Here we are considering a voluntary registration ie. establishments with less than a million dollar turnover. The following discussion is strictly in the context of a restaurant business.
While GST registration relieves his restaurant from GST burden through recovery of GST incurred on business activities, it also require the restaurant to charge GST on their sales.
I advised him to review his suppliers of food items as they will constitute the bulk of costs and the percentage of total value of items with GST.
He also has to consider the impact of applying GST on his prices to customers. Are his customers price-sensitive? What is the impact to his bottomline if he decide to absorb the GST?
Thirdly, we have to consider the cost of compliance ie. preparation of GST returns every quarterly?
Hi,HaHaHa what is so fancy about this leg?
Friend,Focus on the story la and not be distracted by the beautifully coordinated feet.