Is Quoting Prices Without GST Legal In Australia?

If you run a small business in Australia, how you present your prices matters. It affects customer trust, your compliance with Australian Consumer Law, and even whether your quotes convert.

A common question we hear is simple: is it legal to quote prices without GST?

The short answer is “sometimes” - but there are strict rules around when and how you can do it. In many cases, you must show a GST-inclusive “single price” to customers, even if you also display an “ex GST” figure.

In this guide, we’ll explain the law in plain English and show you how to present your prices clearly and legally across ads, websites, quotes, invoices and B2B scenarios.

Short Answer: When Can You Show Prices Without GST?

It depends on who you’re selling to, where the price appears, and what else you disclose.

• If you’re marketing to or dealing with consumers (which often includes many small businesses for transactions under $100,000), you generally need to display a “single price” that includes GST and any other mandatory charges.
• You can still show an “ex GST” price, but it can’t be more prominent than the GST-inclusive price, and you must make the total clear.
• For quotes and proposals, you can present prices “ex GST” if you also state the GST amount and the total payable (GST-inclusive) before the customer accepts.
• If you are not registered for GST, you must not charge GST at all, and you should avoid “+GST” language. Your prices are simply your prices - no GST applies.

The safest approach is to show both figures and make the total (including GST) easy to find and understand.

Understanding The Law: GST, Single Pricing And “Ex GST” Statements

Two main legal regimes govern how you present prices: the GST rules under the tax law, and the Australian Consumer Law (ACL).

Under the ACL’s component pricing rules, when you display or advertise a price for a good or service to a consumer, you must also present the single price - that is, the total price the customer will pay, including GST and any other mandatory charges. The single price must be at least as prominent as any component amounts (for example, an “ex GST” figure, or a base price before fees).

This means “ex GST” alone is rarely enough in customer-facing pricing. If you show an ex GST price, you should also show the GST amount and the total, and make the total stand out at least as much as the ex GST figure.

There are also general prohibitions against misleading or deceptive conduct and false or misleading price representations, including about whether GST or mandatory fees apply. These rules apply to your website, ads, quotes, and contracts. If your pricing presentation could lead a reasonable customer to believe they’ll pay less than the actual total, you may breach the ACL.

For deeper context on pricing compliance, it’s worth understanding your duties under advertised price laws, and how the ACL treats false or misleading representations about price and misleading or deceptive conduct.

One more important point: the ACL definition of a “consumer” is broad. It generally covers purchases of goods or services under $100,000 (even by businesses), as well as goods or services of a kind ordinarily acquired for personal, domestic or household use. So in many B2B deals, the single-price requirement still applies.

How To Present Prices Legally Across Common Scenarios

Advertising And Websites

In ads, store signage and on your website, include the GST-inclusive single price wherever you display a price to customers.

• If you also show a component price (for example, “$100 ex GST”), show GST and the total alongside it and make the total at least as prominent, e.g. “$100 ex GST ($110 incl GST).”
• Include mandatory fees in the total. If a booking fee or handling charge always applies, the total must include it. Optional charges (like optional delivery) don’t need to be in the total if they are truly optional and not preselected.
• Be consistent across pages and channels. Pricing in social media posts, Google ads and brochures should follow the same single-price rule.

If you sell online, consider making your pricing rules clear in your website’s Website Terms and Conditions and in your checkout flow so customers can see fees before they commit.

Quotes And Proposals

You can present a professional quote using “ex GST” pricing for clarity (especially in B2B), but you should also state the GST amount and the GST-inclusive total payable before the customer accepts.

For example, structure a quote like this:

• Professional Services: $2,000 ex GST
• GST (10%): $200
• Total Payable (incl GST): $2,200

That way, there’s no confusion when you invoice.

It’s also smart to include short terms on your quote covering validity period, scope inclusions/exclusions, and how variations are handled. A simple set of quote terms and conditions can help. And if you’re wondering how binding a quote can be once accepted, see how courts treat whether a quotation is legally binding in different scenarios.

Invoices And Tax Invoices

Once work is complete or goods are supplied, your invoice should mirror your agreed pricing and clearly show the GST component where applicable.

• If you are registered for GST and the supply is taxable, your invoice should show the total price, the GST amount (or that the price includes GST), and meet tax invoice requirements when requested.
• If you are not registered for GST, do not add GST to your invoice and avoid language like “+GST.” You can’t charge GST if you’re not registered.

B2B Wholesale And Trade Pricing

In trade lists and reseller price sheets, businesses often present prices “ex GST.” That approach can work in a B2B context, but consider who will rely on the pricing.

• If your price list is public-facing or likely to be used by end customers before sale, include the single price (incl GST) too.
• Make your audience clear. If a list is “for wholesale customers only, pricing ex GST,” label it prominently and ensure your actual customer-facing channels still show the single price.

Surcharges, Fees And Delivery

Mandatory fees must be included in the single price. Optional delivery can be shown separately if it’s not preselected.

Be careful with handling fees and payment surcharges. If they always apply, they belong in the total. If they are truly optional and vary (e.g. multiple delivery options), clearly disclose them before purchase and don’t preselect higher-cost options. If you charge add-ons after the fact, ensure your core pricing and terms weren’t misleading at the time of the offer.

Promotions, Packages And Discounts

When you promote discounts (e.g. “10% off”), the displayed price should reflect the actual total payable (incl GST) after the discount wherever practicable. If the calculation is complex, provide a clear example and ensure the final checkout or invoice shows the GST-inclusive total before the customer commits.

Practical Steps To Stay Compliant (A Checklist)

Here’s a simple process you can follow to make price displays and quotes compliant and customer-friendly.

1. Confirm Your GST Status: Are you registered for GST? If yes, include GST in your total price. If not, remove any “+GST” language and make sure your systems don’t add GST by default.
2. Decide Where Prices Appear: Map every place a price shows up - website, product pages, social ads, brochures, POS, quotes, proposals, invoices.
3. Make The “Single Price” Prominent: Ensure the GST-inclusive total is present and at least as prominent as any “ex GST” components on each channel.
4. Include Mandatory Fees In The Total: If something is unavoidable, it’s part of the single price. Keep optional charges truly optional and clearly disclosed.
5. Standardise Your Quote Layout: Use a consistent template that lists ex GST, GST amount and a bold “Total (incl GST).” Include validity and scope notes.
6. Align Your Contracts And Policies: Make sure your Terms of Trade or Terms of Sale support your pricing approach (tax treatment, surcharges, delivery, variations).
7. Train Your Team: Sales and customer service should understand how to present and explain prices without creating confusion.
8. Audit Regularly: Spot-check your website, ads and templates each quarter to catch inconsistencies or changes that crept in.

What To Put In Your Contracts And Policies

Clear contracts don’t just help you get paid - they also support compliance by setting expectations around tax and fees. Consider addressing the following in your customer-facing terms and templates:

• Price Presentation: Whether listed prices are ex GST or include GST, and that the GST-inclusive total will be confirmed before payment.
• Taxes And Duties: When GST applies and who is responsible for any other government charges (state clearly if none apply).
• Surcharges And Fees: Any optional or conditional fees (for example, express shipping or credit card surcharges), when they apply, and how they’re calculated.
• Delivery And Handling: Delivery options, timing and costs, and when they’re added to the total.
• Quotations And Variations: Quote validity period, how scope changes are priced, and how you will communicate new totals (incl GST) for approval.
• Invoices And Payment: When invoices are issued, what they include, and payment timeframes and methods.

These points typically sit inside your Terms of Trade for services or your Terms of Sale for products. If you sell online, align those terms with your Website Terms and Conditions so customers see consistent pricing rules across your site, cart and checkout.

Because price advertising is one of the highest-risk consumer law areas, we also recommend reviewing your practices against advertised price laws - especially if you run promotions or comparison claims.

Common Mistakes To Avoid

• Showing Only “Ex GST” In Consumer-Facing Ads: This is one of the most common slip-ups. Always include the total payable (incl GST) and keep it at least as prominent.
• Hiding Unavoidable Fees: If everyone must pay a handling or booking fee, it belongs in the total. Tucking it away at checkout risks breaching the ACL.
• Adding GST When You’re Not Registered: You can’t charge GST unless you’re registered. If you’re below the registration threshold, keep your pricing simple and GST-free.
• Using Preselected Add-Ons: Preselecting paid extras can mislead customers about the real price. Let customers actively choose extras and make the base total clear.
• Inconsistent Templates: If your quote, invoice and website all say something different about GST, it confuses customers and slows cash flow. Standardise your documents.
• Ambiguous Promotions: Percentage-off claims without simple worked examples can create price misunderstandings. Wherever possible, show the final total (incl GST) the customer will pay.
• Missing The “Total” On Quotes: Listing only an ex GST subtotal invites disputes later. Show the GST amount and a bold total payable before acceptance.

If you also charge penalties or extras (for example, late fees), make sure they’re clearly disclosed and permitted under the ACL and your contract. Getting your approach to late payment fees right is part of overall pricing compliance.

Key Takeaways

• It can be legal to show “ex GST” prices, but when selling to consumers you must also present a GST-inclusive single price that is at least as prominent.
• Quotes can use ex GST pricing if they also state the GST amount and the total payable (incl GST) before the customer accepts.
• If you’re not registered for GST, don’t charge it and avoid “+GST” language entirely - your prices are simply your prices.
• Include mandatory fees in the total, keep optional charges truly optional, and make your final totals clear at checkout and on invoices.
• Align your website, quotes, invoices and customer terms so your pricing is consistent and easy to understand.
• Strong documents - like Terms of Trade, Terms of Sale and clear quote terms - help you stay compliant and prevent billing disputes.

If you’d like a consultation on pricing compliance and how to quote prices with or without GST for your business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.