We have trader. In nz there is a threshold for registering. This is compulsory registering which is $60000. $60000 is your threshold. If you have taxable supply below that level you dont have to register, you can. Dont have too. If you have taxable supplies above that level you need to registered. So wen we go into a shop anywhere we are charged gst. For eg we go into the supermarket, we buy loaf of bread, as we leave the market we pay our 15% gst on the loaf of bread. That market has bought that loaf of bread from somewhere like vogel. When they bought the load of bread from vogel they pay gst on the loaf of bread. If the supermarket didnt get credit for the gst they had paid, the ticket being clipped every single time that the product moved from another set of hand. That is not intended aim, not intended taxes are paid again and again at every part of the supply chain. Idea is that of the case the super market can claim a tax credit for the gst they have paid. For loaf of bed they bough t from vogel they pay gst on that. They get a credit for that and then the tax you paid to the market for the same loaf of bread, that gst is paid to inland rv. That works on the system of input and output tax credit. That is how we get to the oint where the gst is only charged once and only paid by the final consumer. The trader charge the gst on teh sales they make, they receive the crethey receive the credit for gst they have paid on input they have have purchased. Then