ATO Interpretative Decision

ATO ID 2001/559 (Withdrawn)

Goods and Services Tax

GST and registration of a non-resident entity
FOI status: may be released

The ATO view on this issue is covered in GST registration information for a non-resident - Tax Topics - Business between Australia and New Zealand.

This document incorporates revisions made since original publication. View its history and amending notices, if applicable.

CAUTION: This is an edited and summarised record of a Tax Office decision. This record is not published as a form of advice. It is being made available for your inspection to meet FOI requirements, because it may be used by an officer in making another decision.

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you will need to ensure that the relevant provisions referred to in the decision have not been amended or repealed.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

Can the entity, a non-resident, register for goods and services tax (GST) under section 23-10 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act), when it is not entitled to an Australian Business Number (ABN) under section 8 of the A New Tax System (Australian Business Number) Act 1999 (ABN Act)?

Decision

Yes, the entity can register for GST under section 23-10 of the GST Act when it is not entitled to an ABN under section 8 of the ABN Act.

Facts

The entity is a non-resident. The entity is carrying on an enterprise and makes acquisitions in Australia. The entity is not entitled to an ABN under section 8 of the ABN Act as the entity's enterprise is not carried on in Australia and it does not make supplies that are connected with Australia.

The entity's current annual turnover and projected annual turnover, as defined in section 188-15 of the GST Act and section 188-20 of the GST Act, are below the registration turnover thresholds defined in section 23-15 of the GST Act.

Reasons for Decision

The requirements to obtain an ABN are different from the requirements to obtain GST registration.

Section 23-10 of the GST Act provides that an entity may be registered for GST if the entity is carrying on an enterprise (whether or not the entity's turnover is at, above or below the registration turnover threshold) or intends to carry on an enterprise from a particular date. Section 23-10 of the GST Act does not require that the enterprise be carried on in Australia.

In this case, the entity is carrying on an enterprise. Therefore, although the entity does not have an ABN and its turnover does not meet the registration turnover threshold, it can register for GST under section 23-10 of the GST Act.

[Note: Where an entity is entitled to GST registration, but not to an ABN, it will be provided with a GST registration number to assist it in meeting its GST obligations.]

Date of decision: 11 September 2001

Legislative References:
A New Tax System (Goods and Services Tax) Act 1999
   section 23-10
   section 23-15
   section 188-15
   section 188-20

A New Tax System (Australian Business Number) Act 1999
section 8

Keywords
Goods & services tax
GST registration
GST turnover threshold

Business Line: GST

Date of publication: 3 November 2001

ISSN: 1445-2782

history

	Date:	Version:
	11 September 2001	Original statement
You are here	19 August 2005	Archived

Copyright notice

You are free to copy, adapt, modify, transmit and distribute material on this website as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).