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 141 - Tradex scheme goods  

141-5   Adjustments for applying goods contrary to the Tradex Scheme  

(1)    
You have an increasing adjustment if:

(a) you import * tradex scheme goods ; and

(b) you are the holder (within the meaning of the Tradex Scheme Act 1999 ) of the * tradex order relating to the goods; and

(c) the importation would have been a * taxable importation if the goods had not been covered by item 21A of Schedule 4 to the Customs Tariff Act 1995 at the time of their entry for home consumption under the Customs Act 1901 ; and

(d) any of the circumstances referred to in subsection 21(1) of that Act occur in respect of any of the goods.

However, the increasing adjustment only arises in relation to the first occurrence of such a circumstance following an importation of the goods.

(2)    
The amount of the *increasing adjustment is the difference between:

(a) the amount of GST that would have been payable on the importation if the importation had been a * taxable importation ; and

(b) the amount (if any) of the input tax credit to which you would have been entitled for the importation if the importation had been a taxable importation.