Published on 09 Apr 01
by THE TAX INSTITUTE
Subdivision 38-J (section 38-325) of the A New Tax System (Goods and Services Tax) Act 1999, which confers GST-free status on the supply of a going concern, is poorly drafted. The Australian Taxation Office ('ATO') in GSTR 2001/D2 has tried as far as possible to take a practical approach to solving some of the problems arising from the poor drafting of Subdivision 38-J. To a large extent this has been achieved in the draft ruling. However, there are still difficulties and issues arising from or not addressed in the draft ruling, as discussed below.
For a copy of the reply to the joint submission, please click here
INSTITUTE OF CHARTERED ACCOUNTANTS IN AUSTRALIA
NATIONAL INSTITUTE OF ACCOUNTANTS
TAX POLICY & RESEARCH DIVISION