Get your free Example Invoice Template - Australia designed specifically for Australian businesses. This professional invoice template includes GST calculations, Australian business formatting, and all essential elements required for compliant invoicing in Australia. Perfect for freelancers, small businesses, and contractors operating in Australia who need a reliable, easy-to-use invoicing solution that meets local business standards and requirements.
Frequently Asked Questions
GST is calculated at 10% on the total supply value and must be shown separately on your invoice. Divide your pre-GST amount by 11 to extract embedded GST, or multiply the amount by 0.10 to calculate GST on top. Your invoice should display the subtotal (excluding GST), the GST amount in dollars, and the total (including GST). GST applies to most goods and services supplied in Australia, though some items like food and medical supplies are GST-free. Only include GST if your business is registered or required to register for GST.
If your business is registered for GST, your ABN must appear on every invoice you issue. The ABN should be clearly displayed alongside your business name and address. For businesses not registered for GST, including your ABN is optional but recommended for credibility. If you're a sole trader without an ABN, you can still invoice—simply omit the ABN field and ensure GST isn't included unless registered. Always verify your ABN registration status with the Australian Taxation Office before issuing invoices.
As a sole trader, you invoice in your own name (or business name if registered). Include your full name, business address, and ABN if registered for GST. You don't need an ACN (that's for companies). If registered for GST, calculate and list GST separately; if not, issue invoices without GST. Sole traders should clearly state their trading name and personal or business address. Consider setting payment terms that protect your cash flow, as sole traders often have tighter working capital than larger businesses.
A valid Australian tax invoice requires: supplier name and ABN, invoice date and number, recipient name and ABN (if applicable), itemized description of goods/services, quantity and price, total amount, and GST amount separately shown. The invoice must clearly identify it as a tax invoice. If the recipient is GST-registered, their ABN is essential. Without these details, your invoice may not be accepted as a tax invoice for GST purposes, potentially causing disputes or tax compliance issues.
Yes, but GST rules differ for international supplies. Most services supplied to overseas customers are GST-free (with exceptions for certain services like accommodation). Remove or set GST to zero for international invoices. Include your ABN and clearly mark the invoice as GST-free or show 0% GST. For international clients, include currency clearly and consider stating your payment terms in their timezone or currency. Consult the ATO guidelines for your specific service type, as GST treatment varies by industry.
List payment methods your business actually accepts. Common Australian options include bank transfer (include your bank details and account name), direct deposit, PayPal, or payment platforms like Stripe. Bank transfer is preferred for B2B invoices in Australia. Never include payment methods you don't genuinely offer. Clearly state payment terms (e.g., due within 14 days) and include your bank details for domestic payments. For compliance, ensure your account name matches your business name on the invoice.
An ABN (Australian Business Number) is used for all businesses and is required for GST registration and tax purposes. An ACN (Australian Company Number) is specific to registered companies only. If your business is a company, you should include both your ABN and ACN on invoices. Sole traders and partnerships only have an ABN, not an ACN. Don't confuse the two—include your ACN only if you're a registered company. The ABN appears in invoices for all business structures.
Set clear payment terms on your invoice (e.g., due within 14 or 30 days). Australian law doesn't set a default interest rate, but you can include a late payment clause specifying interest (e.g., 10% per annum) if agreed in writing beforehand. Document payment due dates and follow up promptly on overdue invoices. Consider offering early payment discounts to encourage timely settlement. For significant late payments, consult a legal professional, as recovery options depend on contract terms and the amount involved.