Project costs - with or without GST/VAT? RRS feed

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  • Alzbeta,

    I'm afraid only you can answer that question. It all depends on what your project plan is describing, if it's describing activities that are internal to your organization then costs would normally be tracked using straight labor rates including perhaps some corporate "taxes" like overhead and administrative costs. If your plan is describing some type of contract labor your organization is performing for a customer, then you might want/need to add taxes appropriate for that type of work.

    However, keep in mind that Project is a scheduling application, it is not intended to perform full financial functions. I suggest you include only basic labor costs in your project plan and leave the details of "cost" versus "price" to your financial software.

    Hope this helps.


    Monday, July 9, 2018 3:13 PM
  • Thank you John.

    I should have mentioned that my question was related mainly to costs for parts from suppliers.

    I have tried to google some more and found out that usually a project budget contains amounts without GST/VAT.

    Would you agree with that?


    Tuesday, July 10, 2018 10:03 AM
  • Alzbeta K,

    Again, it depends on how you are using your Project file. If you need to show the full cost of parts then you should add the "taxes" associated with procuring.

    But in the end, only you can answer your own question.


    Tuesday, July 10, 2018 2:29 PM
  • Thank you John.
    Friday, July 20, 2018 4:53 AM