GST Included or Not? How To Display Prices In Australia

Pricing shouldn’t be a guessing game - for your customers or your team. Yet one of the most common questions we hear from small businesses is whether their price should say “GST included” or “ex GST”, and when it actually matters.

Getting this right is important. It impacts your customer trust, your compliance with the Australian Consumer Law (ACL) and your GST reporting. The good news is that with a few clear rules (and some simple maths), you can set up your pricing the right way from day one.

In this guide, we’ll explain what “GST included” means in Australia, when you must include GST in your displayed prices, how to calculate prices excluding or including GST, and what to put in your contracts and online terms to keep everything consistent.

What Does “GST Included” Mean In Australia?

Goods and Services Tax (GST) is a 10% tax on most goods and services sold in Australia. When you say a price is “GST included”, it means that 10% is already part of the total price the customer will pay at checkout.

By contrast, “ex GST” or “price excluding GST” means GST is not in the number shown. If GST applies, you’ll add 10% at the point of sale or on the invoice.

Here’s the simple maths many teams use internally:

• To include GST: GST-exclusive price × 1.1 = GST-inclusive price
• To find GST in an inclusive price: GST-inclusive price ÷ 11 = GST amount
• To remove GST: GST-inclusive price ÷ 1.1 = GST-exclusive price

Example: If your GST-exclusive price is $100, your price including GST is $110. The GST component is $10.

Do You Have To Show Prices With GST Included?

It depends on who you’re selling to and where you’re displaying the price.

Retail and Consumer-Facing Offers (B2C)

If you’re advertising or displaying prices to consumers (for example, on your website, in-store signage, social media ads or brochures), the ACL expects you to show a single figure that’s the total price payable, including GST and any other mandatory charges that can be calculated in advance.

This rule is part of Australia’s advertised price laws. The single (total) price should be at least as prominent as any “ex GST” or component prices. If you don’t include GST in a consumer price - or you hide it in the fine print - you risk misleading customers.

Two ACL provisions to keep in mind are Section 18 of the Australian Consumer Law (misleading or deceptive conduct) and Section 29 (false or misleading representations about price). Incorrectly labelling a consumer price “ex GST”, or using “drip pricing” where unavoidable fees appear late in checkout, could lead to enforcement action.

B2B Quotes And Trade Pricing

If you’re quoting to other GST-registered businesses, it’s common (and generally fine) to use GST-exclusive pricing - but you must clearly state “ex GST” or “+ GST” on the quote or price list. This avoids confusion and ensures both sides know whether 10% will be added on the invoice.

Many businesses set up a consistent quoting format to make this crystal clear. If you don’t already have a standard set of quote terms, it’s worth preparing quote terms and conditions and aligning them with your sales contract or Terms of Trade.

Online Checkouts

If you sell online to consumers, show the GST-inclusive total from the start of checkout and at every step. Avoid adding unavoidable fees at the end. If shipping varies by location, you can estimate or calculate it at checkout - but once known, present a clear total price that includes GST and shipping.

How To Calculate And Display Prices (With Practical Examples)

Once you decide your base (exclusive) price, applying or excluding GST is straightforward. The trick is making your labels clear and consistent across ads, menus, quotes, and invoices.

Example 1: “GST Included” Retail Pricing

Let’s say you sell candles to the public. You want customers to pay $44 at the register. That $44 is your GST-inclusive price. Your GST-exclusive price would be $40. GST is $4.

• Shelf/website price: “$44 (GST included)” or simply “$44” if it’s clear you’re quoting the total price
• Receipt/tax invoice: Show line items, total, and GST amount ($4) so it meets tax invoice rules

Example 2: B2B Quote With Ex GST

You provide electrical services to a commercial client and prefer to quote ex GST. Your job price is $2,000 ex GST. Your quote should say “$2,000 ex GST” or “$2,000 + GST”. The invoice then shows $2,000 + $200 GST = $2,200 total.

Again, the key is clarity. If you don’t label it “ex GST”, many customers will assume the price is the total.

Example 3: Tiered Pricing Online

If you have a subscription product, you might list plans as “$99/month (incl. GST)” for consumer-facing pages. For business-targeted plan pages, you could say “$90/month ex GST (Australian subscribers)”. At checkout, always display the total amount payable including GST before the customer confirms.

Common Pricing Scenarios That Can Trip Businesses Up

Some pricing areas create confusion. Here’s how to handle them without falling foul of the ACL.

Shipping And Handling

If shipping or handling is mandatory and can be calculated up-front, it should be included in your single price when advertising to consumers. If shipping varies (for example, based on location), it’s acceptable to show the product price and then calculate shipping at checkout - but be transparent and show the final total before payment.

Card Surcharges Or “Booking Fees”

Unavoidable payment surcharges should be included in the single price shown to consumers where possible. If you do charge variable surcharges (for example, different cards), disclose them early and clearly. Late disclosure can be considered misleading.

Discounts And Promotions

If you run discounts, make sure the “before” price was genuine and recent, and that the “now” price reflects the real total (GST included). Misstating a “was/now” comparison risks breaching Section 29 of the ACL.

Bundled Products Or Services

Bundles must present a clear total price. If there are options that change the total (for example, add-ons), give the customer a transparent path to the final amount. Avoid structuring bundles so the real price only appears right before payment.

Quotes That Change Scope

For project work, scope creep is common. Your quote and Terms of Trade should explain how variations are priced and whether quoted amounts are “ex GST” or “incl. GST”. State when you’ll issue a revised quote and how the client approves it.

How To Exclude GST Without Confusing Customers

Sometimes you’ll want to show a price without GST - usually in business-to-business contexts. That can be fine, but there are a few guardrails to follow.

• Use plain labels: “$2,000 ex GST” or “$2,000 + GST”. Don’t bury it in fine print.
• Be consistent: If your price list says “ex GST”, your quote and invoice should match.
• Avoid mixing formats: If one line item is inclusive and another is exclusive, clearly label each one.
• Show totals: On quotes and invoices, show the GST amount and the total payable to reduce disputes.

Clarity is not just good customer service - it’s part of avoiding misleading conduct under Section 18 of the ACL. A simple labelling rule, applied consistently by your team, goes a long way.

Pricing Compliance And The Australian Consumer Law

Beyond GST mechanics, your pricing must meet the ACL’s transparency rules. In practice, this means:

• Show a single total price to consumers where you can calculate all mandatory components in advance
• Make the total at least as prominent as any “ex GST” or per-unit components
• Avoid “drip pricing” - revealing unavoidable fees late in the purchase process
• Don’t mislead about “was/now” prices, savings or comparisons
• Fix mistakes promptly - if you published a price error, act quickly and fairly to resolve impacted sales

If your business sells to consumers, it’s worth reviewing your advertised price laws obligations alongside your marketing practices, especially during sales periods or product launches.

What To Put In Your Contracts And Policies

Your contracts and online terms should back up your pricing strategy and reduce disputes. A few places to tighten things up:

• Terms of Trade: Spell out whether prices are exclusive or inclusive of GST, how and when GST is applied, variation pricing, invoicing and payment terms, and how mistakes are handled.
• Website Terms and Conditions: For online stores, set clear rules on pricing errors, offers, promotions and checkout totals, and ensure they align with your site’s actual behaviour.
• Privacy Policy: If you collect customer data during checkout or marketing, your Privacy Policy should explain how you collect and use personal information.
• Warranties Against Defects Policy: If you offer repair, replacement or refund terms in addition to the ACL guarantees, document them clearly and ensure they don’t undermine the consumer guarantees.

If you’re selling consumer products or services, make sure your pricing and refund approach reflects the ACL’s consumer guarantees. For a refresher on how guarantees can play out in practice, it can help to revisit your obligations around consumer guarantees and warranty statements.

Setting Up Processes So Your Team Gets It Right

Even the best-written policy won’t help if your team and systems don’t follow it. A few practical tips:

• Use templates: Standardise quote and invoice templates with “ex GST” or “incl. GST” labels and a clear total.
• Train your team: Explain when to use ex/incl GST, especially for mixed B2B/B2C businesses.
• Align systems: Ensure your POS, ecommerce platform and accounting software calculate GST the same way.
• Review promotions: Before publishing a sale, check that “was/now” comparisons and totals are accurate.
• Keep it consistent: Pricing labels should match across website, ads, menus, quotes and invoices.

If you’re formalising your customer journey, it’s a good time to align your pricing terms with your contracts and online documents. Many businesses address this as part of refreshing their Terms of Trade and site policies before peak seasons.

FAQs: Quick Answers To Common GST Pricing Questions

Do I have to register for GST to display “GST included” prices?

You only charge GST if you’re registered for GST. If you’re not registered, you shouldn’t charge GST - and you shouldn’t label prices as “incl. GST”. If you’re close to the GST turnover threshold, speak with your accountant about when to register.

Can I show “ex GST” prices in ads?

If your ad is consumer-facing, you need to show a single total price that includes GST (and any other mandatory charges you can calculate). You can also show the ex-GST price, but the total must be at least as prominent.

How do I exclude GST when quoting to businesses?

Simply label your price “ex GST” or “+ GST”. On your tax invoice, show the GST amount and the total price. Consistency and clarity matter most.

What about international customers?

GST rules for exports can differ. From a pricing display perspective, keep your labelling clear (for example, “No GST for international orders”) and make sure your checkout logic reflects the right tax rules. Get specific tax advice if you sell internationally.

Key Takeaways

• “GST included” means the 10% GST is part of the total price; “ex GST” means GST will be added.
• For consumer-facing pricing, the ACL requires a single total price (including GST and mandatory charges) that’s as prominent as any component price.
• In B2B contexts, ex-GST pricing is common - just label it clearly on quotes, price lists and invoices.
• Be consistent across ads, website, quotes and invoices, and avoid drip pricing or confusing “was/now” claims.
• Back up your pricing approach in your contracts and online policies, including your Terms of Trade and Website Terms and Conditions.
• Simple internal rules, clear templates and team training go a long way to staying compliant and building customer trust.

If you’d like a consultation on pricing compliance and “GST included” labelling for your small business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.