No More GST Free from 1 July 2017 - Price Increase on eBay/Kogan?

As you know, long time ago it's been decided that item imported under $1000 are no longer GST-free.
http://www.itnews.com.au/news/australia-sets-date-to-end-gst…

Should we expect a higher price for a lot of items at Kogan and other grey imports then?

If so, shouldn't this year's boxing day and June's EOFY will be our last hurrah?

Just to be clear I'm more concerned for item close to $1000 like laptops, phones, etc.

Poll Options

  • 8
    Yup this is your last hurrah, shop!
  • 0
    Unlikely, somehow the price won't go up. Too many holes to cover.

Comments

  • +3

    I don't have much hope for that particular policy to stand for long. I also don't think anyone will stand for websites being blocked for not paying GST. (https://www.choice.com.au/shopping/online-shopping/buying-on…)

    • +1

      Oh yeah, absolutely not…
      let's cross our fingers

    • Actually, I thought they pay per item that they ship? How then would ATO label a company for not paying their GST?
      What if the company being sneaky and claim the shipped item only worth $10, while it's actually $2k.

  • +4

    Hockey said Australia's tax agents will now need to travel all over the world to ask online retailers to register for GST purposes.

    Lol…

    "As goods would not be stopped at the border, administering a vendor registration model would have a relatively low cost," he said in a statement.

    So it's likely we won't notice too much of a difference. Importing from UK (Zavvi, Base etc) will still likely be cheap

  • The problem, for the Government, is still - how to enforce collection of it.
    (They can't even collect tax from the usual suspects)

    The laughable LVIT debate

    This is from a retail trade website.

  • +1

    Hmm, thought occurs.

    Amazon are rumoured to be setting up here from ….. July 2017.

    Are they looking for a quick win in being a conduit for chinese firms shipping to Oz? They deal with the GST red tape whilst those that don't charge GST get stopped at the border and their websites blocked?

    The timing just seems veeeerrryyyy suspicious to me

  • Have they also figured out a way to block all the VPN services?

  • +1

    Probably be similarly enforced to how European countries do it: pay tax/duty upon purchase, or the item is held at the post office and you get a notice in the mail to pay the fees (plus usually assessment/handling fee) upon/before collection.

    • or the item is held at the post office and you get a notice in the mail to pay the fees (plus usually assessment/handling fee) upon/before collection.

      This won't happen. It would be to expensive to collect gst this far down the line.

      • I think it will be a middle ground. They will stop some shipments from big sellers until the headache for Amazon, Kogan etc. becomes to annoying and those sellers agree to collect GST (just like they do for VAT and state sales taxes in the USA).
        Little guys on ebay/aliexpress etc. will continue without any change.

    • I thought you have to pay at the border/customs?

      Not sure where that is, maybe airport/seaport?

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