Fed: Govt to protect GST concessions for retirement villages

AAP General News (Australia)
08-14-2004
Fed: Govt to protect GST concessions for retirement villages

The federal government has pledged to pass laws to protect GST concessions for retirement
villages.

The aged care sector has raised concerns that a possible tax office ruling could change
the GST treatment of some retirement village residents, slugging them with $50 a month
in extra taxes.

Assistant Treasurer MAL BROUGH says the government would legislate some minor amendments
to the GST to remove public uncertainty.

Under the measures, residents of serviced apartments in residential villages entitled
to daily living and nursing assistance will receive the services GST free.

Those who don't meet the criteria for the assistance would continue to be ineligible
for GST-free treatment for their accommodation or services.

Mr BROUGH says the amendment would outline what constituted residential care, to whom
it applied and the level of service required to meet the test of daily living assistance.

AAP RTV pjo/sb/ea d

KEYWORD: RETIREMENT (CANBERRA)

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