For Australian and New Zealand stores, getting GST right is the whole point of moving WooCommerce orders into Xero. Get it wrong and your BAS or GST return won't reconcile. Here's how GST flows from WooCommerce to Xero, and what to check.
Tax-inclusive pricing
Most AU/NZ stores display GST-inclusive prices — the price on the product page is what the customer pays, tax included. Xero supports this directly: invoices use tax-inclusive line amounts, and Xero works out the GST component from the total. A good integration mirrors your store, so a $110 order shows in Xero as $110 including $10 GST — not $110 plus tax on top.
GST rates: AU vs NZ
| Region | Standard GST | Typical Xero tax rate |
|---|---|---|
| Australia | 10% | GST on Income |
| New Zealand | 15% | 15% GST on Income |
The integration should apply the right rate for your region automatically, and let you pick a specific Xero tax rate if you use a custom one.
Not registered for GST?
If your store isn't registered for GST, invoices should be created with no tax. Make sure your connector has a "GST registered" switch — turning it off tells it to invoice without GST so you don't accidentally report tax you didn't collect.
Mixed carts: GST-free and taxable together
Plenty of stores sell a mix — some products carry GST, some are GST-free (certain foods, medical items, exports). On a single order, each line can have a different tax treatment. OZ BookSync reads the tax on each WooCommerce line: lines that charged GST are marked taxable, and zero-tax lines are sent as GST-free (AU) or zero-rated (NZ). That keeps each line — and your GST return — correct, even on a mixed cart.
Shipping, fees and rounding
Shipping and surcharges are taxed the same way as the order charged them, and any one-cent rounding is reconciled so the invoice total equals the order total exactly. That last detail matters more than it sounds: if invoices are off by a cent, bank reconciliation becomes a chore.
The payoff
Done properly, WooCommerce → Xero syncing means your GST is calculated once, correctly, and carried straight into Xero — so BAS and GST returns line up without manual fixes. See the setup guide to configure region, GST and tax rates for your store.
This article is general information, not tax advice. Check your GST treatment with your accountant or the ATO / IRD for your situation.