How to correct GST Rounding on Owner Statements - Not quite right?

Palace, like the accounting system, Xero, calculates GST on a per line basis, rounding to two decimal places, and then sums the tax totals of each line to calculate the total GST.

This approach is acceptable to both the IRD in New Zealand and to the ATO in Australia.
"These acceptable approaches may result in differences in liability amounts, but the benefits of flexibility far outweigh any marginal differences"   (Australian Tax Commissioner Michael Carmody)
 
An example from one of the statements explains the difference:
 
Rent Fees GST Rounded
$420.00 $27.30 4.0950 $4.10
$420.00 $27.30 4.0950 $4.10
$420.00 $27.30 4.0950 $4.10
$420.00 $27.30 4.0950 $4.10
       
$1,680.00 $109.20 $16.38 $16.40
The rounding function sometimes results in a slightly higher GST figure, and sometimes a slightly lower figure.
For example, if the rent rate was $425, the rounding function would drop off the fractions of a cent for each line, :

Rent Fees GST Rounded
$425.00 $27.63 4.1438 $4.14
$425.00 $27.63 4.1438 $4.14
$425.00 $27.63 4.1438 $4.14
$425.00 $27.63 4.1438 $4.14
       
$1,700.00 $110.50 $16.58 $16.56
 
The figures from Palace are usually posted to an accounting system such as Xero, and these systems will often maintain a GST rounding account.
 
Users who have owners with concerns may prefer to send an alternative owner statement format from Palace - e.g. the Details (Portrait) format - which clearly shows the GST amount on each line.
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