{"id":"F2025L00234","name":"Taxation Administration (Defence Related International Obligations and Other Matters – Indirect Tax Refunds) Determination 2025","slug":"f2025l00234","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":442760,"registerId":"F2025L00234-fast-fetch-1775957704252","compilationNumber":null,"startDate":"2026-04-12","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Taxation Administration (Defence Related International Obligations and Other Matters – Indirect Tax Refunds) Determination 2025","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\n---\n\n![Commonwealth Coat of Arms of Australia](image.001.jpeg)\n\n \n\nTaxation Administration (Defence Related International Obligations and Other Matters – Indirect Tax Refunds) Determination 2025\n\nI, Richard Marles, Minister for Defence, make the following instrument.\n\nDated  18 January 2025\n\nRichard Marles\n\nDeputy Prime Minister\n\nMinister for Defence\n\n \n\n \n\n \n\nContents\n\nPart 1—Preliminary\n\n1  Name\n\n2  Commencement\n\n3  Authority\n\n4  Definitions...............................................1\n\n5  Schedules................................................3\n\nPart 2—Papua New Guinea 4\n\n6  Acquisitions and payment of refund – vehicles and other goods................4\n\nPart 3—Singapore 5\n\n7  Acquisitions and payment of refund—fuels, oils and lubricants.................5\n\n8  Acquisitions and payment of refund—development activities under the Australia Singapore Military Training Initiative              5\n\nPart 4—United States of America 7\n\nDivision 1—General 7\n\n9  Acquisitions and payment of refund—motor vehicles for members of visiting force....7\n\n10  Acquisitions and payment of refund—official use by a visiting force.............8\n\n11  Acquisitions and payment of refund—goods for commissaries................8\n\nDivision 2—Pine Gap and North West Cape 10\n\n12  Acquisitions and payment of refund—use in construction, maintenance or operation of Joint Defence Facility Pine Gap or Harold E Holt Naval Communication Station              10\n\n13  Acquisitions and payment of refund—incorporated or wholly consumed in construction, maintenance or operation of Joint Defence Facility Pine Gap or Harold E Holt Naval Communication Station              10\n\nDivision 3—Joint Strike Fighter Program 12\n\n14  Acquisitions and payment of refund—JSF Program......................12\n\nPart 5—Japan 13\n\n15  Acquisitions and payment of refund—activities under the Japan RAA...........13\n\nPart 6—Timor-Leste\n\n16  Acquisitions and payment of refund— activities under the AUS-TLS DCA........14\n\nSchedule 1—Amendment\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nPart 1—Preliminary\n\n1  Name\n\n  This instrument is the Taxation Administration (Defence Related International Obligations and Other Matters – Indirect Tax Refunds) Determination 2025\n\n2  Commencement\n\n (1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.\n\n \n\n- Commencement information\n- Column 1 Column 2 Column 3\n- Provisions Commencement Date/Details\n- 1. Part 1 to Part 5 (inclusive) The day after this instrument is registered.\n- 2. Part 6 At the later of the day after registration of the amending instrument and the day of entry into force of the AUS-TLS DCA.\n\n\nNote: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.\n\n (2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.\n\n3  Authority\n\n  This instrument is made under section 105-120 in Schedule 1 to the Taxation Administration Act 1953.\n\n4  Definitions\n\nNote: An expression used in Schedule 1 to the Taxation Administration Act 1953 has the same meaning as in the Income Tax Assessment Act 1997 (see subsection 3AA(2) of the Taxation Administration Act 1953). The following expressions used in this instrument are defined in subsection 995-1(1) of the Income Tax Assessment Act 1997:\n\n1.       Defence Minister;\n2.       indirect tax;\n3.       tax invoice;\n4.       visiting force;\n5.       Commissioner.\n\n\n  In this instrument:\n\nAct means the Taxation Administration Act 1953.\n\nacquisition has the same meaning as in the A New Tax System (Goods and Services Tax) Act 1999.\n\nAustralia Singapore Military Training Initiative means the initiative between Australia and Singapore for unilateral military training activities by Singapore visiting forces in central and northern Queensland, and the acquisition of land and development of facilities and infrastructure to facilitate such training, as governed by the Agreement between the Government of Australia and the Government of the Republic of Singapore concerning Military Training and Training Area Development in Australia, signed on 23 March 2020 and which entered into force on 10 December 2020.\n\nAUS-TLS DCA refers to the Agreement between the Government of Australia and the Government of the Democratic Republic of Timor-Leste on Cooperation in the Field of Defence and the Status of Visiting Forces, signed on 7 September 2022 and which is yet to enter into force.  This definition includes any subsequent versions or amendments of that Agreement as agreed between Australia and Timor-Leste.   \n\ncommissary includes any of the following:\n\n (a) a military sales facility;\n\n (b) an exchange facility;\n\n (c) an officers’ club;\n\n (d) an enlisted person’s club;\n\n (e) any other similar military facility.\n\nDefence Department means the Department administered by the Defence Minister.\n\ndevelopment activities means the activities governed by Part III of the Agreement between the Government of Australia and the Government of the Republic of Singapore concerning Military Training and Training Area Development in Australia, signed on 23 March 2020 and which entered into force on 10 December 2020.\n\nJapan RAA refers to the Agreement between Japan and Australia concerning the Facilitation of Reciprocal Access and Cooperation between the Self-Defense Forces of Japan and the Australian Defence Force, as signed on 6 January 2022 by Mr. KISHIDA Fumio, Prime Minister of Japan, and the Hon. Scott Morrison, MP, then Prime Minister of the Commonwealth of Australia. This definition includes any subsequent versions or amendments of that Agreement as agreed between Australia and Japan.\n\nJSF Program means the multi-national project for the development, demonstration, production, and sustainment of the Joint Strike Fighter that is implemented under the Memorandum of Understanding among the Department of Defence of Australia and the Minister of National Defence of Canada and the Ministry of Defence of Denmark and the Ministry of Defence of the Italian Republic and the Minister of Defence of the Kingdom of the Netherlands and the Ministry of Defence of the Kingdom of Norway and the Secretary of State for Defence of the United Kingdom of Great Britain and Northern Ireland and the Secretary of Defence on behalf of the Department of Defence of the United States of America Concerning the Production, Sustainment and Follow-On Development of the Joint Strike Fighter, which entered into effect on 30 September 2021.\n\nmember of a civilian component of a visiting force has the same meaning as in the Defence (Visiting Forces) Act 1963.\n\nNote: See subsection 5(3) of the Defence (Visiting Forces) Act 1963.\n\nmember of a visiting force has the same meaning as in the Defence (Visiting Forces) Act 1963.\n\nNote: See subsection 5(2) of the Defence (Visiting Forces) Act 1963.\n\n5  Schedules\n\n  Each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.\n\nPart 2—Papua New Guinea\n\n  6  Acquisitions and payment of refund – vehicles and other goods\n\n(1) This section covers an acquisition of vehicles, equipment, weapons, armaments, provisions, or any other goods, that:\n\n (a) is made by a visiting force of Papua New Guinea or a member of a visiting force of Papua New Guinea; and\n\n (b) at the time of the acquisition, was intended for the official use of the visiting force of Papua New Guinea.\n\n (2) Subject to the condition in subsection (3), a refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of the visiting force of Papua New Guinea, or by or on behalf of a member of the visiting force of Papua New Guinea, is payable.\n\n (3) Unless otherwise approved by the Defence Minister, a refund is only payable if the State of Papua New Guinea retains ownership of the goods acquired.\n\n (4) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the visiting force of Papua New Guinea, or to the Defence Department on behalf of the member of the visiting force of Papua New Guinea.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the visiting force of Papua New Guinea (or member of the visiting force) or reimbursed by the Defence Department to the visiting force of Papua New Guinea (or member of the visiting force).\n\n \n\n \n\nPart 3—Singapore\n\n7  Acquisitions and payment of refund—fuels, oils and lubricants\n\n (1) This section covers an acquisition of fuels, oils or lubricants made on or after 1 July 2000, that:\n\n (a) is made by the Government of Singapore or a person or body on behalf of that Government; and\n\n (b) at the time of the acquisition, was intended for use in official vehicles, aircrafts or vessels of:\n\n  (i) a member of a visiting force of Singapore; or\n\n  (ii) a member of a civilian component of a visiting force of\n\n Singapore.\n\n (2) A refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of the Government of Singapore is payable.\n\n (3) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the Government of Singapore.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of Singapore or reimbursed by the Defence Department to the Government of Singapore.\n\n8  Acquisitions and payment of refund—development activities under the Australia Singapore Military Training Initiative\n\n (1) This section covers an acquisition made on or after 13 October 2016 under the Australia Singapore Military Training Initiative, that:\n\n (a) is made by, or on behalf of, a visiting force of Singapore, or by a member of a visiting force of Singapore; and\n\n (b) at the time of the acquisition, was intended for use in accordance with the Australia Singapore Military Training Initiative.\n\n (2) Subject to the limitation in subsection (3), a refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of a visiting force of Singapore, or by or on behalf of a member of a visiting force of Singapore, is payable.\n\n (3) A refund is only payable for indirect tax derived from amounts paid by or on behalf of the Government of Singapore to cover the costs of development activities under the Australia Singapore Military Training Initiative.\n\n (4) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the visiting force of Singapore, or to the Defence Department on behalf of the member of the visiting force of Singapore.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is paid by the Defence Department on behalf of the visiting force of Singapore (or member of the visiting force) out of the special account established for the purposes of the Australia Singapore Military Training Initiative. Any amount refunded by the Commissioner will be applied to this special account.\n\n \n\nPart 4—United States of America\n\nDivision 1—General\n\n9  Acquisitions and payment of refund—motor vehicles for members of visiting force\n\n (1) This section covers an acquisition of a motor vehicle (whether by purchase or lease) that:\n\n (a) is made by a member of a visiting force of the United States of America; and\n\n (b) at the time of the acquisition, was intended for the use (other than commercial use) of the member.\n\n (2) Subject to the conditions in subsection (3), a refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by the member of a visiting force of the United States of America is payable.\n\n (3) A refund is only payable if:\n\n (a) the motor vehicle was manufactured or assembled in Australia; and\n\n (b) the motor vehicle:\n\n(i) remains in the ownership and possession of, and is used by, the member who acquired it for the period of 2 years after the date when it was acquired; or\n\n(ii) is exported within that 2 year period; and\n\n (c) the motor vehicle is not transferred to another person without the approval of the Defence Minister; and\n\n (d) the claim for the refund:\n\n(i) is authorised by, or on behalf of, the Defence Attaché of the United States of America; and\n\n(ii) is given to the Defence Department with the tax invoice that relates to the acquisition; and\n\n(e) if the member who acquired the motor vehicle (the second motor vehicle):\n\n(i) had acquired another motor vehicle in Australia (the first motor vehicle) to which subsection (4) applies; or\n\n(ii) had imported another motor vehicle (the first motor vehicle) into Australia in respect of which no duty was payable under the Customs Tariff Act 1995; and\n\nthe military authorities of the United States of America have certified that the domestic circumstances of the member required the acquisition of the second motor vehicle\n\n (4) This subsection applies to the first motor vehicle if:\n\n (a) the motor vehicle was acquired before 1 July 2000 and no sales tax was paid in respect of the acquisition; or\n\n (b) the motor vehicle was acquired on or after 1 July 2000 and a refund was paid in respect of the motor vehicle in accordance with:\n\n(i) this instrument; or\n\n(ii) the Taxation Administration (Defence Related International Obligations—Indirect Tax Refunds) Determination 2018; or\n\n(iii) the Taxation Administration (Defence Related International Obligations—Indirect Tax Refunds) Determination 2005.\n\n (5) The Commissioner must pay the amount (if any) to the Defence Department on behalf of member of the visiting force of the United States of America.\n\nNote: The Defence Department pays the refunded amount to the member of the visiting force of the United States of America who made the acquisition.\n\n10  Acquisitions and payment of refund—official use by a visiting force\n\n (1) This section covers an acquisition, that:\n\n (a) is made by the Government of the United States of America or a person or body on behalf of that Government; and\n\n (b) at the time of the acquisition, was intended for the official use of a visiting force of the United States of America.\n\n (2) Subject to the conditions in subsection (3), a refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of the Government of the United States of America is payable.\n\n (3) A refund is only payable in respect of equipment, materials, supplies or other property (including real property) if:\n\n (a) the property acquired is not for resale; and\n\n (b) unless otherwise approved by the Defence Minister, the Government of the United States of America retains title in the property acquired.\n\n (4) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the Government of the United States of America.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of the United States of America or reimbursed by the Defence Department to the Government of the United States of America.\n\n11  Acquisitions and payment of refund—goods for commissaries\n\n (1) This section covers an acquisition of goods that:\n\n (a) is made by the Government of the United States of America or a person or body on behalf of that Government; and\n\n (b) at the time of the acquisition, was intended for use in, or sale by, a commissary of the United States of America.\n\n (2) Subject to the conditions in subsection (3), a refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of the Government of the United States of America is payable.\n\n (3) A refund is only payable if, in the event the acquired goods are sold:\n\n (a) they are sold only to:\n\n(i) a member of a visiting force of the United States of America; or\n\n(ii) a member of a civilian component of a visiting force of the United States of America; or\n\n(iii) a dependant of a member mentioned in subparagraph (i) or (ii); and\n\n (b) they are not resold on the local market.\n\n (4) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the Government of the United States of America.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of the United States of America or reimbursed by the Defence Department to the Government of the United States of America.\n\n \n\n\n\n\nDivision 2—Pine Gap and North West Cape\n\n12  Acquisitions and payment of refund—use in construction, maintenance or operation of Joint Defence Facility Pine Gap or Harold E Holt Naval Communication Station\n\n (1) This section covers an acquisition that:\n\n (a) is made by the Government of the United States of America or a person or body on behalf of that Government; and\n\n (b) at the time of the acquisition, was intended for use in the construction, maintenance or operation of:\n\n(i) the Joint Defence Facility Pine Gap in the Northern Territory (the Facility); or\n\n(ii) the Harold E Holt Naval Communication Station at North West Cape in Western Australia (the Station).\n\n (2) Subject to the conditions in subsection (3), a refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of the Government of the United States of America is payable.\n\n (3) A refund is only payable in respect of equipment, materials, supplies or other property (including real property) if:\n\n (a) the property acquired is not for resale;\n\n (b) the Government of the United States of America has certified that the property acquired is for the use in the construction, maintenance or operation of the Facility or the Station; and\n\n (c) the property acquired has become the property of the Government of the United States of America before being used.\n\n (4) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the Government of the United States of America.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of the United States of America or reimbursed by the Defence Department to the Government of the United States of America.\n\n13  Acquisitions and payment of refund—incorporated or wholly consumed in construction, maintenance or operation of Joint Defence Facility Pine Gap or Harold E Holt Naval Communication Station\n\n (1) This section covers an acquisition that:\n\n (a) is made by the Government of the United States of America; and\n\n (b) at the time of the acquisition, was intended to be incorporated into, or wholly consumed in the construction, maintenance or operation of:\n\n(i) the Joint Defence Facility Pine Gap in the Northern Territory; or\n\n(ii) the Harold E Holt Naval Communication Station at North West Cape in Western Australia.\n\n (2) A refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by the Government of the United States of America is payable.\n\n (3) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the Government of the United States of America.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of the United States of America or reimbursed by the Defence Department to the Government of the United States of America.\n\n \n\n\n\n\nDivision 3—Joint Strike Fighter Program\n\n14  Acquisitions and payment of refund—JSF Program\n\n(1) This section covers an acquisition made on or after 1 November 2021 that:\n\n (a) is made by the Government of the United States of America or a person or body on behalf of that Government; and\n\n(b) at the time of the acquisition, was intended for use in the JSF Program.\n\n (2) A refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of the Government of the United States of America is payable.\n\n (3) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the Government of the United States of America.\n\n \n\nNote:  The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of the United States of America or reimbursed by the Defence Department to the Government of the United States of America.\n\nPart 5—Japan\n\n15  Acquisitions and payment of refund—activities under the Japan RAA\n\n(1) This section covers an acquisition or use of materials, supplies, equipment (including Motor Vehicles) and services made after entry into force of the Japan RAA that:\n\n (a) is made by the Government of Japan or a person or body on behalf of that Government; and\n\n (b) at the time of the acquisition, was intended for their own consumption or for exclusive and official use of:\n\n(i) a visiting force of Japan; or\n\n(ii) the civilian component of a visiting force of Japan.\n\n (2) Subject to the limitation in subsection (3), a refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of a visiting force of Japan, or a member of a civilian component of a visiting force, or by or on behalf of that member, is payable.\n\n (3) A refund is only payable in respect of materials, supplies, equipment (including Motor Vehicles) and services if:\n\n (a) unless otherwise approved by the Defence Minister, the Government of Japan retains title in the resulting property acquired (from the acquisition of those materials, supplies, equipment and services); and\n\n (b) the acquisition is not a personal acquisition of materials, supplies, equipment, and services by a member of the visiting force of Japan or the civilian component of the visiting force of Japan; and\n\n (c) Defence Department would have been entitled to an input tax credit had they made the acquisition under the same circumstances; and\n\n (d) a tax invoice is provided to Defence Department in respect of the relevant acquisition.\n\n(4) For the purposes of this ‘Part 5 – Japan’, ‘civilian component’ excludes those persons falling within sections 5(3)(a)(ii) and 5(3)(b) of the Defence (Visiting Forces) Act 1963.\n\n (5) The Commissioner must pay the amount (if any) to the Defence Department on behalf of the visiting force of Japan, or to the Defence Department on behalf of the member of the visiting force of Japan.\n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of Japan or reimbursed by the Defence Department to the Government of the Japan.  \n\n\nPart 6—Timor-Leste     \n\n1.     Acquisitions and payment of refund— activities under the AUS-TLS DCA\n\n\n1.   This section covers an acquisition, that:\n\n\n1.     is made by the Government of Timor-Leste or a person or body on behalf of that Government; and\n2.     at the time of the acquisition, was intended for the official use in activities in Australia under the AUS-TLS DCA.\n\n\n1.   A refund of an amount equal to the amount (if any) of indirect tax borne in respect of the acquisition by or on behalf of the Government of the Timor-Leste is payable.\n2.   The Commissioner must pay the amount (if any) to the Defence Department on behalf of the Government of Timor-Leste.\n\n\n \n\nNote: The amount (if any) of indirect tax in respect of an acquisition covered by subsection (1) is either paid by the Defence Department on behalf of the Government of Timor-Leste or reimbursed by the Defence Department to the Government of Timor-Leste.\n\n \n\n \n\nSchedule 1—Amendment   \n\n1   The following amendment is made\n\n \n\nInsert:\n\n \n\nPart 6–Timor Leste\n\n16   Acquisitions and payment of refund – activities under the AUS-TLS DCA\n\n \n\n \n\n \n\n \n\n \n\n \n\nNote: The name of this instrument was amended on registration as the instrument as lodged did not have a unique name (see subsection 10(2), Legislation Rule 2016).\n\n \n","sortOrder":0}],"analysis":{"flash_summary":{"complexity_score":6,"scope_assessment":{"changed":true,"description":"The instrument expands the set of covered foreign partners and activities by inserting a new Part 6 (Timor-Leste) that provides refunds for acquisitions made by the Government of Timor-Leste for official use in activities in Australia under the AUS-TLS DCA (see Part 6 / s 16 and Schedule 1 insertion). Commencement for that Part is contingent on registration of the amending instrument and the AUS-TLS DCA entering into force (see s 2(1) table). This insertion increases the geographic and contractual scope of refundable defence-related acquisitions compared with the instrument prior to the Schedule 1 amendment."},"complexity_factors":["Multiple bilateral and program-specific regimes across different countries with different qualifying rules (Papua New Guinea, Singapore, United States, Japan, Timor-Leste) (Parts 2–6).","Numerous conditional requirements for refunds (ownership/title retention, non-resale, export/time-in-possession rules for vehicles) (see ss 6(3), 9(3)(b), 10(3), 11(3)).","Administrative proof and authorisation requirements (tax invoices, Defence Attaché authorisation, military certifications) that vary by Part (see Japan s 15(3)(d), US s 9(3)(d)(i), Pine Gap s 12(3)(b)).","Cross-references to other Acts and prior determinations (Taxation Administration Act 1953, GST definitions from the A New Tax System (GST) Act 1999, Defence (Visiting Forces) Act 1963, and prior Determinations referenced in s 9(4)).","Different commencement timings (Part 6 contingent on entry into force of AUS-TLS DCA and registration of the amending instrument) (Commencement table, s 2).","Mixed subject-matter types (fuel, vehicles, construction materials, commissary goods, program-specific acquisitions), each with bespoke rules (see ss 7–8, 9–14).","Ministerial discretion points (Defence Minister approvals) creating variability in application (see ss 6(3), 10(3), 15(3)(a))."],"plain_english_summary":"### What this instrument does\n\nThis Determination creates rules under the Taxation Administration Act 1953 for refunding indirect taxes (for example, GST or sales tax) that have been borne on certain purchases connected with foreign defence forces and defence-related projects in Australia. It specifies which kinds of purchases qualify, who can claim refunds, what conditions apply to qualify, and how refunds are paid (see generally Parts 2–6). Refunds are payable as an amount equal to the indirect tax borne on the covered acquisition (see e.g. ss 6(2), 7(2), 9(2), 10(2), 11(2), 14(2), 15(2), Part 6).\n\n### Who is affected\n\n- Foreign governments and visiting forces named in the instrument: Papua New Guinea (Part 2, s 6), Singapore (Part 3, ss 7–8), the United States of America (Part 4, ss 9–14), Japan (Part 5, s 15) and Timor-Leste (Part 6, s 16 as inserted) when they make covered acquisitions in Australia.\n- The Australian Commissioner of Taxation, who must pay refunds to the Defence Department (see repeated note and payment provisions such as s 6(4), s 7(3), s 9(5), s 10(4), s 11(4), s 14(3), s 15(5), Part 6).\n- The Australian Defence Department, which receives refunds and either pays or reimburses the visiting force or government (notes to multiple sections).\n- Australian suppliers who sell goods or services to these visiting forces (indirectly affected because refunds change the effective tax treatment of those purchases).\n\n### How the mechanism works (procedural steps)\n\n1. A covered acquisition is made by or on behalf of an eligible foreign government or member of a visiting force in Australia (specifics depend on the partner and type of purchase; see each Part).\n2. The law requires a tax invoice or other evidence in some cases (e.g. Japan s 15(3)(d), general definitions referencing tax invoice in s 4).\n3. The Commissioner calculates and pays an amount equal to the indirect tax borne to the Defence Department on behalf of the foreign party (payment clauses in each Part).\n4. The Defence Department either pays for the tax in advance or reimburses the visiting force/government as described in the notes accompanying many sections.\n\n### Key conditions, limits and administrative requirements\n\n- Ownership and title conditions: refunds often require the foreign government to retain title/ownership of the acquired goods unless the Defence Minister approves otherwise (PNG s 6(3); US s 10(3)(b); Japan s 15(3)(a)).\n- Restrictions on resale and local sale: goods bought for commissaries must be sold only to visiting force members, dependants, or civilian components and not resold on the local market (US s 11(3)).\n- Time and use limits: motor vehicle refunds for US visiting force members require the vehicle be Australian-manufactured/assembled and either remain with the member for two years or be exported within two years (US s 9(3)(a)–(b)).\n- Certification and authorisation: some claims must be authorised or certified by official representatives (e.g. Defence Attaché authorisation for US motor vehicles, s 9(3)(d)(i); certification for Pine Gap/North West Cape uses, s 12(3)(b)).\n- Specific program or activity linkage: refunds may be limited to purchases that fund particular initiatives (e.g. Australia–Singapore Military Training Initiative s 8(3) limits refunds to amounts paid by the Singapore Government for development activities; JSF Program s 14 covers acquisitions for that program).\n\n### Who decides and where discretion sits\n\n- The Defence Minister has explicit approval or veto powers in several places (e.g. PNG s 6(3), US s 10(3) \"unless otherwise approved by the Defence Minister\", Japan s 15(3)(a)).\n- Military authorities or designated officers (e.g. Defence Attaché, military certifying authorities) must authorise or certify claims in particular cases (US ss 9(3)(d)(i), 12(3)(b)).\n- The Commissioner of Taxation administers and pays refunds to Defence (payment duties in multiple provisions).\n\n### Costs, incentives and trade-offs (mechanisms, not judgments)\n\n- Fiscal effect: the Commonwealth forgoes indirect tax revenue for the specified covered acquisitions because the Commissioner pays refunds (payment clauses in each Part). The instrument does not quantify the cost.\n- Concentrated beneficiaries: refunds apply to specific foreign governments/visiting forces and to purchases tied to named programs or facilities (see Parts 2–6), concentrating benefits on those parties.\n- Administrative and compliance burden: claimants or their Australian representatives must supply tax invoices and obtain authorised certifications; Defence Department processes refunds and handles onward payment or reimbursement (see Japan s 15(3)(d); US s 9(3)(d); repeated payment notes).\n- Behavioural incentives: by removing indirect tax from the effective price of covered acquisitions, the instrument changes relative costs for visiting forces and foreign governments making purchases in Australia (e.g. fuels, vehicles, construction materials, program-specific items). The text conditions refunds on use, retention of title, resale rules and time limits, which create specific compliance and retention incentives (see ss 7, 9, 10, 11, 12, 13, 14, 15, Part 6).\n\n### Implementation risks and substitution effects\n\n- The rules rely on documentary proof, foreign-government certification, and Defence Department handling; these create standard administrative and verification tasks (tax invoices, authorisations, retention of title conditions). Several provisions allow the Defence Minister to approve exceptions, introducing discretionary decision points (e.g. PNG s 6(3), US s 10(3), Japan s 15(3)(a)).\n\n### Purpose claims and source attribution\n\n- The instrument’s structure and notes show its operational purpose is to implement refunds of indirect taxes for specified defence-related international obligations and activities (see Authority s 3 and the payment and coverage rules across Parts 2–6). The detailed conditions and payment routing are set out in the cited sections above. The instrument itself states who receives refunds, the qualifying circumstances, and the administrative pathway for payment (see payment clauses and notes in each Part)."},"summary":{"content_quality":"ok","complexity_score":3,"scope_assessment":{"changed":true,"description":"This determination restates and replaces previous indirect tax refund instruments for defence-related international obligations and expands coverage to include Timor-Leste under the AUS-TLS DCA."},"complexity_factors":["Consolidates multiple country-specific indirect tax refund arrangements into one instrument","Each partner country has different eligibility criteria, conditions, and timeframes","Commencement for Timor-Leste provisions is conditional on entry into force of a bilateral treaty","Detailed conditions apply to US motor vehicle refunds and Japan acquisitions"],"plain_english_summary":"This is a tax determination made by the Deputy Prime Minister and Minister for Defence under the Taxation Administration Act 1953. It authorises the refund of indirect tax (mainly GST) paid on certain acquisitions by visiting forces and foreign governments tied to Australia’s defence-related international obligations.\n\nIt covers acquisitions by, or on behalf of, the following partners:\n- Papua New Guinea - vehicles, equipment, weapons, provisions and other goods for official use.\n- Singapore - fuels, oils and lubricants for official vehicles, aircraft and vessels; and acquisitions linked to development activities under the Australia Singapore Military Training Initiative.\n- United States of America - motor vehicles for members (subject to strict conditions), official-use property, goods for commissaries, materials for the Joint Defence Facility Pine Gap or Harold E Holt Naval Communication Station, and goods for the Joint Strike Fighter Program.\n- Japan - materials, supplies, equipment and services for official use under the Japan Reciprocal Access Agreement.\n- Timor-Leste - acquisitions for official activities in Australia under the Australia-Timor-Leste Defence Cooperation Agreement (commences when that treaty enters into force).\n\nPractically, the Commissioner of Taxation pays the refund amount to the Department of Defence, which then passes it to the relevant foreign government or visiting force. This ensures those entities do not ultimately bear the indirect tax cost on covered purchases, consistent with Australia’s treaty commitments. Suppliers who sell to these forces should provide tax invoices so that Defence can process the refund.\n\nThe instrument consolidates several earlier refund arrangements and newly includes Timor-Leste."},"kimi_summary":{"content_quality":"ok","complexity_score":5,"scope_assessment":{"changed":false,"description":"The legislation appears consistent with its original purpose of implementing indirect tax refund obligations under Australia's defence cooperation agreements. The addition of Timor-Leste (Part 6) represents an expansion to cover a new bilateral agreement, but this is within the established pattern and purpose of the instrument rather than a scope creep beyond its original intent."},"complexity_factors":["Multiple bilateral defence agreements referenced (PNG, Singapore, US, Japan, Timor-Leste), each with unique conditions","Cross-references to 4 other Acts: Taxation Administration Act 1953, Income Tax Assessment Act 1997, A New Tax System (Goods and Services Tax) Act 1999, and Defence (Visiting Forces) Act 1963","Nested conditions and exceptions throughout (e.g., US motor vehicle refunds require: Australian manufacture + 2-year retention/export + Defence Attaché authorisation + no previous tax-free vehicle unless certified)","Specific date thresholds for different provisions (e.g., Singapore fuel from 1 July 2000, Singapore development from 13 October 2016, JSF from 1 November 2021)","Staggered commencement—Part 6 (Timor-Leste) starts later when the treaty enters force, while Parts 1-5 start immediately after registration","Defined terms include complex international instruments (JSF Program MOU, Australia Singapore Military Training Initiative, Japan RAA, AUS-TLS DCA)","Specific exclusions in Part 5 (Japan) that narrow the definition of 'civilian component' by referencing specific subsections of the Defence (Visiting Forces) Act 1963"],"plain_english_summary":"This law sets out when Australia will give tax refunds to foreign military forces and their governments for goods and services they buy in Australia.\n\n**What it does:**\nWhen foreign defence forces (like the US, Singapore, Japan, Papua New Guinea, and Timor-Leste) buy things in Australia—such as vehicles, fuel, building materials, or equipment—they normally pay GST (Goods and Services Tax) and other indirect taxes. This law allows them to claim that money back from the Australian Taxation Office, provided they meet specific conditions.\n\n**Who it affects:**\n- **Foreign defence forces** visiting or operating in Australia under formal defence agreements\n- **The Australian Defence Department**, which handles the refund claims on behalf of foreign forces\n- **The Tax Commissioner**, who actually pays the refunds\n\n**Key situations covered:**\n- **Papua New Guinea**: Vehicles and military equipment for official use (PNG must keep ownership)\n- **Singapore**: Fuel for official vehicles, and construction costs under the Australia-Singapore Military Training Initiative (where Singapore trains in Queensland)\n- **United States**: \n  - Motor vehicles for US military personnel (must be Australian-made, kept for 2 years or exported)\n  - Equipment for official US force use\n  - Goods for military shops (commissaries) that only sell to US personnel and their families\n  - Construction and operation of Pine Gap and the Harold E Holt Naval Communication Station\n  - Costs related to the Joint Strike Fighter (F-35) program\n- **Japan**: Materials and equipment under the Reciprocal Access Agreement (RAA), provided Japan keeps ownership and it's not for personal use\n- **Timor-Leste**: Goods for official use under the new Defence Cooperation Agreement (not yet in force when this was made)\n\n**Why it matters:**\nThis law honours Australia's international defence treaties and agreements. Without these refunds, foreign forces would pay Australian taxes on purchases made to fulfil treaty obligations—effectively making Australia more expensive for allies to operate in. The refunds ensure Australia meets its international commitments while maintaining good defence relationships with key partners."}},"importantCases":[],"_links":{"self":"/api/acts/f2025l00234","history":"/api/acts/f2025l00234/history","analysis":"/api/acts/f2025l00234/analysis","conflicts":"/api/acts/f2025l00234/conflicts","importantCases":"/api/acts/f2025l00234/important-cases","documents":"/api/acts/f2025l00234/documents"}}