GST on the rent
Question from Fran Hazid updated on 3rd January 2022:
Does a small business renting a residential property for business pay GST on the rent?
Our expert Mark Withers responded:
The supply of residential rental accommodation in NZ is an exempt supply for GST. So because the landlord is not charging GST, there will be none to claim.
If you are ever unsure whether there is GST on a supply, ask yourself one simple question… “Do I have a GST tax invoice indicating I was charged GST.” If the answer is no there will be no GST claimable unless you are acquiring a second hand good for use in your taxable activity.
Mark Withers and his team at Withers Tsang & Co specialise in advising on property related transactions, valuation and restructure services and tax planning.
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