Incorrect new GST amount applied to invoice on overseas purchase

[6508.froggy]

I have made two purchases with the new imposed GST on overseas purchases. The first was correct at 10% on purchase price and postage. 

I have just gone to make payment on another purchase and the amount imposed on the invoice as import duites is 14.7% (NOT THE LEGISLATED 10%).

Have sent a message to eBay and await there response which could be like a circus when it appears no one in customer service seems to know about GST.

Be causious when making payment. 

[*tippy*toes*]

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@k1ooo-slr-sales wrote:

what?

I await the day that a poster who says "there should be a class action" actually commences the class action rather than just planting the seeds of an idea expecting others to do all the work.

AND, I think bunman is that person . . . a leader among men so to speak.

If not, then he just becomes another (in a rather short list) of SEPTEMBER posters.

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I know! If only I had a dollar for every time someone mentioned a class action against eBay. I wonder if these people actually know what a class action is. Me thinks they have usually been watching too many US crime type shows.

[imastawka]

[countessalmirena]

Potential litigants may need to think about this: ❝You say no, I say yes; I win, I'm the judge. Goodbye.❞

[brerrabbit585]

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@bunman2005 wrote:

It is a total fraud and scam and needs to be investigated and a class action taken

If companies collect these import duties and then fraudulently not pay ATO there is no body or office who investigates this .
This gst or duty should be removed as it is allowing international companies to rip us off .
As we will never know if this money ever gets back to ATO.

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As all the GSP transactions actually go through ebay AND paypal, ebay may well be required to keep a tally of how much GST is collected by PB so that the ATO can check that they're receiving what they should.  Of course "we" will never know if the ATO gets the money but I don't need to know whether company A or company B or company C, or any particular individual, is fulfilling their tax obligations.  That's between them and the ATO.

Why do people keep calling things a scam when they get exactly what they pay for and they know before they pay exactly what it'll cost?  A scam is when you're duped into doing something that causes you to lose money and get nothing in return.  Highly emotional rants mean a person is less likely to be listened to but some people don't realise that.  If they went to court and ranted like they do here they'd get absolutely nowhere.  I can remember a few highly emotional people when I used to type up court cases and they always lost their cases because they loved to exaggerate and usually tripped themselves up by telling too many lies.

[pr1zm4]

NewEgg is also overcharging tax. I have argued with them on and off for months and of course, getting nowhere. They just copy and paste a generic sentence about applicable taxes being added to invoices.

Invoice 1:
Charge: $98.00

Shipping: $0.00

Tax: $15.34

Invoice 2:

Charge: $156.00

Shipping: $0.00

Tax: $18.37

Invoice 3:

Charge: $586.00

Shipping: $0.00

Tax: $61.26

There's more, but you get the point. There is actually one purchase I made from them which was from one of their 3rd party/marketplace sellers. THAT invoice has the correct GST. All my other purchases with 'free shipping' (World EggSaver Standard) appear to have an overcharged tax amount.

Today, a NewEgg agent said in my most recent chat with them:
"We already sent the request to check this and per Pitney Bowes duty calculator; the amount of GST/TAX we charged is correct."

The agent offered to email me the "documents" they received regarding my inquiry, after the chat was done. When I pressed her about whether it actually contained a breakdown of the tax charges, she kept skirting the issue. I told her it sounds like it doesn't contain a breakdown, and she said she'd send up an enquiry. I told her to email the documents anyway. As of writing, there is nothing in my inbox (surprised? 😄). I think she was just trying to get rid of me haha

Why did I keep buying from them? Because for the items I purchased, they were still either the cheapest or were items that I couldn't easily obtain elsewhere.

[padi*0409]

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@pr1zm4 wrote:

Today, a NewEgg agent said in my most recent chat with them:
"We already sent the request to check this and per Pitney Bowes duty calculator; the amount of GST/TAX we charged is correct."

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You need to understand that when a seller in the USA or the UK use the Global Shipping Program (Pitney Bowes) to forward their items overseas they, Pitney Bowes, don't just charge the buyer the 10% GST, they also charge for collecting the GST on behalf of the Australian Government, which is also a "service" in the terms of the amount you pay.

[pr1zm4]

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@padi*0409 wrote:

You need to understand that when a seller in the USA or the UK use the Global Shipping Program (Pitney Bowes) to forward their items overseas they, Pitney Bowes, don't just charge the buyer the 10% GST, they also charge for collecting the GST on behalf of the Australian Government, which is also a "service" in the terms of the amount you pay.

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Just because there's a supposed explanation (I've never seen NewEgg explain this charge), that doesn't make it lawful. If Target or Myer tacked on extra admin fees inside the GST charge on my receipt, would the Aussie government consider that a problem?

I wouldn't care if NewEgg listed these fees separately on the invoice. That would then be above-board and up to me whether I proceed with the purchase if they insist on passing those admin charges on to me. But labelling it as government tax really seems shifty to me.

By the way, I got an email from NewEgg. They apparently refunded me the excess GST for a couple of my invoices and labelled it as an overcharge. Doesn't look like I got it back for every invoice though. Seems like they're just placating me though, because I doubt they'll change anything for future purchases.

[lyndal1838]

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@pr1zm4 wrote:

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@padi*0409 wrote:

You need to understand that when a seller in the USA or the UK use the Global Shipping Program (Pitney Bowes) to forward their items overseas they, Pitney Bowes, don't just charge the buyer the 10% GST, they also charge for collecting the GST on behalf of the Australian Government, which is also a "service" in the terms of the amount you pay.

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Just because there's a supposed explanation (I've never seen NewEgg explain this charge), that doesn't make it lawful. If Target or Myer tacked on extra admin fees inside the GST charge on my receipt, would the Aussie government consider that a problem?

It is not a supposed explanation, it is a definitely correct explanation.  Pitney Bowes has always charged a premium over and above the actual postage charge.

They charge for the preparation of the documentation needed to allow the goods to pass customs, as well as any clearance fees and GST.  As the GST is a SERVICE fee they have to charge GST on all those charges as well.

No matter how it appears to us, the system has been in place for long enough for it to be changed if it could be shown to be illegal.

I wouldn't care if NewEgg listed these fees separately on the invoice. That would then be above-board and up to me whether I proceed with the purchase if they insist on passing those admin charges on to me. But labelling it as government tax really seems shifty to me.

The fees are listed under the heading of Import Charges.   They are not admin charges.....they are fees for services rendered  and the GST applicable to those fees and the item.

By the way, I got an email from NewEgg. They apparently refunded me the excess GST for a couple of my invoices and labelled it as an overcharge. Doesn't look like I got it back for every invoice though. Seems like they're just placating me though, because I doubt they'll change anything for future purchases.

It is not unusual for some of these companies to refund small amounts.......the squeaky wheel always gets the oil and the noisiest complainers obviously get refunds to shut them up.

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[padi*0409]

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@pr1zm4 wrote:

Just because there's a supposed explanation (I've never seen NewEgg explain this charge), that doesn't make it lawful. If Target or Myer tacked on extra admin fees inside the GST charge on my receipt, would the Aussie government consider that a problem?

I think the point you missed was that Pitney Bowes (GSP) operates on behalf of UK and US sellers on eBay, so apart from them passing on the GST charges to the ATO, the Australian government has no interest or control of how they operate.

I wouldn't care if NewEgg listed these fees separately on the invoice. That would then be above-board and up to me whether I proceed with the purchase if they insist on passing those admin charges on to me. But labelling it as government tax really seems shifty to me.

NewEgg are most likely not aware of how much Pitney Bowes are going to charge for mail forwarding to international buyers, I'm assuming you are buying their products through eBay.

By the way, I got an email from NewEgg. They apparently refunded me the excess GST for a couple of my invoices and labelled it as an overcharge. Doesn't look like I got it back for every invoice though. Seems like they're just placating me though, because I doubt they'll change anything for future purchases.

I suspect that the refund was a payment out of their own pockets, as I said before they would most likely be unaware of PB's GST charges.

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EDIT. Beat me to it lyndal.................was cooking the doggies dinner............

[sunnflower05]

I'm also wondering why sellers are rounding up the gst.

on my purchases sometimes it's between 1/4c rounded up,that's not 10% I didn't think they were allowed to round up. It's only a few cents but when it's on everyone's purchases it's adding up