A New Tax System (Goods and Services Tax) Act 1999
66‑60 Input tax credits for acquiring se66‑60 Input tax credits for acquiring second‑hand goods the supply of which is not fully taxable
Start here
Get a plain-English read of 66‑60 Input tax credits for acquiring se
Turn the raw legal text into a practical explanation grounded in A New Tax System (Goods and Services Tax) Act 1999.
66‑60 Input tax credits for acquiring second‑hand goods the supply of which is not fully taxable
(1) If an entity acquires *second‑hand goods, and, because of section 66‑45 and for no other reason, the supply of the goods to the entity is not a *taxable supply: (a) the fact that the supply is not a taxable supply does not stop the acquisition being a *creditable acquisition; and (b) the amount of the input tax credit for the creditable acquisition is worked out as if the supply were a taxable supply. (2) If: (a) an entity makes a *creditable acquisition of *second‑hand goods; and (b) the amount of GST on the supply of the goods to the entity was reduced because of section 66‑50; the amount of the input tax credit for the creditable acquisition is worked out as if that amount of GST had not been so reduced. (3) This section has effect despite section 11‑5 (which is about what is a creditable acquisition) and section 11‑25 (which is about the amount of input tax credits for creditable acquisitions).