GST is a tax on the supply of goods and services in New Zealand
by a registered person on any taxable activity they carry out. The
rate for GST is 15% (from 1 October 2010, previously it was 12.5%)
although it can be zero-rated for exports and other specific goods
Certain supplies of goods and services are "exempt supplies".
- Certain financial services
- Lease of residential properties
- Wages/Salaries and most Directors Fees
GST registration is required if the annual turnover of the
business for a 12 month period exceeds or is expected to exceed
Voluntary registration for GST is available even if your
business turnover is less than $60,000.
If your business turnover exceeds $500,000 pa you must file your
GST returns either monthly or two-monthly. If your turnover exceeds
$24 million per annum then you must file one-monthly GST
There are three methods of accounting for GST:
If your business turnover exceeds $2 million per annum you
cannot use the payments basis.
If you are selling or are thinking of selling your products
through your website please also refer to the section on GST and E-Commerce.
For more information on GST see the GST section
of the IRD website or contact your Staples Rodway advisor.