Show download pdf controls
  • 6.12. Are management fees charged by a fund manager to the superannuation fund subject to GST?

    Non-interpretative – straight application of the law

    Yes, the provision of management services by a fund manager is a taxable supply.

    Where the fee is charged to a superannuation fund that is not a recognised trust scheme, the superannuation fund will be entitled to a reduced input tax credit under items 23 and 24 in the table in subregulation 70-5.02(2) of the GST Regulations, where the service acquired is one of those listed.

    From 1 July 2012 a recognised trust scheme will be entitled to a reduced input tax credit at the reduced rate of 55% for all acquisitions of supplies made to the superannuation fund by the entity that is acting as trustee for the fund to the extent the supplies are acquired on or after 1 July 2012. However a recognised trust scheme will be entitled to a reduced input tax credit at the higher rate of 75% on acquisitions of certain supplies which are excluded from item 32 such as fund management services provided by a fund manager.

      Last modified: 31 Oct 2017QC 16359