GST on entertainment expenses

Once a year, you or your accountant will have to make an adjustment in your GST return to pay back the GST on the 50% non-deductible expenses you’ve previously claimed . This adjustment is to be included in the GST return that covers the earlier of the date:

  • your income tax return is due to be filed (31 March), or
  • the period your income tax return is filed to the IRD

Include the adjustment on the GST adjustments calculation sheet (IR372) under “Entertainment expenses” and in the adjustments total in Box 9 of your GST return.

Note

You can’t claim this GST adjustment amount as a deduction for income tax purposes.

For more information and to see an example, go to our Entertainment expenses (IR268) guide.

Please get in touch with JB Lloyd Chartered Accountants on 07- 575-3790 if you have any questions.