GST-Free Items in Australia

In Australia, most goods and services include 10% Goods and Services Tax (GST). However, some items are classified as GST-free, meaning GST is not charged to the customer.

GST-free supplies are designed to make essential goods and services more affordable. Even though GST is not charged, businesses selling GST-free items can still claim GST credits on business expenses related to those sales.

Understanding which items are GST-free helps businesses correctly calculate prices, prepare invoices, and report GST in their Business Activity Statement (BAS).

Use our GST Calculator to add or remove GST instantly.

Updated: 2026

GST-free items — at a glance

In Australia, GST-free items typically fall into several categories:

  • Basic food products
  • Most medical and health services
  • Education courses
  • Childcare services
  • Exports of goods and services
  • Certain charitable activities

Businesses selling GST-free items do not charge GST, but they may still claim GST credits for expenses.

What does GST-free mean?

A GST-free supply means that GST is not included in the price of the product or service.

However, businesses selling GST-free items can still claim input tax credits for GST paid on related business purchases.

This differs from input-taxed supplies, where GST is not charged but businesses cannot claim GST credits.

Common GST-free food in Australia

Many essential food items are GST-free under Australian tax law.

CategoryExamplesGST Status
Fresh fruit and vegetablesApples, bananas, lettuceGST-free
Meat and seafoodRaw meat, fresh fishGST-free
Bread and cerealsBasic bread, rice, oatsGST-free
Milk and dairy productsMilk, cheese, yoghurtGST-free
EggsChicken eggsGST-free

Examples of food that includes GST:

  • Restaurant meals
  • Takeaway food
  • Soft drinks
  • Confectionery and chocolate
  • Snack foods such as chips

GST-free medical and health services

Many healthcare services in Australia are GST-free.

ServiceGST Status
GP consultationsGST-free
Specialist medical servicesGST-free
Dental servicesGST-free
PhysiotherapyGST-free
Medicare-funded treatmentsGST-free

Medical products and medications prescribed by a doctor are often GST-free as well. However, some cosmetic or elective treatments may still include GST.

GST-free education services

Education services are also commonly GST-free. Examples include:

  • Primary school education
  • Secondary school education
  • University and tertiary courses
  • Vocational education and training
  • English language courses for overseas students

Private tutoring services may be GST-free when they relate directly to an approved education course.

GST-free exports

Exports of goods and services outside Australia are generally GST-free.

Export TypeGST Status
Goods exported overseasGST-free
International transport servicesGST-free
Services provided to overseas customersGST-free

This allows Australian businesses to remain competitive in international markets.

Want to calculate GST?

If you are unsure whether GST should be included in a price, our calculator can help you add GST, remove GST, calculate GST components for invoices, and prepare figures for BAS reporting.

Use the GST Calculator →

GST-free vs input-taxed supplies

It is important to understand the difference between GST-free and input-taxed supplies.

TypeGST ChargedGST Credits
GST-freeNoYes
Input-taxedNoNo
Taxable supplyYes (10%)Yes

Examples of input-taxed supplies include:

  • Residential rent
  • Financial services
  • Lending and loan interest

Common GST mistakes businesses make

Many businesses incorrectly apply GST because they misunderstand GST-free rules. Common mistakes include:

  • Charging GST on GST-free items
  • Assuming all food is GST-free
  • Claiming GST credits incorrectly
  • Failing to distinguish between GST-free and input-taxed supplies

Using a GST calculator and keeping clear records helps avoid BAS reporting errors.

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Add or remove GST, generate tax invoice breakdowns, check if you need to register, and estimate your quarterly BAS — all in one tool.

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Frequently asked questions

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