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Is the entity, a dental laboratory, making a GST-free supply under subsection 38-45(1) of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act), when it supplies full dental crowns and bridges?

Yes, the entity is making a GST-free supply under subsection 38-45(1) of the GST Act when it supplies full dental crowns and bridges.

The entity is a dental laboratory. In this case, the entity is supplying full dental crowns and bridges.

The full crowns and bridges that the entity supplies are specifically designed for people with an illness or disability, and are not widely used by people without an illness or disability.

There is no agreement between the entity and the recipient that the supply of the full crowns and bridges will not be treated as a GST-free supply.

The entity is registered for goods and services tax (GST).

Under subsection 38-45(1) of the GST Act, a supply of a medical aid and appliance will be GST-free if: • it is covered by Schedule 3 to the GST Act (Schedule 3) or specified in the A New Tax System (Goods and Services Tax) Regulations 1999 (Regulations); and • it is specifically designed for people with an illness or disability; and • it is not widely used by people without an illness or disability.

Of particular relevance to this case is item 30 in the table in Schedule 3, which lists 'dentures and artificial teeth'. The phrase 'dentures and artificial teeth' is not defined in the GST Act. However, it is considered that 'artificial teeth' are those which are fabricated and replace natural teeth in form and function. The term 'artificial teeth' includes one single tooth as well as a multiple of teeth. As such, full crowns and bridges fall within the meaning of 'artificial teeth'.

As the full crowns and bridges fall within the scope of item 30 in the table in Schedule 3 to the GST Act, and are specifically designed for people with an illness or disability, and are not widely used by people without an illness or disability; the entity is making a GST-free supply under subsection 38-45(1) of the GST Act.