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Edited version of private ruling
Authorisation Number: 1011697222797
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Subject: GST and the sale of unused tokens
Case Summary:
In order to protect your privacy and commercial components of your GST private ruling, only the following summary is provided.
This GST private ruling relates to a request for advice on the following:
Question 1
Is a goods and services tax (GST) payable where a token has been sold but no subsequent supply occurs in relation to the issue of the token?
Question 2
If the answer to question 1 is 'no' have you, by remitting GST at the time a token is sold, overpaid GST in respect of the supplies subsequently not made?
Question 3
If the answer to question 2 is 'yes' can you adjust your GST liability via the Activity Statement using the methodology proposed in the document provided to support the submitted Notification of GST refund?
Question 4
For the tax periods prior to 1 July 2008, are you entitled to a refund of overpaid GST?
Question 5
If the answer to question 4 is 'yes' is the amount of the refund the amount indicated in the document?
Question 6
If the answer to question 4 is 'no' what are the reasons for that non-entitlement?
Question 7
For the period 1 July 2008 to the present, are you entitled to a refund of overpaid GST?
Question 8
If the answer to question 7 is 'no' what are the reasons for that non-entitlement?
The following advice was provided:
Answer 1
Yes, GST is payable where a token has been provided because there is a taxable supply under section 9-5 of the A New Tax System (Goods and Services) Tax Act 1999 (GST Act) made relevant to the provision of each token to a customer.
Answer 2
No, you have not overpaid GST, by remitting GST at the time a token is sold.
Answer 3
No, you cannot adjust your GST liability via the Business Activity Statement using the methodology proposed in the document provided to support the submitted 'Notification of GST refund'.
Answer 4
No, for the tax period prior to 1 July 2008 you are not entitled to a refund of overpaid GST.
Answer 5
As the answer to question 4 is 'no' the question is not applicable.
Answer 6
You are not entitled to a GST refund because there is no GST that has been overpaid.
Answer 7
No, you are not entitled to a refund of overpaid GST.
Answer 8
You are not entitled to a GST refund because there is no GST that has been overpaid.