How GST is calculated
Adding GST — when your price excludes GST:
GST = amount_excl_GST × rate total = amount_excl_GST × (1 + rate)
Removing GST — when your price already includes GST:
amount_excl_GST = amount_incl_GST ÷ (1 + rate) GST = amount_incl_GST − amount_excl_GST
At 15%, the GST inside an inclusive price is exactly 3/23 of it, a handy shortcut for mental maths.
Examples at 15%
| You have | Excl. GST | GST | Incl. GST |
|---|---|---|---|
| A NZ$80 service fee before GST | $80.00 | $12.00 | $92.00 |
| A NZ$1,000 quote before GST | $1,000.00 | $150.00 | $1,150.00 |
| A NZ$57.50 receipt including GST | $50.00 | $7.50 | $57.50 |
| A NZ$99.99 GST-inclusive price | $86.95 | $13.04 | $99.99 |
Does my amount include GST?
Prices shown to consumers in New Zealand generally include GST. Quotes between businesses are often given “+ GST”. If a document says “GST inclusive” or “incl. GST”, use Remove GST; if it says “excl. GST” or “+ GST”, use Add GST. If you are unsure, ask the supplier.
Limitations
- This tool does arithmetic only. It doesn’t decide whether a supply is taxable, zero-rated or exempt, or whether you need to register — that depends on your circumstances.
- The default 15% reflects Inland Revenue guidance when we checked. Confirm the current rate before using results for tax.
- It is not tax advice. For your situation, check Inland Revenue or talk to a tax adviser.
Charging customers by card? Combine this with the Stripe fee calculator to see what you keep after fees.