If you are registered for the GST and take out general insurance for business purposes, you will normally be entitled to claim input tax credits for the GST included in your insurance premiums.
You must inform your insurer of the extent to which you can claim input tax credits on your premium. That is, you will need to state what proportion of the insurance is for business purposes. This must be done at or before the time a claim is made under the insurance policy since the last payment of a premium.
As long as you have given your insurer this information, you will not be required to remit any GST to the Australian Taxation Office when you receive a settlement.
You can claim input tax credits to refund the GST included in the price of replacement or repairs for your goods if you pay for them with an insurance settlement.
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