Tax Invoice Australia: GST Requirements Explained

In Australia, a tax invoice is the document a GST-registered business needs to claim GST credits on its purchases. If you’re registered for GST, your business customers will expect your invoices to meet the ATO’s tax invoice requirements. If you’re not registered, your invoices must not look like tax invoices. This guide explains both, with examples.

This guide summarises ATO rules as generally understood in October 2026. It is not tax or legal advice; check ato.gov.au or a registered tax agent for your situation.

GST basics

• GST is 10% on most goods and services sold in Australia, with GST-free (e.g. most basic food, some health and education) and input-taxed supplies (e.g. some financial supplies and residential rent).
• You must register for GST when your GST turnover is $75,000 or more ($150,000 for non-profits). Taxi and ride-sourcing drivers must register regardless of turnover.
• You can register voluntarily below the threshold.

When you must provide a tax invoice

If you’re registered and make a taxable sale over $82.50 (including GST), you must give your customer a tax invoice within 28 days if they ask for one. In practice, most businesses issue one automatically for every B2B sale. For sales of $82.50 or less, a tax invoice isn’t required — a receipt or cash register docket is fine.

What a tax invoice must show

For sales under $1,000 (GST-inclusive), a tax invoice must show:

1. That it is intended to be a tax invoice — the words “Tax invoice” at the top are the simplest way
2. The seller’s identity (name or business name)
3. The seller’s ABN
4. The date of issue
5. A brief description of the items sold, including the quantity (if applicable) and price
6. The GST amount (if any) payable
7. The extent to which each sale includes GST

For sales of $1,000 or more, it must also show:

8. The buyer’s identity or ABN

How to show GST

• If GST applies to everything, you can show the GST total, or — if the GST is exactly one-eleventh of the total — state “Total price includes GST”.
• If an invoice mixes taxable and GST-free items, show which items are taxable (e.g. mark them with an asterisk) and the GST total.

Example: GST-registered consultant

(ABNs are placeholders.) Because the total is over $1,000, the buyer’s ABN is included.

If you’re not registered for GST

Many sole traders and small businesses below $75,000 aren’t registered. Then:

• Don’t include GST in your prices or show a GST amount
• Don’t title the document “Tax invoice” — call it an “Invoice”
• Do include your ABN — if you don’t quote an ABN to a business you supply, they may be required to withhold 47% of the payment and send it to the ATO (with some exceptions, such as private or domestic arrangements and small amounts)
• Many people add “No GST has been charged” or “Not registered for GST” to avoid questions

Adjustment notes

If the price changes after you’ve issued a tax invoice — a refund, discount, return or error — you issue an adjustment note (Australia’s equivalent of a credit note). It should identify itself as an adjustment note, include your identity and ABN, the date, a description of the adjustment, its GST effect, and reference the original invoice. See credit notes and refunds.

Recipient-created tax invoices (RCTIs)

In some industries, the buyer prepares the tax invoice on the supplier’s behalf — for example in agriculture, some freight and logistics arrangements, and with certain large customers. This requires a written agreement and the buyer to meet ATO conditions. If a client offers RCTIs, check the agreement carefully.

Payment terms and BAS

• There’s no general statutory payment term for B2B invoices, but the government’s Payment Times Reporting Scheme requires large businesses to report how quickly they pay small business suppliers. State your terms clearly; see payment terms explained.
• GST-registered businesses report GST on their Business Activity Statement (BAS) — monthly, quarterly or annually — on a cash or accrual basis depending on eligibility and choice. Your tax invoices are the supporting records.
• Keep records (including tax invoices) for 5 years.

Quick checklist

• “Tax invoice” heading (if GST-registered)
• Your name and ABN
• Date of issue
• Description, quantity and price of each item
• GST amount and which items include GST
• Buyer’s name or ABN for sales of $1,000 or more
• No GST shown if you’re not registered
• Unique invoice number and due date (good practice)

Create one in the invoice generator — set the currency to AUD and the tax to “GST” at 10%, and put “Tax invoice” in the document title if you’re registered. Our Australia invoice template page and GST calculator can help with the details.