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Edited version of your written advice
Authorisation Number: 1013077670395
Date of advice: 24 August 2016
Ruling
Subject: GST and the sale of vacant property
Question
Is the sale of a vacant property by an individual is not registered for goods and services tax (GST) and who has not used it to carry on an enterprise subject to GST?
Answer
No, the sale of a vacant property by an individual who is not registered for GST and who has not used the property to carry on an enterprise is not subject to GST as the sale of the property by the individual does not meet the requirements of a taxable supply as defined in section 9-5 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act).
Relevant facts and circumstances
This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling.
An individual inherited the property.
The property consists of a shop and residential premises.
At the time the individual inherited the property both the shop and the residential premises were vacant.
The individual has never used either of the areas (that is, the shop and the residential premises) to carry on an enterprise.
The whole time the individual owned the property both the shop and the residential areas have been left vacant.
The individual does not carry any enterprises.
Relevant legislative provisions
Section 9-5 of the A New Tax System (Goods and Services Tax) Act 1999