GST Registration Threshold 2026 Australia: $75,000 / $150,000

The GST registration threshold in Australia for 2026 is:

• $75,000 GST turnover for most businesses
• $150,000 GST turnover for not-for-profit organisations

You must register within 21 days of reaching — or expecting to reach — the threshold.

General information only. This is not tax or financial advice. Consult a registered tax agent for advice specific to your situation.

GST turnover vs total turnover

The threshold is based on GST turnover, not your total revenue. These are not the same thing.

GST turnover includes taxable and GST-free sales (for example, most exported goods and services, fresh food, some medical services). It excludes input-taxed supplies — most notably:

• Residential rent: if you rent out a residential property, that rental income doesn’t count toward your GST turnover
• Financial supplies: interest income, dividends, and most financial services are excluded

This distinction matters most for property investors who also run a business. Your rental income won’t push you over the threshold — but your business income might.

The projected turnover rule

You’re not just looking at what you’ve already earned. The ATO requires you to register if your current or projected GST turnover meets the threshold. Projected turnover looks forward 12 months from the current point.

Practically: if you’re having a strong month, annualise it. If your current month’s revenue × 12 would exceed $75,000, you need to register now — even if your last 12 months came in below the threshold.

You must register within 21 days of becoming aware you’ve crossed or will cross the threshold. Don’t wait for your accountant’s annual review.

What counts toward your GST turnover

Include:

• All business income (cash and credit basis)
• Sales of taxable and GST-free goods/services
• Income not yet received but earned (on an accruals basis)

Exclude:

• Wages and salary (you’re the recipient, not the seller)
• Private sales (selling personal assets not used in business)
• Hobby income (not a business)
• Input-taxed supplies (residential rent, financial supplies)
• Proceeds from selling a capital asset if you’re not in the business of selling assets

Registration scenarios

Scenario	Must register?	Why
Sole trader, $60k revenue	No	Below $75k threshold
Sole trader, $60k business revenue + $20k rental income	No	Rental is input-taxed, excluded from GST turnover
Freelancer, earned $80k this year	Yes	Over $75k threshold
New business, first month earns $8k	Yes	Projected annual = $96k — over threshold
Uber or rideshare driver, $50k fares	Yes	Rideshare = mandatory GST regardless of turnover
Not-for-profit, $120k fundraising	No	Below $150k NFP threshold
Not-for-profit, $160k fundraising	Yes	Over $150k NFP threshold

Rideshare and taxi: no threshold applies

Every taxi driver, limousine driver, and rideshare driver (Uber, DiDi, Ola, etc.) must register for GST regardless of their income. There is no $75,000 threshold for this category.

This catches many part-time rideshare drivers off guard. If you drive for Uber even a few hours a week, you need to be GST-registered from day one. The platforms often require a valid ABN and GST registration before you can start earning.

Voluntary registration below the threshold

You can register for GST even if your turnover is below $75,000. This is worth considering if:

• Your clients are GST-registered businesses (they can claim input tax credits on what you charge)
• You have significant business expenses with GST included (you can claim back the GST on those costs)
• You expect to cross the threshold soon and want clean records from the start

If you register voluntarily, you must stay registered for at least 12 months unless your business ceases.

Penalties for late registration

If you miss the 21-day window, the ATO can backdate your registration to the date you should have registered. That means you’ll owe GST on every sale you made since that date — even if you didn’t charge your clients GST.

In practice, this means you absorb the 10% GST out of the revenue you already received. On $80,000 of sales, that’s $7,273 in GST you’ll owe (calculated as 1/11th of GST-inclusive sales). Penalties and interest can be added on top.

Register on time. If you’ve missed the window, register immediately and consider seeking a remission of any backdated penalties.

Worked example: freelancer crosses the threshold mid-year

Mia is a freelance graphic designer. She started the year slowly, but picks up momentum:

• Months 1–6: earns $42,000
• End of month 6: her projected annual turnover = $84,000

At this point, Mia must register for GST within 21 days. From her registration date:

• She must charge 10% GST on all future invoices
• She must lodge a Business Activity Statement (BAS) — quarterly for most small businesses
• She can claim input tax credits on business expenses that include GST (software subscriptions, equipment, professional services)

Mia’s effective income doesn’t drop by 10% — she adds GST on top of her prices. But she needs to update her invoices and make sure her clients (especially any GST-registered businesses) receive valid tax invoices.

Key takeaways

• The threshold is $75,000 for businesses, $150,000 for not-for-profits — based on GST turnover, not total revenue
• Register within 21 days of crossing or expecting to cross the threshold
• Projected future turnover counts — annualise a strong month if needed
• Residential rent and most financial income are excluded from GST turnover
• Rideshare/taxi drivers must register regardless of turnover
• Late registration means backdated GST liability on past sales

Next steps

• Estimate GST impact on your pricing in the GST Calculator
• Build GST-ready invoices in the tax invoice template
• Use the quote template if your pricing is changing

Sources

• ATO: GST registration
• ATO: GST turnover thresholds
• ATO: Taxi, limousine and ridesharing services
• Business.gov.au: Register for GST