This information is for insurers. It will help you complete the goods and services tax (GST) section of your activity statement.
- Purchase of insurance policy and reinstatement to the insured
- Purchase of insurance policy and cash settlement to the insured
- Purchase of insurance policy and reinstatement to third party
- Purchase of GST-free insurance policy and reinstatement to the insured
- Purchase of GST-free insurance policy and cash settlement to the insured
- Purchase of input taxed insurance policy and cash settlement to the insured
- Subrogation
This information will help insurers complete the goods and services tax (GST) section of their activity statement. It includes a series of examples illustrating how to treat an insured event occurring on or after 1 July 2000, and how to complete the activity statement.
See also:
- GST and insurance
- GST and co-insurance arrangements
- GSTR 2006/10 Goods and services tax: insurance settlements and entitlement to input tax credits
Notes to using this information
Colour-coded flowcharts are used to show the transactions associated with each example. The flowcharts show:
- acquisitions in red
- settlements and decreasing adjustments in green
- policy premiums in blue
- excess payments in pink
- increasing adjustments in grey
- subrogation and recoveries in dark red.
All division and section references used in this information are to A New Tax System (Goods and Services Tax) Act 1999.
It is assumed in the examples that where you (the insurer) contract with a supplier, the requirements of GSTR 2006/10 Goods and services tax: insurance settlements and entitlements to input tax credits are met.