In this segment, we focus on the top five things to know about the GST Analytical Tool (GAT)

What is the GAT?

The GAT is used to determine variances between accounting figures reported by businesses and what has been reported in the business activity statement.

Top 5 things to know about the GAT:

• In recent years the GAT Analysis has been a permanent feature for businesses in the top 100 and top 1000 participants
• In the event that the GAT cannot be undertaken, a comparable measure must be undertaken to ensure proper comparison
• The GAT is a comparison tool, rather than a financial reconciliation tool
• It is important to understand the discrepancies between different results in accounting, for which the GAT is useful
• It is best to declare any understatements voluntarily, and on a regular basis rather than only when an ATO review is called

After watching this episode, you should know the benefits of the GAT and how integrate this analytical tool into your tax processes.

For more information on this crucial element of tax governance, please join us in the ninth installment of RSM’s Demystifying Tax Governance series.  

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