In Australia, GST-free (0% tax) goods and services include most basic foods (fresh fruit, vegetables, meat, bread), many medical/health services, certain medicines, educational courses, and exports. Other exempt items include water, sewerage, some childcare, and specific educational materials.
Key items exempted from GST:
Goods and Services Tax (GST) is a broad-based tax of 10% on the sale of most goods, services and anything else consumed in Australia. Not-for-profit organisations with a turnover of $150,000 or more must register for GST.
Not everything you can purchase is subject to 10% GST, however. The Australian government exempts certain goods and services from GST, including residential housing, some kinds of food, certain healthcare services, some medications, and (weirdly) precious metal. GST-free goods and services have a GST rate of 0%.
Examples of GST-free foods
cooking ingredients, such as flour, sugar and baking mixes that don't contain any taxable ingredients. dry preparations marketed for the purpose of flavouring milk. fats and oils marketed for culinary purposes. unflavoured milk, cream, cheese and eggs.
To calculate GST payable or refundable, multiply the amount exclusive of GST by 1.1 or divide a GST inclusive cost by 11 to get the GST component.
Zero-rated goods and services
Some goods and services have GST charged at 0%. These are called zero-rated supplies and usually include products or services from New Zealand that are sold overseas. Zero-rated supplies still have to be recorded on your GST returns.
There are only minimal items which are not reportable for GST purposes. These include bank transfers between accounts, stamp duty, depreciation and salary/wages. These are purchases/sales that have a 0% GST rate.
You can claim a GST refund in the following situations, when additional tax is paid or deposited due to errors or omissions. When dealers and deemed export goods or services are subject to refund or refund. Refunds can also be made for purchases made by UN agencies or embassies.
Zero-rated supplies are supplies of property and services that are taxable at the rate of 0%. This means there is no GST/HST charged on these supplies, but GST/HST registrants may be eligible to claim ITCs for the GST/HST paid or payable on property and services acquired to provide these supplies.
Certain goods and services are exempt from GST due to their essential nature. This exemption applies based on the type of supply, not the supplier. Example: Healthcare services, educational services, and public utility services (e.g., water supply) are exempt from GST.
The Australian Government's Tourist Refund Scheme (TRS) allows international travellers to claim a refund on the Goods and Services Tax (GST) and Wine Equalisation Tax (WET). The government pays this on eligible purchases you make in Australia and take offshore when you meet certain conditions.
Goods and services exempted from VAT are:
Things that are GST-free include:
Sales of the following goods are GST-free if they are either required to be included in the Australian Register of Therapeutic Goods, or are goods in a class of goods required to be included in the Australian Register of Therapeutic Goods: condoms.
Goods and services tax (GST) is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia. Some things don't have GST included, these are called GST-free sales.
When you have worked out your total GST credits, you can offset them against the amount of GST you are liable to pay to us. If your GST credits are greater than the amount you are liable to pay, you're entitled to a refund.
The proposed list of exempt items includes certain groceries, restaurant meals, drinks, snacks, children's clothing, and gifts. PBO estimates this measure will reduce federal revenues by $1.5 billion in 2024-25.
To work out the refund payable, simply divide the total price paid by 11. For example, an item that costs AU$600 including GST may be eligible for a A$54.54 refund via TRS. When making your purchase, you may want to consider paying with a points-earning credit card to earn frequent flyer points from your transaction.
Average Salary in Australia Per Month
Entry-level: AUD 4,000 – AUD 5,500. Mid-level: AUD 6,500 – AUD 8,500. Senior/Executive level: AUD 10,000 – AUD 15,000+