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Tax Invoice Requirements

All tax invoices that a business raises are required to contain certain information to ensure that they are tax compliant. Additionally, this leaves no room for dispute with your customers. Are your tax invoices compliant? Here is the list of required content:

> The words 'Tax Invoice' must appear prominently on the invoice
> Your correct business name and address
> Your ABN
> Your customers name and address
> Your customers ABN
> The date the invoice was raised
> A description of the goods sold or the services performed - clearly identify each taxable sale
> The total price of the sale - including GST

> Where the GST on the invoice to be paid is:

> exactly one-eleventh of the total price, show the GST amount separately on the invoice or provide a statement such as ‘total price includes GST’, or
> less than one-eleventh of the total price, show the GST amount and the total amount excluding GST for the sales.

Note that terms such as ‘total price includes GST’ or similar wording are not sufficient for invoices for both taxable sales and either a GST-free or input taxed sales.

There are slight differences when raising tax invoices under $1,000 and over $1,000, however if you have all of the information above contained in your tax invoice, it will be tax compliant as per the Australian Taxation Office.

Similarly, when you purchase items from suppliers, their tax invoices should contain the same information to ensure you are validly claiming a GST credit. 

 

Please note that we accept no responsibility or liability for any incorrect or out of date information contained on this website. You should always seek further advice and clarification from your accountant and the Australian Taxation Office.