When a receipt is first entered in Law App, the system assumes a standard 10% GST. However, this GST amount is only provisional and will update when the receipt is allocated to an invoice.
This is because:
Some invoice line items may have no GST (e.g., certain disbursements).
Others may only have partial GST.
For example:
GST applies to service fees charged by suppliers like InfoTrack.
Many of their search fees are GST-free.
Law App displays these as a single line to simplify client communication. But when a receipt is allocated, the system recalculates the GST based on the invoice’s real composition.
Tip: If you’re on cash basis accounting, always complete all allocations before running your GST reports — allocations determine the final GST outcome.
