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

Chapter 4 - The special rules  

Part 4-1 - Special rules mainly about particular ways entities are organised  

Note:

The special rules in this Part mainly modify the operation of Part 2-2 so far as that Part deals with liability for GST and entitlement to input tax credits, but the special rules also affect other aspects of Part 2-2 and the other Parts of Chapter 2 .

Division 48 - GST groups  

Subdivision 48-B - Consequences of GST groups  

48-40   Who is liable for GST  

(1)  


GST that is payable on any * taxable supply an entity makes and that is attributable to a tax period during which the entity is a * member of a * GST group :


(a) is payable by the * representative member ; and


(b) is not payable by the entity that made it (unless the entity is the representative member).

Note:

However, each member may be jointly and severally liable to pay the GST that is payable by the representative member (see section 444-90 in Schedule 1 to the Taxation Administration Act 1953 ).

(1A)  


GST that is payable on any *taxable importation an entity makes while the entity is a *member of a *GST group :


(a) is payable by the *representative member ; and


(b) is not payable by the member that made it (unless the member is the representative member).

Note:

However, each member may be jointly and severally liable to pay the GST that is payable by the representative member (see section 444-90 in Schedule 1 to the Taxation Administration Act 1953 ).

(2)  
However:


(a) a supply that an entity makes to another * member of the same * GST group is treated as if it were not a * taxable supply , unless:


(i) it is a taxable supply because of section 84-5 (which is about offshore supplies); or

(ii) the entity is a participant in a * GST joint venture and acquired the thing supplied from the * joint venture operator for the joint venture; and


(b) this section only applies to GST payable on a * taxable importation made, by a member of the GST group other than the * representative member , if the GST on the importation is payable at a time when GST on * taxable supplies is normally payable by the representative member.

(3)  
This section has effect despite sections 9-40 and 13-15 (which are about liability for GST).


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