| Disclaimer This edited version has been archived due to the length of time since original publication. It should not be regarded as indicative of the ATO's current views. The law may have changed since original publication, and views in the edited version may also be affected by subsequent precedents and new approaches to the application of the law. You cannot rely on this record in your tax affairs. It is not binding and provides you with no protection (including from any underpaid tax, penalty or interest). In addition, this record is not an authority for the purposes of establishing a reasonably arguable position for you to apply to your own circumstances. For more information on the status of edited versions of private advice and reasons we publish them, see PS LA 2008/4. |
Edited version of your written advice
Authorisation Number: 1051213374538
Date of advice: 18 April 2017
Ruling
Subject: GST and invoicing services
Question 1
Do you make a GST-free supply when you provide invoicing services to your clients?
Answer
No. You do not make a GST-free supply when you provide invoicing services to your clients.
Relevant facts and circumstances
You are registered for GST.
You provide invoicing services to your clients.
Relevant legislative provisions
A New Tax System (Goods and Services Tax) Act 1999 sections 9-5 and 38-10.
Reasons for decision
A supply of health services is GST-free under subsection 38-10(1) of the GST Act if:
a) it is a service of a kind specified in the table in subsection 38-10(1) of the GST Act or specified in the A New Tax System (Goods and Services Tax) Regulations 1999; and
b) the supplier is a recognised professional in relation to the supply of services of that kind, and
c) the supply would generally be accepted, in the profession associated with
d) supplying services of that kind, as being necessary for the appropriate treatment of the recipient of the supply.
'Pharmacy' is listed at item 15 in the table in subsection 38-10(1) of the GST Act (item 15).
Therefore, 'pharmacy' services are GST-free when they come under subsection 38-10(1) of the GST Act.
In the present circumstances, you are not providing 'pharmacy' services. You provide invoicing services to your clients.
Therefore, the requirements of subsection 38-10(1) of the GST Act are not satisfied. Accordingly, your supplies are not GST-free under subsection 38-10(1) of the GST Act.
Section 9-5 of the GST Act provides that you make a taxable supply if:
you make the supply for consideration; and
● the supply is made in the course or furtherance of an enterprise that you carry on; and
● the supply is connected with the indirect tax zone; and
● you are registered, or required to be registered.
However, the supply is not a taxable supply to the extent that it is GST-free or input taxed.
Where all of the requirements of section 9-5 of the GST Act are satisfied a supply will be taxable.
Your supply is neither GST-free nor input taxed. Therefore, where all the requirements of section 9-5 of the GST Act are satisfied your supply of invoicing services to your clients will be taxable.
Copyright notice
© Australian Taxation Office for the Commonwealth of Australia
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).
