A New Tax System (Indirect Tax and Consequential Amendments) Act 1999 (176 of 1999)

Schedule 1   Indirect Tax Acts

Part 1   Amendment of the A New Tax System (Goods and Services Tax) Act 1999

96   After section 84-10

Insert:

84-12 The amount of GST on offshore intangible supplies

(1) The amount of GST on a supply that is a *taxable supply because of section 84-5 is 10% of the *price of the supply.

(2) This section has effect despite section 9-70 (which is about the amount of GST on taxable supplies).

84-13 The amount of input tax credits relating to offshore intangible supplies

(1) The amount of the input tax credit for a *creditable acquisition that relates to a supply that is a *taxable supply because of section 84-5 is as follows:

(Full input tax credit * Extent of creditable purpose * Extent of consideration)

where:

extent of consideration is the extent to which you provide, or are liable to provide, the *consideration for the acquisition, expressed as a percentage of the total consideration for the acquisition.

extent of creditable purpose is the extent to which the *creditable acquisition is for a *creditable purpose, expressed as a percentage of the total purpose of the acquisition.

full input tax credit is 11/10 of what would have been the amount of the input tax credit for the acquisition if:

(a) the supply had been a *taxable supply otherwise than because of section 84-5; and

(b) the acquisition had been made solely for a creditable purpose; and

(c) you had provided, or had been liable to provide, all of the consideration for the acquisition.

(2) This section has effect despite sections 11-25 and 11-30 (which are about the amount of input tax credits for creditable acquisitions).