Sales Tax Ruling
ST 2181W - Notice of Withdrawal
Sales tax: pumping equipment for water supply purposes
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Please note that the PDF version is the authorised version of this withdrawal notice.
FOI status:
may be releasedNotice of Withdrawal
Sales Tax Ruling ST 2181 is withdrawn with effect from today.
1. Sales Tax Ruling ST 2181 explains that in the context of subitem 18(5) of the First Schedule to the Sales Tax (Exemptions and Classifications) Act 1935 it is now accepted that water is not supplied until it reaches the point where it is to be actually used. Pumping equipment used to bring the water to the final point of consumption is regarded as being used for 'water supply purposes'. The use of intervening holding tanks and boilers integrated into the water supply system does not prevent exemption applying. On the other hand pumps used to recirculate water are not considered to be used for water supply purposes.
2. The goods and services tax came into effect from 1 July 2000. Sales tax ceased to apply to transactions from that date.
3. This Ruling is no longer current and does not apply to transactions occurring on or after 1 July 2000.
Commissioner of Taxation
21 March 2007