Private ruling: GST and the supply of accommodation by an endorsed charity
Date of advice: 4 October 2018
Published: November 2018

Ruling: Q1: Will the monthly payments to an endorsed charity (you) by entity A under a proposed agreement, form part of the consideration for the supply by you of accommodation to tenants for the purposes of section 38-250 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)? | A1: No, the payments made to you by entity A under a proposed agreement will not form part of the consideration for the supply by you of accommodation to tenants for the purposes of section 38-250 of the GST Act. The payments that you receive from entity A may however be consideration for a supply that you make to entity A under the proposed agreement. | Q2: Is your proposed methodology for ascertaining the GST inclusive market value of your supply of accommodation acceptable to the Commissioner for the purposes of satisfying subparagraph 38-250(1)(b)(i) of the GST Act? | A2: On the facts provided, your proposed methodology for ascertaining the market value of your supply of accommodation is acceptable to the Commissioner for the purposes of satisfying subparagraph 38-250(1)(b)(i) of the GST Act. This is the case providing you maintain adequate records to evidence and justify the appropriateness of the market value ascertained and you adequately document the process and information collected in determining the relevant market value.


Relevant legislative provisions: All references are to the A New Tax System (Goods and Services Tax) Act 1999 (GST Act): Section 9-5, | Section 9-15 and | Section 38-250.