Commonwealth Consolidated Acts

A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 9.30

GST - free

  (1)   A supply is GST - free if:

  (a)   it is GST - free under Division   38 or under a provision of another Act; or

  (b)   it is a supply of a right to receive a supply that would be GST - free under paragraph   (a).

Input taxed

  (2)   A supply is input taxed if:

  (a)   it is input taxed under Division   40 or under a provision of another Act; or

  (b)   it is a supply of a right to receive a supply that would be input taxed under paragraph   (a).

Note:   If a supply is input taxed, there is no entitlement to an input tax credit for the things that are acquired or imported to make the supply (see sections   11 - 15 and 15 - 10).

Supplies that would be both GST - free and input taxed

  (3)   To the extent that a supply would, apart from this subsection, be both * GST - free and * input taxed:

  (a)   the supply is GST - free and not input taxed, unless the provision under which it is input taxed requires the supplier to have chosen for its supplies of that kind to be input taxed; or

  (b)   the supply is input taxed and not GST - free, if that provision requires the supplier to have so chosen.

Note:   Subdivisions   40 - E (School tuckshops and canteens) and 40 - F (Fund - raising events conducted by charities etc.) require such a choice.)

Supply of things used solely in connection with making supplies that are input taxed but not financial supplies

  (4)   A supply is taken to be a supply that is * input taxed if it is a supply of anything (other than * new residential premises) that you have used solely in connection with your supplies that are input taxed but are not * financial supplies.