Payment of Invoices
The Government is a major purchaser of goods and services in Tasmania and the cash flow of many businesses relies on Government paying its bills on time.
Payment policy and penalty interest
Under the cash management Treasurer's Instruction 402, agencies must pay all invoices with a value of less than $50 000 within 30 calendar days, or if a shorter term has been agreed, within the shorter term.
For invoices of $50 000 and above, payment must be made in accordance with agreed terms and by the due date.
The Government's policy in relation to payment of invoices provides a guarantee of payment of penalty interest to suppliers if payment of an invoice is late.
Mandatory use of the Tasmanian Government Card for certain payments below $1 000
The financial expenditure Treasurer's Instruction 705 mandates the use of the Tasmanian Government Card (TGC) for applicable payments below $1 000.
Agencies are responsible for determining the application of the TGC policy to their business, by identifying and documenting applicable payments for payment by the TGC within their agency.