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

Chapter 4 - The special rules  

Part 4-2 - Special rules mainly about supplies and acquisitions  

Note:

The special rules in this Part mainly modify the operation of Part 2-2 , but they may affect other Parts of Chapter 2 in minor ways.

Division 72 - Associates  

CCH Note

For transitional provisions relating to a supply or acquisition that an incapacitated entity makes to or from an associate of the incapacitated entity, see note under Div 58 heading.

Subdivision 72-C - Supplies for inadequate consideration  

72-70   The value of taxable supplies for inadequate consideration  

(1)    
If a supply to your * associate for * consideration that is less than the * GST inclusive market value is a * taxable supply , its value is the * GST exclusive market value of the supply.

(2)    
Subsection (1) does not apply if:

(a) your associate is * registered or * required to be registered ; and

(b) your associate acquires the thing supplied solely for a * creditable purpose .

(3)    
This section has effect despite section 9-75 (which is about the value of taxable supplies).

(4)    

View history reference

This section does not apply to a supply that is a *taxable supply because of section 84-5 (which is about offshore supplies).

 View history note

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History

S 72-70(4) amended by No 77 of 2017, s 3 and Sch 1 item 23, by omitting " other than goods or real property " after " offshore supplies " , effective 1 July 2017. For application provisions, see note under Div 146 heading.

S 72-70(4) inserted by No 52 of 2016, s 3 and Sch 2 item 8, applicable in relation to working out net amounts for tax periods starting on or after 1 October 2016. For saving provisions, see note under s 9-26 .

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