Private ruling: Supply of vertical lift
Published: September 2012

Ruling: Q1: Is your purchase of a lift GST-free? | A1: No

Relevant facts and circumstances: You have a medical condition which limits your mobility. Your doctor has recommended the installation of a lift in your home to lessen the risk of injury. You are having a lift installed in your home.

Relevant legislative provisions: A New Tax System (Goods and Services Tax) Act 1999 section 38-45

Reasons for decision: Summary: The supply of medical aids and appliances may be GST-free under subsection 38-45(1) of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act). The supply is GST-free where the medical aid or appliance: · is covered by Schedule 3 of the GST Act (Schedule 3), or specified in the A New Tax System (Goods and Services Tax) Regulations 1999 · is specifically designed for people with an illness or disability and · is not widely used by people without an illness or disability All three of these requirements must be met for the supply of the lift to be a GST-free supply. A medical aid or appliance that meets all the elements of subsection 38-45(1) of the GST Act is GST-free at all stages of the supply chain and not only when supplied to a person who has an illness or disability. It is considered that item 88 in the table in Schedule 3 to the GST Act (Item 88) which lists 'manual, electric, ceiling track or pool hoist specifically designed for people with disabilities' is broad enough to cover slow speed vertical lifts specifically designed for people with limited mobility. The Australian Standards in relation to lifts, escalators and moving walks in part relate to people with limited mobility. These standards show some lifts are specifically designed for people with disabilities. However, some lifts are general purpose passenger lifts with additional facilities for people with disabilities. The lift you are purchasing complies with Australian Standard AS 1735.18. This specifies requirements for automatically controlled small-sized low-speed passenger lifts that are installed in private residences. These lifts are not specifically designed for people with disabilities. Item 88 is the only item in Schedule 3 that is broad enough to cover slow speed vertical lifts. However, Item 88 restricts the device to those which are specifically designed for people with disabilities. A lift that satisfies Australian Standard AS 1735.18 will not be covered by Item 88 and will not be GST-free. The GST status of a lift that satisfies Australian Standard AS 1735.18 remains taxable even when it is supplied to a disabled person. You are purchasing a lift that is not specifically designed for people with an illness or disability. Therefore, it does not satisfy all the requirements of subsection 38-45(1) of the GST Act. Accordingly, your purchase of the lift will not be GST-free.

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.