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International telecommunications supplies to remain GST free.



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No.095

Thursday 21 December, 2006

INTERNATIONAL TELECOMMUNICATIONS SUPPLIES TO REMAIN GST FREE

The Government will amend the GST law to ensure that certain international telecommunications

services supplied by Australian telecommunications providers, including global roaming supplies, will

continue to be GST free, the Minister for Revenue and Assistant Treasurer, Peter Dutton, announced

today.

‘The Government intended that these supplies be GST free, consistent with Australia’s obligations

under the International Telecommunication Regulations (the Melbourne Agreement)’, Mr Dutton said.

‘An ATO Public Ruling has cast doubt on whether these supplies are GST free under the law.’

The Government will consult with the Australian telecommunications industry to ensure the

amendments are targeted appropriately.

The amendments will apply from 1 July 2000. As this measure affects the GST revenue base, it will be

subject to the unanimous approval of the States and Territories, which receive the GST revenue.

Media Contact: Brad Emery (02) 6277 7360 - 0414 225 638

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