ATO Interpretative Decision
ATO ID 2004/153
Goods and Services Tax
GST and importation of a ticket to attend an event in a foreign countryFOI status: may be released
Status of this decision: Decision Current
This ATOID provides you with the following level of protection:
If you reasonably apply this decision in good faith to your own circumstances (which are not materially different from those described in the decision), and the decision is later found to be incorrect you will not be liable to pay any penalty or interest. However, you will be required to pay any underpaid tax (or repay any over-claimed credit, grant or benefit), provided the time limits under the law allow it. If you do intend to apply this decision to your own circumstances, you will need to ensure that the relevant provisions referred to in the decision have not been amended or repealed. You may wish to obtain further advice from the Tax Office or from a professional adviser.
Issue
Is the entity, an Australian individual, making a taxable importation under section 13-5 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act), when a ticket, that the entity purchased to attend an event in a foreign country, is sent to the entity in Australia?
Decision
No, the entity is not making a taxable importation under section 13-5 of the GST Act, when a ticket, that the entity purchased to attend an event in a foreign country, is sent to the entity in Australia.
Facts
The entity is an individual who is a resident of Australia. The entity is not registered or required to be registered for goods and services tax (GST).
The entity purchased a ticket to attend an event in a foreign country. The ticket is sent from the foreign country to the entity in Australia.
Reasons for Decision
Under section 13-5 of the GST Act, an entity makes a taxable importation if:
- •
- it imports goods, and
- •
- the goods are entered for home consumption within the meaning of the Customs Act 1901.
The entity purchased a ticket to attend an event in a foreign country. The ticket is sent from the foreign country to the entity in Australia. Therefore, it needs to be determined whether the ticket to attend an event falls within the meaning of 'goods' for the purposes of section 13-5 of the GST Act.
Under section 195-1 of the GST Act, 'goods' means any form of tangible personal property. When an entity purchases a ticket to an event the ticket is merely evidence of a prepayment for services or other things - the ticket is not tangible personal property. The ticket is not 'goods' within the meaning of section 195-1 of the GST Act.
Therefore, the entity is not making a taxable importation under section 13-5 of the GST Act, when a ticket, that the entity purchased to attend an event in a foreign country, is sent to the entity in Australia.
Date of decision: 30 May 2002
Legislative References:
A New Tax System (Goods and Services Tax) Act 1999
section 13-5
section 195-1
Keywords
Goods and services tax
GST imports
Non-taxable importations
Taxable importations
ISSN: 1445-2782