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Edited version of private advice
Authorisation Number: 1051847936044
Date of advice: 11 June 2021
Ruling
Subject: GST and food
Question
Is the supply of the Product GST-free under section 38-2 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)?
Answer
Yes.
A supply of food is GST-free under section 38-2 of the GST Act if the product satisfies the definition of food in section 38-4 of the GST Act and the supply is not excluded from being GST-free by section 38-3 of the GST Act.
The supply of the Product is GST-free under section 38-2 of the GST Act because:
• the Product satisfies the definition of food in paragraph 38-4(1)(a) of the GST Act as food for human consumption (whether or not requiring processing or treatment) and
• the supply of the Products does not fall within any of the exclusions in section 38-3 of the GST Act.
Relevant facts and circumstances
You are importing the Product to Australia.
You are registered for GST.
You provided details about the Product, including images of the Product and the technical product sheet.
• The Product has a base of grain cooked in vegetable sauce. It is shaped into a ball with added cheese filling and then covered with a crispy breading.
• Each ball is a mouth-size piece.
• The Product must be fried in a pot or fryer or baked in the oven before consumption.
• The Product is packed in a bag for neutral food use and heat-sealed. It is then placed in corrugated cardboard.
The Product will be sold in the frozen meals section of supermarkets.
The Product can be used at home or for catering and commercial establishments.
Relevant legislative provisions
A New Tax System (Goods and Services Tax) Act 1999 section 38-2.
A New Tax System (Goods and Services Tax) Act 1999 section 38-3.
A New Tax System (Goods and Services Tax) Act 1999 paragraph 38-3(1)(c).
A New Tax System (Goods and Services Tax) Act 1999 section 38-4.
A New Tax System (Goods and Services Tax) Act 1999 Schedule 1, Clause 1, table.