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  • 6.6. What is 'GST turnover?

    For GST, Luxury Car Tax and Wine Equalisation Tax purposes, from 1 July 2015, where the term ‘Australia’ is used in this item it is referring to the ‘indirect tax zone’ as defined in subsection 195-1 of the GST Act.

    Non-interpretative – straight application of the law

    The GST turnover for an enterprise meets the turnover threshold if:

    • the current GST turnover is $75,000 or above and the Commissioner is not satisfied that your projected GST turnover is below $75,000, or
    • the projected GST turnover is $75,000 or above.

    Current GST turnover is the sum of:

    • supplies made, or likely to be made, in the current month, plus
    • supplies made in the previous 11 months, less
    • supplies excluded.

    Supplies that are excluded in the calculation of current GST turnover are:

    • supplies that are input taxed
    • supplies that are for no consideration
    • supplies that are not made in the course of your enterprise, or
    • supplies that are not connected with Australia.

    Projected GST turnover is the sum of:

    • supplies made, or likely to be made, in the current month, plus
    • supplies made, or likely to be made, in the next 11 months, less
    • supplies excluded.

    Supplies that are excluded in the calculation of projected GST turnover are:

    • supplies that are input taxed
    • supplies that are for no consideration
    • supplies that are not made in the course of your enterprise
    • supplies that are not connected with Australia
    • supplies that are made by transfer of capital assets, or
    • supplies that are made when an enterprise is ceased or is substantially and permanently reduced in size or scale.

    Examples of supplies excluded from GST turnover are:

    • dividends
    • unit trust distributions
    • interest
    • members’ contributions
    • undeducted contributions
    • employer contributions
    • supplies to associates for no consideration
    • supplies not connected with Australia
    • supplies not in connection with an enterprise – for example, private sales
    • payments of money made in settlement of a claim under an insurance policy.
      Last modified: 01 Apr 2019QC 16359