Government Announcements
2009-10 Budget: review of GST administration
12.05.2009
The Government has announced its response to the Board of Taxation’s review of the legal framework for the administration of GST.
The Board made 46 recommendations and the Government will implement 41 of these recommendations. Most of the recommendations with substantial changes to the GST law will apply from 1 July 2010, with one recommendation (relating to limiting the time to claim input tax credits) applying from 7.30 pm (AEST) on 12 May 2009.
The key components of the package announced by the Government include:
- harmonising the GST law and the income tax self-assessment regime and rulings regime;
- adopting more principled and flexible GST grouping rules;
- simplifying the GST adjustment provisions; and
- reforming the GST treatment of sales of going concerns and farmland.
Also, the Government has established separate reviews into the operation of the existing GST law with respect to the operation of the GST margin scheme, the financial supplies provisions and the GST treatment of cross-border transactions.
For the text of the media release, click here.
