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Edited version of private advice
Authorisation Number: 1052296743209
Date of advice: 2 September 2024
Ruling
Subject: GST and food classification
Question
Is the supply of the Product GST-free pursuant to section 38-2 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)?
Answer
Yes.
Under section 38-2 of the GST Act a supply of food is GST-free 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 is food for human consumption within the meaning of food under paragraph 38-4(1)(a) of the GST Act and
• the supply of the Product does not fall within any of the exclusions in section 38-3 of the GST Act.
Relevant facts
You are an Australian company which is registered for GST.
The Product is sold in 750g plastic bottles.
The Product can be used to add it to smoothies or pour on cereals or use in salad dressing or add to cooking and baking.
A New Tax System (Goods and Services Tax) Act 1999 section 9-5
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)(d)
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 Paragraph 38-4(1)(c)
A New Tax System (Goods and Services Tax) Act 1999 Schedule 2