A Company who is a Not-for-Profit Organization has the ability to fine/penalty its members if they
breach the ‘Code of Conduct” or “Internet Policy”.
Today’s question is :
Do the fines & Penalties make by the company subject to GST?
GSTD 2005/6 states that there is no supply made by an association when it imposes a fine or penalty
on a member for a breach of its membership rules.
This means that there should be no GST liability for the association.