GST (Goods and Services Tax) is a federal tax collected by many countries on goods and services sold to the general public. Globally, the GST system is used by a majority of countries, including Australia, Canada, India, and the United Kingdom. Business owners in countries with GST collect the tax from their customers, then pay it to the government on a quarterly basis. To do this, you need a GST number.[1] Here, we've gathered answers to some of your most common questions about how to get a GST number for a new business.

Question 3
Question 3 of 8:
What's a GST number for?

  1. 1
    Your GST number identifies your business as a GST registrant. You'll use your GST number when you pay the taxes you've collected to the federal government. GST is typically paid by your customers—you just add it to the sale price of your goods or services—but you're responsible for paying that money to the government.[5]
    • Depending on how much revenue your business earns or the types of products or services you sell, you might also be entitled to a refund of some or all of the GST you collected. If you get a refund, that's money you can keep in your business.
    • If you're selling goods or services on an online platform, such as Amazon or Shopify, you'll typically need to provide your GST when you register for that platform.[6]

Question 4
Question 4 of 8:
Do I need a business number to get a GST number?

  1. 1
    You might need to get a business number first. Your business number identifies your business as a separate entity from you. Typically, if you've incorporated your business, you'll already have a GST number. If your business is organized as a sole proprietorship or a partnership, you might have to get a business number to use on your GST application. Check with your country's revenue agency or tax authority to be sure.[7]
    • In India, new applications are based on your individual Permanent Account Number (PAN). After your application is accepted, you're assigned a unique GST ID number.[8]
    • In Canada, if you register for GST and don't already have a business number, you'll be assigned one automatically when you register for GST.[9]
    • Australia has a different registration process you can use if you already have an Australian Business Number (ABN). If you don't, you can get one when you register for GST.[10]

Question 5
Question 5 of 8:
Can I start a business without a GST number?

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    Yes, but it's usually easier to go ahead and register. In some countries, such as Canada, you're exempt from GST if your revenues are under $30,000 for 4 consecutive calendar quarters. If you're just starting out with a small side business, you might be exempt—but keep in mind, if you exceed that threshold, you'll owe GST for the entire year's sales.[11]
    • If you're a ride-share driver in Canada, you need to register for GST even if you expect your revenue to be under $30,000. The same is true in Australia.[12]
    • Even if you don't have to register for GST by virtue of the size of your business, it's still a good idea to go ahead and do so. If you end up not earning enough revenue, you can get the GST you paid back.[13]

Question 8
Question 8 of 8:
Can I sell on Amazon without a GST number?

Warnings

  • As a business owner, you're responsible for filing a return and remitting the GST owed to the government by the applicable due date. If you're not comfortable handling this, hire an accountant or tax professional to help you.[20]
  • Don't forget to include GST in your prices for goods and services you sell—otherwise, you'll end up paying it out of your own pocket.[21]

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wikiHow Staff
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This article was co-authored by wikiHow Staff. Our trained team of editors and researchers validate articles for accuracy and comprehensiveness. wikiHow's Content Management Team carefully monitors the work from our editorial staff to ensure that each article is backed by trusted research and meets our high quality standards. This article has been viewed 1,200 times.
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Co-authors: 6
Updated: August 25, 2021
Views: 1,200
Categories: Business Taxes