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The short answer
Income from Nigerian customers still goes on your BAS, converted to Australian dollars, even when no GST is charged on it. The ATO says a service is usually GST-free if the recipient is outside Australia and goods exported within 60 days can be GST-free, but specific rules apply. GST-free sales are reported in the sales section of the BAS (labels G1 to G3), and you can still claim GST credits on purchases used to make them.
First question: is the sale GST-free?
Whether an amount appears on your BAS with GST or without depends on what you sold and to whom. The ATO's GST-free sales page, last updated 14 September 2026, says a supply of a service is usually GST-free if the recipient of the service is outside Australia, and that there are specific rules deciding whether a supply qualifies. Exported goods can be GST-free if they are exported within 60 days of payment or the invoice, whichever comes first.
The ATO's exports page adds an important limit: a service is not GST-free if it is provided in Australia, even if the customer is not in Australia. Its examples include a writer in Australia working for a publisher abroad (no GST) and tuition given to students in Australia (taxable). If you cannot tell where a subscriber or customer is, the same page says sales may be taxable.
- Likely GST-free: consulting, design or software work delivered remotely to a company in Lagos that is not in Australia when you supply it.
- Likely taxable: a service you perform for a Nigerian visitor while they are in Australia.
- Goods: GST-free if exported within the 60-day window and you keep evidence of the export.
For the invoicing side of these sales, see GST on services to Nigerian clients.
Converting the income to AUD
The BAS is completed in Australian dollars. The ATO's translation rules say ordinary income is translated at the earlier of when it is derived or received, and average rates are allowed in many cases. Where you invoiced in US dollars or naira, choose a documented rate source and apply it consistently. The ATO publishes monthly rates and says a reasonable externally sourced rate may be used for a currency not in its tables. Our guide to which exchange rate to use covers this in detail.
Where the amounts go on the BAS
The ATO's instructions group the sales labels G1 to G3 in step 1 of completing your BAS; these cover total sales and the GST-free categories. Purchases go in step 3 (G10 and G11). The ATO's step 1 page explains which label each kind of GST-free sale belongs on; we could not retrieve that page when we checked in October 2026, so read it, or ask a registered BAS agent, before you decide where remotely delivered services to overseas customers go.
The general rules on the ATO instructions page, last updated 14 September 2026, apply to every label:
- Round down to whole dollars. Do not show cents.
- Do not report negative figures or use symbols such as +, -, or $.
- Leave a label blank if it does not apply. Do not write N/A or nil.
- Use the method you have chosen: the calculation worksheet method uses every step; the accounts method uses steps 1, 3, 5 and 6.
The amounts you report also depend on your accounting basis (cash or non-cash). On a cash basis, the Nigerian payment counts when you receive it; on a non-cash basis, when you invoice. A late-paying Lagos client therefore affects different quarters depending on your basis.
GST credits and GST turnover
Making GST-free sales does not stop you claiming GST credits on what you bought to make them. The GST-free sales page says this directly, and the exports page says exporters can still claim GST credits. Export sales connected with Australia are included in your GST turnover even though they are GST-free, according to the exports page, so they count towards the A$75,000 registration threshold the ATO's registration page sets for most businesses.
Worked example
Example with illustrative figures only. A Melbourne consultancy on a cash basis receives US$4,000 in a quarter from a Lagos company for remote advisory work, and A$22,000 (including A$2,000 GST) from Australian clients. Using its documented rate policy, the US$4,000 converts to A$6,050.
| Item | Amount |
|---|---|
| Australian taxable sales, including GST | A$22,000 |
| Nigerian client, GST-free (if the rules are met) | A$6,050 |
| Total sales in the step 1 labels | A$28,050 |
| GST on sales | A$2,000 |
The GST payable comes only from the Australian sales; the Nigerian income still increases total sales. Which GST-free label the A$6,050 goes on is set out in the ATO's step 1 instructions.
What to check first
- Where the customer was when you supplied the service, and where it was used.
- Evidence of export for goods (shipping documents within the 60-day window).
- Your rate source and the date you converted each receipt.
- Your accounting basis, so the income lands in the right quarter.
- The due date printed on your BAS; the ATO says some quarterly BAS lodged online may get an extra two weeks.
This is general information, not tax advice. If you use a BAS or tax agent, the ATO suggests checking they are registered with the Tax Practitioners Board.
Where Pryme fits
A Pryme Business Account can receive US dollars, sterling, euros and naira from customers, and invoicing keeps each receipt matched to its invoice. The Finance agent prepares a quarterly list of foreign receipts with dates and amounts for you or your agent to review before lodging.
Questions people ask
Do I charge GST to a Nigerian customer?
Usually not for services where the customer is outside Australia, but specific ATO rules apply, and services provided in Australia are not GST-free even for a foreign customer.
Does GST-free income from Nigeria go on my BAS?
Yes. It is reported in the sales labels (G1 to G3), converted to Australian dollars, even though no GST is payable on it.
Can I claim GST credits if most of my sales are exports?
Yes. The ATO says you can still claim credits for GST in purchases used to make GST-free sales.
What exchange rate do I use for a BAS?
Translate at the time the income is derived or received, or use an average rate where allowed, from a documented reasonable source.
Sources
- ATO: GST-free sales (last updated 14 Sep 2026) · accessed Oct 2026
- ATO: Exports and GST · accessed Oct 2026
- ATO: Instructions for completing your BAS (last updated 14 Sep 2026) · accessed Oct 2026
- ATO: Completing your BAS for GST (last updated 14 Sep 2026) · accessed Oct 2026
- ATO: Translation (conversion) rules · accessed Oct 2026
- ATO: Registering for GST (last updated 14 Sep 2026) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.