Private ruling: GST and margin scheme
Date of advice: 5 August 2019
Published: October 2019
Date scheme commenced: 1 July 2006

Ruling: Q1: For margin scheme purposes, does the consideration provided for the acquisition of the Property include both monetary and non-monetary components? | A1: No, the consideration provided is the monetary consideration.

Relevant facts and circumstances: Entity A entered into an agreement to purchase a Property from entity B. The purchased price was agreed in the agreement as $X. Entity A did not provide any other consideration for the purchases of the Property. There was no other consideration mentioned or negotiated during the transaction.

Relevant legislative provisions: A New Tax System (Goods and Services Tax) Act 1999 section 9-5 | A New Tax System (Goods and Services Tax) Act 1999 section 9-15 | A New Tax System (Goods and Services Tax) Act 1999 subsection 75-10(2)

Reasons for decision: Summary: Based on the facts and circumstances, the consideration for the acquisition of the Property is the monetary consideration as agreed and paid.