Calculating GST and issuing tax invoices
If you’re a GST-registered business you must add GST to your prices. You also need to issue GST invoices to customers.
Let’s take a look at the maths and requirements of both.
How to add GST to prices
You need to put your prices up by 10%. There’s a very simple formula for doing that.
You can find useful GST calculators on the web; just search for ‘AU GST calculator’. Don’t do this to GST-free products or services that you sell. You can check GST-free items on this ATO page.
What are tax invoices?
A tax invoice tells a customer how much GST they paid on a purchase. It’s important information because some of your customers may be able to claim that tax back. If you’re GST registered, you must issue a GST invoice on request.
Tax invoice example
Here’s what you need to put on a tax invoice.
Receipts versus tax invoices
A receipt printed at point of sale is called a tax invoice if it has all of this information on it. But it must contain the words ‘tax invoice’.
Chapter 4: Claiming GST (and input tax credits)
Find out about the GST you can claim back from the ATO on business expenses and on GST you’ve already paid.Read next chapter
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