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GST on all overseas purchases from July 1st.


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I agree on the taxing of items imported, in reality it is cheaper to buy what you want overseas regardless of tax, import duty or GST, just for an example, I can go out and buy a item that I just researched for my wife from an Australian retailer here for $155, or I can buy the exact same item from India where it is made from a re-seller for $28 delivered to my door, same manufacturer, even packaged exactly the same.

I have no problem paying tax, import duty or GST on it, as it will still be cheaper to buy from overseas in most cases.

 

It just seems that Australian retailers are working on 400% + profit.

Im not against anyone making a profit, I am against getting ripped off though, im sure if I can get it for $28 delivered to my door they can get it even cheaper and still make a decent profit at $50 - $80, then I would not go looking for a cheaper alternative, the internet has opened up a new shopping experience and people are taking advantage, these big stores with huge mark ups are all going down and they think this GST is going to save them, it wont be long and most shopping will be done online, you wont find a large store to go into.

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It just seems that Australian retailers are working on 400% + profit.

 

If I knew of a retailer making 400% profit I would advise every one on this forum to buy shares in that company right now lol.

Im no stock market guru but 400% profit sounds like a money train to me, toot toot. :)

 

Im guessing you mean markup

 

Im hoping Local retailers dont go down the tube, as they are the ones creating jobs, if they did go they would only be replaced by Multinational companies who dont create jobs and who contribute very little to our economy.

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The company my wife works for base profit margin starts at 400%, the guy who owns it is very wealthy and getting more wealthy by the day, he knows if you want it and you need it now, he is the only one in Australia you can get it from.

 

Unfortunately times are getting tough for the old spender, if you can get the same item for less, most people are going to go that way, it does mean the end for local retailers, online has created the home shop, people that have cut overheads and can offer the same items discounted, no shoplifters, no extra insurance, no extra exorbitant rent, no extra electricity bills, no extra employees, no payroll, the list goes on.

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The company my wife works for base profit starts at 400%, the guy who owns it is very wealthy and getting more wealthy by the day, he knows if you want it and you need it now, he is the only one in Australia you can get it from.

 

what does he sell? Have you thought about jumping in on the action and starting a business, sounds like he has found a good market.

Or is he just selling crystal Meth, if thats the case maybe best to stay away lol

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what does he sell? Have you thought about jumping in on the action and starting a business, sounds like he has found a good market.

Or is he just selling crystal Meth, if thats the case maybe best to stay away lol

 

Unfortunately he has it sewn up, he has outlets all over Australia and Singapore, he does have some competition, but only 2 other companies here in Aus, but they don't hold much stock and regularly buy from him.

 

I know of one particular item that was purchased for $20,000 and sold the same week for $120,000 after it was certified for use, by his company.

 

Don't really think I should say what industry it is, as I don't think they would like me telling people what their profit is, could get the wife in the shit for telling me :(

 

 

Have you ever looked at a item and thought how can they ask $$$$ for that, then had another item and wonder how they can make it and distribute it for so little?

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I've told this before but its relevant.

 

Last year or the year before I needed a new part for my pool cleaner. Common as muck cleaner. Local shop wanted $160.00 ****ing dollars for it. It was a plastic tube ffs. A whole new cleaner in the same shop was $380.00

 

I bought the EXACT part I needed WITH 4 bonus parts included for $38.00 shipped out of the US.

 

I'd already done my research but wanted to support local. When the guy told me the price I actually swore at him in shock. Told him I would have paid $50-60 to support aussie jobs but not at that difference. I get that his costs are higher but damn.

 

So even with GST I'd be well in front buying from overseas.

 

Brad

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Just wondering if small businesses like PBR will register for GST and still sell to AUS ? As it took them so long to get a decent payment system going I wonder if they will bother doing this?

It could make buying of those hard to get parts very difficult to source in the future.

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Question is..

What happens when ( fin Lee or bobby beer barrel ) collects the gst on all sales to AU and then decides to pocket the gst . Whats the chance of AU Government tracking him/her down and trying to enforce them to pay when they are in another country .

They would not give a rats.... unless they are coming here ..

Or they could pocket the last quarter and close .. bye bye tax dollars.. and reopen , new name .

 

Say good buy to AU tax collected

 

Sent from my SM-G930F using Tapatalk

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The new rule only applies to sellers with sales (to Australian buyers) of AUD $75K or more, so it will be interesting to see what happens.

 

There's no way the government can chase down all of the smaller sellers. They are after the major ones (eBay, AliExpress, etc).

 

I got an email from Digikey the other day asking for our ABN so we would be exempted from GST collection at their end.

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Question is..

What happens when ( fin Lee or bobby beer barrel ) collects the gst on all sales to AU and then decides to pocket the gst . Whats the chance of AU Government tracking him/her down and trying to enforce them to pay when they are in another country .

They would not give a rats.... unless they are coming here ..

Or they could pocket the last quarter and close .. bye bye tax dollars.. and reopen , new name .

 

Say good buy to AU tax collected

 

Sent from my SM-G930F using Tapatalk

 

Received an e-mail from MyUS stating they are going to start collecting GST on packages under $1000 on behalf of the ATO. So I rang the ATO to see if they are registered to collect the GST. They can't tell me unless they have an ABN. My question is why would an American company that has no presence in Australia bother and all the ATO could say was that if they do more than $75000 in business then they have too. So how do you force them too, answer they have too it's in the legislation.

 

I just want to make sure it comes to Australia if I pay the GST. I would rather pay it when it arrives in OZ but they obviously don't want to do that due to the costs involved.

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Seeing there are so many different items coming to Australia for so many different reasons, the straight out sale of a item cops GST if the company that sells it has a turnover over $75000, so what if the company does not think that its yearly sales are going to go over $75000, so they dont collect it, then at the end of the year it shows that they sold $75001 ?, or if they collect the GST for it and only do $74999 ?, there are so many mistakes that can and will be made by letting the selling company control the GST component.

 

If the government want the GST component, then they should be the ones collecting it, then there is no misunderstanding, the GST component should not be left up to a company to collect on Australia's behalf.

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Seeing there are so many different items coming to Australia for so many different reasons, the straight out sale of a item cops GST if the company that sells it has a turnover over $75000, so what if the company does not think that its yearly sales are going to go over $75000, so they dont collect it, then at the end of the year it shows that they sold $75001 ?, or if they collect the GST for it and only do $74999 ?, there are so many mistakes that can and will be made by letting the selling company control the GST component.

 

If the government want the GST component, then they should be the ones collecting it, then there is no misunderstanding, the GST component should not be left up to a company to collect on Australia's behalf.

 

 

Agree . What overseas seller/ company is going to report there sales if any, income/sales to a foreign government . tell em there dreaming.

 

To Quote you , If the government want the GST component, then they should be the ones collecting it, then there is no misunderstanding, the GST component should not be left up to a FOREIGN company to collect on Australia's behalf.

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  • 1 month later...
Shipping gets slugged with GST as well, far out. So unfair, so depressing.

 

It always has for purchases over $1000. It's a Good or Service therefore Good and Services Tax applies.

 

Don't think of it as paying new tax, think of it as getting away with not paying a tax you probably should have been paying for years and years...

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I still can't process it. For local products and services sure, but not for offshore purchases. It really, really stings.

 

Should be the opposite - local purchases should be tax free and imports should be taxed. Why encourage people to purchase offshore when it brings no economic value to the Australia?

 

 

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I still can't process it. For local products and services sure, but not for offshore purchases. It really, really stings.

 

Why? The idea of GST is that people with more money spend more money and will therefore contribute more to consolidated revenue. Whether or not that's what actually happens, the source of the good or service and its value has nothing to do with the premise of the tax.

 

This is happening everywhere. It hurts local retailers that they have to charge 10% more when they import a good than when you do. UK has VAT on all purchases and imports (even if you post someone a big box of stuff as a gift). The USA just changed all their state tax laws to enforce it better. etc.

 

It's been a flaw in the system since its introduction.

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GST is just another bullshit government tax added to the hard working man, aren’t we already getting taxed when we go to work and earn our wages when we buy our food buy any products buy or sell a house or car or any other services we use, yeah I’d be all for a GST if they cut out the income tax we pay but GST is just the government double dipping and there is nothing anyone can say that will change my mind on the subject.

 

 

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GST is just another bullshit government tax added to the hard working man, aren’t we already getting taxed when we go to work and earn our wages when we buy our food buy any products buy or sell a house or car or any other services we use, yeah I’d be all for a GST if they cut out the income tax we pay but GST is just the government double dipping and there is nothing anyone can say that will change my mind on the subject.

 

I do agree that stamp duty is a poor choice for a tax as it fluctuates wildly. but generally I think we should pay more tax than we do, especially at the higher end of the income bracket. We complain about crap roads, schools, hospitals, etc but then whenever the politicians wave a $10 a week tax cut in our faces we vote3 them in for another 4 years.

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