Switchboard Finance logo – GST Turnover glossary

GST Turnover

GST Turnover is the total business income before GST is removed. It is used by the ATO to determine GST registration thresholds, BAS obligations, and is commonly used by lenders to assess business activity for Low Doc Asset Finance, Business Loans, and Working Capital Loans. Related terms: GST, BAS, Turnover. Relevant hubs: Business Owners Finance Hub.

Why GST Turnover Matters

Lenders use GST turnover to understand the scale of the business, its trading health, and eligibility for low doc and full doc products. The ATO uses GST turnover to determine if GST registration is required.

  • Indicates business size and trading activity
  • Used in low doc lending criteria
  • Critical for BAS reporting cycles
  • Determines GST registration requirements
  • Impacts cashflow planning and tax reporting

How GST Turnover Works

  • Calculated as total revenue before GST is deducted
  • Includes sales, fees, commissions, and business income
  • Excludes GST collected from customers
  • Does not include private sales or input-taxed sales
  • Measured monthly, quarterly, and annually

Many lenders require minimum GST turnover thresholds to qualify for low doc asset finance products.

Official reference: ato.gov.au

Is GST turnover the same as revenue?
Almost — GST turnover is revenue before GST is removed, while accounting revenue is usually shown net of GST.
Does GST turnover include GST collected?
No, GST turnover excludes GST collected from customers.
What is the GST registration threshold?
Businesses must register if GST turnover reaches $75,000 per year ($150,000 for non-profits).
Do lenders check GST turnover?
Yes — especially for low doc loans where BAS or bank feeds are used to verify business activity.
Does GST turnover affect loan amounts?
Yes — lenders use it to estimate servicing capacity and maximum borrowing levels.