7.a.14. In-house professional, clinical skills update / development programs run by a public hospital for internal staff and also for external private practitioners. Differential fees are charged. Are such course fees subject to GST?

Non-interpretative – straight application of the law.

The supply of a professional or trade course is GST-free where it is a course leading to a qualification that is an essential prerequisite:

  • for entry into a particular profession or trade in Australia, or
  • to commence the practice of (but not to maintain the practice of) a profession or trade in Australia.

A distinction is to be made between courses undertaken to obtain qualifications and those undertaken to maintain them. Courses to maintain qualifications - such as undertaking continuing professional development to retain membership of a professional body - are not GST-free.

For further information refer to GSTR 2003/1External Link - Goods and services tax: supplies that are GST-free as professional or trade courses.

    Last modified: 16 Oct 2013QC 16330