What Constitutes a Gift at Customs Clearance

• 

  Jimothy Wongingtons on 02/07/2022 - 18:25

  +1

  not keep the packaging

  Would be a start

  • 

    AndyC1 on 02/07/2022 - 19:03

    +1

    In the way distant part if you used it overseas then it did not have to get declared, but the rules have probably changed.

• 

  dizzle on 02/07/2022 - 19:37

  +1

  There are ways around it (mostly by claiming a product isn't new), but I think your definition of "gift" is a bit off.

  A gift is something you get given. However I don't think that stops you having to pay tax (otherwise everything would be a "gift from my friend in London").

  If you purchased it then it's not a gift. As for paying import duties/tax even when having already paid tax overseas…Yes, however depending on the country you may be able to claim the tax back when leaving that country, so it depends on where you're going. From my understanding you can't claim when leaving the US (As sales taxes are state based, not federal), UK stopped their VAT refund for tourists when they left the EU (but if the shop is set up for it, they can directly export it and you can claim the VAT back., Spain, Mexico, Hong Kong, Dubai are (or have been) places that you can claim the sales tax back from).

  • 

    A curious G on 02/07/2022 - 20:00

    So if you can't get the tax back from the country you bought it from, you still have to pay duty/tax to Australia when you arrive into Aus? Essentially double taxed

    Definitely would want to claim the product isn't new and just remove the packaging then

    https://www.pmc.gov.au/sites/default/files/files/Official_Gi…
    "A passenger arriving into Australia is entitled to a concession of AUD$900.00 worth of goods purchased
    overseas, received as gifts or purchased duty and/or tax free in Australia. Where the gift and any other
    goods obtained overseas and/or purchased on a duty/tax free basis in Australia have a combined value
    more than AUD$900.00 the individual will be charged duty and/or GST on the value of those items"

    That's where I just assume something you buy for yourself is considered a gift for declaration purposes

    • 

      dizzle on 03/07/2022 - 16:14

      You still have to pay duty/tax to Australia when you arrive into Aus? Essentially double taxed

      Yes. If you purchase an item overseas and bring it to Australia, you are the importer. Therefore you pay the import duty. For Australian tax purposes it doesn't matter whether you have already paid tax in another country because Australia has nothing to do with that. As for claiming it isn't new, it depends what it is. It's easy enough to put an iphone in your pocket and state you purchased it 8 months ago in Melbourne. Other things may not be so easy. But also consider that customs agents do this day in and day out. You'll get away with somethings, but they'll pick up on others.

      That's where I just assume something you buy for yourself is considered a gift for declaration purposes

      It doesn't matter if it's a gift (see next paragraph). But no, something you buy for yourself is not a gift (whether you're assuming it or not)

      AUD$900.00 worth of goods purchased overseas, received as gifts or purchased duty and/or tax free in Australia

      That means a total of $900 of purchased goods and gifts. Anything other than that is taxable.

• 

  [Deactivated] on 02/07/2022 - 21:15

  there's no way i would be declaring it, at all.

  it's not like the sniffer dogs can smell how new it is.

  just don't be silly, don't flaunt it until you get out of the airport. maybe take an old, somewhat worn empty bag with you (or filled with disposable items) that will fit the item you are planning to buy. depends what the item is, really.