GST rates in Australia
Australia charges a single Goods and Services Tax of 10% on most goods, services and other items sold or consumed in the country. There is no reduced rate: a supply is either taxable at 10%, GST-free (basic food, most health and education), or input-taxed. That makes Australian GST arithmetic simpler than European VAT — and it makes the one calculation people still get wrong stand out.
| Rate | Applies to |
|---|---|
| 10% | Standard rate — most goods, services and other items sold or consumed in Australia |
The ATO's rule: divide by eleven, not by 1.1 in your head
The ATO states the shortcut directly: the GST inside a GST-inclusive price is one eleventh of the total. A $110 price contains exactly $10 of GST and $100 of net value.
That fraction is worth memorising because the instinctive move — taking 10% of the price on the invoice — overstates the GST every time. On $110 the instinct gives $11; the right answer is $10. The error is 10% of the tax, which on a year of expense claims is not nothing, and an input tax credit claimed at $11 instead of $10 is simply wrong on your BAS.
The same fraction is why Australian tax invoices can legally show a single line reading "Total price includes GST" instead of itemising the tax: given the total, the GST is fully determined by dividing by 11, so nothing is lost.
Adding GST
To add GST to a net (pre-tax) price at the standard rate: gross = net × 1.1. The GST is 10% of the net amount.
Removing GST
To find the GST already inside a gross (GST-inclusive) price: net = gross ÷ 1.1, then GST = gross − net. Equivalently, the GST is 10 ⁄ 110 of the gross — which is exactly the ATO's "divide by eleven" rule.
Frequently asked questions
What is the Australia GST rate?
The standard rate is 10%. GST has been 10% since it was introduced on 1 July 2000.
Why is 10% of the gross price the wrong answer?
Because GST is charged on the net price, not on the total. On a $100 gross amount at 10%, the GST is $9.09, not $10.00 — the net is $90.91. Use the "Remove GST" mode above and the calculator does it for you.
What is GST-free versus input-taxed?
GST-free supplies (basic food, most medical and educational services, some exports) carry no GST but the supplier can still claim credits for GST on its own costs. Input-taxed supplies (most financial services, residential rent) also carry no GST, but the supplier cannot claim those credits. This calculator assumes a standard taxable supply at 10%.
More Australia calculators
This calculator uses GST rates published by the Australian Taxation Office and is for general information only — it is not tax advice. Some supplies are zero-rated or exempt and are not covered here. Rates read from the Australian Taxation Office.