When do I need to register for GST?

General advice only · AFSL 222640 · Global Mutual Funds Pty Ltd

The direct answer

You must register for GST once your GST turnover reaches (or is expected to reach) $75,000 in a 12-month period — $150,000 for non-profit organisations. Taxi and ride-sourcing drivers must register regardless of turnover. You have 21 days to register once you exceed the threshold. Registering voluntarily below the threshold is allowed and sometimes worthwhile.

What it depends on

The full answer depends on your specific circumstances. Here’s what matters.

Current and projected turnover

The test looks at both your turnover for the past 12 months and what you expect in the next 12 months.

Who your customers are

If your customers are GST-registered businesses, registering lets you claim GST credits with little cost to them. If they are consumers, adding GST may affect your prices.

Admin capacity

Registration means lodging Business Activity Statements. Good bookkeeping makes that straightforward.

The last 10%

What a qualified professional can add

The answer above covers the general position. Here’s where professional judgement — applied to YOUR specific situation — makes the difference.

Calculating GST turnover correctly, including what to exclude
Advising on voluntary registration and pricing
Setting up bookkeeping and BAS lodgement

Questions to ask before you engage one

If you decide to engage a professional, these questions help you evaluate whether they’re right for your situation.

Is my GST turnover likely to reach the threshold this year?

Would voluntary registration benefit me?

Should I lodge BAS monthly, quarterly or annually?

How should I price my services once registered?

Your next step

Add up your sales for the last 12 months and estimate the next 12. If either is near $75,000, talk to a registered tax or BAS agent now.

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