How to Calculate GST Content When GST is 15%

Posted 27/05/2010 Updated 11/06/2012

Here's the formula used to work out the GST content of a GST inclusive price when the GST content is 15%

Multiply the full GST inclusive price by 3 then divide that result by 23. The end result will be the GST amount.

The above formula is the Inland Revenue recommended method of calculating the GST content of a GST inclusive amount. Goods & Services Tax in New Zealand changed from 12.5% to 15% on 1 October 2010.

Update 1: Here's a few super easy GST calculators for working this out.

Update 2: Here's a full explanation and examples on how to work out GST correctly at 15%.

Related Items: GST

All new clients now receive a $100 Kiwitax voucher! Click for a quote for your accounting & income tax today.

Tags

Accounting Business Claimable Expenses Contractors Depreciation Drawings Employing Family Home FBT Gifts GST Guides Income Tax Inland Revenue Interest LAQC Loans LTC Overseas Income PAYE Provisional Tax Record Keeping Rental Property Salary & Wages Schedular Payments Shareholders Starting Business Stock Structures Tax Agents Tax Compliance Tax Refunds Tax Returns Terminology Vehicles Weblinks Withholding Tax

Have Questions?

We're always happy to help and talking with us is always free. Please ask us

Top

 

Contact Us

Call In

  • 8.30am - 5pm Mon-Fri
  • 122 Taradale Road (Map)
  • Napier, Hawkes Bay
  • New Zealand

Mail To

  • Freepost Kiwitax
  • PO Box 3035
  • Napier 4142
  • New Zealand