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Selling online in Australia: platforms and rules explained

By FastBuySale Newsroom · 9 Nov 2026 · 12m ago

Who this guide is for

Selling online in Australia covers everyone from people clearing out a garage to small businesses with their own branded store. Once you sell as a business, a set of national rules applies, mainly the Australian Consumer Law enforced by the ACCC and state and territory fair trading agencies, and tax law administered by the ATO. This explainer sets out the main platform choices and the rules in plain English. It does not promise any income, and you should check the official guidance for your situation.

Step 1: choose your channel

Online marketplaces. Large audiences and built-in payments, in exchange for selling fees and platform rules.

Niche marketplaces. Platforms focused on fashion, handmade goods, collectibles, electronics or furniture, with smaller but more targeted audiences.

Social selling and local listings. Selling through social media, community groups and classifieds, often with low or no fees, but you handle more of the payment safety and logistics.

Your own online store. Full control over branding, pricing and customer relationships, but you must bring your own traffic and manage payments, policies and customer service.

Step 2: work out your real margin

Add selling fees, payment fees, postage, packaging, returns, advertising and the cost of the goods. If you are registered for GST, remember that one-eleventh of a GST-inclusive price goes to the ATO.

Worked example: a seller lists a refurbished side table at 132 dollars including GST. GST is 12 dollars, leaving 120 dollars. Platform and payment fees of 10 percent of the full price are 13.20 dollars, and postage and packing cost 25 dollars. The table cost 45 dollars to buy and 10 dollars in materials. Profit is 120 - 13.20 - 25 - 55 = 26.80 dollars before income tax and the seller's time. The percentage calculator linked on this page helps test prices.

Step 3: understand consumer guarantees

When a business sells goods to consumers, the Australian Consumer Law provides automatic consumer guarantees. Goods must be of acceptable quality, match their description and any sample, and be fit for any purpose the seller was told about. If a product has a major problem, the consumer can choose a refund or replacement; for minor problems, the business can choose to repair, replace or refund. These guarantees cannot be excluded by a store policy, so statements such as no refunds under any circumstances are misleading.

Consumer guarantees generally do not apply in the same way to private sellers who are not in business, such as someone selling an old couch, though misleading descriptions can still create problems.

Step 4: avoid misleading claims

Product descriptions, prices, reviews and advertising must not be false or misleading. Show the total price where required, including unavoidable fees. Do not post fake reviews or suppress negative ones. Claims such as environmentally friendly, Australian made or limited stock must be accurate and able to be backed up.

Step 5: check product safety

Mandatory safety standards, information standards and bans apply to many products, such as children's toys, button batteries and products containing them, baby products, cosmetics labelling and certain electrical goods. These rules apply equally to online sales. Recalled products must not be sold. Check the Product Safety Australia website for standards and recalls relevant to what you sell.

Step 6: get the tax basics right

If you are carrying on an enterprise, you need an Australian Business Number, which is free to apply for. Register for GST when your GST turnover reaches 75,000 dollars a year. Profit from an online selling business is assessable income and must be declared in your tax return. The ATO runs data-matching programs that use information from online marketplaces and payment providers to identify people who may not be declaring their income.

Selling your own used household items occasionally is generally not a business and not taxable. Capital gains tax can apply to collectables bought for more than 500 dollars and to personal use assets bought for more than 10,000 dollars.

Step 7: handle customer data and marketing properly

Many small businesses with annual turnover of 3 million dollars or less are exempt from the Privacy Act, but some are covered regardless, for example those that trade in personal information. Even when exempt, handling customer data securely and transparently is good practice. If you send marketing emails or texts, the Spam Act requires consent, clear identification of your business and a functional unsubscribe option.

Step 8: post and deliver reliably

State realistic delivery times and keep buyers informed of delays. Use tracked postage for valuable items and keep proof of postage. Clear return and refund processes, consistent with consumer guarantees, reduce disputes and negative reviews.

Step 9: protect yourself from scams

Common scams targeting sellers include fake payment confirmation emails, buyers who overpay and ask for a refund of the difference, requests to send goods before payment clears and requests to use a courier the buyer arranges that requires you to pay a fee. Keep payments inside the platform's system, wait for funds to clear and report scams to the National Anti-Scam Centre's Scamwatch service.

Step 10: selling to buyers overseas

Shipping internationally widens your market but adds customs forms, longer delivery times and higher postage. Goods exported from Australia within set timeframes are generally GST-free for registered sellers, provided you keep evidence of export such as postage or freight documents. Check the destination country's import rules, because some items are restricted, and buyers may have to pay import duties or taxes on arrival. Make it clear in your listing who pays those charges to avoid disputes.

Step 11: read platform and supplier terms

Marketplaces and suppliers set their own terms on fees, account suspension, payment holds and liability. Since November 2023, unfair contract terms in standard form contracts with small businesses and consumers have been illegal, with penalties, and the protections cover many small business contracts. If a term looks one-sided, such as allowing a platform to change fees without notice or hold funds indefinitely, the ACCC's guidance on unfair contract terms explains what may be challenged. Keep copies of the terms you agreed to, as they can change over time.

Worked example: from hobby to business

Grace makes ceramic planters and sells a few to friends each year. That is a hobby. When she starts selling 40 planters a month through a handmade marketplace and her own website, she is carrying on a business. She applies for an ABN, records her costs, adds a returns policy consistent with consumer guarantees, checks there are no product safety standards for planters, declares her profit in her tax return and monitors her turnover against the 75,000 dollar GST threshold.

Keeping records that help at tax time

Record each sale with its date, price, fees, postage and the cost of the item, and keep receipts for materials, packaging and equipment. Marketplace and payment provider statements are useful but do not show your costs. Keep records for five years from lodging your tax return. A separate bank account for selling makes it easier to separate business income from personal spending.

Printable checklist

Channel: marketplace, niche site, social, own store or a mix?

Margin: price minus fees, postage, returns, GST and cost of goods?

Consumer guarantees: policies consistent with the Australian Consumer Law?

Claims: descriptions, prices and reviews accurate and not misleading?

Safety: mandatory standards, bans and recalls checked?

Tax: ABN if in business; GST at 75,000 dollars; profits declared?

Data and marketing: privacy handled well; Spam Act consent for marketing?

Delivery: realistic times, tracked postage, clear returns process?

Common mistakes

Writing no refunds policies, which conflict with consumer guarantees.

Ignoring postage and returns when pricing.

Listing products that are subject to bans or mandatory standards without checking.

Assuming online sales are invisible to the ATO.

Adding customers to a mailing list without consent.

The bottom line

Selling online in Australia is accessible, but once you sell as a business the Australian Consumer Law, product safety rules and tax obligations apply just as they do to a physical shop. Choose a channel that fits, price for every cost, describe products honestly and keep good records. Use the ACCC's selling online guidance, Product Safety Australia and ATO pages as your official references. This guide is general information and does not promise any income.

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