GST on all imports July 2018

Yes kicks in  this July  already talking an extra added  $5 security fee !

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GST on all imports July 2018

Well following the ATO's site and trying to talk to Ebay Australia through chat it seems they dont understand and are giving out the wrong information - maintaining they arnt doing anything wrong and not following their own web advices

 

Work for a ABN / GST registered business. Trying to tell them that and to have the GST removed from sub $1000 purchases as per their website (arguably under their sales section however its clearly about purchasing) and they are busy telling me that doesnt apply and I should go and talk / read the ATO website. That I just linked them.

 

I am not going mad am I?

 

https://www.ebay.com.au/help/policies/selling-policies/tax-policy?id=4348

Goods and Services Tax for items sold on eBay > Items imported into Australia > Orders up to AU $1,000 > Information for business purchasers

"If you are registered for GST, then GST will not apply to the sale of low value goods that you import for use in your business in Australia. Please review the business purchaser requirements, then contact us with the following information:
    Your ABN (eBay will check that it is active and registered for GST);
    That the order was intended for use in your business in Australia."

Embedded links to take you to the below and to talk to Ebay Australia Support / Chat / Etc

 

https://www.ato.gov.au/Business/International-tax-for-business/GST-on-low-value-imported-goods/Infor...

 

"Information for business purchasers
If you are registered for GST, then GST will not apply to the sale of low value goods that you import for use in your business in Australia. If you are not registered for GST, GST can apply to these purchases.
For the supplier not to charge you GST, you will need to:
    give them your Australian business number (ABN), and
    state that you are registered for GST."

 

Pretty clear isnt it? Spelling that out to a supervisor and the chat CSR they both kept telling me I was wrong?

 

More ATO direction for international Sellers

https://www.ato.gov.au/Business/International-tax-for-business/GST-on-low-value-imported-goods/Sales...

 

Message 331 of 346
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GST on all imports July 2018

GST on all imports July 2018

simple, if you as a business pay GST on imports you account for that in your reporting to the ATO i.e. offset amount you have paid against what you are to forward to the ATO for that reporting period.  Might be a hassle, but doable.

 

**disclaimer**

I am not a business or ABN holder.  My understanding of these things comes from info posted on these boards by members who do have a business.

Message 333 of 346
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GST on all imports July 2018

If you call the ATO they can explain the procedure.

 

I have called them twice on this issue and both times they explained that a business just handles the GST collected by Ebay just as you would any GST componant of an Australian purchase. It really isn't hard. If you are registered for GST then you do your ABN as normal, and if you are a small business not registered for GST then you suck it up just as if you have paid the GST on an Australian purchase.

 

They are quite clear and friendly when you call. Unfortunately their website is not as clear but it makes no difference if you are registered.

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Education is what you get from reading the small print. Experience is what you get from not reading it.
Message 334 of 346
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GST on all imports July 2018

Wow then even the ATO isnt giving out the right information. Standard process for business is you claim the GST back based on receipt of a TAX INVOICE. This has to have very specific items on it that Ebay invoices do not contain.

 

ABN, the words TAX INVOICE and the GST amount listed or indicated to be included.

 

If your receipt DOESNT have those details on it - you can aquire "other documents" to supply those. But if your working for a larget company you will find they want the TAX INVOICE and wont account for it any other way.

 

The International based business process is different however - as listed in the ATO sites above. Read the links I supplied above. Thats how ebay is supposed to do things. I finally pulled them up on it successfully and they replied

 

"Hello Cameron,

Thank you for getting back to us about your query on the GST.

We don't have a ways to exclude your account for the charge that some of the regular buyers of eBay incurred for the GST. However we can manually credit the amount of the GST once you already purchase the item. Just provide us the details of the item you purchased that you will use in your business so that we can start processing the manual credit.

 I trust this information is helpful in resolving your issue. Thank you for choosing eBay!"

 

Message 335 of 346
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GST on all imports July 2018

When I spoke to the tax office about the requirements for receipts, they said it was fine to use the purchase emails from Ebay or Paypal that stated the GST amount, even though they don't specifically say 'tax invoice'. That is the reason I rang them at that time, for clarification.

 

I am aware of the usual requirements as I have a GST registered business but apparantly this is an accepted exception.

 

 

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Education is what you get from reading the small print. Experience is what you get from not reading it.
Message 336 of 346
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GST on all imports July 2018

My concern foir the community on that approach is thats not what the ATO web site says. Theres a bit on "other documentation" where you source other details to prove the company you bought is registered with an ABN basically. Those are the records you need to hold if your Invoice in incomplete or doesnt have the 3 key things.

 

If you work for a large business see what your Accounting department says - they wont do the extra documentation bit or accept it from you.

 

Ebay australia has a registered ABN - but they still wont give you an appropriate Tax Invoice so you have to go through hoops you shouldnt need to - and any large busines isnt going to accept it (I know I work for a 1000+ employer they wont accept it, and have friends working for two others.)

 

The point of the above is Ebay are obliged to give you the GST back as they will have charged you Incorrectly. (check the ATO links) That burden shouldnt be on you to sort out.

 

 

 

Message 337 of 346
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GST on all imports July 2018

You really should be getting your tax and GST advice from your accountant or the ATO, not on forums.

 

You will save yourself a lot of angst if you check it out from an authority yourself as I have done. All calls to the ATO are recorded so you can't get into trouble if you follow their advice, and many large and small businesses have been in touch with the ATO for clarification - you are not the first to find this exception out. It has all been through them and approved.

 

 

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Education is what you get from reading the small print. Experience is what you get from not reading it.
Message 338 of 346
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GST on all imports July 2018

Yeh I dont get my information from these forums. I posted the ATO links where my information comes from above. It also comes from Ebay Australia's own posted links. I was sharing what I had found. But keep on keeping on.
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GST on all imports July 2018


@catarack wrote:
Yeh I dont get my information from these forums. I posted the ATO links where my information comes from above. It also comes from Ebay Australia's own posted links. I was sharing what I had found. But keep on keeping on.

You appear to have completely ignored maranock's 3 replies to you where he has talked about phoning the ATO, not just looking at their websites, to get the facts about the situation.

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