What must a tax invoice include in Australia?

A valid Australian tax invoice must show seven things: that it's a tax invoice, your business name, your ABN, the date, what you sold (with quantity and price), the GST amount, and how much of each item is taxable. For sales of $1,000 or more, you also need the buyer's name or ABN.

Get one of these wrong and your customer may not be able to claim their GST credits — which means awkward emails, re-issued invoices and slower payments. This guide walks through every requirement in plain English, using the ATO's official tax invoice rules, and finishes with a free template you can copy today.

Tax invoice vs invoice: what's the difference?

A tax invoice is a specific document that GST-registered businesses issue for taxable sales. Your customer needs it to claim a GST credit (an input tax credit) on what they bought from you.

A regular invoice is what you issue if you're not registered for GST. There are no set legal contents, but business.gov.au recommends including the word "invoice", your business name and ABN, the date, a description of the goods or services with quantity and price, and the buyer's name. Crucially, it says you should not label it a "tax invoice" — and it won't show GST.

The tax invoice checklist (sales under $1,000)

According to the ATO, a tax invoice for a sale under $1,000 must include:

1. That it's intended to be a tax invoice. The simplest way is a clear "Tax invoice" heading at the top.
2. Your identity. Your business name (or trading name) so the customer knows who issued it.
3. Your ABN. Your Australian Business Number. Customers can check it on ABN Lookup.
4. The date it was issued.
5. A brief description of what you sold, including the quantity (if applicable) and price.
6. The GST amount — or, if the GST is exactly one-eleventh of the total, a statement such as "Total price includes GST".
7. The extent to which each sale is taxable. Important if some items are GST-free (see below).

Things the ATO doesn't require — but you should add

These aren't on the ATO's list, but they make you look professional and help you get paid faster:

• A unique invoice number — recommended by business.gov.au for record-keeping.
• A due date and payment terms — e.g. "Due within 14 days". See our guide to choosing payment terms.
• How to pay — bank details (BSB and account number), a card payment link, or both. Offering more than one payment method removes excuses.
• Your contact details — email and phone so questions don't stall payment.

Extra rules for sales of $1,000 or more

If the sale is $1,000 or more, your tax invoice must include everything above plus the buyer's identity or ABN. In practice, just include your customer's business name and ABN on every invoice — it covers you at any amount and saves you remembering the threshold.

When you must issue a tax invoice

• $82.50 or less (including GST): you don't need to issue a tax invoice.
• Over $82.50: you need to provide one for taxable sales.
• When a customer asks: you have 28 days from their request to provide it.

The fastest approach is to send the tax invoice at the time of sale. business.gov.au notes that invoicing promptly encourages on-time payment — and it means you'll never scramble to meet a 28-day request.

Invoices with GST-free and taxable items

Some sales are GST-free (like most basic food and some health and education services) and some are input-taxed. If one invoice mixes taxable and non-taxable items, it must clearly show:

• which items are taxable,
• the GST amount, and
• the total amount payable.

A simple way to do this is to mark taxable lines with an asterisk and add a note such as "* Taxable items — GST included", then show the GST total separately.

Free tax invoice template (copy and paste)

Use this structure in any document editor. Replace the placeholders, keep every line, and you'll tick every ATO requirement.

TAX INVOICE

[Your business name]
ABN: [00 000 000 000]
[Email] · [Phone]

Invoice number: INV-0001
Date issued: [DD/MM/YYYY]
Due date: [DD/MM/YYYY]  (Payment terms: 14 days)

Bill to:
[Customer business name]
ABN: [Customer ABN — required for sales of $1,000 or more]

Description                 Qty    Unit price    Amount
[Service or product]          1    $[0.00]       $[0.00]
[Service or product]          2    $[0.00]       $[0.00]

Subtotal (excl. GST)                              $[0.00]
GST (10%)                                         $[0.00]
TOTAL (incl. GST)                                 $[0.00]

How to pay:
Bank transfer — BSB [000-000] · Account [00000000]
Reference: INV-0001

Thank you for your business!

Not registered for GST? Change the heading to INVOICE, delete the GST lines and show a single total. Our sole trader invoicing guide covers this in detail.

7 common tax invoice mistakes (and how to avoid them)

1. Calling it a "tax invoice" when you're not GST-registered. Use "Invoice" instead.
2. Missing or wrong ABN. Double-check it on ABN Lookup — a typo can invalidate the invoice for your customer.
3. No GST amount shown. Show the GST, or use the wording "Total price includes GST" when GST is exactly 1/11 of the total. (Moneysmart's GST calculator helps.)
4. Vague descriptions. "Services" invites questions. "Logo design — 3 concepts, 2 revision rounds" doesn't.
5. Forgetting the buyer's details on $1,000+ invoices.
6. Duplicate or missing invoice numbers — a headache at tax time.
7. No due date or payment details. Technically optional, practically essential. Late payments often start here — see how to chase unpaid invoices.

How long to keep tax invoices

Keep invoices and other business records for at least five years. If a customer tells you an invoice is wrong or incomplete, replace it — they need a valid tax invoice to claim their GST credits. The ATO's guide to setting up your business invoices has more on record-keeping.

Frequently asked questions

This article is general information only, not tax, legal or financial advice. Rules change — check the linked ATO and business.gov.au pages or speak to a registered tax agent about your situation.