How to Create a GST Invoice in Australia

What Is a GST Invoice?

In Australia, a GST invoice is the common name for a tax invoice — a document issued by a GST-registered business that includes the goods and services tax payable on a supply. It is the only type of invoice that allows a buyer to claim GST credits (input tax credits) on their Business Activity Statement (BAS).

If your business is registered for GST, you must issue a tax invoice for any taxable sale over $82.50 (including GST) when the buyer requests one. You have 28 days from the request to provide it.

Required Fields on a GST Tax Invoice

A standard tax invoice (for sales of any amount) must include:

1. The words "Tax Invoice" — prominently displayed
2. Your business name or trading name
3. Your ABN (Australian Business Number)
4. The date of issue
5. A description of each item supplied, including quantity and price
6. The GST amount for each item, or a statement that the total includes GST
7. The total price including GST

For sales of $1,000 or more (including GST), you must also include:

8. The buyer's identity — their name, ABN, or enough detail to identify them
9. The extent to which each sale is taxable — clarify which items attract GST and which are GST-free

How to Show GST on Your Invoice

There are three common approaches, all acceptable under ATO rules:

Option 1: GST Shown Per Line Item

Option 2: GST as a Summary Line

Option 3: GST-Inclusive Statement

Show each price as GST-inclusive and add a statement such as:

"All prices include GST. Total GST included in this invoice: $505.00."

GST-Free Items on a Tax Invoice

Not all supplies attract GST. Some are classified as GST-free, including:

• Certain basic food items (fresh fruit, vegetables, meat, bread, milk)
• Health services provided by registered practitioners
• Education courses and related supplies
• Exports of goods and services
• Certain childcare services

If your invoice includes a mix of taxable and GST-free items, you must clearly indicate which items attract GST. Show the GST amount only on the taxable items.

Simplified Tax Invoices

For taxable sales under $1,000 (including GST), you can issue a simplified tax invoice with fewer requirements:

• The words "Tax Invoice"
• Your name or trading name
• Your ABN
• The date
• A description of each item
• The total price including GST
• A statement that the price includes GST

You do not need to show the GST amount separately or include the buyer's details on simplified tax invoices.

GST Calculation: Getting the Maths Right

Australia's GST rate is a flat 10%. The calculation depends on whether you start with a GST-exclusive or GST-inclusive figure:

• Adding GST: Multiply the ex-GST amount by 1.1. Example: $500.00 × 1.1 = $550.00 (inc-GST)
• Extracting GST from an inclusive price: Divide by 11. Example: $550.00 ÷ 11 = $50.00 GST

BAS Reporting and GST Invoices

Your GST invoices feed directly into your Business Activity Statement (BAS). When completing your BAS:

• GST collected (from your tax invoices) is reported as GST on sales
• GST paid (from tax invoices you receive) is claimed as GST credits on purchases
• The difference is either paid to or refunded by the ATO

Keeping accurate, ATO-compliant tax invoices makes BAS preparation straightforward. The ATO can request to see your invoices at any time, so store copies for at least five years.

Common GST Invoice Mistakes

• Forgetting "Tax Invoice" heading — without it, the buyer cannot claim GST credits
• Incorrect GST calculation — always double-check the 10% arithmetic
• Not showing GST on mixed invoices — if some items are GST-free, you must make the distinction clear
• Missing ABN — every tax invoice must include your ABN
• Issuing a tax invoice when not registered — only GST-registered businesses may do this

Create Your GST Invoice

Our Australian GST invoice generator calculates 10% GST automatically, includes all required ATO fields, and produces a professional tax invoice PDF ready to send to your clients.