Published on 22 Jun 01
by THE TAX INSTITUTE
The examples given in the draft ruling generally relate to whether a sale of an asset can give an unregistered person a requirement to become registered. However, the application of the projected annual turnover test also seems to have application to the timing of the cancellation of a GST registration. It would be useful if the an example could be included where a registered business decides to cancel its GST registration immediately before the sale of its business operations addressing issues such as, will the sale of the business operations be "out of scope" as a sale by an entity that is not registered for GST purposes and not required to be registered because its projected annual turnover does not exceed the registration turnover threshold.
INSTITUTE OF CHARTERED ACCOUNTANTS IN AUSTRALIA
NATIONAL INSTITUTE OF ACCOUNTANTS
TAX POLICY & RESEARCH DIVISION