Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) If a * taxable supply of * real property is under the * margin scheme, the amount of GST on the supply is 1 / 11 of the * margin for the supply.
(2) Subject to subsection (3) and section 75 - 11, the margin for the supply is the amount by which the * consideration for the supply exceeds the consideration for your acquisition of the interest, unit or lease in question.
(3) Subject to section 75 - 11, if:
(a) the circumstances specified in an item in the second column of the table in this subsection apply to the supply; and
(b) an * approved valuation of the freehold interest, * stratum unit or * long - term lease, as at the day specified in the corresponding item in the third column of the table, has been made;
the margin for the supply is the amount by which the * consideration for the supply exceeds that valuation of the interest, unit or lease.
Use of valuations to work out margins | ||
Item | When valuations may be used | Days when valuations are to be made |
1 | The supplier acquired the interest, unit or lease before 1 July 2000, and items 2, 3 and 4 do not apply. | 1 July 2000 |
2 | The supplier acquired the interest, unit or lease before 1 July 2000, but does not become * registered or * required to be registered until after 1 July 2000. | The date of effect of your registration, or the day on which you applied for registration (if it is earlier) |
2A | The supplier acquired the interest, unit or lease on or after 1 July 2000, but the supply to the supplier: (a) was * GST - free under subsection 38 - 445(1A); and | 1 July 2000 |
| (b) related to a supply before 1 July 2000, by way of lease, that would have been GST - free under section 38 - 450 had it been made on or after 1 July 2000. |
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3 | The supplier is * registered or * required to be registered and has held the interest, unit or lease since before 1 July 2000, and there were improvements on the land or premises in question as at 1 July 2000. | 1 July 2000 |
4 | The supplier is the Commonwealth, a State or a Territory and has held the interest, unit or lease since before 1 July 2000, and there were no improvements on the land or premises in question as at 1 July 2000. | The day on which the * taxable supply takes place |
(3A) If:
(a) the circumstances specified in item 4 in the second column of the table in subsection (3) apply to the supply; and
(b) there are improvements on the land or premises in question on the day on which the * taxable supply takes place;
the valuation is to be made as if there are no improvements on the land or premises on that day.
(4) This section has effect despite section 9 - 70 (which is about the amount of GST on taxable supplies).
Note: Section 9 - 90 (rounding of amounts of GST) can apply to amounts of GST worked out using this section.