• 1.m. What meaning does the category heading in the second column in Schedule 3 of the GST Act have?

    Non-interpretative – straight application of the law.

    Section 182-15 of the GST Act states that the second column of the table in Schedule 3 of the GST Act is not operative. In interpreting an item in the table this column may only be considered for a purpose for which an explanatory section may be considered under subsection 182-10(2). That is, the category heading in the second column of Schedule 3 may only be considered in interpreting an operative provision:

    1. in determining the purpose or object underlying the provision; or
    2. to confirm that the provision's meaning is the ordinary meaning conveyed by its text, taking into account its context in this Act and the purpose or object underlying the provision; or
    3. in determining the provision's meaning if the provision is ambiguous or obscure; or
    4. in determining the provision's meaning if the ordinary meaning conveyed by its text, taking into account its context in this Act and the purpose or object underlying the provision, leads to a result that is manifestly absurd or is unreasonable.

    For example, for the purposes of item 37 of the table in Schedule 3, it is considered that the meaning of the term 'needles and syringes' is sufficiently clear such that it is not necessary to consider the category heading in column two, "Diabetes". That is, the interpretation of the term 'needles and syringes' is not restricted by the category heading, "Diabetes". Therefore, it is not only needles and syringes for use by diabetics which fall within item 37. However, it is considered that the individual items 'needles' and 'syringes' must be interpreted by reference to the fact that they are listed together. On this basis, it is considered that a needle that is not designed for use with a syringe, or a syringe that is not designed for use with a needle, will not be covered by item 37 in Schedule 3. Thus, an item such as a needle for inserting sutures is not covered by Schedule 3.

      Last modified: 02 Apr 2014QC 16333