A New Tax System (Goods and Services Tax) Act 1999

Chapter 4 - The special rules  

Part 4-4 - Special rules mainly about net amounts and adjustments  

Note:

The special rules in this Part mainly modify the operation of Part 2-4 , but they may affect other Parts of Chapter 2 in minor ways.

Division 142 - Excess GST  

Subdivision 142-A - Excess GST unrelated to adjustments  

142-15   When section 142-10 does not apply  

Commissioner satisfied it is inappropriate for that section to apply

(1)    
Treat section 142-10 as never having applied to the extent that the Commissioner is satisfied that:

(a) applying that section would be inconsistent with the principle that excess GST is not to be refunded if this would give an entity a windfall gain; and

(b) you have requested a decision under this subsection in the *approved form.

Note:

Refusing to make the requested decision is a reviewable GST decision (see Subdivision 110-F in Schedule 1 to the Taxation Administration Act 1953 ).

(2)    
The Commissioner must notify you in writing of any decision relating to you made under subsection (1).

If there never was a supply

(3)    
Treat section 142-10 as never having applied to the extent that:

(a) you treated the excess GST as payable on a supply, but in fact there never was a supply; and

(b) you reimburse the other entity for the *passed-on GST.

Note:

If you reimburse the passed-on GST, you will be refunded an equivalent amount as described in section 155-75 in Schedule 1 to the Taxation Administration Act 1953 .

So far as it relates to your creditable acquisitions

(4)    
Section 142-10 does not apply for the purposes of applying subsection 11-15(2) (about creditable purpose) to you.

If the recipient knows you have not paid the excess GST

(5)    
Section 142-10 does not apply for the purposes of applying a *taxation law to the other entity if, and while, that other entity knows, or could reasonably be expected to have known, that you have not paid the excess GST to the Commissioner.

Note:

Section 142-10 still applies for the purposes of applying taxation laws to you.