Create a Customs GST Passthrough Purchase Invoice

Use this guide when a customs broker or freight forwarder bills you for GST paid at the border. The goal is to record the customs GST passthrough separately from normal purchase values, so it is categorised correctly in the Australia BAS Report and the New Zealand GST Report.

This is a source-document entry guide. For period-end review and reconciliation, use the BAS or GST report guide for your country.

Before you start

Check the tax setup before entering the bill:

Open the Item Tax Template list.
Find Customs Import GST for the relevant Company.
For an Australian company, confirm AU BAS Purchase Tax Code is IMP-CUSTOMS.
For a New Zealand company, confirm NZ Purchase Tax Code is IMP-CUSTOMS.
Confirm the template has a purchase GST account in the Tax Rates table, with a tax rate of zero.

Australian Customs Import GST Item Tax Template with AU BAS Purchase Tax Code set to IMP-CUSTOMS

New Zealand Customs Import GST Item Tax Template with NZ Purchase Tax Code set to IMP-CUSTOMS

If the template is missing, open the Company record. From Manage, run Create AU Tax Templates for an Australian company or Create NZ Tax Rules and Templates for a New Zealand company.

When to use this workflow

Use this workflow for the line on a customs broker bill that represents GST paid at the border.

Do not use Customs Import GST for ordinary broker service fees, freight, duty, landed-cost lines, or the overseas supplier's goods value. Put those on separate Purchase Invoice lines with their normal tax treatment.

For New Zealand, do not use IMP for the customs GST passthrough line. IMP is for imported goods values that sit outside Box 11. IMP-CUSTOMS is for the GST amount paid at the border.

Create the Purchase Invoice

Go to Accounting > Purchase Invoice > New.
Select the customs broker as the Supplier.
Select the correct Company.
Enter the Supplier Invoice No, Supplier Invoice Date, and Posting Date from the broker bill.
In Items, add one separate line for the customs GST paid at the border.
Set that line's Expense Head to a dedicated customs GST clearing account. This is usually a current asset account, such as Customs Entry GST.
Set that line's Item Tax Template to Customs Import GST.
Enter the line Rate as the customs GST passthrough amount, not the imported goods value.
Add broker fees, freight, duty, and landed-cost amounts as separate lines with their normal tax treatment.
Keep the normal Taxes and Charges template on the invoice, such as the Australian 10% GST template or the New Zealand 15% GST template. The Customs Import GST item tax template sets the customs GST line's tax rate to zero, so the ordinary GST row applies only to the taxable service lines.
Check the Grand Total against the broker bill before submitting.

Purchase Invoice item line with Item Tax Template set to Customs Import GST

A Purchase Invoice is preferred over a Journal Entry for normal customs broker bills because it keeps the supplier balance, payable ageing, Payment Entry, and bank reconciliation flow together.

Example invoice

A broker bill might contain a customs GST amount plus a taxable broker service fee. Enter it like this:

Line	Expense Head	Item Tax Template	Rate
Customs GST paid at border	Customs Entry GST	Customs Import GST	The customs GST amount shown on the broker bill
Broker service fee	The normal expense account for broker, freight, or customs services	The normal taxable purchase template, if needed	The service fee before GST

Keep the ordinary Taxes and Charges template on the invoice. For example, on a New Zealand invoice using 15% GST, the tax row calculates GST on the broker service fee but calculates zero GST on the customs GST passthrough line.

Do not add an extra Actual GST row for the customs GST passthrough amount. The customs GST amount is already on the invoice as its own item line. Adding the same amount again in Purchase Taxes and Charges would increase the supplier payable and can overstate the bill.

Claim the customs GST in the report

After submitting the Purchase Invoice, review the customs GST passthrough total on the BAS or GST report. If you are claiming the customs GST in that return, enter the same amount as an adjustment:

Australia: enter the claim in Adjustments on GST Credit on the BAS Report.
New Zealand: enter the claim in Adjustments on GST credit (BOX 13) on the GST Report.

Do not claim the same customs GST twice. Use the report's customs passthrough total as a review point, then enter one adjustment only for the amount you are claiming in that return.

How the reports categorise it

Australia BAS Report

The customs GST line appears in Customs GST Passthrough. NexWave excludes the line value from Capital Purchases (G10) and Non-Capital Purchases (G11). Normal GST from taxable service lines still flows to GST on Purchases (1B) through the invoice's tax row. Claim the customs GST passthrough amount through Adjustments on GST Credit if it should be included in the return.

Australia BAS Report GST on Purchases section showing customs GST passthrough excluded from G10 and G11

New Zealand GST Report

The customs GST line appears in Customs GST passthrough (informational). NexWave excludes the line value from Total purchases and expenses excluding imports (BOX 11). Normal GST from taxable service lines still flows to GST Credit (BOX 12) through the invoice's tax row. Claim the customs GST passthrough amount through Adjustments on GST credit (BOX 13) if it should be included in the return.

New Zealand GST Report Purchases and Expenses section showing customs GST passthrough excluded from Box 11

If it was posted the old way

If customs GST was posted through a Journal Entry, it appears in the report's Unclassified area, not in the normal purchase records.

If the return has not been filed and the accounting entry is wrong, cancel or amend the source document using your normal accounting controls and re-enter it as a Purchase Invoice. If the return has already been filed, keep the old entry as part of that period's workpaper and handle any claim or correction through the adjustment fields.

For future customs broker bills, use the Purchase Invoice workflow above.

Common checks

Symptom	What to check	Fix
The customs GST amount is increasing G11 or Box 11	The customs GST line is using a normal GST tax code instead of Customs Import GST.	Set Item Tax Template to Customs Import GST, then recalculate the report.
The customs GST passthrough total is zero	The Purchase Invoice line is not tagged with Customs Import GST, or the invoice is still in draft.	Submit the invoice and confirm the line uses Customs Import GST.
The customs GST amount is not included in the GST credit total	The customs passthrough line is shown for review, but it is not automatically added to 1B or Box 12.	Enter the customs GST claim in Adjustments on GST Credit for Australia or Adjustments on GST credit (BOX 13) for New Zealand.
The supplier payable is higher than the broker bill	The customs GST amount may have been entered both as an item line and as an extra Actual row in Purchase Taxes and Charges.	Remove the extra Actual row and keep the customs GST amount as a separate item line.
The customs broker bill has duty, freight, and service fees on the same line	Different charges have been combined into one Purchase Invoice line.	Split the bill into separate lines so only the customs GST passthrough line uses Customs Import GST.