Australia · 2025-26
Australia VAT calculator
Australia charges a goods and services tax (GST) of 10% on most sales, and that single flat rate is the whole story for everyday pricing. There are no reduced bands to pick between. Use this tool to add GST to a GST-exclusive figure or pull the GST component out of a price that already includes it, which is how Australian shelf prices are displayed.
How it works
- Adding GST means multiplying the GST-exclusive amount by 10%. A $200 service attracts $20 of GST, so the customer pays $220.
- Extracting GST from a GST-inclusive price uses the one eleventh rule: divide the total by 11 to get the GST component. An $88 receipt contains $8 of GST and $80 before tax.
- Some sales carry no GST at all. Basic food, most medical and health services, and some education courses are GST-free, so their price is the price.
gross = net x 1.10, and GST = gross / 11
Going forwards, add a tenth of the GST-exclusive price. Going backwards, the one eleventh shortcut works because 10 parts of net plus 1 part of GST make 11 equal parts of the final price.
- net
- price before GST (GST-exclusive)
- gross
- price after GST (GST-inclusive)
- GST
- the 10% tax component
Australian GST against nearby and comparable systems
| Australia (GST) | 10% | Single flat rate, no reduced bands |
| New Zealand (GST) | 15% | Also a broad single rate, with fewer exclusions than Australia |
| Singapore (GST) | 9% | Raised from 8% in January 2024 |
| Japan (consumption tax) | 10% | 8% reduced rate for food and drink |
| United Kingdom (VAT) | 20% | Plus 5% reduced and 0% zero rates |
| Canada (federal GST) | 5% | Provinces add their own sales taxes on top |
Worked example
A tradesperson quotes $1,500 excluding GST for a fencing job GST of $150 goes on top, bringing the invoice to $1,650. On the flip side, an invoice already showing $1,650 inclusive holds $150 of GST ($1,650 divided by 11).
Key facts
- GST is 10% on most goods and services sold in Australia.
- The GST component of any inclusive price equals the price divided by 11.
- Compulsory registration kicks in at A$75,000 of annual GST turnover, or A$150,000 for not-for-profits.
- Basic food, most health services and some education are GST-free.
- Exports of goods and services from Australia are generally GST-free.
Tips
- For quick mental maths on an inclusive price, knock off roughly 9.1% to get back to the GST-exclusive figure, or divide by 11 for the tax itself.
- When comparing supplier quotes, confirm whether each figure is GST-inclusive or exclusive before lining them up.
- Registered businesses claim GST credits on purchases through their business activity statement, so keep tax invoices for anything over $82.50.
Frequently asked questions
What is the GST rate in Australia?+
GST is 10% on most goods and services sold in Australia. It has stayed at 10% since the tax began on 1 July 2000, and unlike European VAT systems there are no reduced rates.
Which items are GST-free?+
Most basic food (bread, milk, fresh fruit and vegetables, plain meat), most medical and health services and products, some education courses and materials, exports, and some water and sewerage services carry no GST. Prepared or restaurant food is taxable, so a raw chicken is GST-free while a hot roast chicken is not.
What is the difference between GST-free and input taxed?+
A business making GST-free sales charges no GST but can still claim back GST on its own costs. Input taxed sales, such as residential rent and most financial supplies, also carry no GST, but the seller cannot claim credits for the GST paid on related purchases.
When does a business have to register for GST?+
Registration becomes compulsory once GST turnover reaches A$75,000 in a year (A$150,000 for not-for-profit organisations). Taxi and ride-sourcing drivers must register from the first dollar regardless of turnover.
Do Australian prices include GST?+
Yes. Prices displayed to consumers must be GST-inclusive, so the number on the shelf or menu is what you pay. Business-to-business quotes are sometimes given excluding GST, which is why invoices state whether GST is in or out.
How do I work out the GST inside a price?+
Divide the GST-inclusive amount by 11. Because the rate is exactly 10%, the tax makes up one eleventh of the final price. A $66 restaurant bill therefore contains $6 of GST.
Things to watch
- This calculator gives an estimate for general information and is not tax advice. Confirm GST treatment for your specific goods or services with the ATO or a registered tax agent.
- Food classification is famously fiddly. The same ingredient can be GST-free raw and taxable once prepared, heated or sold for eating on the premises.
Sources
- How GST works · Australian Taxation Office
- GST-free sales · Australian Taxation Office
- How Australian GST works · Australian Taxation Office
Last updated: 2026-06-10 · Applies to 2025-26
This is an estimate for general guidance, not financial, tax, legal or medical advice. Figures can change and individual circumstances vary. Always confirm with the official sources listed before making decisions.
- The 10% rate has been unchanged since GST started on 1 July 2000.
- GST-free status depends on the exact product or service. Check ATO guidance for borderline items such as bakery goods and health supplements.
Reviewed by Vikas Dulgunde.