How to calculate GST in New Zealand
- Add GST: price × 1.15. A $400 job becomes $460 with $60 GST.
- Find the GST in a total: total × 3 ÷ 23. A $460 invoice includes $60 GST.
- Remove GST: total ÷ 1.15. $460 ÷ 1.15 = $400.
GST is charged at 15% on most taxable supplies, and Inland Revenue uses the 3/23 fraction to find the GST in a GST-inclusive price (Inland Revenue: charging GST).
When you need to register
You must register once your turnover goes over $60,000 in a 12-month period (Inland Revenue: registering for GST). Then you charge GST on your sales, claim it back on business costs and file GST returns.
Other countries: Australia · New Zealand · Canada · India. Need an invoice with the GST on it? Try the free invoice generator.