Key takeaways
- The usual $75,000 GST registration threshold applies to an NDIS sole trader, and registration is optional below it unless another trigger applies.
- If you are registered, a supply to an NDIS participant is GST-free only when four ATO conditions are met.
- GST treatment varies by support type, so check each service against the ATO's guidance and the NDIS Determination.
- The Determination covers supplies made before 1 July 2027, so check for updates on later supplies.
Does an NDIS sole trader need to charge GST?
For an NDIS sole trader, NDIS GST depends on two things: whether you are registered for GST, and the type of support you provide. If you are not registered, you do not charge GST on your invoices. If you are registered, the ATO says supplies to an NDIS participant may be GST-free, but only when the conditions are met, and GST treatment varies by support type rather than applying to the NDIS as a whole.
This article covers tax. Registration with the NDIS Quality and Safeguards Commission is a separate matter, so check their requirements directly.
When must an NDIS sole trader register for GST?
The same rules apply as for any business. You must register when your GST turnover is $75,000 or more, or is likely to reach it, and the ATO expects you to register within 21 days. You need an ABN first. Below the threshold, registration is optional, and if you choose to register you generally stay registered for at least 12 months.
GST turnover is your gross business income, and the ATO's exclusions do not list GST-free sales. So GST-free NDIS income generally counts towards the $75,000. Confirm this against the ATO's guidance on working out your GST turnover.
When is an NDIS support GST-free?
The ATO states that a supply to an NDIS participant is GST-free if all four requirements are met:
- the participant has an NDIS plan in effect
- the supply is of reasonable and necessary supports specified in the statement of supports in the participant's plan
- there is a written agreement between you and the participant, or another person such as a plan manager, the NDIA or a guardian
- the supply is covered by the GST-free NDIS Determination
What does the written agreement need to say?
The agreement must identify the participant and state that the supply is of one or more reasonable and necessary supports in the plan. It may be a single document or a combination, such as letters, receipts or invoices, including electronic ones. The ATO also notes that supports provided in excess of any time or quantity specified in the plan are not GST-free.
Which supports are GST-free, and which are not?
The Determination has two tables. Supports in Table 1 are GST-free where the other conditions are met. They include specialist disability accommodation, household tasks, assistance with travel or transport arrangements (excluding taxi fares), interpreting and translation, assistance to access and maintain education and employment, early intervention for early childhood and management of funding for supports.
Table 2 supports are only GST-free if they are also covered by one of three other determinations. They include assistance with daily personal activities, behavioural and therapeutic supports, and home modifications. The ATO gives an example of exercise physiology in a clinic, which is not GST-free unless a Medicare benefit is payable or it forms part of GST-free hospital treatment.
Illustrative example only: a sole trader provides household tasks under a written agreement that identifies the participant and the plan support. If all conditions are met and they are registered, the supply is GST-free. The same sole trader also supplies a service that is not in Table 1 or covered by another determination, so that invoice may need GST. Each service line needs its own check.
What if you work through another provider or a plan manager?
Plan management services can be GST-free where the usual requirements are met. Where a plan manager arranges supports on the participant's behalf and pays your invoices, the ATO's examples treat your supply to the participant as still capable of being GST-free.
It is different if you are engaged by an NDIS-registered provider to do work for their client. The ATO's example says the contractor's supply to the provider is not GST-free, because the provider is not an NDIS participant, and is instead taxable if the usual GST requirements are met. If you make a mix of taxable and GST-free supplies, check that your accounting system applies the right GST code to each.
Are the GST rules likely to change?
The NDIS Determination applies to supplies made on or after 1 July 2021 but before 1 July 2027, and the ATO's page was last updated on 13 June 2024. We did not identify an NDIS GST change in the 2026-27 Federal Budget material we reviewed, but check the ATO's current guidance for any supply after 30 June 2027.
Would a free 30-minute session help?
If you are unsure how your services should be coded for GST, we can go through them with you. ANH Accounting is a Sydney advisory firm and a Registered Tax Agent (26258346) that supports NDIS providers. You are welcome to book a free 30-minute session, with no obligation.
Frequently asked questions
Do I charge GST on NDIS supports?
It depends, because GST applies only if you are registered, and supplies are GST-free only if the ATO's conditions are met and the support is covered by the Determination.
Do I have to register for GST if I earn under $75,000?
Not usually, since registration is optional below the threshold unless another trigger applies.
Does using a plan manager change the GST treatment?
Not necessarily, because the ATO treats plan management services and supports arranged through a plan manager as capable of being GST-free where the usual requirements are met.
Is a verbal agreement enough for a GST-free supply?
No, because the ATO requires a written agreement, which may be a combination of documents such as letters, invoices and receipts.
What if I provide more support than the plan specifies?
Supports above any time or quantity specified in the plan are not GST-free, so they need separate consideration.
General information only, last reviewed October 2026. It is not personal advice. Tax law changes, so confirm your circumstances with a registered tax agent or on ato.gov.au.