What is an input-taxed supply of used residential premises?

The sale of used residential premises is treated as an input.taxed supply in Australia, under the A New Tax System (Goods and Services) Act 1999 (Cth) (GST Act). This means that no goods and services tax (GST) is charged on the sale of used residential premises, and the purchaser is not entitled to an input tax credit. The treatment of the sale of used residential premises as input.taxed, however, is not simple. One predominant reason for this is that what is regarded as an input.taxed supply of residential premises is not clear. In this paper, Christine Peacock sets out to explain how it can be clarified what an input.taxed supply of used residential premises is in Australia, and therefore how the proper GST treatment of property can be made simpler to understand.