eBay

bgt70l · ‎03-09-2022

Recently, I wished to purchase a small, used auto part from the UK. At E-Bay's checkout, I noticed that a GST amount had been added to the total sale price. I refused to proceed with the purchase because of this illegally levied tax. When in Australia, did anyone ever had to pay GST on used auto parts?

countessalmirena · ‎03-09-2022

OP, you may not have been aware that GST is payable on second-hand items in Australia, but it is – if the seller is GST-registered. (Businesses with a turnover of $75,000 annually are required to be registered for GST.)

If a seller in Australia is a business reaching less than that $75,000 turnover (gross), then no GST requirement - and it’s irrelevant whether that seller is selling new OR secondhand. For a private seller just selling parts off their own wrecked car, that is likely to be the case, so you’d not be paying GST for such purchases.

For the record, it’s irrelevant whether a local Australian seller is selling on eBay or on Gumtree or Facebook Marketplace or at swap meets or in a shop or through its own website. If the TURNOVER (not profit, but turnover) reached the $75,000 threshold, GST must be collected and remitted to the ATO.

But… eBay and other electronic distribution platforms don’t get involved in doing the collecting of GST from buyers if it’s a domestic eBay purchase (that is, in Australia, between Australian buyer and Australia seller).

If you’re buying (as an Australian buyer) from an overseas seller on eBay, then you will be paying GST. New, secondhand, it doesn’t matter. Hobby seller, private seller, big business, it doesn’t matter. That is because the relevant Australian legislation has specified that the EDP (electronic distribution platform) is the one responsible for collecting the GST. Amazon, eBay, Etsy, etc, they are all EDPs for the purpose of the legislation.

For full explanation, see this post:

https://community.ebay.com.au/t5/Buying/GST-when-buying-overseas-a-few-FACTS/m-p/2216208#M99135

(Read entire thread for context and details.)

View solution in original post

bgt70l · ‎05-09-2022

Dave, your comment is only partially correct................

"Domestic sales through eBay require the seller to add GST, if applicable. ( yes but only if it is a new item) Imports through eBay require eBay to apply GST. (we all now agree that this is the case) Simple. Read the relevant tax information. It is clearly available to you, as it is to any Australian (and probably non-Australian). You can bleet (sic) all you like on the boards, or even to your local member, but it won't change anything."

You are in a parallel universe. Whenever I buy a used auto part in Australia from a private EBay seller I do not have to pay GST nor does EBay apply it. End of discussion!!!

View solution in original post

k1ooo-slr-sales · ‎03-09-2022

@bgt70l wrote:
Recently, I wished to purchase a small, used auto part from the UK. At E-Bay's checkout, I noticed that a GST amount had been added to the total sale price. I refused to proceed with the purchase because of this illegally levied tax. When in Australia, did anyone ever had to pay GST on used auto parts?

A) whenever those parts have been purchased from a seller that is registered for GST (unless an 'off the books' cash transaction was made)

As for overseas 2nd hand items, they have had GST applied for near on 4 years now (even if bought on eBay from a casual seller, from any seller actually)

bgt70l · ‎03-09-2022

That is absolute rubbish. I have never, in my whole life (age 82) ever, paid GST from any sellers large, small, GST registered or not, for used auto parts. Your comment is as ridiculous as it is misleading - Ebay Australia does not levy GST on the sale or purchase of used auto parts.

domino-710 · ‎03-09-2022

Dont blame ebay, GST is applicable on used goods, even in Australia. Note when purchasing via ebay, the Government does not care if it is a commercial or private sale, as they have made the platform providers responsible for the GST. Not individual sellers.

bgt70l · ‎03-09-2022

So, you are trying to tell me, E-Bay is not adding/levying GST to any, used item including used auto parts sales in Australia? If it is legally obliged to levy or add the GST why is it not doing so? If it is an ATO requirement, are they now in contempt of the ATO?

domino-710 · ‎03-09-2022

Dont blame ebay, GST is applicable on used goods, even in Australia. Note when purchasing via ebay, the Government does not care if it is a commercial or private sale, as they have made the platform providers responsible for the GST. Not individual sellers.

bgt70l · ‎03-09-2022

You appear to have contradicted yourself by this statement.........

"as they have made the platform providers responsible for the GST. Not individual sellers."

If this be the case, then why isn't Ebay Aust (who is also Ebay Commerce) applying the GST to sales of used items, where they are acting as a financial middleman by receiving the buyers funds and onforwarding them less deductions to the seller?

domino-710 · ‎03-09-2022

Firstly - it's not my ' statement '.

From your post :

I noticed that a GST amount had been added to the total sale price.

Geez - make up your mind - now you are asking why eBay don't.???

bgt70l · ‎03-09-2022

We were also discussing the ATO and GST generally weren't we? So, I was referring to sales of used items on Ebay in Australia, where Ebay Aust, does not add GST to sales? Why is that do you think?

domino-710 · ‎03-09-2022

I was answering your OP - imports.

The rest is up to the seller to be compliant with the Tax Laws here - not eBay.

eBay

Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Re: Incorrectly adding GST to secondhand auto parts purchased from the UK

Photos