In a nutshell, the ATO are focusing on 6 key GST risk areas in 2024. We will unpack each GST compliance risk area one by one.
GST Compliance Focus Area 4 & 5: Real Property and Retirement Villages
It’s all about property for the No. 4 + 5 GST compliance risks the ATO is focusing on for FY24. In particular, the ATO is assessing whether:
⦾ GST has been correctly applied to property transactions, specifically the margin scheme, GST credits on mixed-use developments and so on.
⦾ Short-term accommodation arrangements have GST classified appropriately.
⦾ GST on build-to-rent developments has been correctly reported on the whole development cycle, including land acquisition, development and operational costs as well as the characterisation of the supplies made to residents.
⦾ For retirement villages, GST has been correctly classified on supplies and operators are apportioning GST on costs in a ‘fair and reasonable’ manner.
Lots to unpack we know, but BTG International can help you get there. Contact us today!
