GST and second-hand goods

These instructions will help you calculate and report goods and services tax (GST) on sales and purchases of second-hand goods.

The term 'second-hand' means 'previously used' or 'not new'.

Second-hand goods do not include the following:

• precious metal
• goods to the extent that they consist of gold, silver, platinum or any other substance which, if it were of the required fineness, would be precious metal
• animals or plants.

From 1 April 2017, the definition of second-hand goods was amended to clarify that goods containing gold, silver or platinum are not second-hand goods.

However, collectibles and antiques (containing precious metals) that are bought and sold as such may still qualify as second-hand goods. For example, a collector's coins may have some gold content worth $50 but are sold as collectables for $30 in the hope they may increase in value as collectables over time.

Find out about:

• Completing GST items on your activity statement
• Working out your GST credits
• Claiming your GST credits
• When to account for GST
• Purchases of second-hand goods: $1,000 or less

See also:

• Examples
• Reverse charge in the precious metals industry – Second-hand goods
• GSTR 2000/8 Goods and services tax: special credit for sales tax paid on stock