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

Chapter 3 - The exemptions  

Part 3-1 - Supplies that are not taxable supplies  

Division 38 - GST-free supplies  

Subdivision 38-B - Health  

38-45   Medical aids and appliances  

(1)    
A supply is GST-free if:

(a) it is covered by Schedule 3 (medical aids and appliances), or specified in the regulations; and

(b) the thing supplied is specifically designed for people with an illness or disability, and is not widely used by people without an illness or disability.

(2)    
A supply is GST-free if the thing supplied is supplied as a spare part for, and is specifically designed as a spare part for, another thing the supply of which would be GST-free under subsection (1) .

(3)    
However, a supply is not GST-free under subsection (1) or (2) if the supplier and the * recipient have agreed that the supply, or supplies of a kind that include that supply, not be treated as GST-free supplies.