A New Tax System (Goods and Services Tax) Act. Australia

A New Tax System (Goods and Services Tax) Act - Australia


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interests by governments

      (1) A supply by the Commonwealth, a State or a Territory of land on which there are no improvements is GST-free if:

      (a) the supply is by way of lease (other than *long-term lease); and

      (b) the lease is subject to conditions the satisfaction of which will entitle the *recipient of the supply to the grant of a freehold interest in the land or a long-term lease of the land.

      (2) A supply consisting of the surrender, to the Commonwealth, a State or Territory, of a lease over land is GST-free if:

      (a) the supplier acquired the land under a supply that:

      (i) was GST-free under subsection (1); or

      (ii) if the supply was made before 1 July 2000—would have been GST-free under subsection (1) if it had been made on or after that day; and

      (b) solely or partly in return for the surrender of the lease, the Commonwealth, State or Territory makes a supply of the land to the supplier that is GST-free under section 38-445.

      Subdivision 38-O — Farm land

      38-475 Subdivided farm land

      (1) The supply of a freehold interest in, or the lease by an *Australian government agency of or the *long term lease of, *potential residential land is GST-free if:

      (a) the land is subdivided from land on which a *farming business has been *carried on for at least 5 years; and

      (b) the supply is made to an *associate of the supplier of the land without *consideration or for consideration that is less than the *GST inclusive market value of the supply.

      (2) An entity *carries on a farming business if it carries on a *business of:

      (a) cultivating or propagating plants, fungi or their products or parts (including seeds, spores, bulbs and similar things), in any physical environment; or

      (b) maintaining animals for the purpose of selling them or their bodily produce (including natural increase); or

      (c) manufacturing dairy produce from raw material that the entity produced; or

      (d) planting or tending trees in a plantation or forest that are intended to be felled.

      38-480 Farm land supplied for farming

      The supply of a freehold interest in, or the lease by an *Australian government agency of or the *long term lease of, land is GST-free if:

      (a) the land is land on which a *farming business has been *carried on for at least the period of 5 years preceding the supply; and

      (b) the *recipient of the supply intends that a farming business be carried on, on the land.

      Subdivision 38-P — Cars for use by disabled people

      38-505 Disabled veterans

      (1) A supply is GST-free if it is a supply of a *car to an individual who:

      (a) has served in the Defence Force or in any other armed force of Her Majesty; and

      (b) as a result of that service:

      (i) has lost a leg or both arms; or

      (ii) has had a leg, or both arms, rendered permanently and completely useless; or

      (iii) is a veteran to whom section 24 of the Veterans’ Entitlements Act 1986 applies and receives a pension under Part II of that Act; or

      (iv) is receiving a Special Rate Disability Pension under Part 6 of Chapter 4 of the Military Rehabilitation and Compensation Act 2004, or satisfies the eligibility criteria in section 199 of that Act; and

      (c) intends to use the car in his or her personal transportation during all of the *Subdivision 38-P period.

      (2) However, a supply covered by subsection (1) is not GST-free to the extent that the *GST inclusive market value of the *car exceeds the *car limit.

      (3) In working out the *GST inclusive market value of the *car for the purposes of subsection (2), disregard any value that is attributable to modifications made to the car solely for the purpose of:

      (a) adapting it for driving by the person; or

      (b) adapting it for transporting the person.

      (4) A supply is GST-free if it is a supply of *car parts that are for a *car for an individual to whom paragraphs (1)(a), (b) and (c) apply.

      38-510 Other disabled people

      (1) A supply is GST-free if it is a supply of a *car to an individual who:

      (a) has a current disability certificate issued by:

      (i) the person holding the position of Managing Director of the nominated company (within the meaning of Part 2 of the Hearing Services and AGHS Reform Act 1997); or

      (ii) an officer or employee of that company who is authorised in writing by the Managing Director for the purposes of this section;

      certifying that the individual has lost the use of one or more limbs to such an extent that he or she is unable to use public transport; and

      (b) intends to use the car in his or her personal transportation to or from gainful employment during all of the *Subdivision 38-P period.

      (2) However, a supply covered by subsection (1) is not GST-free to the extent that the *GST inclusive market value of the *car exceeds the *car limit.

      (3) In working out the *GST inclusive market value of the *car for the purposes of subsection (2), disregard any value that is attributable to modifications made to the car solely for the purpose of:

      (a) adapting it for driving by the individual; or

      (b) adapting it for transporting the individual.

      (4) A supply is GST-free if it is a supply of *car parts that are for a *car for an individual to whom paragraphs (1)(a) and (b) applies.

      Subdivision 38-Q — International mail

      38-540 International mail

      A supply is GST-free if it is a supply of services to a foreign postal administration for:

      (a) the delivery in Australia; or

      (b) the transit through Australia;

      of postal articles mailed outside Australia.

      Subdivision 38-R — Telecommunication supplies made under arrangements for global roaming in Australia

      38-570 Telecommunication supplies made under arrangements for global roaming in Australia

      (1) A *telecommunication supply is GST-free if:

      (a) the supply is to enable the use in Australia of a portable device for sending and receiving signals, writing, images, sounds or information by an electromagnetic system while the device is linked to:

      (i) an international mobile subscriber identity; or

      (ii) an IP address; or

      (iii) another internationally recognised identifier;

      containing a home network identity that indicates a subscription to a telecommunications network outside Australia; and

      (b) the supply is covered by subsection (2) or (3).

      Supply by non-resident telecommunications supplier

      (2) This subsection covers the supply if:

      (a) the supply is made to the subscriber in connection with the subscription; and

      (b)


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