Commonwealth Consolidated Acts

A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 9.20

  (1)   An enterprise is an activity, or series of activities, done:

  (a)   in the form of a * business; or

  (b)   in the form of an adventure or concern in the nature of trade; or

  (c)   on a regular or continuous basis, in the form of a lease, licence or other grant of an interest in property; or

  (d)   by the trustee of a fund that is covered by, or by an authority or institution that is covered by, Subdivision   30 - B of the * ITAA 1997 and to which deductible gifts can be made; or

  (da)   by a trustee of a * complying superannuation fund or, if there is no trustee of the fund, by a person who manages the fund; or

  (e)   by a charity; or

  (g)   by the Commonwealth, a State or a Territory, or by a body corporate, or corporation sole, established for a public purpose by or under a law of the Commonwealth, a State or a Territory; or

  (h)   by a trustee of a fund covered by item   2 of the table in section   30 - 15 of the ITAA 1997 or of a fund that would be covered by that item if it had an ABN.

  (2)   However, enterprise does not include an activity, or series of activities, done:

  (a)   by a person as an employee or in connection with earning * withholding payments covered by subsection   (4) (unless the activity or series is done in supplying services as the holder of an office that the person has accepted in the course of or in connection with an activity or series of activities of a kind mentioned in subsection   (1)); or

Note:   Acts done as mentioned in paragraph   (a) will still form part of the activities of the enterprise to which the person provides work or services.

  (b)   as a private recreational pursuit or hobby; or

  (c)   by an individual (other than a trustee of a charitable fund, or of a fund covered by item   2 of the table in section   30 - 15 of the ITAA 1997 or of a fund that would be covered by that item if it had an ABN), or a * partnership (all or most of the members of which are individuals), without a reasonable expectation of profit or gain; or

  (d)   as a member of a local governing body established by or under a * State law or * Territory law (except a local governing body to which paragraph   12 - 45(1)(e) in Schedule   1 to the Taxation Administration Act 1953 applies).

  (3)   For the avoidance of doubt, the fact that activities of an entity are limited to making supplies to members of the entity does not prevent those activities:

  (a)   being in the form of a * business within the meaning of paragraph   (1)(a); or

  (b)   being in the form of an adventure or concern in the nature of trade within the meaning of paragraph   (1)(b).

  (4)   This subsection covers a * withholding payment covered by any of the provisions in Schedule   1 to the Taxation Administration Act 1953 listed in the table.