Are you eligible for COVID GST concessions?
Back in February of 2020, at the beginning of COVID, we advised that as part of a student services sector consortium, we had engaged Tertiary Balance Pty Ltd to represent to the ATO, on behalf of the sector, a determination on GST collection during the period of disruption.
Well, that disruption impacted the entire year, and the ATO did not rule in favour of the determination. Consequently, those members that had withheld GST payments are now required to pay.
However, in the context of the impact of COVID on the sector, a recent detailed GST review by Tertiary Balance of Griffith University Gold Coast Student Guild resulted in many of their services being able to be treated as GST-free.
This indicates that for some members there will be a case for extending GST concessions through until at least the end of 2021.
Where campus services bodies satisfy all of the following three conditions in 2021 there is in their opinion a reasonable possibility they will qualify for the GST concession on material parts of their operations through until 31 December 2021:
1. have charitable institution status;
2. SSAF is a larger percentage of overall revenue than for the sector average; and
3. have qualified for JobKeeper for the first quarter of 2021 (up until 28 March).
For SEN members who are in the above category or for those who have already taken the GST concession for 2020 and now wish to confirm their entitlement, Tertiary Balance can provide a quote for a general update to their advice to SEN from February of last year.
For SEN members whose SSAF is a smaller percentage of overall revenue than for the sector average the question of whether they would have an entitlement to the GST concession on material parts of their operations in 2021, is an open issue, Tertiary Balance are able to have an exploratory discussion to ascertain potential eligibility.
If you would like to progress this further please contact:
Director, Tertiary Balance Pty Ltd
Tax Agent Number: 0362 6002
MOB: 0408 81 8652
Note that you can apply for charitable status and if successful, may be eligible to apply the GST concession retroactively.