What GST rate do I charge?

The standard GST rate in New Zealand is 15%. This applies to most goods and services sold in New Zealand.

How to apply GST to your prices

There are two ways to present your pricing as a GST-registered business:

GST exclusive (plus GST) Your prices don't include GST — you add 15% on top when invoicing.

Example: You charge $100 for your services. The invoice shows $100 + $15 GST = $115 total. Use this if you typically say "my rate is $X + GST."

GST inclusive (including GST) Your prices already include GST — you work backwards to calculate the GST portion.

Example: You charge $115 all-inclusive. The GST portion is $115 × 3/23 = $15 GST, with $100 going to you as income. Use this if you quote a single all-in price to customers.

Which method should I use?

Most businesses selling to other businesses (B2B) use GST exclusive pricing, so their customers can clearly see and claim the GST. Businesses selling directly to consumers (B2C) often use GST inclusive pricing for simplicity.

Whichever method you use, the amount of GST you return to IRD is the same — the difference is just how it's presented on your invoices.

Zero-rated and exempt supplies

Some goods and services are not charged GST at 15%:

Zero-rated (0% GST): Exports, some financial services, and certain land transactions. These are still GST supplies — you're registered, you just charge 0%.
Exempt: Residential rent and some financial services. These are outside the GST system entirely.

If you're unsure whether your services are standard-rated, zero-rated, or exempt, check ird.govt.nz or ask Lodg support.

Tax invoices

When you charge GST, you must provide a tax invoice to GST-registered customers for any supply over $50. A valid tax invoice must include:

The words "Tax Invoice"
Your name and GST number
The date
A description of the goods or services
The GST amount (or a statement that GST is included and the GST rate)

💡 Lodg automatically calculates GST on your invoices and handles your GST returns — just set your preference to exclusive or inclusive and we'll take care of the rest.

Source: ird.govt.nz — GST (goods and services tax) | business.govt.nz — GST