GST registration threshold $75,000 Australia
Quick answer: if your business or sole trader activity is at or above $75,000.00 GST turnover, you generally need to register for GST. Below that threshold, registration is usually optional, but the right move still depends on turnover direction, clients and admin burden.
What the threshold is really asking
- Are you already at or above $75,000.00 turnover?
- Are you likely to cross the threshold soon based on signed work or recurring clients?
- Do you want GST credits on business purchases badly enough to justify BAS administration?
Decision checkpoints
| Turnover position | Likely action | Why it matters |
|---|---|---|
| Clearly below $75,000.00 | Registration usually optional | Focus on pricing, margins and whether input tax credits are worth the admin. |
| Close to $75,000.00 | Track turnover monthly | Crossing the threshold changes invoicing, BAS workflow and reserve rules quickly. |
| At or above $75,000.00 | Register for GST | You need to start charging GST on taxable sales and manage BAS correctly. |
What people get wrong
- They assume gross cash received equals spare cash, then spend the GST component before BAS is due.
- They quote prices without deciding whether the offer is GST-inclusive or GST-exclusive.
- They wait too long to build a tax and GST reserve habit once turnover starts accelerating.
Calculate GST on a price
Move from the threshold decision into actual GST-inclusive and GST-exclusive pricing.
Estimate BAS impact
Check what registration means for GST payable and BAS reporting.
Set aside GST and tax
Build a reserve rule so GST is not mixed into spendable cash.
Tax Accuracy & Sources
Reviewed: March 2026 · Tax year: 2026-27
This page explains the standard GST registration threshold for most Australian businesses and sole traders. It is a planning guide, not registration advice.
Frequently asked questions
What is the GST registration threshold for a small business in Australia?
You must register for GST once your GST turnover reaches, or is projected to reach, 75,000.00 in a rolling or projected 12-month period. Below that, registration is generally optional.
Do rideshare and taxi drivers have to register for GST regardless of turnover?
Yes. Taxi, limousine and rideshare drivers (e.g. Uber, Ola, DiDi) must register for GST from their first dollar of income — the standard threshold does not apply to this category, no matter how small the turnover.
What GST rate applies once I register?
Once registered, you charge the standard 10% GST rate on taxable sales and can claim GST credits on eligible business purchases, reported through your BAS.
Can I register for GST voluntarily below the $75,000 threshold?
Yes. Voluntary registration below 75,000.00 lets you claim GST credits on business purchases, but it also means charging GST on your sales and taking on regular BAS reporting — weigh the admin cost against the credits.
What happens if I don't register once turnover reaches $75,000?
If you're required to register but don't, the ATO can register you retrospectively and you may owe GST on sales made after you crossed 75,000.00 — even if you never collected it from customers.
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