Do I need to charge Goods and Services Tax (GST) on sales to overseas customers?

GST (Goods and Services Tax) is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia and also on most imports of goods. These include fees for professional services conducted in Australia such as fees for an Australian educational institution.

GST is not applied to a service if it is outside Australia and the use of the service is outside Australia. It is also GST free if the recipient of the service is outside of Australia.

Exports of goods and services are generally GST-free. If you're registered for GST, this means:

  1. You don't include GST in the price of your exports
  2. You can still claim credits for the GST included in the price of purchases you use to make your exported goods and services.

There are some circumstances where GST must be paid, such as if the goods remain in Australia for more than 60 days after they are sold. You should refer to the Australian Taxation Office for detailed information on GST rules and your obligations as an Australian business.

For an Australian company who exports, export sales need to be included when registering and reporting on GST turnover because the good or service is ‘connected with Australia’.

Find out when you need to charge GST here.     

Exporters should also remember to investigate any applicable taxes and fees payable in overseas markets, such as quarantine inspection fees, GST/VAT and import tariffs

See Austrade's export market profiles for information on a range of overseas markets.