A New Tax System (Goods and Services Tax Transition) Act 1999

Part 4 - Stock on hand on 1 July 2000  

18   Second-hand goods  

(1)  


Division 66 of the GST Act applies to second-hand goods you acquired before 1 July 2000 only if:


(a) you held them at the start of that day for the purposes of sale or exchange (but not for manufacture) in the ordinary course of business; and


(b) you had not previously held them for any other purpose.

(1A)  


However, if:


(a) because of this section, you are entitled to an input tax credit for an acquisition of second-hand goods; and


(b) the * consideration for the acquisition was $300 or less;

the input tax credit is treated as though it were an input tax credit attributable to any one tax period of your choice.

(2)  


This section does not apply to second-hand goods in respect of which you are entitled to a special credit under former section 16 .



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