Q: I'm planning to hire a US IT consulting firm. They'll send invoices to my company, and I'll pay them in US dollars. Do they need any special permits to consult in Australia? Do they require an ABN? Will the US firm have to pay GST?
A: As long as the US company isn't operating a business or doesn't have a permanent setup in Australia, they likely won't need to charge you Australian GST. GST rules usually apply to imported goods, not services. So, the US firm shouldn't have to deal with GST for consulting services provided to your company in Australia.
If you have any questions, feel free to contact Tax Ideas Accountants & Advisers. You can also book an appointment through our live calendar.
