GST in plain English
Goods and services tax is generally a 10% tax included in the price of many goods and services sold in Australia. A GST-registered business may collect GST on taxable sales and may be entitled to credits for GST included in eligible business purchases.
Taxable, GST-free and input-taxed
Not every transaction has the same GST treatment. Taxable sales generally include GST. GST-free sales may include certain health, education and food items. Input-taxed sales have different credit rules. Check the tax invoice and seek professional advice when the treatment is unclear.
What to record
Keep the transaction date, supplier or customer, total amount, GST amount, business-use percentage and supporting invoice or receipt.
Important: This guide provides general educational information only. Check current ATO guidance and obtain professional advice for your circumstances.