Copying and distributing are prohibited without permission of the publisher

ATO outlines position on GST after High Court’s Qantas ruling

22 November 2012

Joe Dalton

The Australian Taxation Office (ATO) says the goods and services tax (GST) treatment of a transaction will not necessarily be affected if goods or services contemplated by a contract are never actually supplied, following the High Court’s recent ruling in the Qantas Airways case.

In its decision impact statement, the ATO said it still considers earlier cases concerning how to characterise supplies, such as Travelex Ltd v Commissioner of Taxation and Saga Holidays Ltd v Commissioner of Taxation, to be relevant where such characterisation is necessary to apply the statute in any particular case.

"There is nothing in the Qantas decision that would suggest that supplies need to be dissected into their component parts, or that the focus of GST should be on contractual rights and obligations instead of performance," the ATO statement said. "The commissioner considers that the mere failure of a ticketholder to utilise their rights to transport or of entry to an event would not have the effect of cancelling a supply that is made on sale of the ticket."

Qantas case

The case concerned what constituted a supply...



This article is locked content, available to current subscribers or trialists.

  • Current subscribers or trialists - Please log in to view this article in full.
  • New users - Please take a free 7 day trial.
  • Expired subscribers or trialists - Please subscribe to gain immediate full access.

If you think you've received this message in error, please contact your account manager, Nick Burroughs:
Email: nburroughs@euromoneyplc.com, Tel: +44 (0)207 779 8379

Subscribe now

Subscribe today to gain full access to International Tax Review.

Subscribe

Free trial

Take a free trial now and gain 7 days of full access to International Tax Review.

Free trial





International Tax Review Profile

RT @Freshfields: Proud to be European, UK & France "Tax Firm of the Year" http://t.co/z3ax1H9kvP #ITRawards2015 @IntlTaxReview

May 27 2015 02:10 ·  reply ·  retweet ·  favourite
International Tax Review Profile

Our #ArticleOfTheWeek is now available for free on our #facebook page http://t.co/cvajdTBQt3 hint... it's about our #ITRawards2015

May 27 2015 10:11 ·  reply ·  retweet ·  favourite
International Tax Review Profile

RT @yourONESOURCE: #BEPS is making an impact on international tax. Take our survey with @Mayer_Brown & @TPWeek to share your thoughts. http…

May 27 2015 10:09 ·  reply ·  retweet ·  favourite
International Tax Review Profile

RT @TPWeek: Complete our survey to discover how everyone else is preparing for #BEPS http://t.co/BPom5r0j3c

May 26 2015 04:10 ·  reply ·  retweet ·  favourite
International Tax Review Profile

20% CT v 25% DPT @George_Osborne policy clearly working whether one agrees with it or not @amazon #BEPS

May 23 2015 08:17 ·  reply ·  retweet ·  favourite
International Correspondents

After the Irish budget, what would make you more likely to put more substance into Ireland?