Private ruling: GST and supplies and importations made by non-residents
Date of advice: 1 July 2021
Published: September 2021

Ruling: Q1: The Commissioner was asked to rule whether: 1. the supply of logistics services in Australia by a non-resident to another non-resident entity is a GST-free supply of services under subsection 38-190(1) of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)? 2. an Australian resident agent is entitled to claim input tax credits under section 57-10 of the GST Act in relation to the GST incurred on the importation of goods made by a non-resident principal through the resident agent into Australia? 3. an Australian resident agent is liable to pay GST under subsection 57-5(1) of the GST Act on the importation of the goods made by a non-resident principal through the resident agent? 4. the supply of certain services by a non-resident entity to another non-resident a supply that is connected with the indirect tax zone? | A1: The Commissioner ruled as follows: 1. Yes, the supply of logistics services in Australia by a non-resident entity to another 2. non-resident is a GST-free supply of services under subsection 38-190(1) of GST Act as the supply falls under item 2(a) in the table in subsection 38-190(1) and is not negated by subsection 38-190(3) of the GST Act. 3. No, the Australian resident agent is not entitled to claim input tax credits under section 57-10 of the GST Act in relation to the GST incurred on the importation of goods made by a non-resident principal through the resident agent into Australia. This is because the non-resident principal did not make the importation for a creditable purpose. 4. Yes, the Australian resident agent is liable to pay GST under subsection 57-5(1) of the GST Act on the importation of the goods made by a non-resident principal through the resident agent. 5. Yes, the supply of certain services by a non-resident entity to another non-resident is a supply that is connected with the indirect tax zone.


Relevant legislative provisions: Section 9-5 of the A New Tax System (Goods and Services Tax) Act 1999 | Section 9-25 of the A New Tax System (Goods and Services Tax) Act 1999 | Section 9-26 of the A New Tax System (Goods and Services Tax) Act 1999 | Section 13-5 of the A New Tax System (Goods and Services Tax) Act 1999 | Section 57 of the A New Tax System (Goods and Services Tax) Act 1999