Tax and VAT

GST (Goods and Services Tax)

GST (Goods and Services Tax) is a value-added consumption tax used by Australia, Canada, New Zealand, Singapore, India, and several other countries, charged on most goods and services and remitted to the tax authority by registered businesses.

Applies in: Australia Canada New Zealand

GST is the same kind of tax as VAT, just under a different name. The mechanics are identical: every business in the chain charges GST on sales and reclaims GST on purchases, and the end consumer pays the difference. Countries that use the GST label tend to keep their structure simpler than the EU VAT system.

Rates are flat in most GST countries. Australia and Singapore use a single rate (10% and 9% respectively). New Zealand uses 15%. Canada layers a federal 5% GST with provincial sales taxes (or with HST in five provinces). India runs a tiered structure with rates from 5% to 28% depending on the product category, plus a separate compensation cess for certain goods.

Registration thresholds vary. Australia requires GST registration once turnover hits AUD 75,000 (or AUD 150,000 for not-for-profits). New Zealand uses NZD 60,000. Singapore uses SGD 1 million. Below those thresholds, GST registration is optional, and the invoice does not show any GST amount.

Common questions about GST

How is GST different from VAT?
Mechanically, it is the same tax under a different name. The practical differences are about structure: GST countries usually run a single flat rate (Australia 10%, NZ 15%, Singapore 9%), while EU VAT uses a standard rate plus reduced rates plus zero rates per country. India is the exception, with multiple GST tiers.
Do I need to register for GST in Australia?
Yes, once your annual turnover hits AUD 75,000 or you reasonably expect it to. Below that, registration is voluntary. Ride-share and taxi drivers are required to register from the first dollar, regardless of turnover.
How does GST work in Canada?
Canada has a 5% federal GST. Five provinces (Ontario, New Brunswick, Nova Scotia, Prince Edward Island, Newfoundland and Labrador) replace it with a combined Harmonized Sales Tax (HST). The remaining provinces add a separate provincial sales tax on top of GST. Your invoice should show whichever tax applies to the buyer's province.

Use JupiterInvoice for GST

GST on a JupiterInvoice invoice is a field, a label, and an audit trail your buyer can act on without an email back-and-forth.

Invoicing in Australia

How to send a tax invoice in Australia: ABN, GST, BSB and account number, PayID and Osko, SWIFT for international. Built for sole traders an...

Invoicing in Canada

How to send an invoice in Canada: GST or HST or PST by province, CAD, transit and institution number, Interac e-Transfer, SWIFT for cross-bo...

Invoicing in New Zealand

How to send a tax invoice in New Zealand: GST number, NZBN, NZD, NZ bank account format, SWIFT for international. IRD-aware, plain English.

Related terms

VAT HST ABN Tax invoice Sales tax

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