What Is a Tax Invoice? Australia, New Zealand, India and the UK

A tax invoice is an invoice that meets your country's legal requirements for a sale that includes a consumption tax (GST or VAT). It matters mainly to your business customers: they usually need a valid tax invoice to claim a credit for the tax they paid you.

If you're not registered for GST or VAT, you don't issue tax invoices; you issue ordinary invoices, and you must not show GST or VAT on them.

Australia (GST)

GST-registered businesses must provide a tax invoice when a customer asks for one, for sales over $82.50 (including GST); the customer needs it to claim GST credits. You must be registered for GST once your turnover reaches $75,000 a year ($150,000 for non-profits).

A tax invoice for sales under $1,000 must show:

1. That it's intended to be a tax invoice (the words "Tax invoice" are the simplest way)
2. The seller's identity
3. The seller's ABN
4. The date of issue
5. A brief description of what's sold, including quantity or volume where relevant
6. The GST amount payable (if any), or, where every item is taxable, a statement that the total includes GST
7. The extent to which each sale is taxable

For sales of $1,000 or more, it must also show the buyer's identity or ABN.

Example footer:

Total (including GST): $1,320.00. GST included: $120.00.

New Zealand (GST)

New Zealand replaced "tax invoices" with taxable supply information (TSI) records in 2023. The information required scales with the value of the supply, with more detail (including the buyer's details) needed for supplies over NZ$1,000. The practical effect is similar: registered businesses give business customers enough information to claim GST, and many still title the document "Tax invoice".

India (GST)

Registered suppliers must issue a tax invoice with, among other details: the supplier's name, address and GSTIN; a serial number; the date; the recipient's name, address and GSTIN (if registered); the HSN or SAC code; description, quantity and value; the tax rate and amount split into CGST and SGST (intra-state) or IGST (inter-state); and the place of supply. Larger businesses above the notified turnover threshold must generate e-invoices through the government's Invoice Registration Portal.

United Kingdom (VAT)

The UK uses the term VAT invoice. The requirements, including simplified invoices for supplies of £250 or less, are in our UK VAT invoice guide.

Tax invoice vs regular invoice

	Regular invoice	Tax invoice
Who issues it	Anyone	GST/VAT-registered businesses
Shows tax	No	Yes, separately or as "includes GST"
Tax number shown	Optional	Required (ABN, GSTIN, VAT number)
Customer can claim tax credit	No	Yes

Setting one up in the generator

1. In Logo & style, change the heading text to "Tax invoice".
2. In Details, set the tax number type (ABN, GST no., VAT no.) and enter your number.
3. In Items, set the tax name to "GST" and the rate (10% in Australia, 15% in New Zealand). Use Per line tax if some items are GST-free.
4. For Australian sales of $1,000 or more, include the buyer's ABN in their tax number field.

Common mistakes

• Showing GST when you're not registered. You can't charge it, and your customer can't claim it.
• Missing the tax number. Customers' accounts teams will reject the invoice.
• Not stating GST separately (or that the total includes GST).
• Mixing GST-free and taxable items without making it clear which is which.

Rules change; check the ATO, Inland Revenue (NZ) or the GST portal (India) for the current requirements.