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EV 1052296743209 — Versatile liquid food (for smoothies/cereal/dressing/cooking) · Tullian

EV 1052296743209currentnon-binding advice

GST and food classification

Versatile liquid food (for smoothies/cereal/dressing/cooking)

Non-binding edited private advice. This is an edited version of private advice the ATO gave to a specific taxpayer about their own circumstances. You cannot rely on it — it is not binding and provides no protection for anyone else (see PS LA 2008/4). Use it as a guide to the ATO’s thinking, not as authority.

Is the supply of the Product GST-free pursuant to section 38-2 of the A New Tax System (Goods and Services Tax) Act 1999 (GST Act)?

Yes. Under section 38-2 of the GST Act a supply of food is GST-free if the product satisfies the definition of food in section 38-4 of the GST Act and the supply is not excluded from being GST-free by section 38-3 of the GST Act. The supply of the Product is GST-free under section 38-2 of the GST Act because: • The Product is food for human consumption within the meaning of food under paragraph 38-4(1)(a) of the GST Act and • the supply of the Product does not fall within any of the exclusions in section 38-3 of the GST Act.

You are an Australian company which is registered for GST. The Product is sold in 750g plastic bottles. The Product can be used to add it to smoothies or pour on cereals or use in salad dressing or add to cooking and baking. A New Tax System (Goods and Services Tax) Act 1999 section 9-5 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)(d) 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 Paragraph 38-4(1)(c) A New Tax System (Goods and Services Tax) Act 1999 Schedule 2