Tax Blow To Elderly In Retirement Homes
Sydney Morning Herald
Wednesday August 11, 2004
Elderly people who live in retirement villages but do not receive care there are liable for GST, the Treasurer, Peter Costello, said yesterday in an effort to clear up confusion over taxation of retirees. Retirement village operators have been lobbying the Government for clarification on which retirees qualify for an exemption, as the Tax Office is yet to release its ruling on the subject. Mr Costello said there was a distinction between retirement villages and residential aged care. "Retirement village residents in serviced apartments and independent living units are not GST-free," he said. The Government said it was talking with the Tax Office to ensure no one is left in limbo by the new rules.
© 2004 Sydney Morning Herald
