If you buy a commercial premises in NSW, thereby paying 10% gst, do you still have to pay stamp duty? Would the gst and stamp duty be tax claimable?
Why would you be getting an exemption from stamp duty (state tax)? Why would you be paying GST (assuming that you are GST registered & buying a going concern)?
The GST payment may be creditable IN SOME INSTANCES hence its not part of the costbase. If its not creditable (eg under margin scheme) then it will be a element of the costbase. Is there a tax invoice ? If its acquisition on going concern then there isnt any GST. Duty is a seperate transfer tax and will be a element of the costbase. Acquisitions costs arent "claimable". These should all be issues your tax adviser has already given advice on.
This is common. IF you and the vendor can use the going concern basis the GST may be exluded from the contract. This is normally where the vendor has a existing lease and you are acqusiring the premises with the lease. However if you are acquisiring for own use GC isnt usually available
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