A New Tax System (Goods and Services Tax Imposition—Excise) Act 1999

What This Law Does

This is one of several Acts that together make up the legal foundation for Australia's Goods and Services Tax (GST) — the 10% tax added to most goods and services you buy.

Why So Many Acts?

The Australian Constitution requires that certain types of taxes be imposed by specific kinds of laws. Excise duties (taxes on goods produced or manufactured in Australia) must be imposed by a separate Act of Parliament under section 55 of the Constitution. This Act exists purely to satisfy that constitutional requirement — it formally imposes GST on transactions that legally qualify as an excise duty.

What It Actually Does

• Imposes GST on transactions that fall within the constitutional category of 'excise duties'
• Sets the GST rate at 10% (this is the same 10% you see on every tax receipt)
• Protects State government property from being taxed under this Act, as required by section 114 of the Constitution (which prohibits the Commonwealth from taxing State property)
• Avoids double-taxation by excluding transactions already covered by a separate companion Act (the Recipients—Excise Act 2005)

Who Does This Affect?

Practically every Australian who buys goods or services is affected by GST — but this specific Act operates invisibly in the background. You won't interact with it directly. It's constitutional plumbing that ensures the GST system is legally valid.