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Eligibility to continue reporting GST annually

To be eligible to report and pay annually, your business must be registered for GST voluntarily. You are not required to register. You must assess your eligibility as at 31 July each year.

Last updated 21 June 2017

Paying quarterly GST instalments and reporting annually

You are eligible to pay quarterly GST instalment amounts advised by us and report your GST information annually, if you:

  • carry on a business with an aggregated turnover of less than $10 million
  • do not carry on a business but your GST turnover is $2 million or less.

If we work out that you are eligible, your activity statement will have your instalment amount pre-printed at option 3. If you choose this option, it will be pre-selected for you on subsequent activity statements until you're eligible to choose an option again.

Paying and reporting GST annually

You must assess your eligibility to report and pay GST annually as at 31 July each year. You can't continue to report and pay GST annually if on this date:

  • your projected GST turnover meets the GST registration turnover threshold, that is    
    • $75,000 for businesses and other 'enterprises'
    • $150,000 for non-profit organisations
     
  • you are required to register for GST for some other reason – for example, because you provide taxi travel.

You must advise us if you are no longer eligible to report and pay GST annually. We will then change your GST reporting cycle to monthly or quarterly with effect from 1 July and send you the correct activity statements to lodge.

Working out your projected GST turnover

To estimate your projected GST turnover as at 31 July you need to add:

  • the total GST-exclusive price of the taxable and GST-free sales you have made or expect to make for the month of July
  • the total GST-exclusive price of the taxable and GST-free sales you expect to make for the next 11 months.

You should not include any sales involving the transfer of ownership of a capital asset of yours, or sales made or likely to be made solely when ceasing or substantially and permanently reducing the size or scale of your enterprise.

See also:

Cancelling your annual election

If you no longer wish to report and pay GST annually, you can revoke your annual election and report GST quarterly or monthly. You must notify us by 28 October to change your reporting requirements for the financial year. Otherwise you will remain on annual reporting for the remainder of the year and your election will be revoked from 1 July of the following year.

We may review your eligibility for the annual election if you are not meeting all of your obligations.

QC32031