Australia's Trusted GST Calculator

GST Calculator Australia: Frequently Asked Questions & Answers

Get expert answers to all your GST questions. Learn how to calculate GST, understand registration requirements, and manage GST for your Australian business. Free calculator available.

Frequently Asked Questions & Answers

What is GST?

GST (Goods and Services Tax) is a 10% tax applied to most goods and services sold in Australia. Introduced in 2000, it’s a broad-based tax that applies to most transactions in the Australian economy. GST is collected by businesses on behalf of the government and is designed to be paid by the end consumer.

There are two main GST calculations:

  1. To add GST to a price:
    • Multiply the original price by 1.1
    • Or multiply the original price by 10% and add it to the original price
  2. To find GST in a total price:
    • Divide the total amount by 11
    • Example: In a $110 payment, $10 is GST


Or even simpler, use our Free GST Calculator!

Free GST Calculator

You must register for GST if:

  • Your business turnover is $75,000 or more annually
  • Your non-profit organization turnover is $150,000 or more annually
  • You provide taxi or ride-sharing services (regardless of turnover)
  • You want to claim GST credits

Important: You must register within 21 days of reaching the threshold.

Essential requirements:

  • Australian Business Number (ABN)
  • Business or company details
  • Valid identification documents
  • Banking information
  • Expected annual turnover figures

GST credits (input tax credits) can be claimed for GST paid on business purchases. To calculate:

  1. Keep all tax invoices for business purchases
  2. Calculate the GST paid (1/11th of the total price)
  3. Record these amounts for your BAS
  4. Subtract credits from GST collected on sales

Yes, the GST rate is consistently 10% across all Australian states and territories, including:

  • New South Wales (NSW)
  • Victoria (VIC)
  • Queensland (QLD)
  • Western Australia (WA)
  • South Australia (SA)
  • Tasmania (TAS)
  • Australian Capital Territory (ACT)
  • Northern Territory (NT)

Common GST-free items include:

  • Most basic food items
  • Some health services
  • Some educational courses
  • Some medicines
  • Some exports
  • Some charitable services

GST reporting and payment is done through your Business Activity Statement (BAS):

  1. Calculate total GST collected from sales
  2. Subtract GST credits from purchases
  3. Report the net amount on your BAS
  4. Lodge your BAS quarterly or monthly
  5. Pay any GST owing by the due date

For small businesses:

  1. Track all sales and purchases
  2. Use our GST calculator for accurate calculations
  3. Keep detailed records of:
    • GST collected on sales
    • GST paid on purchases
    • Tax invoices
  4. Consider accounting software for easier tracking

If you’re required to register but don’t:

  • You’ll need to pay GST on all sales made since the date you should have registered
  • Additional penalties may apply
  • Interest charges may be added
  • You can’t claim GST credits for this period

Yes, you can voluntarily register for GST even if your turnover is below $75,000. Benefits include:

  • Claiming GST credits on business purchases
  • Appearing more professional to other businesses
  • Better record-keeping practices
  • Simplified transition when you do reach the threshold

When selling online in Australia:

  • Charge 10% GST on sales to Australian customers
  • Keep detailed records of all transactions
  • International sales may be GST-free
  • Digital products and services sold to Australian consumers must include GST
  • Use our calculator to ensure accurate GST calculations for each sale

Tax invoices are required for:

  • All sales over $82.50 (including GST)
  • When customers request them for any amount

A valid tax invoice must include:

  • The words “Tax Invoice”
  • Your business name and ABN
  • Date of issue
  • Brief description of items sold
  • The GST amount or note that GST is included
  • The total price

For international transactions:

  • Exports are generally GST-free
  • Imports valued over $1,000 attract GST
  • GST on imports is typically paid to Customs
  • Some overseas services to Australian customers require GST
  • Special rules apply for digital products and services

BAS lodgment periods vary:

  • Monthly: Required if annual turnover exceeds $20 million
  • Quarterly: Standard for most businesses
  • Annually: Available for some smaller businesses

Key dates for quarterly lodgment:

  • Q1 (July-Sept): Due 28 October
  • Q2 (Oct-Dec): Due 28 February
  • Q3 (Jan-Mar): Due 28 April
  • Q4 (Apr-June): Due 28 July

For second-hand goods:

  • GST applies if you’re registered for GST
  • Special margin scheme may be available
  • Keep detailed purchase and sale records
  • Calculate GST on the profit margin only under the margin scheme
  • Some exceptions apply for specific items

Maintain records of:

  • All tax invoices (sales and purchases)
  • Bank statements
  • Cash register records
  • Payment and receipt documentation
  • Contracts and agreements
  • BAS worksheets and calculations
  • Records must be kept for 5 years

For rental properties:

  • Residential rentals are generally GST-free
  • Commercial property rentals include GST
  • Mixed-use properties may have special requirements
  • Property management fees include GST
  • Maintenance costs usually include GST

If you make a BAS mistake:

  • Notify the ATO as soon as possible
  • Corrections can be made on your next BAS if small
  • Larger errors require a separate revision
  • Keep records of all corrections
  • Penalties may apply for significant errors

For employee benefits:

  • Fringe Benefits Tax (FBT) and GST interact
  • GST credits can be claimed on most employee benefits
  • Special rules apply for entertainment expenses
  • Keep separate records for FBT and GST purposes
  • Calculate GST on the GST-inclusive value of benefits

Understanding GST accounting methods:

Cash Accounting:

  • Report GST when you receive payment
  • Claim credits when you pay bills
  • Suitable for small businesses
  • Simpler cash flow management

Accrual Accounting:

  • Report GST when you issue invoices
  • Claim credits when you receive invoices
  • Required for businesses over $10 million turnover
  • More accurate business performance view

Tips for Choosing:

  • Consider your business size
  • Think about your cash flow
  • Evaluate your invoicing patterns
  • Consult with an accountant
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Industry Recognition

Our calculator is trusted by certified practicing accountants and tax professionals across Australia, becoming an essential tool for the financial services industry. We’re proud to be recommended by leading small business associations and bookkeeping services nationwide.

Our calculator is recommended by:

  • Certified practicing accountants
  • Small business associations
  • Tax professionals
  • Bookkeeping services

Support for Your Business

Whether you’re a new business owner, established company, accountant, or freelancer, our calculator is designed to meet your GST calculation needs. We’ve created an intuitive tool that grows with your business, making tax time simpler for everyone.

Whether you’re:

  • A new business owner learning about GST
  • An established company streamlining calculations
  • An accountant handling multiple clients
  • A freelancer managing your own taxes

We’re here to make your GST calculations simple and accurate.

Simplifying GST calculations for Australian businesses with our free, ATO-compliant calculator and comprehensive tax resources.

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