Private ruling: Goods and services tax (GST) and mobility aid
Published: November 2016

Ruling: Q1: Are your sales of the mobility aid (aid) GST-free? | A1: Yes. The medical aid or appliance that is supplied GST-free under section 38-45 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act) as it is • covered by Schedule 3 to the GST Act, and • it is specifically designed for people with illnesses or disabilities, and • it would not be widely used by people without an illness or disability. | Q2: Is the importation of the aid exempt from GST? | A2: Yes. The sale of the aid would be GST-free so it is a non-taxable importation under section 13-10 of the GST Act. (Importation GST exemption code B105 applies).

Relevant facts and circumstances: You are registered for goods and services tax (GST). You are seeking to import and sell in Australia a mobility aid from overseas. This product is designed for people with disabilities. It allows them to be more mobile in varied outdoor conditions. The aid is classed as a wheelchair as defined in legislation of the country in which the aid is made. The aid is typically used by people with disabilities and not widely used by people without a disability.

Relevant legislative provisions: A New Tax System (Goods and Services Tax) Act 1999 Sections 9-5, 13-5, 13-10, 38-45 and 42-5. | A New Tax System (Goods and Services Tax) Act 1999 Item 105 of Schedule 3