Private ruling: Goods and services tax (GST) and medical aids and appliances
Date of advice: 22 February 2024
Published: November 2011

Ruling: Q1: Is the supply of mattress protectors, quilt protectors and pillow case protectors GST-free? | A1: Yes. The supply of mattress protectors, quilt protectors and pillow case protectors is GST-free under section 38-45 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act), and Items 16 and 22 of Schedule 3 of the GST Act.

Relevant facts and circumstances: This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling. You are registered for GST. You supply a range of bedding protector products. You have provided copies of promotional literature about the products. Your market research indicates that the majority of sales of these products are to patients with incontinence / bed-wetting problems. All of the bedding protectors are for use by people suffering from incontinence or bed-wetting, and all of these mattress protectors also provide for protection against stains and assist in general hygiene. Most of these products also provide protection for people who suffer from allergies, asthma and skin disorders. Some of these products also provide protection for people who suffer from serious dust mite and bed bug allergies.

Relevant legislative provisions: A New Tax System (Goods and Services Tax) Act 1999 38-45 | A New Tax System (Goods and Services Tax) Act 1999 Schedule 3 Items 16 and 22

Reasons for decision: Summary: Section 38-45 of A New Tax System (Goods and Services Tax) Act 1999 (GST Act) provides that where the elements of that section are satisfied, a medical aid or appliance is GST-free. The elements of section 38-45 of the GST Act require that the medical aid or appliance be: · covered by an item in Schedule 3 of the GST Act; and · specifically designed for use by people with an illness or disability; and · not widely used by people without an illness or disability. The supply of spare parts specifically designed for such goods are also GST-free. On the basis of the information supplied all of the following products are specifically designed for use by people with incontinence and allergy / allergy-related conditions, and are not widely used by people without an illness or disability. These products are also covered by either Item 16 or Item 22 of Schedule 3 of the GST Act.

Please check this edited version to be sure that there are no details remaining that you think may allow you to be identified. If you have any concerns about this ruling you wish to discuss, you will find our contact details in the fact sheet.