Annual GST Certificates
Section 15(aa) of the Local Government (Financial Assistance) Act 1995 (Cwlth) requires the State to withhold an amount equivalent to unpaid notional GST payments from the respective Financial Assistance Grant payments and pay them to the Commonwealth.
This Commonwealth requirement is reflected in section 228(6) of the Local Government Act 2009 and section 213(2) of the City of Brisbane Act 2010, which prescribe that the Minister for Local Government must not distribute to a local government an amount equal to notional GST if the local government has not paid the notional GST.
Therefore, each Local Government must by no later than 15 September in each financial year, give the Director-General of the Department of Local Government, Racing and Multicultural Affairs a notice (Annual GST Certificate) stating that the Local Government has paid notional GST for the previous financial year.
The Annual GST Certificates are required pursuant to:
- section 215 of the Local Government Regulation 2012
- section 205 of the City of Brisbane Regulation 2012 for Brisbane City Council
If no certificate is provided, the State will need to ascertain by other means that the GST the Local Government is required to pay, has been paid. If the GST has not been paid, the amount will need to be quantified before the Financial Assistance Grant can be paid to that Local Government. Otherwise the State could be in breach of the Commonwealth legislation.
GST Certificates for 2019-20
The Department seeks advice by 15 September 2020 regarding notional GST payments by Local Governments for the period 1 July 2019 to 30 June 2020.
This advice will then be provided to Queensland Treasury for confirmation with the Commonwealth.
Form of GST Certificate for 2019–20
The form of the Annual GST Certificate is not prescribed. The following form will meet the requirements for the 2019–20 financial year.
The following form will meet the requirements for Brisbane City Council for the 2019–20 financial year.
Any further enquiries on this matter should be addressed to:
Finance and Funding
Department of Local Government, Racing and Multicultural Affairs
PO Box 15009
City East QLD 4002
P: (07) 3452 6720 E: Finance&FundingRequests@dlgrma.qld.gov.au
Last updated: Monday, Nov 30, 2020