Do I need to collect additional tax for gift cards, packages, and memberships sold before GST was implemented?
If you have collected full payment for gift cards, packages, and memberships before GST was implemented, you do not need to collect additional tax from the guest.
If you have collected partial payments, redemptions against already paid amounts do not attract GST, but new payments do.
Will the GST tax rate be applicable on partially paid invoices (partial payments collected before GST was implemented)?
Redemptions against already paid amount do not attract GST, but new payments do.
Services: If a guest paid a partial amount for a service that is scheduled to be done after GST implementation, we recommend that you convert the payment to a prepaid card and ask the guest to redeem it when availing the service.
Packages: Because redemptions against already paid amount do not attract GST but new payments do, to avoid taxation issues, after GST implementation, we recommend that you close the current packages and create custom packages to collect the remaining amount.
Memberships: The following are our recommendations for memberships:
- Discount only memberships: The sale of memberships before GST that offer
only discounts, there is no impact of GST.
- Service memberships with partial payments: Service redemptions against
already paid amount do not attract GST but new payments do.
- Service memberships with full payments: If you have collected full payment for
a membership before GST was implemented, there is no impact of GST.
What about my open purchase orders?
If your purchase orders are not delivered before GST comes into effect, we recommend that you delete the purchase orders and create them afresh.
What happens if I delete any invoices after GST?
You must report the deleted invoice details in your returns. Talk to your accountant to know how to do this.
Can we provide HSN and SAC codes to Zenoti to upload for us?
Yes, we can update the HSN and SAC codes for you. For more information, reach out to GstHelp@zenoti.com.
If I have not collected payments for appointments made just prior to GST implementation, will GST be applied or the current service tax?
GST tax rate is applicable for any payments made after GST takes effect. It does not matter what tax rate was applicable when the appointment was made.
For appointments made after GST implementation, Zenoti prompts you to apply GST tax rate in POS when collecting payments.
If a guest redeems a package at a different center in the same state, what is the impact of GST?
If your guest redeems the package in a center that has the same GSTIN, the redemption center does not have to pay tax.
Note: In case you need help configuring GST, contact us at GstHelp@zenoti.com.