ABN & GST Registration

If your foreign company is planning to conduct business in Australia, obtaining an Australian Business Number (ABN) and registering for the Goods and Services Tax (GST) are essential first steps. The ABN serves as your unique business identifier across all government and commercial dealings, while GST registration ensures compliance with Australian tax obligations. For foreign businesses, navigating Australia’s registration requirements can be complex, but with the right guidance and documentation, the process becomes straightforward. Our specialist team helps international companies secure their ABN and GST registration efficiently, enabling you to start trading in Australia with full regulatory compliance.

What is an Australian Business Number (ABN)?

An Australian Business Number (ABN) is an 11-digit identifier issued by the Australian Business Register (ABR) to businesses operating in Australia. Administered by the Australian Taxation Office (ATO), the ABN system was introduced in July 2000 as part of the new tax system to simplify business dealings with government departments and agencies.

Your ABN is used to identify your business in all transactions with the ATO, other government agencies, and other businesses. It appears on invoices, quotes, and official correspondence, serving as proof that your entity is legitimately registered to conduct business in Australia.

Who Needs an ABN?

You need an ABN if you are carrying on an enterprise in Australia. This includes foreign companies that:

• Supply goods or services within Australia
• Have employees based in Australia
• Enter into contracts with Australian businesses
• Hold Australian assets or property
• Operate through an Australian branch or subsidiary

Benefits of Having an ABN

Securing an ABN provides significant advantages for foreign businesses operating in Australia:

• Avoid PAYG withholding: Without an ABN, Australian businesses paying you must withhold 47% of your payment for tax purposes
• Business credibility: An ABN demonstrates your legitimacy to Australian clients and partners
• GST registration eligibility: You must have an ABN before you can register for GST
• Government contract access: Many government tenders require suppliers to have a valid ABN
• Banking and finance: Australian banks typically require an ABN to open business accounts
• Domain registration: A valid ABN is required to register .com.au domain names

ABN Eligibility for Foreign Companies

Foreign companies can obtain an ABN, but they must meet specific eligibility criteria established by the Australian Taxation Office. The fundamental requirement is that your foreign entity must be “carrying on an enterprise” in Australia.

Requirements for Foreign Entities

To qualify for an ABN as a foreign company, you must demonstrate:

• Active business operations: Evidence that you are conducting business activities in Australia, not merely passive investment
• Commercial intention: A genuine intention to supply goods or services in Australia for payment
• Ongoing activity: Your Australian business activities must be more than a one-off transaction
• Business structure documentation: Valid incorporation documents from your home jurisdiction

Types of Foreign Entities That Qualify

The following foreign entity types are eligible to apply for an ABN:

• Foreign companies registered with ASIC as a foreign company carrying on business in Australia
• Foreign corporations operating through an Australian branch
• Foreign partnerships conducting business in Australia
• Foreign trusts with Australian business activities
• Foreign sole traders carrying on enterprise in Australia
• Non-resident entities supplying digital products or services to Australian consumers

If you are establishing a more permanent presence, consider our company formation services to set up an Australian subsidiary company.

What is GST and When Must You Register?

The Goods and Services Tax (GST) is a broad-based 10% tax applied to most goods, services, and other items sold or consumed in Australia. As a consumption tax, GST is ultimately paid by the end consumer, but businesses registered for GST are responsible for collecting and remitting it to the ATO.

The $75,000 GST Registration Threshold

GST registration becomes mandatory when your Australian GST turnover reaches or exceeds $75,000 in a 12-month period. For non-profit organisations, the threshold is $150,000. GST turnover includes the total payments you receive for taxable supplies made in connection with your enterprise.

Mandatory vs Voluntary Registration

Mandatory registration applies when:

• Your GST turnover is $75,000 or more per year
• You provide taxi or ride-sharing services (regardless of turnover)
• You want to claim fuel tax credits

Voluntary registration is available if your turnover is below the threshold. Many foreign businesses choose to register voluntarily to claim GST credits on their Australian business expenses.

Benefits of GST Registration

Registering for GST, even voluntarily, offers several advantages:

• Claim GST credits: Recover GST paid on business purchases and expenses
• Professional image: GST registration signals an established business presence
• Competitive pricing: Ability to quote GST-exclusive prices to registered businesses
• Input tax recovery: Offset GST paid against GST collected

ABN Registration Process for Foreign Companies

The ABN registration process for foreign companies involves several steps and requires careful preparation of supporting documentation. Here is a comprehensive guide to securing your ABN.

Step 1: Determine Your Eligibility

Before applying, confirm that your foreign company meets the “carrying on enterprise” test. You must have genuine Australian business activities planned or underway, not speculative future intentions.

Step 2: Gather Required Documentation

Collect all necessary documents proving your company’s existence and identity of key personnel. Foreign documents must be certified and may require apostille authentication.

Step 3: Submit Your Application

ABN applications are submitted through the Australian Business Register (ABR). Non-residents can apply for an ABN online at abr.gov.au, though you may need to provide certified identity documents and evidence of your Australian enterprise activities. A registered tax agent can assist with the process.

Step 4: Provide Additional Evidence

The ATO may request additional evidence of your Australian business activities. This could include contracts, correspondence with Australian clients, or business plans.

Step 5: Receive Your ABN

Once approved, your ABN is issued and recorded on the publicly searchable Australian Business Register.

Timeline Expectations

Processing times for foreign company ABN applications vary:

• Standard processing: 14-28 business days
• With complete documentation: 1-14 business days
• Express service (through agents): 1-5 business days

Delays typically occur when documentation is incomplete or evidence of Australian enterprise is insufficient.

GST Registration Process

Once you have your ABN, you can proceed with GST registration. This process is more straightforward but carries ongoing compliance obligations.

How to Register for GST

GST registration is completed through the ABR, either:

• At the same time as your ABN application
• Separately after your ABN has been issued
• Through your registered tax agent
• Via the ATO Business Portal

Business Activity Statement (BAS) Obligations

Once registered for GST, you must lodge Business Activity Statements (BAS) to report your GST obligations. BAS lodgements include:

• GST collected on sales
• GST credits on purchases
• PAYG withholding (if applicable)
• PAYG instalments (if applicable)

Reporting Periods

You can choose your GST reporting period based on your turnover:

• Monthly: Optional for any business, mandatory for turnover over $20 million
• Quarterly: Most common for small to medium businesses
• Annually: Available for businesses with turnover under $75,000 who voluntarily registered

For comprehensive tax compliance support, explore our taxation services for foreign businesses.

Documents Required for Foreign Company ABN Application

Preparing the correct documentation is crucial for a successful ABN application. Foreign companies must provide extensive evidence to satisfy ATO requirements.

Company Documentation

• Certificate of incorporation from your home country
• Company constitution or articles of association
• Certificate of good standing (if available)
• Company extract showing current directors and shareholders
• ASIC registration certificate (if registered as a foreign company in Australia)

Identity Verification

• Certified copies of passports for all directors
• Proof of residential address for directors (utility bills, bank statements)
• Director identification numbers (if applicable)

Evidence of Australian Enterprise

• Signed contracts with Australian clients or suppliers
• Australian lease agreements or virtual office contracts
• Business correspondence demonstrating Australian activities
• Australian business bank account details
• Marketing materials targeting Australian customers
• Website analytics showing Australian visitor traffic

Certification and Authentication Requirements

Documents from overseas must be:

• Certified: By a qualified professional such as a lawyer, notary public, or Justice of the Peace
• Apostilled: For countries party to the Hague Apostille Convention
• Authenticated: Through embassy or consulate legalisation for non-Hague countries
• Translated: Into English by a NAATI-certified translator if in another language

Our ABN & GST Registration Services

We specialise in helping foreign companies navigate Australian business registration requirements. Our comprehensive service takes the complexity out of ABN and GST registration.

What is Included in Our Service

• Eligibility assessment: We evaluate your situation and advise on the best registration approach
• Document preparation: Guidance on required documents and certification requirements
• Application lodgement: Professional preparation and submission of your ABN application
• ATO liaison: We handle all communication with the Australian Taxation Office
• GST registration: Simultaneous or subsequent GST registration as required
• Confirmation documentation: Official registration confirmations and certificates

Express Processing

For urgent registrations, our express service prioritises your application with expedited document review and submission. Most express applications are completed within 1-5 business days.

Ongoing Compliance Support

Beyond registration, we offer continuing support including:

• BAS preparation and lodgement
• GST compliance monitoring
• Annual ABN review and updates
• ATO audit support

Foreign companies requiring a local director for compliance purposes should also consider our resident director services.

ABN/GST Registration Costs

Understanding the costs involved helps you budget appropriately for your Australian business registration.

Government Fees

ABN registration is free. The Australian Government does not charge a fee to register for an ABN. Similarly, GST registration carries no government fee.

However, if you need to register as a foreign company with ASIC (Australian Securities and Investments Commission), there are associated fees ranging from $522 to $1,302 depending on your registration type.

Professional Service Fees

While you can apply for an ABN directly, foreign companies typically engage professional services due to the complexity involved. Our service fees are structured based on:

• Entity type: Simple structures versus complex corporate groups
• Documentation status: Whether documents are already prepared and certified
• Processing speed: Standard versus express service
• Additional services: GST registration, ASIC registration, compliance setup

What Affects Pricing

Factors that may increase service costs include:

• Complex ownership structures requiring additional documentation
• Documents requiring translation from foreign languages
• Multiple follow-up requests from the ATO
• Expedited processing requirements
• Bundled services such as company formation and tax registrations

Common ABN Application Rejections and How to Avoid Them

ABN applications from foreign companies face higher rejection rates than domestic applications. Understanding common pitfalls helps ensure your application succeeds.

Insufficient Evidence of Enterprise

The most common rejection reason is failure to demonstrate that you are genuinely carrying on an enterprise in Australia. To avoid this:

• Provide signed contracts or letters of intent with Australian parties
• Include detailed business plans specific to Australian operations
• Show evidence of Australian marketing or business development activities
• Demonstrate financial commitment to Australian operations

Incorrect or Incomplete Documentation

Documentation errors frequently cause delays or rejections:

• Ensure all documents are properly certified by authorised persons
• Verify apostille requirements for your country are met
• Provide certified English translations for all foreign language documents
• Include all pages of multi-page documents

Identity Verification Issues

The ATO must verify the identity of company associates:

• Passport copies must be clear and legible
• Certification must be current (typically within 12 months)
• Residential addresses must match across all documents
• All directors and beneficial owners must be identified

Speculative Applications

Applications based on future intentions without concrete plans are routinely rejected. Wait until you have genuine business activities underway or imminent before applying.

Frequently Asked Questions

Can a foreign company get an ABN?

Yes, foreign companies can obtain an ABN if they are carrying on an enterprise in Australia. You must demonstrate genuine Australian business activities, not merely passive investment or speculative future plans. The entity must be making supplies of goods or services in connection with its Australian enterprise.

How long does ABN registration take?

For foreign companies, ABN registration typically takes 14-28 business days with standard processing. Applications with complete, well-prepared documentation may be processed in 1-14 days. Our express service can achieve registration in 1-5 business days for straightforward applications.

Do I need to be in Australia to apply for an ABN?

No, you do not need to be physically present in Australia to apply for an ABN. Foreign companies can apply from overseas, though you will need to provide certified documentation and may need to work through a registered tax agent. Your business activities must have an Australian connection, but your directors and staff can be based overseas.

What is the difference between ABN and ACN?

An ABN (Australian Business Number) is an 11-digit tax identifier for any business entity operating in Australia. An ACN (Australian Company Number) is a 9-digit number issued only to companies registered with ASIC. All Australian companies have an ACN, but an ACN alone does not allow you to conduct business transactions. You need an ABN for that purpose. Foreign companies registered with ASIC receive an ARBN (Australian Registered Body Number) rather than an ACN.

When do I need to register for GST?

You must register for GST when your Australian GST turnover reaches $75,000 or more in a 12-month period. You must also register if you provide taxi or ride-sharing services regardless of turnover. If your turnover is below the threshold, GST registration is voluntary but may be beneficial if you want to claim GST credits on business expenses.

Can I claim GST back as a foreign company?

If you are registered for GST in Australia, you can claim GST credits (input tax credits) on purchases you make for your Australian business activities. If you are not GST-registered but have incurred GST on eligible business expenses in Australia, you may be able to claim a GST refund under the Tourist Refund Scheme or through a formal refund application to the ATO, depending on your circumstances.

What is a TFN and do I need one?

A Tax File Number (TFN) is a unique identifier issued by the ATO for tax purposes. While individuals need a TFN, companies operating in Australia typically need a TFN in addition to their ABN for income tax purposes. Foreign companies deriving Australian-source income should apply for a TFN to avoid higher withholding tax rates on certain payments.

What happens if I do not have an ABN?

Without an ABN, Australian businesses paying you for goods or services must withhold 47% of your payment and remit it to the ATO as PAYG withholding tax. This significantly impacts your cash flow and means you will not receive the full invoice amount. Additionally, you cannot register for GST, may have difficulty opening Australian business bank accounts, and cannot register .com.au domain names.

Start Your Australian Business Registration Today

Do not let complex registration requirements delay your Australian business operations. Our expert team has helped hundreds of foreign companies successfully obtain their ABN and GST registration, ensuring full compliance with Australian regulations.

Get started with a free consultation. We will assess your eligibility, outline the documentation you need, and provide a clear timeline and quote for your ABN and GST registration.

• Expert guidance through the entire registration process
• Express processing available for urgent requirements
• Fixed-fee pricing with no hidden costs
• Ongoing compliance support available

Request Your Free ABN Assessment

Call us on +61 2 8599 9890 or email [email protected]

Our team is ready to help your foreign company establish its Australian presence quickly and compliantly.

Related Services

Foreign companies often combine this service with:

• Company Formation Services – Complete Australian company registration and incorporation
• Taxation Services – Australian tax compliance, BAS preparation, and annual returns
• Banking Support Services – Assistance opening Australian business bank accounts
• Resident Director Services – Professional nominee directors to meet ASIC residency requirements