Retirement living and Supported Accommodation – GST on services supplied to residents
The Australian Tax Office (ATO) has released a Draft Addendum to a current GST Ruling (GSTR 2012/3) regarding the GST treatment of care services and accommodation in retirement villages and privately funded nursing homes and hostels.
New Retirement Village Legislative Changes
There have been some recent legislative changes governing the operation of retirement villages.
The Retirement Villages (Records and Notices) Regulations 2015 take effect from 12 December 2015 and revoke the previous sets of regulations.
Changes to contracts and disclosure requirements for Victorian retirement villages
Changes to the regulations under the Retirement Villages Act 1986 will come into operation on 1 July 2014 relating to contracts and disclosure requirements for Retirement Villages in Victoria.
Aged Care Reforms
The second round of changes set out in the federal government’s Living Longer Living Better aged care reform package will commence on 1 July 2014.
The reforms aim to provide more choice, easier access and better care. However, there are concerns that many retirees will end up paying more for their admission to and ongoing care in aged care facilities, due to the changes in the way daily care fees will be means tested.