Professions

• If you account for income tax on a cash/receipts basis, you can also account for GST on a cash basis.

• Specified health services are GST-free if they are provided by recognised professional practitioners.

• Professional advice of lawyers, accountants, etc, is taxable. Service provided to non-residents who are overseas may be GST-free in certain circumstances.

• Professional advisers may not be liable under the scheme promoter rules if they only provide advice and do not engage in promotion.

• If a solicitor incurs disbursements as an agent for a client, the input tax credit is claimable by the client.

• If a solicitor receives an amount into its trust account as security for future services, there is no supply at that time.

• Where a bill is prepared for work that was in progress at 1 July 2000, an apportionment needs to be made.

• The correct procedure must be followed to ensure that input tax credits can be claimed where a lessee reimburses a lessor for lease preparation.

• Professional or trade qualification courses are GST-free.

• Heavy penalties for committing price exploitation also apply to persons who are "knowingly" concerned in the offence, or who "aid and abet" it, for example business advisers.

• GST is not expected to apply to genuine pro bono work.

• A professional practice may form a GST group with its service entity.

• Branch offices may be registered separately.

• Retainers entered into before 1 July 2000 will need to take GST into account if they extend beyond that date.

• If you purchase something as agent for a client, the input tax credit is attributed to the client.

• The Commissioner's information-gathering powers are limited by the doctrine of legal professional privilege.

• Certain out-of-court settlements or court ordered payments may be treated as consideration for a supply, and therefore may be subject to GST. However, there are important exceptions.

Our dedicated team can assist you with all your accounting and GST related matters. Complete and submit the Express Enquiry form on the top right hand side of this page and we will contact you to discuss your enquiry or call us on 1300 QUINNS (1300 784 667) or on +61 2 9223 9166 to arrange an appointment.