1. What is NZ GST?

GST (Goods and Services Tax) is a value-added tax of 15% on most goods and services in New Zealand. It's included in the price consumers pay for goods and services.

2. How Does the Calculator Work?

The calculator uses the NZ GST formula:

Where:

• \( Price \) — The amount before GST is added
• \( 0.15 \) — The standard NZ GST rate (15%)

Explanation: The calculator multiplies the input price by 15% to calculate the GST amount, then adds this to the original price to show the total including GST.

3. Importance of GST Calculation

Details: Accurate GST calculation is essential for businesses to correctly price goods/services, complete tax returns, and claim GST credits.

4. Using the Calculator

Tips: Enter the price excluding GST in NZD. The calculator will show both the GST amount and the total price including GST.

5. Frequently Asked Questions (FAQ)

Q1: What is the current GST rate in NZ?
A: The standard rate is 15% and has been since October 2010.

Q2: Are all goods and services subject to GST?
A: Most are, but there are exceptions like financial services, residential rent, and donations to non-profit organizations.

Q3: How often do businesses pay GST?
A: Typically monthly, 2-monthly, or 6-monthly depending on the business's GST turnover.

Q4: Can I claim GST back on business expenses?
A: Yes, registered businesses can claim back the GST paid on business expenses.

Q5: What's the difference between GST inclusive and exclusive prices?
A: GST inclusive includes the 15% tax in the price, while GST exclusive shows the price before tax is added.