Goods and Services Tax (GST) adjustment processing for Veterans' Affairs Processing (VAP) 012-19061434

If the providers Australian Business Number (ABN) and Recipient Created Tax Invoice (RCTI) agreement are:

• Recorded by Services Australia (the agency) and the claim being assessed has GST applicable items, GST will be automatically added to the applicable items claimed
• Not recorded by the agency, GST will not be calculated for the claim even if the claim contains GST applicable items

GST adjustments may be necessary because:

• A provider’s GST status has changed from being GST registered to not being GST registered since the claim was paid
• An incorrect provider has been paid and one of the providers is GST registered but the other is not
• Norfolk Island is GST exempt, an incorrect provider number was used with a Norfolk Island location
• An incorrect item was paid, for example GST exempt item to a GST applicable item
• An incorrect date of service was keyed, for example the item was not GST applicable on the date the service was provided so the GST amount may have increased and/or decreased
• An incorrect veteran was paid
• An incorrect charge was entered
• A duplicate payment was made for same provider
• A duplicate payment was made for different provider
• The adjustment was calculated incorrectly

Although a provider's RCTI agreement form has been registered, GST back payments are not processed automatically. Requests by providers for GST back-payments must be in writing including the provider number and relevant claim numbers.

When an overpayment of a claim has occurred, there is no online method of processing the adjustment required. Adjustments relating to GST applicable items must be calculated manually. File fixes are made to adjust the claim and the veteran's history on the Mainframe system.

Department of Veteran’s Affairs Policy limits the period that backdated adjustments can be claimed by providers. In alignment with the agency’s processing standards, GST payments provide a 60 day adjustment period from the date the GST registration details were entered. That is, the date of notification of RCTI agreement by the provider has been entered in to ABSTUDY Activity Agreement (ABAA).

Department of Veteran’s Affairs Policy has directed this must be established as the date of notification of a GST status to YES, as entered into ABAA. Providers will be unable to claim any backdated adjustments before this 60 day period.

All provider queries about the 60 day policy must be directed to the Department of Veteran’s Affairs. See Useful Contacts for Department of Veteran’s Affairs contacts.