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Edited version of private advice
Authorisation Number: 1052243440288
Date of advice: 19 April 2024
Ruling
Subject:GST classification of the food products
Question
Is the supply of the Products GST-free under section 38-2 of A New Tax System (Goods and Services Tax) Act 1999 (GST Act)?
Answer
The supply of the Products is GST-free under section 38-2 of the GST Act because:
• the Products satisfy the definition of food in paragraph 38-4(1)(a) of the GST Act as food for human consumption 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 an Australian entity that is registered for GST.
You import and supply the dessert Products in Australia.
The Products are available in various flavours.
The Products are "sweet soups" with a porridge like consistency and texture. Some are smoother in consistency and texture depending on the flavour.
The Products are shelf stable and are ready to eat. They do not require refrigeration or freezing for storage.
You provided images of the outer packaging and labelling of the Products.
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 paragraph 38-4(1)(a)
A New Tax System (Goods and Services Tax) Act 1999 schedule 1, Clause 1, item 25