Motor Vehicle Industry Partnership - issues register

15.f. Is a warranty claim made by a local car manufacturer or distributor on a local component manufacturer a taxable supply?

Non-interpretative - other references: refer to general principles in GSTR 2003/7 - Goods and services tax: what do the expressions 'directly connected with goods or real property' and 'a supply of work physically performed on goods' mean for the purposes of subsection 38-190(1) of the A New Tax System (Goods and Services Tax) Act 1999?

GSTR 2004/7 - Goods and services tax: in the application of items 2 and 3 and paragraph (b) of item 4 in the table in subsection 38-190(1) of the A New Tax System (Goods and Services Tax) Act 1999:

• when is a 'non-resident' or other 'recipient' of a supply 'not in Australia when the thing supplied is done'?
• when is 'an entity that is not an Australian resident' 'outside Australia when the thing supplied is done'?

GSTD 2006/1 - Goods and services tax: is a payment from a non-resident car manufacturer to an Australian distributor under an offshore warranty chargeback arrangement subject to GST?

No. It is not a taxable supply as no consideration is provided by the local car manufacturer or distributor.

Sections within Issue 15 - Warranties

• 15.a. How are warranty plans treated for GST purposes?
• 15.b. Withdrawn 29/01/2004
• 15.c. Is a warranty repair carried out by a dealer for a customer a taxable supply?
• 15.d. Is warranty work carried out by a dealer that is invoiced to the manufacturer/importer a taxable supply?
• 15.e. Is a warranty claim made by a manufacturer/importer on an overseas manufacturer a taxable supply?
• 15.f. Is a warranty claim made by a local car manufacturer or distributor on a local component manufacturer a taxable supply?
• 15.g. Is GST payable on refunds from overseas suppliers where the goods have been rejected by the importer?
• 15.h Withdrawn 29 January 2004