Subcontracted maintenance services in Australia for my overseas parent provided to an Australian entity subject to GST or not?

GSTR 2019/1 provides good examples and advises regarding this.

"Example 8 – subcontracted maintenance services

44. Gooseneck Machinery, a non-resident, subcontracts a maintenance service in Australia to an Australian company, Little Duck Repairs Pty Ltd. Little Duck Repairs Pty Ltd provides maintenance services in Australia to one of Gooseneck Machinery’s customers. The supply of maintenance services by Gooseneck Machinery to its customer is a supply of services done in Australia, even though those services may be performed by Little Duck Repairs Pty Ltd. 45. After 1 October 2016, this supply may not be connected with Australia if the requirements of section 9-26 are met."

"Example 13 – Australian-based business recipient

70. Health Retreat Pty Ltd runs an exercise-based retreat where its staff create tailored exercise programs for clientele. Clove Stripes Co, a non-resident, enters into an agreement with Health Retreat Pty Ltd to supply exercise program support services. This is illustrated in the diagram in paragraph 73 of this Ruling. Health Retreat Pty Ltd is registered for GST and carries on a business in Australia. The exercise support services being purchased from Clove Stripes Co relate to Health Retreat Pty Ltd’s business. Health Retreat Pty Ltd satisfies each of the conditions to be an Australian-based business recipient.

71, None of the supplies that Clove Stripes Co makes are through an Australian GST presence. The services are performed in Australia by Turmeric Corp Pty Ltd, an Australian-based subcontractor that is engaged by Clove Stripes Co. Turmeric Corp Pty Ltd is not an employee, officer or an agent of Clove Stripes Co, and as such the services undertaken by Turmeric Corp Pty Ltd do not cause Clove Stripes Co to have an Australian GST presence.

72, The supplies that Clove Stripes Co makes to Health Retreat Pty Ltd are not connected with Australia. The supplies done in Australia satisfy the conditions for being disconnected because Clove Stripes Co is a non-resident supplier, the supply is not made through an enterprise if carries on in Australia, and Health Retreat Pty Ltd is an Australian-based business recipient of the supply.

73, Although the supply is disconnected, Health Retreat Pty Ltd needs to consider whether it has a reverse charge liability. This is becasue the supply is made to an Australian-based business recipient, and the recipient is responsible for determining whether they have a GST liability for the supply under the reverse charge rules in Subdivision 84-A (see paragraphs 79 to 87 of this Ruling)."

Extracted from GSTR 2019/1 - Goods and services tax: supply of anything other than goods or real property connected with the indirect tax zone (Australia)

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