Tax invoice requirements in Australia: the checklist for issuing and receiving them
Tax invoices are the paperwork behind every GST figure on a BAS: the ones you issue support 1A, the ones you receive support 1B. The ATO’s requirements are short and specific, and a missing element can mean a customer cannot claim GST or you cannot claim a credit. This guide is the checklist for both directions, plus the edge cases: missing details, adjustment notes and invoices the buyer issues.
Updated 16 September 2026. General information only, not tax advice.
Who has to issue tax invoices
Only GST-registered businesses. If you are not registered, you issue ordinary invoices with no GST line and without the words Tax invoice. If you are registered, you must issue a tax invoice for any taxable sale over $82.50 (GST inclusive) when the customer asks for one, and within 28 days of the request. Most businesses simply issue one for every sale.
Requirements for sales under $1,000
The document must be clearly intended as a tax invoice and show:
- The words Tax invoice.
- Your identity: your business name, or your own name as it appears on the ABR.
- Your ABN.
- The date it was issued.
- A description of what was sold, including quantity or extent where that makes sense (hours, units, square metres).
- The GST amount for each taxable item, or, if every item is taxable at 10%, a statement such as Total price includes GST.
If the invoice mixes taxable and GST-free items, show which items carry GST and the GST on each, or the total GST and a way to tell them apart. A supermarket-style receipt with an asterisk on taxable lines is an acceptable approach.
Requirements for sales of $1,000 or more
Everything above, plus the buyer’s identity or ABN. For a business customer, their trading name or ABN; for an individual, their name. Ask for it when you quote so it is on the invoice from the start. Without it, the buyer cannot claim the GST and will send it back.
Receiving invoices: what you need to claim GST
To claim a GST credit on a purchase you must hold a valid tax invoice at the time you lodge the BAS, unless the purchase is $82.50 or less including GST. For those small purchases, a receipt, cash register docket or bank line that shows GST was included is enough.
Check supplier invoices for the elements above before filing them. The common gaps are no ABN (which also triggers the 47% no-ABN withholding rule when you are the payer), no GST shown, and overseas suppliers whose receipts are not tax invoices at all. See GST on overseas subscriptions for that case.
A supplier invoice is missing something
The ATO allows a document that is missing a required element to be treated as a tax invoice if the missing information can be clearly found from other documents the supplier gave you, such as a quote or a contract. Ask the supplier for a corrected invoice first; most will reissue it in a minute. If they will not, keep the supporting document with the invoice and note where the missing detail comes from.
Adjustment notes
If a price changes after the tax invoice is issued, because of a discount, a return, a dispute or a cancelled part of a job, the seller issues an adjustment note (a credit note) showing the change and the GST difference. Both sides then adjust their next BAS. An adjustment note needs the same identifying details as a tax invoice plus a clear statement that it is an adjustment note and the amount of the adjustment. A simple refund of a deposit works the same way; see deposits and progress payments.
Recipient-created tax invoices
In some arrangements the buyer issues the tax invoice instead of the seller: an agency paying contractors from its own records, a platform paying out earnings, a farm co-op paying growers. That is a recipient-created tax invoice (RCTI). It requires a written agreement between the parties, and the buyer’s document must say it is an RCTI. If you receive them, they are your record of sales and the GST on them; keep them with your other invoices.
Format, numbering and keeping them
Paper or electronic, either is fine, and a PDF by email is standard. Numbering is not on the ATO’s list but you should use unique, sequential numbers so every invoice can be found and nothing is issued twice; see invoice numbering and records. Keep every tax invoice you issue and receive for five years. Invoicing software such as FlowFi puts the required elements on every invoice automatically and attaches supplier invoices to the matching transaction so the record behind 1B is one click away.
Email me the quarterly BAS checklist
The checklist now, then a few short notes on getting your BAS done. No spam, unsubscribe any time.
Frequently asked questions
Is an invoice number legally required on a tax invoice?
It is not on the ATO’s list of required elements, but almost every business uses one and your accountant will expect it. Sequential numbering is the norm.
Can I claim GST on a purchase using only my bank statement?
For purchases of $82.50 or less, yes, if the record shows GST was included. Above that you need a tax invoice from the supplier.
What if I issued an invoice with the wrong ABN or no GST shown?
Issue a corrected tax invoice and ask the customer to discard the original. If the GST amount was wrong, an adjustment note may be needed instead. Keep both documents.
General information only, not tax advice. Check your own situation with a registered tax agent or the ATO.
Every invoice compliant, every receipt attached
FlowFi puts the required elements on your tax invoices and files supplier invoices against the matching bank transaction.
Start 14-day free trial14 days of Pro free. No credit card. Then $29 a month or $290 a year.