topic Re: GST Refund... in Buying

GST Refund...

oonoh — Wed, 09 Jan 2019 22:02:30 GMT

Have paid for an Overseas transaction, but the seller has chosen to supply the goods from an Australian Outlet.

Ebay has already taken the GST for the transaction, but as goods are being supplied within Australia the GST should be refunded.. correct.

So how does one contact Ebay for a refund of which they no longer have any right to retain.

Thank you all for you time and understanding on this matter

Re: GST Refund...

eol-products — Wed, 09 Jan 2019 23:11:09 GMT

You still need to pay GST either way.

Re: GST Refund...

digital*ghost — Wed, 09 Jan 2019 23:43:05 GMT

@eol-products wrote:
You still need to pay GST either way.

Do they, though?

It's the item location that determines whether GST is payable, because if they're OS then it's an import.

If the goods have already been imported, domestic GST rules usually apply, which would eliminate eBay from the equation.

Re: GST Refund...

eol-products — Thu, 10 Jan 2019 00:16:33 GMT

If the money has gone overseas than I would imagine GST needs charging. If the funds went to an Australian bussiness than no. Not sure if the effort would be worth the 10% but first call would be Tax department I gather.

Re: GST Refund...

collect247 — Thu, 10 Jan 2019 00:28:42 GMT

If it's an Australian business then yes the GST will be charged.

I run a business in AU and I charge GST.

Re: GST Refund...

eol-products — Thu, 10 Jan 2019 00:39:24 GMT

Not all Australian businesses have to charge GST and it is illegal if you are not registered for GST and not required below 75 000 turnover.

The question is if the funds go overseas but the goods are supplied locally what then.

Re: GST Refund...

collect247 — Thu, 10 Jan 2019 00:45:36 GMT

That's the point you don't know if that seller is registered for GST so you can't say that they can't charge it.

Re: GST Refund...

digital*ghost — Thu, 10 Jan 2019 01:15:41 GMT

@eol-products wrote:
If the money has gone overseas than I would imagine GST needs charging. If the funds went to an Australian bussiness than no.

If that were the case, though, eBay would apply GST based on seller location, not item location.

If GST is applied to imports, and an item has already been imported, the GST on that import should have already been paid by whoever did the importing.

Re: GST Refund...

amber-eyed-girl — Thu, 10 Jan 2019 01:52:22 GMT

Contact eBay through “help” link above and choose the contact method that suits you best.

It’s an interesting question regarding the GST, but I would agree with Digi’s thoughts. If the item was already imported, the seller will be paying GST there...and for you to pay it via eBay, is doubling up on it.

That would be an approach to take. Best case scenario eBay understands you paid it as item was listed as overseas, then wasn’t.

That they should refund you that payment on the grounds that the seller will have been the importer, and paid any appropriate taxes/duties.

They may offer you a discretionary refund, even if they don’t get what the point is, if you stand firm.

As eBay has taken the GST automatically based on it being shipped into Australia by you, I’d argue a refund is due.

(I was thinking about a related issue just today- if a seller cancels out an overseas sale to me, does eBay then automatically refund the GST they take, or do they not? They should)

Re: GST Refund...

digital*ghost — Thu, 10 Jan 2019 02:16:04 GMT

@amber-eyed-girl wrote:

(I was thinking about a related issue just today- if a seller cancels out an overseas sale to me, does eBay then automatically refund the GST they take, or do they not? They should)

If eBay's cancellation process is used, they do, but not outside of that (kinda weird, really, because ebay still knows if a PayPal refund has been issued).

Re: GST Refund...

gutterpunkz05 — Thu, 10 Jan 2019 03:30:29 GMT

Wow, this could be the greatest loophole in history (Read Sarcasm)

I want to buy a brand new Ferrari, should be able to save about $ 200.000 Buying overseas, but collect it From their Aussie Distributor and not have to pay anything extra, No GST, No Duties Etc.

Oh well, back to reality, Bugger

Re: GST Refund...

countessalmirena — Thu, 10 Jan 2019 05:57:43 GMT

As long as you're dreaming, can you make it a Maserati and get a few with an additional group discount?

Re: GST Refund...

oonoh — Thu, 10 Jan 2019 23:25:15 GMT

Thank you all for your replies as it is most appreciated.

Will be following it up with ebay to see what will happen.

To be charged GST once is acceptable but clearly this is a Double Dip on behalf of the Tax Office.

Clearly a Loop Hole that needs to be closed to stop any other buyer being caught out.

Thank you again to you all.

Re: GST Refund...

gutterpunkz05 — Fri, 11 Jan 2019 00:54:06 GMT

You have only been charged GST once. If I Buy an item from overseas I Pay 10% GST. If I Then sell the item to you, you pay

10% GST and I am entitled to a 10% GST credit.

If you bought the item International Direct, you would be charged 10% GST

If you buy international direct and the seller has an Australian distributor, you still pay 10% GST

If you bought direct from Australian distributor, you still pay 10% GST

GST Is a money go round, until the item reaches a consumer who is unable to claim a credit.

Re: GST Refund...

brerrabbit585 — Fri, 11 Jan 2019 07:03:54 GMT

This was discussed before and I believe there was a link to something on the ATO's website. From memory, I'm pretty sure that if it's an overseas seller posting it to you from within Australia then GST has to be added at checkout. The post I remember was in relation to the Chinese avoiding the GST being applied to their items on ebay by selling on the AU site (or claiming to be selling from Australia) and that they should be reported to the ATO, not ebay.

I'm happy to be proven wrong. I'll see if I can find the thread but there's a few to wade through.

Re: GST Refund...

digital*ghost — Fri, 11 Jan 2019 08:16:11 GMT

But again, if that were the case, item location wouldn't matter when it comes to the GST on imports, only seller location would.

Whether or not GST ultimately needs to be paid on the sale is kind of a moot point - the point up for discussion is really whether ebay should be collecting it in cases where a seller is located overseas, but the item is located in Australia.

It has clearly already been determined that eBay are not meant to collect GST on those sales, because they don't,. ever, and which is why sellers who state their item location as Australia falsely can be reported, because they are complicit in tax evasion.

eBay collects GST on imports, the purchase wasn't an import.

Re: GST Refund...

brerrabbit585 — Fri, 11 Jan 2019 08:19:55 GMT

I'm sorry but I've read through a few older threads and I think the discussion I remember related to overseas sellers pretending their items were in Australia but sending them from overseas, which is a different issue.

Re: GST Refund...

borneodi_22 — Tue, 28 Apr 2020 07:30:15 GMT

Does buyer still need to pay for GST if the item never even lands in Australia, it's being ship direct from UK to USA?

Re: GST Refund...

lyndal1838 — Tue, 28 Apr 2020 07:47:39 GMT

Wrong thread but if the buyer is in Australia and buying from an overseas seller then yes, GST is still payable.

Re: GST Refund...

borneodi_22 — Tue, 28 Apr 2020 20:25:57 GMT

HI,

No Buyer is in USA. And Item is ship from UK to USA direct.