What Is the GST Threshold

What Is the GST Threshold

In Australia, the GST threshold is $75,000 in GST turnover for businesses and $150,000 for not‑for‑profit organisations. If you provide taxi travel (including ride‑share), you must register from the first dollar.

Work out your current and projected GST turnover, know when the 21‑day clock starts, and set up the right BAS reporting cycle. If you want help registering, setting up software, or lodging BAS, you can get assistance below.

How this usually works

Start by assessing whether you are at or approaching the threshold:

  • Work out GST turnover for the last 12 months (current) and the next 12 months (projected). Exclude the GST component.
  • Include taxable and GST‑free sales connected with Australia; exclude input‑taxed sales (for example, residential rent and most financial supplies) and sales not connected with Australia.
  • If either test reaches $75,000 (or $150,000 for not‑for‑profits), registration is required. For taxi/ride‑share, register from day one.

Once registration is required, choose your BAS reporting frequency (usually quarterly for small business) and cash or non‑cash (accruals) accounting for GST. Update your invoices to show GST and issue valid tax invoices to customers.

Australian context to keep in view

  • The standard GST threshold is $75,000 in GST turnover for businesses; $150,000 for not‑for‑profits.
  • If you become aware you will exceed the threshold, you generally must register within 21 days.
  • Taxi travel and ride‑sourcing (for example, Uber) require GST registration from the first dollar earned.
  • Voluntary registration lets you claim GST credits but requires charging GST and lodging BAS.
  • After you register, you must keep compliant records and report on a Business Activity Statement monthly or quarterly.

What to compare before you commit

Scope

Check that help covers GST registration, ABR/ATO setup, invoice template updates, BAS preparation/lodgement, and a review of GST coding in your software.

Software fit

Confirm expertise in your stack (for example, Xero, MYOB, QuickBooks). Ask for a quick walkthrough of how GST is coded and reported in your system.

Turnaround and communication

Ask how fast registration and BAS setup will happen, what they need from you, and how they handle urgent deadlines or ATO notices.

Commercial fit

Compare fixed vs hourly pricing, inclusions (BAS, reconciliations, ATO correspondence), and whether you need compliance‑only or broader advisory.

Best next steps

  • Calculate your GST turnover and decide if registration is required or beneficial.
  • Choose reporting frequency (monthly vs quarterly) and cash vs accruals for GST.
  • Update invoice templates and product/service GST codes.
  • Schedule BAS lodgement dates and set up reminders.
  • If unsure, get a quick review so you don’t miss the 21‑day registration window.

If you want guided support, a BAS agent can register you, configure software, and lodge on time. A tax accountant can help if the decision overlaps with structure, income tax, or cross‑border issues.

Frequently asked questions

What is the GST threshold?

The threshold is $75,000 in GST turnover for businesses and $150,000 for not‑for‑profits. Taxi travel and ride‑share must register from $0.

How do I work out GST turnover for the threshold?

GST turnover is your business income excluding GST. Include taxable and GST‑free sales connected with Australia. Exclude input‑taxed sales (for example, residential rent and most financial supplies) and sales not connected with Australia. Test both current (last 12 months) and projected (next 12 months).

When do I need to register?

Register within 21 days of knowing you will meet or exceed the threshold. If you provide taxi travel or ride‑share, register immediately regardless of turnover.

Should I register if I’m under the threshold?

Voluntary registration can make sense if you have GST on costs and sell to GST‑registered businesses. You must then charge GST where applicable and lodge BAS.

What changes after I register?

You’ll add 10% GST to most Australian sales, issue compliant tax invoices, keep records, and lodge BAS (usually quarterly for small business). You can also claim GST credits on eligible business purchases.

Can I cancel GST registration later?

Yes—if you are no longer required to be registered (for example, your turnover drops below the threshold and you don’t provide taxi travel). You can apply to cancel with the ATO.

Get accounting help for your business

Not sure if you need to register for GST, how to calculate GST turnover, or how to set up BAS correctly? Use this form to describe your business, the issue, and any deadlines so we can match you with the right support.

We help with GST registration, BAS lodgements, bookkeeping setup, payroll, tax returns, software configuration, reporting, and ongoing advisory.

  • Tell us if the issue relates to GST/BAS, bookkeeping, payroll, tax, software, reporting, or general accounting help.
  • Let us know your business structure (sole trader, company, partnership, trust), industry, and where you operate.
  • Include timing pressures such as overdue BAS, upcoming ATO deadlines, software changes, or provider switching.

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