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Edited version of private advice
Authorisation Number: 1052062558967
Date of advice: 25 November 2022
Ruling
Subject: GST - fees and charges
Question
Is the payment of fees and charges to you treated as not being the provision of consideration under Division 81 of the GST Act and therefore are not subject to GST?
Answer
No, the payment of the fees is not treated as not being the provision of consideration under Division 81 of the GST Act. The payment of the fees is consideration for a taxable supply under section 9-5 of the GST Act and will be subject to GST where all the other requirements of section 9-5 of the GST Act are met.
This ruling applies for the following period:
Year ending 30 June 20XX
Year ending 30 June 20XX
Year ending 30 June 20XX
Year ending 30 June 20XX
The scheme commences on:
1 July 20XX
Relevant facts and circumstances
You are a government agency in Australia.
You have provided relevant information about your operations.
You charge the relevant fees and charges under the relevant Australian law.
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 9-40
A New Tax System (Goods and Services Tax) Act 1999 Division 81
A New Tax System (Goods and Services Tax) Act 1999 section 195
A New Tax System (Goods and Services Tax) Regulations 1999
Reasons for decision
Division 81 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act) deals with the payment of taxes, fees and charges to an Australian government agency. GST does not apply to payments of taxes, fees and charges that are excluded from the GST by Division 81 of the GST Act or by the A New Tax System (Goods and Services Tax) Regulations 2019 (GST Regulations).
You make supplies for which you receive payment of fees and charges. Based on the facts of your case, these fees and charges will not be excluded from being consideration by Division 81 of the GST Act. The fees and charges you receive are consideration for a taxable supply under section 9-5 of the GST Act and where all the other requirements of section 9-5 of the GST Act are met, your supplies will be subject to GST.