GST on Court Settlements

We are discussing a document, published by the New Zealand Inland Revenue Department (IRD), that explains how goods and services tax (GST) applies to court awards and out-of-court settlements. The IRD emphasizes the importance of identifying a sufficient connection and reciprocity between the payment and a supply for it to be subject to GST.  Link to the document page: https://www.taxtechnical.ird.govt.nz/fact-sheets/2023/is-23-07-fs