New Zealand

When must I register for GST?

You must register for GST when you are conducting a taxable activity:

  • That has produced a turnover (sales and income) of more than $60,000 over the last year (this month plus the previous 11 months); or
  • That you expect to produce a turnover of more than $60,000 over the next year (this month plus the next 11 months); or
  • For which you indicate (e.g. in a price list or an invoice) that the price includes GST.

How often do I file a GST return?

You choose to file your GST returns:

  • Every six months, provided the total value of your taxable supplies in any 12 months is not likely to be more than $500,000; or
  • Every two months, which is the standard ‘default’ option if you do not elect your own option; or
  • Monthly, this is the only option for entities that make taxable supplies over $24 million per annum.

How do I account for GST?

There are three methods of accounting for GST:

  • The invoice basis – account for GST in the taxable period when you issue/receive an invoice or receive/make a payment, whichever is earlier; or
  • The payments (or cash) basis – account for GST in the taxable period when you make/receive a payment. This option is available if your taxable supplies were $2.0 million or under for the previous 12 months and are not expected to exceed this threshold in the next 12 months; or
  • The hybrid basis – account for GST on your sales income using the invoice basis, but claim GST on your expenses using the payments basis.

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