Will GST be charged on items bought from overseas and shipped to an Australian address?

[melkin2209]

I buy second hand collectables from small sellers located in the US and Europe. If I have them shipped to me in Australia will GST somehow be charged from July 1? What if shipping is to a US address?

[lyndal1838]

Oh boy, do you need a few lessons on the GST before you make more unfounded accusations.

GST is charged on both new and used goods by sellers who are registered for GST....it has been this way since it started 18 years ago.

Sellers are required to register for GST when they have a turnover of $75,000 or more in a 12 month period.....which is why you do not pay GST on items bought from a garage sale, but you do pay on items bought from say a second hand dealer.

Maranock is not defending ebay.....he is just stating the facts.....the GST on low value imports is here to stay and we have to learn to live with it.

[brerrabbit585]

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@daysontheroad wrote:
In Australia the government that brought in GST promised that there would be no GST charged on second hand goods. Why is eBay now collecting GST on used and secondhand items purchased from overseas?

GST was introduced in Australia to replace Sales Tax on new goods. Tax was already collected on those items when they were new.

The collecting of GST on used and secondhand goods is a wrought to unjustly charge money to the consumer and should never be allowed. It's like charging tax on eggshells after the egg has been broken open and the egg has been eaten. Used goods are often defective and of little use, so why are we now being taxed and penalised for buying other people's rubbish? There should be no GST charged because most of the used goods sold on eBay do not contain precious metals that include gold, silver, or platinum. I'm sick of being ripped off when buying used rubbish off eBay. Where is this money going?

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If you can afford to buy rubbish I really don't know why you can't afford to pay the GST.

Oh, and several labour governments in the last 18 years have been quite happy to retain the GST on its original terms.  The next one we get (labour govt) isn't going to change anything.

From what I've seen in these forums, all the people who complain about the GST are buying for their collections, so they can afford to buy things that they don't actually need, yet they all think they're "the little man".

[k1ooo-slr-sales]

@daysontheroad

I will start by saying that I don’t like that GST is charged on low-priced used items from overseas and that any more that I write in this post IS NOT supporting or defending GST on low-priced used items bought on eBay from overseas.

There are some flaws in your posts.

The main one is where you posts that politicians “promised” that GST would not apply to used items.  The Howard Government could not make determinations that would be binding on all future governments in regards to tax legislation.

Your argument against taxing used items because tax has already been paid on used items when they were new does not hold up for imports.  No tax has previously been paid to the Australian Government on used items from overseas.

You also state that “Used goods are often defective and of little use, so why are we now being taxed and penalised for buying other people's rubbish?” .  I think this is a personal view/opinion that would not be shared by many.  I know that when I have bought used items on eBay I have bought working/functional items.  Not sure why you reference precious metals so I have no comment to make about this (unless you come back and clarify what you mean).

“And former Treasurer of Australia Peter Costello of the John Howard Liberal government promised when he introduced GST that used goods would not qualify for GST. Why is Malcolm Turnbull Liberal government decided to instruct eBay to collect GST on used items purchased from overseas?”   You have answered your own question . . . . . . the Howard Government introduced the GST, the Turnbull (Dutton ) Government is currently in power.  The Turnbull Government is not beholden to everything previous governments have promised . . . . . . . and . . . . . . again, who would seriously trust anything a politician says?

“Charging GST on used goods from overseas in criminal because Australia has no legal right to charge and services taxes for anything done outside of its jurisdiction by non Australian citizens”  They have the legal right because they introduced legislation.  It is not criminal.  I’m not defending it, just stating facts.

“What happened to the promises made by the Howard Liberal government that used goods would never be taxed with a GST?” Promises made by the Howard Government can only be held against the Howard Government.

“Is eBay collecting this tax and keeping the proceeds? No, eBay is not keeping the GST charged on overseas goods.  That is why there are two PayPal payments for these goods, one for the seller and one for the GST.

“There is only one answer to this problem of charging GST in Australia on secondhand goods from overseas. The answer is to vote out the Liberal Federal Government at the next election for failing to keep the promise they made when Treasurer Peter Costello introduced GST in Australia and stated that there would be NO GST on used goods” A change of Government will not change the tax as it is legislated.  A Shorten Government will not change the legislation.

”There is no GST charged by EBay when similar used goods are sold to Australian buyers from Australian sellers, so why should there is a GST if those items cone from overseas?” For overseas low-priced items it is eBay that is being considered the seller as the legislation considers the EDP (Electronic Delivery Platform) as being the seller.  It is the only way that the legislation would work.

”This whole thing makes no sense at all, except that buyers are being ripped off by an unlawful tax.”  It makes sense to me, but that is because I have looked to it through sensible eyes . . . . . . . and it is NOT unlawful.

[padi*0409]

Perhaps you should go to the thread below that was started by brerrabbit and appraise yourself of some of the pertinent facts that apply to the low-cost GST imports................

https://community.ebay.com.au/t5/Buying/GST-when-buying-overseas-a-few-FACTS/td-p/2171248/page/5 

[endorphin44]

AGREED As a byline, I purchase used goods from USA which in some locations charge ridiculous amounts for postage via Ebay's Global Shipping adding 10% GST to this really hurts the pocket

[lyndal1838]

Not only do you pay the GST on the grossly inflated GSP shipping but Pitney Bowes charge a fee for collecting the GST.

[tomahawkdugan]

Absolutely livid the Australian criminal  government has done this.

Most household goods are marked up so high that the rest of the world laughs at us because we put up with the multi national extortion

racket that exists in the Australian consumer market ( eg:...Harvey Norman..Hardly Normal)

This is one of the main reason why people buy overseas.

Another reason is, Australia has a limited choice when it comes to products not like other countries around the world that get the full

array of  models or options

The No.1 advice  I can give people is...if the seller has a phone number ring them instead.

These socialpathic  parasites  in state and federal government need to  understand we are not all SHEEP living here, even though  we tend to prove them right time and time again .

Thats ok... gay marriage was  our  main priority so all our problems are now solved.

We are now famous around the globe for enabling mental illness

The biggest shaggers of sheep are not N.Z....we are!

[lyndal1838]

Why are you livid that the government has closed a loophole in the GST legislation?

Thank your stars that you have had 18 years of importing low value items without paying it.

[davewil1964]

So we are unique in charging a tax on products imported into the country?

Unlike, say, most US states, the UK, Canada, most of Europe?

You can still buy your stuff cheaper from overseas. It will just be 10% less cheap. And you will contribute SOMETHING to the Australian economy. The one that actually provides you with a job, roads, schools, hospitals...

[daysontheroad]

I purchased an 18 year old used packet of software, and it was sent from America to Australia minus the packaging and only a CD in an envelope and I was charged GST. This is criminal and an injustice by the Australian Government and the Liberal Party government. They replaced their leader Malcolm Turnbull recently with Scott Morrison, and The Liberal Party and coalition government will be overthrown at the next federal election. Morrison has been talking nonsense in parliament that his government has been creating jobs, yet when you go into a Centrelink office there are hardly no workers remaining, and the same staff are dealing in Medicare claims too. As long as this government continues to rob eBay customers by charging GST on used goods from overseas, they are doomed at the next election. The software CD that I purchased minus all packaging and instructions was 18 years old, yet the Australian government unfairly charged me GST on items where no taxes should ever be charged. These Liberal Party conmen need to be sacked by the Australian public for crimes to society.