Close×

Recommendations from the Australian Taxation Office (ATO) to the federal government to broaden the GST on pre-prepared and packaged meals have been rejected by Prime Minister Scott Morrison and finance minister Matthias Cormann.

Earlier this week (May 25), The Sydney Morning Herald reported the ATO had allegedly argued for broadening the tax to take into account new eating and packaging trends.

Some current GST arrangements for food were confusing in that packaged salads, brioche buns, smoothie packs and dried fruit could be taxed differently depending how they are packaged, marketed and consumed, it said.

PM Morrison said he would not take up the ATO's suggestion about how packaged foods are rated under the GST. Senator Cormann reiterated the PM's message, and said the government had "no plans at all" to broaden the GST base.

The ATO has a detailed food list of what attracts GST.

Food & Drink Business

Market connectivity through ecommerce is more urgent than ever before, Food Innovation Australia Limited (FIAL) says. It has refreshed its Australian Food Catalogue (AFC) to boost its trade credentials.

Thomas Foods International has acquired a 50 per cent stake in meat processing company Frew International. In an unrelated sale, the company has agreed to sell its fresh potato business to Mitolo Family Farms.

Foodpro will be held from 25-28 July 2021 at the Sydney Showground, Sydney Olympic Park, a shift from the Melbourne location planned for this year.