How to charge GST on solar is not obvious. Read on to discover why…

Let’s say you have just been quoted a nice round $7,000 for a brand spanking new rooftop solar system with 5 kilowatts of panels.  With Australia’s 10% Goods and Services Tax, you might expect the GST portion of that quote to come to $700.

Or, if you didn’t go to school in Toowoomba like I did, you might actually think GST would be $636.36 because that would be 10% of $6,363.64 which would then add up to a nice round $7,000.  (Remember kids, always pay attention in math class if you don’t want to end up as a lowly solar blogger.) [Read more…]