15CGST payable by recipients of supplies

#### 15C GST payable by recipients of supplies (1) To the extent that a taxable supply is made on or after the applicable day for the supply under subsection (2), the GST on the supply is payable by the recipient of the supply, and is not payable by the supplier, if: (a) the supply is specifically identified by an agreement: (i) that is of the kind referred to in subsection 13(1); and (ii) that does not provide that the consideration for the supply is not to be changed to take account of GST or similar value added tax imposed on the supply; and (b) had the supply been made immediately before 1 July 2005, it would have been GST‑free under section 13; and (c) either: (i) the recipient notifies the supplier in writing that the recipient elects to pay the GST on the supply; or (ii) the recipient has failed to accept an arbitrated offer by the supplier to change the consideration for supplies that are made on or after 1 July 2005 and that are specifically identified by the agreement. (2) The applicable day for the supply is: (a) if subparagraph (1)(c)(i) applies: (i) the day on which the recipient notifies the supplier as mentioned in that subparagraph; or (ii) 1 July 2005; whichever is later; or (b) if subparagraph (1)(c)(ii) applies: (i) the day on which the recipient fails to accept an arbitrated offer as mentioned in that subparagraph; or (ii) 1 July 2005; whichever is later. (3) Subsection (1) does not apply if: (a) before either of the events referred to in paragraph (1)(c) happens, the supplier and the recipient agree (whether or not an arbitrated offer is made) to change the consideration for supplies that are made on or after 1 July 2005 and that are specifically identified by the agreement; or (b) subsection 13(3) applies to the supply. (4) For the purposes of subparagraph (1)(c)(ii), the recipient is taken to have failed to accept the offer referred to in that subparagraph if: (a) the recipient gives to the supplier a written rejection of the offer; or (b) the final offer period referred to in section 15M expires without the recipient having notified the supplier that the recipient accepts the offer. > Note: If an offer is accepted, any GST on the supply will be payable by the supplier, on the basis of the consideration as changed, in accordance with the GST Act: see in particular Division 19 of that Act. (5) For the purposes of subparagraph (2)(b)(i), the day on which the recipient fails to accept an arbitrated offer is: (a) the day applicable under paragraph (4)(a) or (b); or (b) if a day is applicable under both of those paragraphs—the earlier of those days. (6) To avoid doubt, the fact that the GST on the supply is payable by the recipient does not affect any entitlement of the recipient to an input tax credit for the acquisition to which the supply relates. (7) An election referred to in subparagraph (1)(c)(i) cannot be revoked. (8) This section has effect despite section 9‑40 of the GST Act (which is about liability for the GST on taxable supplies).