What Items Are GST-Free in Australia? Complete ATO List 2026

Not all goods and services attract 10% GST in Australia. The ATO divides supplies into taxable, GST-free and input-taxed categories โ€” and getting this wrong can cause significant compliance problems. Here is the complete reference guide.

GC
Australian Tax Resource Specialists
Last updated
April 2026

The Three Types of Supplies in Australia

The ATO categorises all goods and services into three types, each with different GST treatment:

Type GST Rate Can Claim Credits? Examples
Taxable supplies 10% Yes Most goods, services, restaurants
GST-free supplies 0% Yes Basic food, medical, education, exports
Input-taxed supplies 0% No Residential rent, financial services
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GST-Free vs Input-Taxed โ€” Key Difference
Both are 0% GST, but the difference is credits. For GST-free supplies, you can still claim credits on related business purchases. For input-taxed supplies, you CANNOT claim credits on related purchases. This matters significantly for tax planning.

GST-Free Food in Australia

Basic food is GST-free, but the rules are complex. The general rule is that unprepared, unprocessed food is GST-free, while ready-to-eat or restaurant food is taxable.

Item GST Status Reason
Fresh fruit and vegetables GST-Free Basic food
Bread and bread rolls GST-Free Basic food
Milk, butter, cheese GST-Free Basic food
Meat (uncooked) GST-Free Basic food
Coffee/tea (takeaway hot drink) Taxable Prepared food
Restaurant meals Taxable Prepared food for consumption
Bottled water GST-Free Basic food
Soft drinks & juice (not fresh-squeezed) Taxable Not basic food
Ice cream Taxable Confectionery / snack food
Potato chips/crisps Taxable Snack food
Menstrual products GST-Free Specific exemption since 2019

Medical and Health Services

Most medical and health services are GST-free when provided by registered health professionals:

  • GP consultations and specialist visits
  • Hospital services (public and private)
  • Ambulance services
  • Pharmaceuticals listed on the Pharmaceutical Benefits Scheme (PBS)
  • Dental services (most)
  • Physiotherapy, chiropractic, osteopathy
  • Optometry (professional consultation โ€” not glasses frames)
  • Nursing services
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Cosmetic Procedures Are Taxable
Cosmetic surgery and cosmetic procedures that are not medically necessary attract 10% GST. For example, Botox injections for aesthetic purposes are taxable, while Botox for a medical condition may be GST-free.

Education and Childcare

The following education services are GST-free:

  • Approved childcare (regulated long day care, family day care, OSHC)
  • Primary and secondary school tuition fees
  • University and TAFE course fees
  • Apprenticeship and vocational training fees
  • International student tuition fees (provided in Australia)

However, these education-related items ARE taxable: school uniforms, sports equipment, school excursions, and school canteen food.

Exports and International Supplies

Exports are GST-free to encourage Australian businesses to compete internationally:

  • Goods physically exported from Australia
  • Services provided to non-residents who are outside Australia at the time
  • International air and sea travel
  • Goods sold in duty-free shops
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Digital Services to Australians from Overseas
Since 2017, overseas companies selling digital goods and services to Australian consumers (Netflix, Spotify, Adobe) must charge 10% GST if their Australian sales exceed $75,000. This changed the GST-free status of digital imports.

Input-Taxed Supplies

These supplies have no GST but you also CANNOT claim credits on related purchases:

  • Residential rent โ€” a landlord cannot charge GST on rent and cannot claim credits on property repairs
  • Selling residential property โ€” generally input-taxed (except new residential premises)
  • Financial supplies โ€” loans, deposits, credit cards, insurance premiums
  • Precious metals โ€” gold, silver, platinum bullion (in certain circumstances)

Quick GST Status Checker

Transaction GST Status
Selling new residential property Taxable (margin scheme may apply)
Rental income (residential) Input-Taxed
Rental income (commercial) Taxable
Life insurance premium Input-Taxed
Car insurance premium Taxable
Uber ride Taxable
International flight GST-Free
Domestic flight Taxable
๐Ÿ”‘ Key Takeaway

The biggest GST-free categories are basic foods, medical services, education and exports. The key test for food: if it's unprocessed and unprepared, it's likely GST-free. When in doubt, the ATO has a comprehensive food product database at ato.gov.au. Always confirm complex cases with a tax agent.