The government discussion document on GST and unincorporated joint ventures (JV) proposes several key changes: 

• an unincorporated JV will no longer be treated as a separate person for GST purposes
• the GST obligations and entitlements of a JV will flow through to the individual members unless the JV opts to register as a separate person
• a JV will be defined to exclude partnerships
• if the JV parties combined taxable supplies exceed $60,000, registration is mandatory for all individual members or the JV must register as a separate person
• when a JV elects to be treated as a separate person, the election is irrevocable, even upon deregistration and subsequent re-registration
• business-to-business supplies of interests in JVs will be zero-rated to simplify transactions
• transitional rules will allow members of a JV that was registered before the enactment of the new rules to elect for flow through treatment by cancelling the JV’s registration. 

CA ANZ’s key submission points are that the proposals, while aimed at particular groups, are overall workable. 

In addition, CA ANZ recommends allowing flexibility in re-registration, and providing clear guidelines to distinguish between genuine joint ventures and cost-sharing arrangements.