Payments to government agencies under Division 81

Terms we use

When we say:

you, we mean an Australian government agency

government charge, we mean an Australian tax, or Australian fee or charge

exempt, we mean not consideration for a supply

not exempt, we mean consideration for a supply, which may or may not be taxable

Treasurer's determination, we mean A New Tax System (Goods and Services Tax) (Exempt Taxes, Fees and Charges) Determination 2011 (No. 1)

GST Act, we mean New Tax System (Goods and Services Tax) Act 1999

Division 81, we mean Division 81 of the GST Act that applies to government charges that are payable to Australian government agencies.

Not all government charges are exempt from GST.

Changes from 1 July 2013

The Treasurer's determination, which lists government charges that are exempt from GST, will no longer apply from 1 July 2013. From 1 July 2013, you must review all your government charges to self-assess whether GST is payable.

From this date, all government charges may be subject to GST if they:

do not fall within the exemptions provided under the amended Division 81 and consolidated regulations, and
satisfy the requirements of a taxable supply.

For information about how you work out whether GST applies to your government charges, see How to self-assess.

What you need to do from 1 July 2011

The Treasurer's determination, which lists government charges that are exempt from GST, applies until 30 June 2013. Regulations made for Division 81 also determine if government charges are exempt from GST, and these have been amended (see 'Summary of changes' by date below). If the government charge is not listed on the Treasurer's determination and its taxation is not prescribed in the regulations, you have to self-assess the GST treatment of the government charge.

For information about what government charges are exempt and not exempt, see:

Sections within Changes from 1 July 2013

Summary of changes by date

Last Modified: Wednesday, 21 November 2012