Commonwealth Consolidated Acts

A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 38.60

Insurers

  (1)   If:

  (a)   a supply is a supply of a service to an insurer; and

  (b)   the service is the supplier making one or more other supplies of goods or services to an individual; and

  (c)   at least one of the other supplies is:

  (i)   wholly or partly * GST - free under this Subdivision; and

  (ii)   for settling one or more claims under an * insurance policy of which the insurer is an insurer;

the first - mentioned supply is GST - free to the extent that the other supplies mentioned in paragraph   (b) are GST - free under this Subdivision.

Note:   For subparagraph   (c)(ii), the insurer may be an insurer of the policy because of a portfolio transfer (see section   78 - 118).

Compulsory third party scheme operators

  (2)   If:

  (a)   a supply is a supply of a service to an * operator of a * compulsory third party scheme; and

  (b)   the service is the supplier making one or more other supplies of goods or services to an individual; and

  (c)   at least one of the other supplies is:

  (i)   wholly or partly * GST - free under this Subdivision; and

  (ii)   made under the compulsory third party scheme;

the first - mentioned supply is GST - free to the extent that the other supplies mentioned in paragraph   (b) are GST - free under this Subdivision.

Government agencies

  (3)   If:

  (a)   a supply is a supply of a service to an * Australian government agency; and

  (b)   the service is the supplier making one or more other supplies of goods or services to an individual; and

  (c)   at least one of the other supplies is wholly or partly * GST - free under this Subdivision;

the first - mentioned supply is GST - free to the extent that the other supplies mentioned in paragraph   (b) are GST - free under this Subdivision.

Parties may agree for supply not to be GST - free

  (4)   However, a supply is not GST - free (to any extent) under this section if the supplier and the * recipient have agreed that the supply, or supplies of a kind that include that supply, not be treated as GST - free supplies.