Question 5
At question 5, you must assess whether you meet the criteria needed to maintain or increase your GST governance stage rating for the period the return covers, when compared to the previous stage rating given to you by us in your most recent GST assurance review.
You must answer either yes or no.
Question 6
At question 6, if you've had material business changes or material systems changes that impact your GST control framework since your most recent GST assurance review, you must briefly describe these changes and how you have taken them into account in determining if you have maintained or increased your GST governance stage rating.
You also have the option to provide additional comments in relation to your response to question 5.
Resources to help you answer these questions
The best resource to assist you with answering these questions will be:
- your GST governance stage rating (as well as, for Top 100 taxpayers, the rating for each individual control), which is recorded in the final report you received at the completion of your most recent GST assurance review
- any further communications you have had with us in relation to particular issues or recommendations
- our GST governance, data testing and transaction testing guide which sets out the requirements for each GST governance stage rating.
When considering your response, you should consider:
- your prior governance ratings received in your GST assurance reviews
- whether you have implemented our recommendations or actioned any commitments made to us
- if you have made any material changes to your business or systems that impact your GST control framework. If so, you should consider whether you have maintained or improved your GST governance rating with regard to the criteria set out in our GST governance, data testing and transaction testing guide.
Example 1: 'Yes' at question 5
Orbit Kings is a Top 1,000 taxpayer who received an overall medium assurance rating and a stage 2 GST governance rating. As part of its previous Combined Assurance Review (CAR), Orbit Kings provided a Board endorsed commitment to commence periodic internal controls testing. The commitment specifies a timeframe for the testing to commence for GST in 2023–24.
In providing its response to question 5 of the Supplementary annual GST return, Orbit Kings answers 'yes' as it has met the criteria needed to maintain or increase its GST governance stage rating for the period. This is because it has commenced its periodic internal controls testing in accordance with its commitment and has otherwise met the criteria to maintain the rating.
Our assurance report recommended that Orbit Kings confirm the operational effectiveness of its tax control framework in practice with reference to the requirements in the GST governance, data testing and transaction testing guide. Orbit Kings also includes the commencement of internal controls testing in its answer to question 4 as one of the actions that it has taken to address our recommendations in the earlier assurance review.
End of example
Example 2: 'Yes' at question 5
Wilson Sports is a Top 1,000 taxpayer. It received a GST streamlined assurance review report in 2022, with an overall high GST assurance rating and a stage 2 GST governance rating.
In 2023, Wilson Sports implemented a new Information Technology (IT) system that resulted in material changes to the business systems it uses to collate and report GST impacted transactions.
Given these changes, Wilson Sports reviewed the design effectiveness of its controls, including MLC 4 (Controls in place for data for GST purposes) to consider if it had maintained a stage 2 GST governance rating. Wilson Sports considered whether, given the changes in its IT systems, it still had effectively designed GST data controls, including documentation which evidences GST controls built into business systems as well as standard rules for assigning tax codes and process for setting up, adding and deleting of customer and vendor master files and tax codes.
It considers that it has objective evidence to maintain its GST governance rating in line with the GST governance, data testing and transaction testing guide.
Wilson Sports answers 'yes' to question 5 and provides brief comments at question 6 describing the material change in its systems and the process it has undertaken to determine that it has maintained its GST governance rating.
Wilson Sports retains evidence of the steps it took to support its response to question 5 and 6.
End of exampleContinue to Section D, Question 7.
Return to Instructions to complete the Supplementary annual GST return 2025.