The Taxation (Annual Rates 2019-20, GST Offshore Supplier Registration, and Remedial Matters) Bill was reported back to Parliament by the Finance and Expenditure Select Committee last Friday. The Officials Report was also released.
The Bill has three key items:
- GST on low-value imported items
- loss ring fencing rules for rental properties, and
- changes to the Commissioner’s Care and Management rules.
For GST on low-value goods, the Select Committee has recommended deferring the start date by two months to 1 December 2019. This is to allow additional time for system changes to cope with the new rules. The rental loss ring fencing rules have been redrafted to make them clearer rather than to make major changes to their effect.
A Supplementary Order Paper reintroducing changes to the Care and Management rules is incorporated to allow the Commissioner to make decisions which are contrary to the “black letter” law in certain limited circumstances.
With an earlier report back, the Bill can be expected to become law by the end of June.