When should you register for GST?



When should you register for GST?Whatever your business size and structure, there are good reasons to register for GST.

If you expect your annual turnover to exceed $60k from supplying goods and services, GST registration is a must. This $60k excludes non-core (e.g. interest or domestic rent) income.

If you expect to turn over less than $60k, you might still register voluntarily for GST. Because if you spend money (e.g. on plant or equipment) you can claim the 15% GST and put it back in your business

Another reason to register is if your clients are councils or corporates. Many won’t deal with non-GST-registered suppliers as it’s too much bother for their accounts people.

GST registration even denotes size and credibility. Some clients fear dealing with ‘little fish’ who turn over less than $60k.

These are general comments. As every person’s situation differs, it’s wise to seek independent advice before acting.

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