The applicants involved in this case were ECC Southbank Pty Ltd as the trustee of Nest Southbank Unit Trust (NSUT), and the trustee of the Urbanest Southbank Leasing Trust (USLT) whereas the respondent was the Commissioner of Taxation. Both applicants were GST-registered.
In 2008, NSUT, as the second developer of Southbank site, began to design and construct student accommodation and serviced apartments. The construction was completed on 16 December 2009 and a lease agreement was made between NSUT and the State of Queensland in 7 January 2010. According to the agreement, the premises were permitted to be operated or sold as a student accommodation and/or serviced apartment. NSUT then subleased the premises to trustee of USLT and under the