Taxation Laws Amendment Act (No. 3) 2002 (97 of 2002)

Schedule 1   Goods and services tax

Part 1   Supplies in return for rights to develop land

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

4   After Division 81

Insert:

Division 82 - Supplies in return for rights to develop land

82-1 What this Division is about

GST does not apply to transactions for making supplies (commonly referred to as in kind developer contributions) in return for the supply by an Australian government agency of a right to develop land.

82-5 Supplies of rights to develop land do not constitute consideration in certain cases

(1) The supply, by an *Australian government agency, of a right to develop land is not treated as *consideration for another supply if the other supply complies with requirements imposed by or under an *Australian law.

(2) It does not matter whether the other supply is made to the *Australian government agency.

(3) This section has effect despite section 9-15 (which is about consideration).

82-10 Supplies by Australian government agencies of rights to develop land are not for consideration

(1) The supply, by an *Australian government agency, of a right to develop land is treated as a supply that is not made for *consideration to the extent that it is made in return for another supply that complies with requirements imposed by or under an *Australian law.

(2) It does not matter whether the other supply is made to the *Australian government agency.

(3) If the other supply constitutes the payment of an *Australian tax, fee or charge to which subsection 81-5(1) applies, this section overrides subsection 81-5(1) in relation to the payment.

(4) This section has effect despite section 9-15 (which is about consideration).