How can I close the GST gap between raw materials and finished products?
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If the GST gap between my raw materials and finished products is causing losses, should I explore options such as better input-tax credit planning, bulk purchase strategies, or changes to the supply chain, rather than expecting customers to absorb the price difference?
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I totally agree — it’s tough to ask customers to cover that GST gap without hurting sales. It might be worth looking inward instead. Things like maximizing your tax credits, pushing for bulk discounts from suppliers, and tightening up the supply chain could help save your margins. It’s a better way to fix the root of the problem without risking your relationship with your customers.