Pawnbroking

Key requirements

Interest is exempt; forfeited pledges sold locally are normally standard-rated. De minimis can allow broader input recovery, otherwise attribute taxable costs, block directly exempt costs and apportion residual expenses. GMS may apply to eligible used pledges only when purchase values are traceable and all conditions are met. For that margin calculation, the page treats the outstanding loan plus accrued permitted interest as purchase price when the pledge is forfeited. Untraceable cost prevents GMS use. Display or quote GST-inclusive prices and communicate the GMS basis where used; weight-only gold displays do not remove inclusive quotation at sale.