Grappling with basic VAT concepts in the Australian GST: the meaning of ‘supply for consideration’

The quintessentially eccentric style in which the Australian GST is drafted has led the High Court of Australia to suggest that Australia's GST differs from other value added taxes in respect of the basic concept of a ‘supply for consideration’. This article examines the five most significant Australian cases on this concept, which deal with cancelled transactions, subsidies, and business incentive payments. A detailed analysis of these cases reveals that the issues that arise and the arguments made in respect of those issues—though not always the conclusions reached—are hardly unusual in the context of a VAT, and it remains unclear just how different the Australian GST really is.