It is understood that the Government has decided not to proceed with a restructure of the margin scheme provisions. Apparently, the consultation and law design process revealed there was no clear agreement about how to proceed with the restructuring. In addition, the Government was of the view that restructuring the existing provisions was likely to deliver few, if any benefits, while potentially giving rise to interpretational disputes and risks to the existing GST base.
Nonetheless, it is understood the Government will proceed with the previously announced technical amendment to clarify that an approved valuation can be used when using the margin scheme in relation to subdivided land.
[LTN 120, 25/6]