GST

The Goods and Services Tax (GST) is a 10% levy that is included in the price of most consumer products, and businesses must ensure that it is included in their prices. Simply put, the Goods and Services Tax (GST) is a broad-based 10% tax that applies to most goods and services sold or consumed in Australia. The revenue from this tax is shared across Australian states to fund essential public services such as hospitals and public transport. This tax affects both consumers and business owners. If you run a business, it is important to understand the GST as you may need to register for it and adjust your pricing to include the tax. What Is GST? As mentioned earlier, GST is a consumption-based tax that applies to the things we use or consume. This doesn’t just include food and drinks – it covers almost all products and services that can be consumed or deducted. GST is a flat tax, unlike income tax, which follows a progressive system. This means that the GST rate remains fixed at 10%, regardless of your income, what you buy or how much you spend. (Unless the item or service you sell is GST-exempt – we’ll discuss that shortly.) If your business makes $75,000 or more a year, you’ll need to register for and charge GST. You’ll need to add 10% to your normal prices, record the tax collected and pay it to the government when you file your Business Activity Statement (BAS). When purchasing goods or services that already include GST for your business, you can claim a credit for the GST you paid against the GST you paid to the government. If your GST credit is more than you collected, you may be eligible for a GST refund (we’ll explain that shortly). However, not all products or services are subject to the 10% GST rate. The Australian Government exempts some items, including residential rent, certain food items, medical services, some medicines and precious metals. GST-exempt goods and services are taxed at 0%. To find a full list of GST-exempt items, visit the Australian Taxation Office (ATO) website. Understanding The Goods And Services Tax (GST) in Australia The Goods and Services Tax (GST) is a key part of Australia’s tax structure, applying a 10% charge to most goods, services and certain transactions. This coherent tax system was designed to simplify tax collection and replace the old, more complex sales tax. Under the GST model, businesses act as intermediaries for the government, adding GST to the prices of their products and services throughout the supply chain and then paying that amount to the Australian Taxation Office (ATO). GST registration becomes mandatory for businesses with an annual turnover of $75,000 or more, while not-for-profit organisations must register once they reach $150,000. Businesses need a clear understanding of their GST obligations, which include issuing valid tax invoices, filing regular activity statements and maintaining accurate financial records to support GST credits and claims. How GST Affects Australian Businesses GST affects businesses by imposing a 10% tax on most goods and services, requiring them to regularly manage tax collections and submit Business Activity Statements (BAS). Any Australian business earning $75,000 or more per year is required to register for GST and include it in their prices. This tax structure promotes fair competition and easy compliance with government tax laws. However, it also affects cash flow as businesses have to pay the collected GST to the ATO – usually every quarter. This requires accurate accounting and detailed record management. When Should You Register for GST in Australia? What Is The GST Registration Threshold? Business turnover: $75,000+ per year Not-for-profit organisations: $150,000+ per year Fuel tax credit claims: GST registration required Ride-share/taxi drivers: Must register immediately Important: You must register within 21 days of crossing this threshold. Benefits of Registering For GST To claim fuel tax credits or taxi travel expenses for your business, you must register for GST. If your GST turnover is below the required threshold, registration remains optional. However, it is often smart business practice to register early—especially if you expect your new venture to exceed the $75,000 turnover mark in its first year of operation. How To Register Once your business is established and you have an Australian Business Number (ABN), you can easily register for GST online, over the phone, via a written form or through your BAS or tax agent. Simply visit the ATO’s online business portal at https://bp.ato.gov.au Or contact the ATO directly on 13 28 66 for assistance. Further Reading: What Can Teachers Claim on Tax? Teacher Tax Deductions Conclusion: Optimising GST Management Effective GST management in Australia depends on understanding how the Goods and Services Tax affects your pricing structure, cash flow and compliance obligations. For entrepreneurs and high-income earners in Toowoomba, integrating this understanding into daily business operations is critical for financial strength and sustainable growth. Firstly, GST plays a key role in pricing strategy. Adopting GST-inclusive pricing allows you to remain competitive without reducing your profit margins. It also provides transparency by showing customers the full price upfront, which builds confidence in your pricing system. At the same time, ensure that all GST credits and charges are recorded correctly in your books to avoid any mismatches with the Australian Taxation Office (ATO). Secondly, GST has a direct impact on cash flow, so planning ahead is essential. Whether you pay GST quarterly or annually, each option affects your available funds differently. Assess whether your GST reporting schedule fits into your cash flow pattern. Using a cash flow forecast helps predict GST liabilities and keeps your finances stable throughout the year. Finally, compliance cannot be ignored. Meeting GST registration and payment deadlines is important to avoid penalties. Create automatic alerts for BAS lodging and perform regular account reconciliations to catch errors early. Keeping accurate records is key to simplifying GST compliance and saving time as tax deadlines approach. Working with skilled accountants or tax professionals like Truetally adds real value. They provide

When it comes to tax time, it’s important for teachers to know what they can claim. Many teachers spend their own money on work-related items, and these expenses can be claimed to reduce their taxable income and increase their refund. In Australia, teachers can claim a variety of deductions covering areas such as travel, classroom items and home office use. Knowing which expenses are allowed can make a big difference in getting the most out of your tax return. We focus on helping teachers and education professionals handle tax returns with ease. Our team understands the rules and works to ensure you don’t miss out on the deductions you’re entitled to. Whether you’re new to filing or have been teaching for years, our goal is to help you claim the right expenses and get the most out of your tax refund. What Can Teachers Claim on Tax? Many teachers and education professionals can claim special teacher tax deductions that are directly related to their jobs. If you want to make the most of this deduction, it’s important to know what common expenses you can claim. This teacher tax deduction can help reduce your tax bill and boost your return, so it’s wise to understand the rules shared by the ATO. So, how do you know if you’re eligible for the teacher tax deduction? What items are allowed, and what items can’t you include? We’ve created this handy guide to teacher tax deductions to help you get the best results on your annual return. With tax time fast approaching, this guide provides Australian teachers with practical tax tips to help you be prepared and maximise your deductions. Keeping receipts and filing your tax returns on time is key to a smooth end to the financial year. Check Also: What Is GST in Australia? A Complete Guide for Small Businesses Can Teachers Claim Taxes Without Receipts? Teachers can claim some work-related expenses on their tax return, even if they don’t have receipts, but certain rules and limitations apply. Laundry Expenses Teachers can claim laundry expenses of up to $150 per year without receipts when they relate to work clothing. This includes protective clothing, job-specific clothing, or items that are part of a registered uniform. They must show how they made the claim, as it is not an automatic deduction. Minor Expenses Teachers can claim minor expenses, up to a total of $200 for the year, without receipts. They need to keep records, such as diary notes, to show proof of these purchases. Overtime Meal Expenses Teachers can claim meal expenses without receipts if they receive an overtime meal allowance and the claim is within the ‘reasonable amount’ set by the ATO. For 2023-24, the limit per overtime meal is $35.65. Expenses up to this amount are allowable as a deduction if all ATO conditions are met. What Records Do I Need to Keep? Keeping clear and accurate records is very important at tax time, so if you want to claim the best tax refund, you should stay organized with your receipts. It’s a good idea to set up a simple and reliable system to manage this throughout the year. You don’t need to keep paper receipts, as digital copies (such as a photo or email receipt) are also accepted, as long as they show: Name of supplier Date of receipt Date of payment Total amount spent How much goods or services were purchased You don’t need to keep expenses for items under $10 (unless they total more than $200) or for which you don’t have a receipt. In such cases, you should keep an expense diary. FAQs: People Also Ask Q1. Can teachers claim tax on classroom supplies? Yes, teachers can claim money spent on pens, paper, books and other teaching supplies purchased for their students or the classroom. Q2. Are professional development expenses tax-deductible for teachers? Yes! Costs for training, workshops, and conferences related to your teaching work are generally considered tax-deductible. Q3. Can teachers claim work-related travel expenses? Teachers can claim travel expenses for work purposes, such as going to conferences or moving between schools. However, daily travel from home to school does not count. Q4. Is home office equipment tax-deductible for teachers? If teachers use part of their home for work, they can claim some expenses for internet, electricity, or office furniture used for lesson planning or grading. Q5. Can teachers claim uniform expenses? Yes, if the uniform is required, has a school logo, or provides protection such as lab coats. You can also claim laundry expenses for these uniforms. Also Read: What Is BAS & BAS Due Dates in Australia (2025 Guide)

You can submit your Business Activity Statement (BAS) in several ways. Online submission is quick, convenient and secure. Most business owners who submit their BAS choose to submit it digitally. You can also use a registered tax or BAS agent to submit it on your behalf. Always pay your BAS on time and in full to avoid interest charges. For all payment options, see the “How to pay” section. GST Reporting Cycle Your GST reporting and payment schedule will fall under one of these options: Quarterly Reporting If your GST turnover is less than $20 million and we have not recommended monthly reporting, you will need to report quarterly. Monthly reporting If your GST turnover reaches $20 million or more, you will need to collect and pay GST every month and submit your BAS online. Even if your turnover is less than $20 million, you can still choose to report monthly. Benefits include: Smaller, more manageable payments that improve cash flow and keep payments on track. Better integration with other business processes, which helps you keep track of your records. The deadline for submitting and paying your monthly BAS is the 21st of the following month. For example, your July BAS is due on August 21st. Annual Reporting If you voluntarily register for GST and your turnover is less than $75,000 (or $150,000 for not-for-profit organisations), you can choose to submit and pay an annual GST return. The deadline for submitting and paying your annual GST return is October 31. If you are not required to submit a tax return, it is February 28 after the end of the tax period. When using a registered tax or BAS agent, you may have different submission dates. Due dates for submitting your Business Activity Statement (BAS) for 2025 in Australia In Australia, the due dates for submitting your 2025 Business Activity Statement (BAS) vary depending on your reporting cycle. The quarterly BAS deadlines are 28 October 2025, 28 February 2026, 28 April 2026 and 28 July 2026. Monthly BAS must be submitted by the 21st of the following month. The annual BAS for the 2025-26 financial year must be submitted by 31 October 2026 or, if applicable, with your tax return. If you submit through a registered BAS or tax agent, you may face additional deadlines. To operate a business in Australia, you must submit your Business Activity Statement on time and comply with all tax obligations. It is important to keep track of your BAS deadlines in 2025, as late submissions can result in hefty ATO penalties, disrupt cash flow and impact your compliance status. Failure to meet the deadlines can result in penalties that can reduce your income and damage your record with the Australian Taxation Office (ATO). What Is a Business Activity Statement (BAS)? The Business Activity Statement (BAS) is the ATO’s main reporting document for businesses. When you follow your BAS schedule, you must report and pay other taxes such as Goods and Services Tax (GST), Pay As You Go (PAYG) instalments, PAYG withholding and, in some cases, other taxes such as Wine Equalisation Tax, Fuel Tax Credits and Luxury Car Tax. By submitting your BAS correctly and on time, you keep your business tax-compliant. The ATO reviews the data in your BAS to calculate your liabilities and ensure that you meet your tax obligations. If you are unsure about filing, you can work with a registered BAS or tax agent who will handle compliance tasks and guide you through the complex tax requirements. Annual BAS submission dates 2025-2026 If you report annually, your BAS for 2025-2026 is due by 31 October 2026, unless you submit it with your tax return, in which case the due date for your return will apply. Filing an annual BAS is suitable for businesses with simple finances as it reduces reporting and compliance steps. Submitting And Paying Your BAS You can choose from a number of methods to submit your BAS: ATO Online Services – You can use the Business Portal, MyGov (for sole traders), or Standard Business Reporting (SBR) software for a quick, digital submission. Registered BAS or tax agent – Professionals can submit on your behalf, ensuring you remain accurate and compliant. Mail – This option is still available, but it is slower and can cause delays in the process. BAS Due Dates And Submission Guide Clients often ask us: When do I need to submit my BAS (Business Activity Statement)? To make it easier, we’ve created this guide. It explains not only the important due dates, but also your BAS obligations and how to submit them. By following these steps, you’ll comply with Australian Taxation Office rules, charge the correct GST on your services and avoid late submission penalties. If you choose to submit online, the process is quick and easy. If you don’t want to submit electronically, you can still use the post to send your form and payment. Choose the option that’s most convenient for you – the important thing is to keep the process stress-free and submit on time. There are many benefits to working with a registered tax agent. They help you complete your BAS correctly, and in many cases, you can get more due dates than if you submitted it yourself (subject to eligibility). Continue Reading: How Long to Keep Financial Records in Australia (A Complete Guide) BAS Reporting Options Annual BAS Reporting Some businesses can report annually. This applies to those who have voluntarily registered for the GST and whose income is less than $75,000 (or $150,000 for not-for-profit organisations). In this case, your BAS is due when you submit your tax return. If you are not required to file a tax return, the deadline after the end of the annual tax period is 28 February. Frequently Asked Questions Q1. What happens if I submit my BAS late? If you miss the BAS deadline, the ATO may charge late fees and interest. However, if you submit through a registered tax agent, you

GST exemption makes essential products affordable and accessible. Businesses do not pay GST on exempt goods. They distinguish between taxable and non-taxable sales for proper reporting. Businesses can also claim GST credits when selling GST exempt goods. Export of Goods Goods exported from Australia are GST-exempt if they leave the country within 60 days, whichever comes first: The supplier issues an invoice for the goods. The supplier receives full or partial payment for the goods For instalment payments, the final payment or invoice confirms the 60-day rule. If necessary, suppliers can request an extension of this period. Selling a Business As a Going Concern A sale of a business is considered GST-exempt when all of the following conditions apply: The seller transfers everything necessary to continue the business. The seller continues to operate the business until the settlement date. The buyer and seller agree in writing that the sale is a going concern. The buyer registers for GST or is required to register. The buyer pays for the purchase. GST Exemption for Qualifying Veterans Disabled veterans can use a form approved by the Department of Veterans Affairs to claim an exemption on motorcycles and related parts. If you do not submit a declaration before you buy a car or car parts, the supplier may add GST to your purchase. You can apply for a GST refund after the purchase, but it is easier to submit a declaration in advance. The tax law does not allow us to refund GST directly on cars or parts you have already purchased. GST Exemption on Imported Goods You must pay GST on imported goods unless they fall under a specific customs duty exemption or GST exemption. When you import goods under an exemption, you can verify the exemption you are claiming by using the exemption code in the department’s system. The available exemptions and their corresponding codes are listed below. The following acts provide for GST exemption on imported goods: Diplomatic Privileges and Immunities Act 1967 Consular Privileges and Immunities Act 1972 International Organisations (Privileges and Immunities) Act 1967 New Taxation (Goods and Services Tax) Act 1999 GST-Exempt Supplies to NDIS Participants Subsections 38-38 – National Disability Insurance Scheme (NDIS) Scheme Supplies Sections 38-38 of the GST Act state that certain disability support provided to NDIS participants is GST-exempt if it meets certain requirements. These supplies include goods specified by the Minister for Disability Services under the New Taxation (Goods and Services Tax) (GST-Exempt Supplies—National Disability Insurance Scheme Support) Determination 2021. Supplies provided to NDIS participants are GST-free if they meet all of these conditions: The NDIS participant has an active NDIS plan. These supplies appear in the table in the 2021 GST-free supplies determination. You and the NDIS participant (or other person) sign a written agreement. These supplies include reasonable and necessary support listed in the participant’s NDIS plan. AB14 Sections 38-39 of the GST Act confirm that support provided under the NDIS remains GST-free if it meets the stated requirements. This includes supplies included in the 2021 determination issued by the Minister for Disability Services. Supplies provided to an NDIS participant will be considered GST-free if: The participant has an existing NDIS plan. These supplies appear in the tables of the GST-Exempt Supplies Determination 2021. A written agreement exists between you and the participant (or other person). The support is reasonable, necessary and set out in the NDIS plan. Explanation: Use the following explanation as a guide only. Always refer to the relevant legislation for full details. Sub-sections 38-45(1) – Medical aids and equipment Sub-sections 38-45(1) of the GST Act, supported by section 13-10(b), provide exemption for certain medical aids and equipment. This exemption applies to: Goods listed in Schedule 3 of the GST Act, and Goods included in Schedule 3 of the GST Regulations. How GST Affects Australian Businesses GST affects businesses by adding tax to most goods and services sold, making it mandatory for owners to manage tax collection and submit regular Business Activity Statements (BAS). Any Australian business with a turnover of $75,000 or more must register for GST and include it in its prices. This tax structure simplifies tax collection and ensures government compliance, creating a fair business environment. GST affects cash flow as owners have to pay tax on a quarterly basis, often submitting the collected amount to the Australian Taxation Office (ATO). This requires strong records and accurate financial reporting. Businesses benefit from GST by claiming credit for GST paid on supplies and purchases. However, errors or failure to comply can result in significant fines and penalties. Toowoomba business owners, as well as larger enterprises, should focus on strengthening tax strategies to understand these obligations and protect their financial position. For example, adopting accounting software makes GST tracking easier and ensures your business never misses important deadlines or tax credit opportunities. Compliance And Accurate Record Keeping The Importance of Record Keeping To ensure GST compliance, businesses must keep detailed records of sales, purchases and the GST involved in each transaction. Maintaining this level of detail ensures smooth operations during audits by the Australian Taxation Office (ATO) and provides protection. Owners are legally required to keep these records for at least five years, which also protects them in the event of disputes or reviews. Efficient record keeping helps to file accurate Business Activity Statements (BAS) to reduce the risk of penalties and errors. For businesses in Toowoomba and across Australia, adopting a structured approach has streamlined the process. Compliance now goes beyond regulatory rules; It strengthens financial stability and protects a company’s reputation. Conclusion: Strengthening GST Practices Strong GST practices in Australia depend on understanding how this tax affects pricing models, cash flow and compliance requirements. For entrepreneurs and high-income earners, particularly in Toowoomba, incorporating this knowledge into daily operations ensures financial security and increases the potential for long-term growth. Ultimately, compliance demands full attention. Adhering to GST reporting and payment deadlines can help you avoid unnecessary penalties. Set up automatic reminders for BAS submissions and