How GST works in Australia
GST (goods and services tax) is a flat 10% added to the price of most things you buy in Australia. When a business is registered for GST, it adds 10% to its prices, collects that from customers, and passes it on to the ATO. Some items are GST-free, including most basic foods, and some health and education services, so not every price includes GST.
Adding GST vs removing GST
Adding GST is easy: take the price before tax and multiply by 1.1. A $200 job becomes $220, with $20 of GST. Removing GST from a total is the part people get wrong. Because a GST-inclusive price is 110% of the original, the GST is one eleventh of the total, not 10% of it. So the GST inside a $220 total is $220 ÷ 11 = $20, leaving $200 excluding GST. This calculator handles both, just switch between add and remove.
Quick GST reference
| Price excl. GST | GST (10%) | Price incl. GST |
|---|
| $100 | $10 | $110 |
| $500 | $50 | $550 |
| $1,000 | $100 | $1,100 |
| $5,000 | $500 | $5,500 |
Frequently asked questions
How do I calculate GST from a total?
To find the GST inside a GST-inclusive total, divide the total by 11. That's because a GST-inclusive price is 110% of the original, so the GST portion is one eleventh of it. For example, on a $110 total the GST is $110 ÷ 11 = $10, leaving $100 excluding GST. Switch this calculator to 'Remove GST' and it does that for you.
How do I add GST to a price?
Multiply the GST-exclusive price by 1.1 (or add 10%). So $100 plus GST is $100 × 1.1 = $110, of which $10 is GST. Use the 'Add GST' option above and enter your pre-GST amount.
How much GST do I pay on $1,000?
It depends on whether the $1,000 is before or after GST. If $1,000 is the price before GST, you add $100 to make $1,100. If $1,000 already includes GST, the GST portion is $1,000 ÷ 11 = $90.91, leaving $909.09 excluding GST. Enter $1,000 above and toggle between add and remove to see both.
What is the GST rate in Australia?
GST in Australia is a flat 10% on most goods and services, introduced in July 2000. Some things are GST-free, including most basic foods, some health and medical services, and some education courses. This calculator uses the standard 10% rate.
Do I have to register for GST?
Businesses generally must register for GST once their turnover reaches $75,000 a year ($150,000 for non-profits), or straight away if they provide taxi or ride-share services. Once registered, you charge GST on your sales and can claim back the GST on your business purchases. Check the current rules with the ATO.
This tool is a guide, not tax advice.
