SM Ho & Ors c CofT – GST on sale of properties – Lot 1 only 50% leased, only 50% GST-free; Lot 2 unleased and not input taxed; Lots 3&4: ‘margin’ can’t be calculated using development costs
A taxpayer has been unsuccessful in contesting GST assessments, relating to the sale of 4 properties. They imposed $265,296 of GST plus substantial further amounts of shortfall penalties, before considering, also, interest based penalties. The facts were these: The taxpayer bought 2 existing terrace properties (Lots 1 & 2) in 2001 – one used commercially…