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How GST works

Explains how GST works and what you need to do to meet your GST obligations.

Last updated 21 June 2023

How GST works

Goods and services tax (GST) is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia.

Some things don’t have GST included, these are called GST-free sales.

You can:

What registered businesses do

Generally, businesses and other organisations registered for GST will:

  • include GST in the price they charge for their goods and services
  • claim credits for the GST included in the price of goods and services they buy for their business.


Media: How GST works (Duration: 0:35)

What you need to do for GST

If you run a business or other enterprise and have a GST turnover of $75,000 or more ($150,000 or more for non-profit organisations), or you provide taxi travel (including ride-sourcing) – you need to:

You can use the GST calculatorExternal Link on ASIC's MoneySmart website to calculate GST and work out how much GST is included in a sale.