GST Rates in Australia

Quick overview

Standard Rate	Reduced Rate	Other Rates
10%		0%

The local name for GST in Australia is Goods and Services Tax. There are basically 2 GST rates in Australia:

• Standard GST rate is 10%
• Zero GST rate

Recent developments

For more information about (recent) rate change developments in Australia, please click HERE.

Standard rate: 10%

The standard rate of GST applies to all supplies of goods and services unless a specific measure provides for the zero rate or an exemption.

Zero rate (0%)

Examples of goods and services taxable at 0% (i.e., GST-free)

• Basic foodstuffs
• Water, sewerage and drainage services
• Exports of goods and services performed for nonresidents of Australia who are not in Australia when the supply is made
• Health, education, religious and related supplies
• Child care
• Supplies of going concerns
• International transport and mail

The term “input-taxed supplies” refers to supplies not liable for GST (i.e., exempt) that do not give rise to a right to claim input tax credits for GST included in acquisitions related to the supply.

Examples of exempt supplies of goods and services (i.e., input-taxed)

• Financial supplies
• Rental of residential premises
• Sales (or long-term leases) of residential premises (except for new residential premises)
• Supplies of some precious metals
• Supplies in the course of fundraising events conducted by charitable institutions
• Supplies made through school “tuck shops” and cafeterias

A global VAT/GST rate overview can be found here (note this is a work in progress).

This post was last updated on July 27, 2021.

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