually covering scheme eligibility, ITC structure, registration requirements, and compliance process alignment with current law. Beyond the annual review, advisory input should be sought before any significant business change new supply lines, geographic expansion, major procurement contracts, or export activity and whenever a GST notification or rate change affects the business's existing transaction classifications or credit positions.