The Howard Government today delivered on a pre-election promise to guarantee GST concessions for residents of serviced apartments in retirement villages who require daily living or nursing assistance.
The Tax Laws Amendment (Retirement Villages) Bill 2004 was passed in the Senate today.
"The Bill was introduced to remove any uncertainty from a potential ATO ruling that may have had the effect of changing the Government's policy intention to provide GST free treatment for eligible residents," Mr Brough said.
Mr Brough made a commitment immediately prior to the election to introduce the Bill as a matter of priority.
"This is good news for the residents, for the industry and retirement village operators.
"The only disappointing aspect was an 11th hour attempt by the Labor Party to make amendments which would have undermined the intention of the Bill, and caused greater uncertainty and delay.
"Not only would Labor's amendments have made the taxman responsible for assessing health matters of residents, but may have required further consultation with the States because of potential unintended GST implications.
"The Government felt that would further delay the measures to the detriment of elderly residents.
"Thankfully, the Labor Party came to its senses and passed the Government's Bill," Mr Brough said.