Small business GST changes overview

Important GST changes announced in the 2007-08 Budget are designed to give small businesses more flexibility and an easier-to-use, less complex tax system.
The key GST changes that apply from 1 July 2007 are as follows:
Increase the GST registration threshold from $50,000 to $75,000 for businesses, and from $100,000 to $150,000 for non-profit bodies.
Increase the threshold for when a valid tax invoice is required to claim GST credits from $55 to $82.50 (inclusive of GST).
The Commissioner of Taxation can extend the use of simplified GST accounting methods to additional clients with an annual turnover of less than $2 million that make mixed sales (both taxable and GST-free) or mixed purchases (both taxable and GST-free).
The increase of the GST registration threshold will mean clients that have a GST turnover of less than $75,000 (or $150,000 for non-profit bodies) will have the option to:
cancel their GST registration (note: they would then be ineligible to claim fuel tax credit claims)
choose to report and pay GST annually or
continue with their current GST arrangements.
Taxi operators are still required to be registered for GST regardless of their turnover.
The change to the tax invoice requirement means that a valid tax invoice is no longer required in order to claim GST credits for business purchases of $82.50 or less (GST inclusive). It is also no longer a requirement to issue a valid tax invoice for sales made up to $82.50 (GST inclusive). As a result, the threshold for withholding from a supplier that does not provide and ABN has also increased from $50 to $75 (GST exclusive).

Source www.ato.gov.au