you cancel your registration and still have business assets (for which you previously claimed GST credits) you may need to repay some of those credits. You do this by making an ‘increasing adjustment’ on your activity statement.
If you’ve held a business asset for a certain time, you don’t need to repay the GST credits. For each asset you retain you need to:
- Work out if its ‘adjustment periods’ expired before you canceled your GST registration
- If the asset’s adjustment periods haven’t expired, calculate the adjustment amount and include it on your activity statement