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Edited version of your written advice
Authorisation Number: 1012745069325
Ruling
Subject: GST and Adviser services
The Commissioner has provided a response to the following questions:
1. What is the GST treatment of the Life Policy issued by Entity X to Entity Y as trustee of the Fund?
2. Does Entity X make an acquisition of a taxable supply of distribution services from the Distributors under the Agreement in consideration for the commissions and fees, including an Adviser Service Fee (ASF) payable under the Agreement and set under the Product Disclosure Statement (PDS) of the relevant Fund?
3. Does Entity X, in its capacity as issuer of interests in or under the Life Policy, make an acquisition from the Distributors under the Agreement when the Distributors promote investment in the Life Policy (via their promotion of an investment in the Fund)?
4. Does Entity X, in its capacity as issuer of interests in or under the Life Policy, provide the consideration to Distributors for the supply of services provided by the Distributors in accordance with the terms of the Agreement?
5. Is Entity X, in its capacity as issuer of interests in or under the Life Policy entitled to a reduced input tax credit (RITC) for the acquisition of the services provided by the Distributors under the Agreement in consideration for the payment of commission and fees, including an ASF?
Relevant legislative provisions
A New Tax System (Goods and Services Tax) Act 1999 Section 9-5
A New Tax System (Goods and Services Tax) Act 1999 Section 9-15
A New Tax System (Goods and Services Tax) Act 1999 Section 11-5
A New Tax System (Goods and Services Tax) Act 1999 Section 11-15
A New Tax System (Goods and Services Tax) Act 1999 Section 40-5
A New Tax System (Goods and Services Tax) Act 1999 Section 70-5
A New Tax System (Goods and Services Tax) Regulations 1999 40-5.06
A New Tax System (Goods and Services Tax) Regulations 1999 40-5.07
A New Tax System (Goods and Services Tax) Regulations 1999 40-5.09
A New Tax System (Goods and Services Tax) Regulations 1999 70-5.02