GST registration guide

Do you need to register for GST?

The $60,000 threshold explained in plain English: when you must register, when it is worth registering early, and the exact steps in myIR - filing frequency, accounting basis, and what changes on your invoices.

The $60,000 rule

Two ways you cross the line

Inland Revenue tests a rolling 12-month window, not your tax year - so this is a number to watch every month, not just once a year.

You already earned $60,000+

Your turnover was at least $60,000 in the last 12 months. IRD counts any rolling 12-month period, not the tax year to 31 March - so a quiet start followed by a busy few months can tip you over mid-year without a single big invoice.

You expect to earn $60,000+

You expect your turnover will be at least $60,000 in the next 12 months - for example, you have just signed a bigger contract or landed a run of larger jobs. This forward-looking trigger applies too, so you do not have to wait until you have actually invoiced the full amount.

If either applies, registration is required, not optional. IRD can charge penalties if you register late - so act as soon as you know or expect to cross the threshold, not at year end.

Under $60,000

Should you register voluntarily?

You do not have to wait for the threshold. IRD lets any taxable activity register early - it is a trade-off, not a free lunch.

Why it can pay off

Claim GST back on your tools, materials, and running costs
Keep tidier books - it helps you see how the business is actually doing
Some clients and suppliers find it simpler to deal with a GST-registered business

The cost

You need to add 15% GST to your prices, or absorb it and keep charging the same
You need to file GST returns on a regular schedule, on time, every period
You can be charged penalties if a return or payment is late

Setup

Register for GST in myIR

The whole process happens online. Have these on hand before you start.

Gather your details

Your IRD number, your turnover for the last 12 months, your expected turnover for the next 12 months, a bank account for GST refunds, and your BIC (business industry classification) code.

Log into myIR

The same myIR login you already use for income tax.

From "I want to...", choose "Register for new tax accounts", then select Goods and services tax (GST).

Choose your filing frequency

Monthly, two-monthly, or six-monthly - see below for which one fits your turnover.

Choose your accounting basis

Payments, invoice, or hybrid - see below for the difference.

Submit

IRD processes most registrations within 10 working days, and will contact you if it needs more information.

Two choices at registration

Filing frequency and accounting basis

How often you file

Six-monthly - turnover under $500,000 a year. Two returns a year, best for a low volume of transactions.
Two-monthly - the most common choice for small businesses. Six returns a year, smaller and more frequent.
Monthly - compulsory over $24 million turnover, but open to anyone below that. Suits businesses that often expect a refund.

How you count GST

Payments basis - turnover $2 million or less. GST counted when the money actually changes hands.
Invoice basis - open to anyone. GST counted when you invoice or get paid, whichever comes first.
Hybrid basis - open to anyone. Invoice basis for sales, payments basis for expenses - rarely used by small operators, as it can hurt cashflow.

After you register

What changes on your invoices

You charge 15% GST

Every invoice adds 15% on top of your prices, or 15% is baked into a GST-inclusive total. Either way, that portion is GST you are collecting on IRD's behalf, not extra income.

"Tax invoices" became "taxable supply information"

Since 1 April 2023, IRD replaced the tax invoice rules with a broader requirement called taxable supply information - what a document needs to show scales with the size of the sale. You do not need to change any wording; a document titled "Tax Invoice" still satisfies the rules. See our full field-by-field breakdown for exactly what to show at each value.

You file and pay on schedule

Every taxable period, you file a GST return and pay what you owe - or claim a refund - by the due date. Miss it and IRD can charge penalties and interest.

How Invio helps

GST, handled once you flip the switch

Turn on GST Registered in Settings and the rest of Invio follows.

One toggle in Settings

Settings then Business then GST Registered, plus your GST number. Every new invoice adds 15% GST automatically and its title switches to Tax Invoice - no manual math.

GST on the numbers that matter

Reports then Tax & Export shows GST collected on your paid invoices at a glance, with a quarterly breakdown ready for your return.

One-click EOFY pack

When it is time to file, the EOFY pack in Reports then Tax & Export bundles a summary statement with your invoice and expense registers - free on every plan - so your accountant gets the year in one download.

Common questions

Questions about GST registration

What is the GST registration threshold in New Zealand?

You must register for GST once your turnover was at least $60,000 in the last 12 months, or you expect it will be at least $60,000 in the next 12 months. It is a rolling 12-month test, not your March balance date - check it every month, not once a year.

Do I have to register the moment I hit $60,000?

You need to register as soon as you know you have crossed the threshold, or expect to. IRD can charge penalties if you register late - do not wait for your annual return to check.

Can I register for GST before I reach $60,000?

Yes - voluntary registration is open to any taxable activity below the threshold. It lets you claim GST back on your expenses, but it also means adding 15% GST to your prices and filing returns on a regular schedule.

What happened to 'tax invoices'?

Since 1 April 2023, IRD replaced the tax invoice rules with a broader requirement called taxable supply information - what you need to show scales with the size of the sale. You do not have to change any wording; a document titled "Tax Invoice" still satisfies the rules.

How often do I file GST returns?

You choose at registration: monthly, two-monthly, or six-monthly. Six-monthly is only available under $500,000 turnover, monthly is compulsory over $24 million and open to anyone below that, and two-monthly (six returns a year) is the most common choice for small businesses.

Does Invio calculate GST for me once I am registered?

Yes. Turn on GST Registered in Settings then Business and every new invoice adds 15% GST and switches its title to Tax Invoice automatically. Reports then Tax & Export shows GST collected and lets you download a one-click EOFY pack for your accountant.

This is general information, not tax advice - your situation may differ. Check ird.govt.nz or talk to your accountant before you register.