Part 6 - Second hand goods

Issue 1: How will second hand goods that are donated to a charity be treated under GST?

Non-interpretative – straight application of the law


The donated second-hand goods rules provide that a supply of second hand goods is GST-free if:

  • the organisation that is supplying the second hand goods is an endorsed charity, a gift-deductible entity (GDE) or a government school, and
  • the goods were a gift to the organisation or were supplied by another GDE, endorsed charity or government school to which the goods were also donated.

However, the supply is not GST-free if the endorsed charity, GDE or government school has dealt with the goods in such a way that the goods no longer have their original character.

    Last modified: 18 Nov 2013QC 27139