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

Chapter 3 - The exemptions

Part 3-1 - Supplies that are not taxable supplies

Division 38 - GST-free supplies

Subdivision 38-B - Health

38-25 Residential care etc.

(1)
A supply of services is GST-free if:

(a)

it is a supply of services covered by a provision of the * aged care service list specified in regulations made for the purposes of this paragraph; and

(b)

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it is provided at an * approved residential care home ; and

(c)

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the supplier is a registered provider (within the meaning of the Aged Care Act 2024 ).

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(2)
A supply of services is GST-free if:

(a) the services are provided to one or more aged or disabled people; and

(b)

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the * Aged Care Minister has determined in writing that the services are of a kind covered by a provision of the * aged care service list specified in regulations made for the purposes of this paragraph; and

(c) the supplier receives funding from the Commonwealth, a State or a Territory in connection with the supply.

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(3)
A supply of services is GST-free if:

(a) the services are provided to one or more aged or disabled people in a residential setting; and

(b)

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(c)

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the services include, and are only provided to people who require, the services ( care services ) set out in a provision of the * aged care service list specified in regulations made for the purposes of this paragraph.

CCH Note:

Act No 143 of 2004, s 3 and Sch 1 item 18, contained the following application provision:

18 Application of Aged Care Minister ' s determinations relating to paragraph 38-25(3)(b) of the GST Act
Any requirement in a determination made for the purposes of paragraph 38-25(3)(b) of the GST Act that accommodation be included in a package of services, or that charges for accommodation be payable to the entity to which charges for services are payable, does not apply in relation to a supply that:

(a) is made to a resident of a serviced apartment in a retirement village; and

(b) is connected with a supply of a kind referred to in subparagraph 38-25(4A)(b)(i), (ii) or (iii) to the resident.

View history note

History

S 38-25(3) amended by No 45 of 2025, s 3 and Sch 3 items 58 and 59, effective 1 November 2025, by substituting " a provision of the * aged care service list specified in regulations made for the purposes of this paragraph " for " Schedule 1 to the * Quality of Care Principles " in para (b); " in a provision of the * aged care service list specified in regulations made for the purposes of this paragraph " for all the words after " set out " in para (c).

S 38-25(3) amended by No 143 of 2004, s 3 and Sch 1 item 1, by inserting " ( care services ) " after " services " (second occurring), effective 14 December 2004. No 143 of 2004, s 3 and Sch 1 Part 2 (as amended by No 73 of 2006, s 3 and Sch 5 items 168 and 169), contained the following application provisions:

Part 2 - Application
13 Definition
In this Part:
GST Act
means the A New Tax System (Goods and Services Tax) Act 1999 .
14 General application
(1)
The amendments made by this Schedule (other than items 4 to 6) apply, and are taken to have applied, in relation to net amounts for tax periods starting, or that started, on or after 1 July 2000.

(2)
However, to avoid doubt, a determination made for the purposes of paragraph 38-25(3B)(a) of the GST Act (as amended by this Act) does not apply in relation to any supplies made before the commencement of this item.

(3)
The amendments made by items 4 to 6 of this Schedule apply to supplies made on or after the day on which this Act receives the Royal Assent.
15 Attributing input tax credits
(1)
If:
(a) you are entitled to an input tax credit for an acquisition or importation made before the commencement of this item; and
(b) you would not be entitled to the input tax credit if the amendments made by this Schedule had not been made;
to the extent that you would, apart from this item, attribute that input tax credit to a tax period ending before the commencement of this item, you may instead attribute it to the first tax period ending after that commencement.

(2)
This item does not apply for the purpose of working out adjustment periods for the purposes of Division 129 of the GST Act (which is about adjustments for changes to the extent of creditable purposes).

(3)
This item has effect despite:
(a) sections 29-10 and 29-15 of the GST Act (which are about attributing input tax credits); and
(b) section 105-55 in Schedule 1 to the Taxation Administration Act 1953 (which is about the time limit on refunds and credits).
16 Application of section 105-55 in Schedule 1 to the Taxation Administration Act 1953
Section 105-55 in Schedule 1 to the Taxation Administration Act 1953 does not apply to a refund under section 35-5 of the GST Act in respect of a tax period to the extent that:
(a) before the commencement of this item, GST on a taxable supply was attributable to that tax period; and
(b) because of the amendments of the GST Act made by this Act, the supply is no longer a taxable supply.

(3A)

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Services provided to a resident of a * retirement village are taken, for the purposes of paragraph (3)(a), to be provided in a residential setting if, and only if:

(a) he or she is a resident of a * serviced apartment in the retirement village; and

(b) there is in force a written agreement under which the operator of the retirement village provides daily meals and heavy laundry services to all of the residents of the apartment.

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(3B)

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However, services provided to a resident of a * serviced apartment in a * retirement village are not taken, for the purposes of paragraph (3)(a), to be provided in a residential setting if:

(a) the * Aged Care Minister has determined in writing:

(i) the levels of care services that residents of serviced apartments in retirement villages must require in order for subsection (3) to apply; and

(ii) the way in which the levels of care services required by residents are to be assessed; and

(b)

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the * Aged Care System Governor has not, in accordance with the determination, assessed the person to whom the services are provided as requiring the levels of care services so determined.

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(3C)

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A determination made for the purposes of paragraph (3B)(a) may be restricted to a specified class of residents of * serviced apartments in * retirement villages .

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(4)
A supply of accommodation is GST-free if it is made to a person in the course of making a supply to that person that is GST-free under subsection (1) , (2) or (3) .

(4A)

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A supply is GST-free if:

(a) it is made to a person who is a person of a kind referred to in paragraph (3)(c); and

(b) it is:

(i) a supply, by way of lease, hire or licence, of * residential premises consisting of a * serviced apartment in a * retirement village ; or

(ii) a sale of * real property that is residential premises consisting of a serviced apartment in a retirement village; or

(iii) a supply of an excluded security (within the meaning of the Corporations Act 2001 ) in respect of which the right to participate in a retirement village scheme (within the meaning of that Act) entitles the person to use or occupy a serviced apartment in a retirement village; and

(c)

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in a case where:

(i) a determination made for the purposes of paragraph (3B)(a) is in force; and

(ii) the determination is not restricted under subsection (3C) in such a way that the determination excludes the person;

the * Aged Care System Governor has, in accordance with the determination, assessed the person as requiring the levels of care services determined in the determination; and

(d) it is made in connection with one or more supplies, or proposed supplies, to the person that are or will be GST-free under subsection (3) .

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(5)

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However, a supply of services that is covered by an extra service fee (within the meaning of the Aged Care Rules 2025 ) is only GST-free under this section to the extent that the services were:

(a)

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supplied before 31 October 2026; and

(b)

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covered by Schedule 1 to the Quality of Care Principles 2014 (as in force before the commencement of the Aged Care Act 2024 ) when the extra service agreement concerned was entered into.

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