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Re: War Veteran Motor Vehicle Purchase GST Free

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Newbie

Views 2321

Replies 4

Hi Team,

I have just recieved a query from a TPI Gold Card War Veteran regarding the purchase of a used motorhome and is this purchase GST free?

Can you please clarify for me that a used motorhome is / is not classified as a 'car' under the tems of the existing scheme?

Regards,

Andrew

Watsons Caravans Port Macquarie

1 ACCEPTED SOLUTION

Accepted Solutions
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Best answer

ATO Certified

Devotee

Replies 0

Hi Kar51e

 

I see you are saying that just recieved a query from a TPI Gold Card War Veteran regarding the purchase of a used motorhome and is this purchase GST free?

I believe this is related to something we call Representatives of incapacitated entities.

 

Your question relates to a complex topic of GST I believe and inturpretation may need to be specific to your or your client's circumstances.

 

Because of it's complex nature I sugguest you write to us .

  • Email: GSTmail@ato.gov.au
  • Fax: 1300-139-031
  • Post: Australian Taxation Office PO Box 3524 Albury NSW 2640

 

Please note this is my personal view; I’m an ATO employee who chooses to help out here in my own time.
Please note this is my personal view; I’m an ATO employee who chooses to help out here in my own time.
4 REPLIES 4
Highlighted

Best answer

ATO Certified

Devotee

Replies 0

Hi Kar51e

 

I see you are saying that just recieved a query from a TPI Gold Card War Veteran regarding the purchase of a used motorhome and is this purchase GST free?

I believe this is related to something we call Representatives of incapacitated entities.

 

Your question relates to a complex topic of GST I believe and inturpretation may need to be specific to your or your client's circumstances.

 

Because of it's complex nature I sugguest you write to us .

  • Email: GSTmail@ato.gov.au
  • Fax: 1300-139-031
  • Post: Australian Taxation Office PO Box 3524 Albury NSW 2640

 

Please note this is my personal view; I’m an ATO employee who chooses to help out here in my own time.
Please note this is my personal view; I’m an ATO employee who chooses to help out here in my own time.
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Superuser Registered Tax Practitioner

Replies 2

Hi @Kar51e

 

For GST purposes, a car is a motor vehicle designed to carry a load of less than one tonne and less than nine passengers. And as stated in ruling GSTR 2012/5, Motor Homes are not residential premises as they are not land or a building. This is the case regardless of whether they are used as a residence or for residential accommodation. Therefore we can conclude a Motor Home is classified as a 'car'.

 

One Stop Tax
Tax Return and Taxb Back Specialist

www.onestoptax.com.au

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Newbie

Replies 1

Hi Onestoptax,

Many thanks for your answer.

My further query after your answer that the purchase of a used motorhome is GST free, is the GST component up to the 2017-2018 car limit of $57,581 (GST Inc.) exempt, and liable for for remainder of the purchase price above this amount?

Regards, Andrew.

Highlighted

Superuser Registered Tax Practitioner

Replies 0


@Kar51e wrote:
My further query after your answer that the purchase of a used motorhome is GST free

Hi @Kar51e

 

We didn't conclude the purchase is GST free. As @Coffee_unspilt has stated GST implications will depend on your client's circumstances.

 

One Stop Tax
Tax Return and Taxb Back Specialist

www.onestoptax.com.au