Private ruling: GST and education course
Date of advice: 12 May 2023
Published: 26 June 2023
Ruling period: 1 July 2022 to quarter ending 30 June 2023
Date scheme commenced: 1 July 2022

Ruling: Q1: Is the supply by Company X (you) of each course listed in Table A of the facts GST-free under section 38-85 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)? | A1: No. The supply of each course listed in Table A is not a GST-free supply.

Relevant facts and circumstances: Company X (you) carries on an enterprise of providing education and training courses and is registered for GST. You are not a recognised adult and community education (ACE) course provider nor a Registered Training Organisation. You are engaged by students or employers to deliver each of the listed courses in Table A to the enrolled participant. Table A Table 1: Listed courses to enrolled participant Course Title Price White Card - Prepare to work safely in the construction industry $x Confined Spaces - Enter and Work in Confined Spaces & Work in Accordance With an Issued Permit $x Licence to Operate a Forklift Truck $x Working at Heights - Work Safely at Heights $x Elevating Work Platform (EWP) Licence - Licence to Operate a Boom Type Elevated Work Platform (Over 11m) $x EWP under 11m - Operate Elevating Work Platform $x First Aid/CPR $x Gas test $x Excavator Assessment (Group) $x Excavator Assessment - Individual $x Equipment Hire - Boom Lift (Tax Exclusive) $x Equipment Hire - Scissor Lift $x Conduct telescopic materials (Group) $x Conduct telescopic materials - Individual $x Skid Steer (Group) $x Skid Steer (Individual) $x Pedfork Refresher $x Forklift Refresher $x Consultancy $x Earthmoving RII Assessments (Group bookings) $x Dogging $x Conduct Civil Construction Roller Operations $x Front End Loader $x You receive consideration (or payment) for delivering the course listed in Table A from either the participant or an employer. You buy the course material to deliver your training from the recognised training organisation (RTO) known as Entity Y. Entity Y is accredited to issue qualifications in Australian work industries. Once a course has been completed an outside assessor (from Entity Y) is paid to assess the participant. The assessor issues a Notice of Satisfactory Assessment. The sample copy of Notice of Satisfactory Assessment provided shows amongst other things at: • Part A: The "Details of Applicant", being the participant/students name, date of birth and contact number • Part B: The "Assessment Details" particulars including: o 'Name of Organisation or employer of site' (Entity Y), o Assessment site address o Name of assessment site contact person being you, o Contact persons daytime phone number o Type of plant/equipment used during the assessment (i.e. Forklift) o Plant owner's name, being you. • Part C: The Applicants Declaration • Part D: The Assessor's Declaration, consisting of the assessors name, accreditation number, signature and RTO name and number (identified as Entity Y). The courses in Table A are not adult and community education courses nor do they lead to or are prerequisite to a professional trade in themselves.

Relevant legislative provisions: A New Tax System (Goods and Services Tax) Act 1999 38-85

Reasons for decision: Summary: Section 38-85 of the GST Act discusses the supply of education courses. In particular it states: A supply is GST-free if it is a supply of: a) an *education course; or b) administrative services directly related to the supply of such a course, but only if they are supplied by the supplier of the course. *denotes a defined term in section 195-1 of the GST Act. Section 195-1 of the GST Act defines the term education course as follows: " education course " means: (a) a *pre-school course; or (b) a *primary course; or (c) a *secondary course; or (d) a *tertiary course; or (f) a *special education course; or (g) an *adult and community education course; or (h) an *English language course for overseas students; or (i) a *first aid or life saving course; or (j) a *professional or trade course; or (k) a *tertiary residential college course. In this case the courses listed in Table A do not fall within one of the defined categories above. Consequently, the supply of the courses will not be GST-free.