Fed govt warns businesses to not claim GST on carbon tax

The federal government has warned Australian firms that the GST does not apply to the carbon tax, and any businesses claiming otherwise will be liable to action taken against them.

News Limited is reporting some Australian air-conditioning firms, data contractors, waste firms and electricity companies are applying a GST on top of the carbon tax.

The government says laws have been placed to ensure no GST is payable on the $23-a-tonne carbon tax applied to about 300 of the nation’s largest carbon emitters.