1 Is the supply of X meal kit GST-free under section 38-2 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)?
Yes. Question 2 Is the supply of Y meal kit GST-free under section 38-2 of the GST Act? Answer No. The supply of Y meal Kit is a mixed supply. GST is payable on the taxable part of the supply.
You are an Australian entity that is registered for goods and services tax (GST). You are about to launch X meal kit and Y meal kit into the market. The X meal kit only consists of GST-free food items. The Y Meal kit includes a taxable food item. You provided details of the food items included in each meal kit. The components of each meal kit are separately packaged and placed in a box. You provided images of the outer packaging and labelling of the meal kits. You provided a sample of one of the meal kits.
A New Tax System (Goods and Services Tax) Act 1999 section 38-2 A New Tax System (Goods and Services Tax) Act 1999 section 38-3 A New Tax System (Goods and Services Tax) Act 1999 paragraph 38-3(1)(c) A New Tax System (Goods and Services Tax) Act 1999 section 38-4 A New Tax System (Goods and Services Tax) Act 1999 paragraph 38-4(1)(a) A New Tax System (Goods and Services Tax) Act 1999 Schedule 1, Clause 1, item 25 Question 1 Is the supply of the X meal kit GST-free under section 38-2 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)? Summary The supply of the X meal kit is GST-free as it consists only of GST-free food items. Detailed reasoning A supply of food is GST-free under section 38-2 of the GST Act if the product satisfies the definition of food in section 38-4 of t