gst came into effect in australia on 1 july 2000.
gst came into effect in australia on 1 july 2000.
when did gst come into effect in australia?
1 july 2000
during the 1998 election campaign, the leader of the australian democrats, meg lees, stated that her party was opposed to a gst unless food, books and tourism packages sold offshore were exempt, and other compensating tax measures were implemented. the government initially stated that exemptions to the gst were not possible, and looked most likely to pass the gst legislation with the support of independent senator brian harradine. however a compromise was eventually reached with lees, involving most basic food items being exempt from the gst, the gst on library purchases of books being refunded, a temporary 8% refund on school textbooks, increases to welfare payments, and greater powers to the accc to oversee the implementation of the new tax regime. a proposal to exempt tampons from the gst was dismissed by howard. the legislation was passed on 28 june 1999 as "a new tax system (goods and services tax) act 1999". it gained assent on 8 july 1999 and came into operation on 1 july 2000.
goods and services tax (australia)
gst must be included in the lease rentals and the residual by the lessor, which actually increased the total amount of gst to be paid, especially when gst exempt items such as stamp duty are bundled in the lease. gst on the residual is paid by the employee if they keep the car at the end of the lease. gst on the rental payments can be claimed by the employer as an input tax credit, but if the ecm is used to offset the fringe benefit, then the gst owing on the ecm payments offsets the input tax credit. since claiming the gst on running costs other than lease rentals, such as fuel, is also claimed as a benefit of salary packaging a novated lease, in reality the employee salary packaging a novated lease with ecm usually ends up paying more gst on the "purchase" of the vehicle that if they had bought it outright. if the ecm is not used, all the gst except that on the residual could be claimed by the employer, but the additional cost of paying fbt is always greater or equal to any possible gst benefit.
novated lease