Registering for GST in New Zealand is an essential step for businesses and self-employed individuals once their income reaches the required threshold. Whether you are a sole trader, contractor, freelancer, or company, understanding the GST registration process ensures compliance with Inland Revenue (IRD) rules and avoids penalties.
This 2026 guide explains who must register for GST, when to register, how to apply online, and what happens after registration—all in simple, easy-to-follow steps.
What Is GST in New Zealand?
GST (Goods and Services Tax) in New Zealand is a 15% consumption tax applied to most goods and services sold in the country. Businesses collect GST from customers and pay it to Inland Revenue (IRD), while claiming back GST paid on business expenses.
GST is:
- Charged at a flat rate of 15%
- Applied to most products and services
- Reported regularly through GST returns
Who Needs to Register for GST in New Zealand?
You must register for GST if:
- Your turnover exceeds NZD 60,000 in any 12 months
- You expect to exceed NZD 60,000 in the next 12 months
- You are operating a business, trade, or self-employment activity
You do not need to register if:
- Your turnover is below the threshold
- You only earn exempt income (such as residential rent or certain financial services)
GST Registration Threshold in New Zealand (2026)
| Requirement | Amount |
|---|---|
| Mandatory GST threshold | NZD 60,000 per year |
| GST rate | 15% |
| Currency | New Zealand Dollar (NZD) |
Even if your income is below NZD 60,000, voluntary registration is allowed if it benefits your business.
When Should You Register for GST?
You should register:
- As soon as you know your income will exceed NZD 60,000
- Within 21 days of exceeding the threshold
- Before charging GST to customers
Late registration can result in:
- Penalties
- Interest charges
- Backdated GST payments
What You Need Before Registering for GST
Before starting your GST registration, make sure you have:
- IRD number
- Business details (name, address, structure)
- Estimated annual turnover
- Bank account for GST refunds
- Preferred GST filing frequency
- Start date for GST registration
How to Register GST in New Zealand (Step-by-Step)
Step 1: Log in to myIR
Visit Inland Revenue’s myIR portal and sign in using your IRD login details.
Step 2: Select “Register for GST”
From your dashboard, choose the option to register a new tax type and select GST.
Step 3: Enter Business Information
Provide:
- Business activity details
- Expected turnover
- GST start date
- Accounting method
Step 4: Choose Filing Frequency
Select how often you will file GST returns:
- Monthly
- Two-monthly (most common)
- Six-monthly (small businesses only)
Step 5: Submit the Application
Review all details and submit your GST registration. Approval is usually processed quickly.
GST Accounting Methods Explained
When registering, you must choose an accounting method:
Invoice Basis
- GST is reported when invoices are issued or received
- Suitable for medium to large businesses
Payments Basis
- GST is reported when money is actually paid or received
- Ideal for small businesses and cash-flow control
Hybrid Basis
- Combination of both (limited eligibility)
What Happens After GST Registration?
Once approved, you will:
- Receive confirmation in myIR
- Be allowed to charge 15% GST
- Need to file regular GST returns
- Claim GST on business expenses
- Pay or receive GST balances
Can You Deregister from GST?
Yes, you can deregister if:
- Your turnover falls below NZD 60,000
- You stop trading or close your business
Deregistration is also done through myIR.
Common GST Registration Mistakes to Avoid
- Registering too late
- Choosing the wrong accounting method
- Charging GST before approval
- Missing GST return deadlines
- Not keeping proper records
Avoiding these mistakes helps you stay compliant and stress-free.
Benefits of GST Registration
- Claim GST refunds on expenses
- Improved business credibility
- Easier compliance with IRD
- Better financial tracking
Frequently Asked Questions (FAQs)
Is GST registration compulsory in New Zealand?
Yes, GST registration is compulsory once your business turnover exceeds NZD 60,000 in a 12-month period.
Can I register GST voluntarily?
Yes, businesses earning below NZD 60,000 can register voluntarily if it suits their operations.
How long does GST registration take?
Most GST registrations are approved within a few working days when submitted online via myIR.
Do freelancers and contractors need GST?
Yes, freelancers and contractors must register for GST if their income exceeds the threshold.
What is the GST rate in New Zealand?
The standard GST rate in New Zealand is 15%.
Can I backdate my GST registration?
Yes, IRD may backdate registration if you exceeded the threshold earlier, but this may involve paying backdated GST.
Final Thoughts
Understanding how to register GST in New Zealand in 2026 is crucial for business compliance and financial stability. Whether you’re starting a new venture or scaling your income, registering at the right time helps you avoid penalties and manage taxes confidently.
If you regularly deal with GST calculations, using a reliable GST calculator alongside proper registration ensures accuracy and peace of mind.