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Edited version of private advice
Authorisation Number: 1051645965003
Date of advice: 3 April 2020
Ruling
Subject: Goods and services tax and an apportionment methodology
Question
Is the proposed apportionment methodology fair and reasonable?
Answer
Yes
The scheme commences on:
The issue date of this private ruling.
Relevant facts and circumstances
You make mixed supplies.
You proposed an apportionment methodology bases upon the respective costs of both the GST-free component and the taxable component of your supplies.
Relevant legislative provisions
A New Tax System (Goods and Services Tax) Act 1999 Section 9-75
A New Tax System (Goods and Services Tax) Act 1999 Section 9-80
Reasons for decision
There do not appear to be any distortive factors in the proposed methodology and the Commissioner accepts that it is a fair and reasonable method.