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Charging GST on low value imported goods into Australia

Hello.

Why does Ebay charge Australian GST on low value, international, private seller to private buyer goods imported into Australia?

 

GST is not payable on second hand private sales/purchases within Australia, and I cannot find any reference to the requirement to charge GST on private imports.

 

Is Ebay acting inappropriately, or even illegally?

 

If there is an ATO ruling, can you provide the specific reference. A general reference to the ATO webiste is insufficient due to the ambiguity and complexity of the Tax Act and Regulations.

 

Thanks!

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Charging GST on low value imported goods into Australia

@chriss2804, the question of whether eBay's collecting GST on your international purchases is legal or not isn't a technical question, but is probably best posted in the Buying board.

 

Technical questions relate more to how the eBay site is working (or not working), asking how to get around a technical glitch (such as inability to log in, pages not loading, payment error codes coming up, etc.

 

Anyway, as my previous post has vanished (and thank you, lyndal, for being the second "witness" who saw it!), your specific questions are addressed in this post in the Buying board. Read this post for the link to the ATO's summary page for low value imported goods GST. Read this post and this post for excerpts from eBay's User Agreement referencing the GST for low value imported goods. See here for the post linking to and addressing the Law Companion Ruling LCR 2018/1 (GST on low value imported goods). And finally... direct link to Treasury Laws Amendment (GST Low Value Goods) Act 2017.

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Charging GST on low value imported goods into Australia

I don't suppose you would like to pay for some rolled gold legal advice.

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Charging GST on low value imported goods into Australia

Absolutely not. This information should be available freely, and it appears not to be.

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Charging GST on low value imported goods into Australia


@chriss2804 wrote:

Absolutely not. This information should be available freely, and it appears not to be.


The Countess is too generous with her time.  Now to put it in simple laymans terms.  Ebay is doing what it is legally obliged to, in accordance with the relevant legislation

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Charging GST on low value imported goods into Australia

So the information/links you need are not in any of the dozens of threads already on the forum about the same thing?

 

Afraid I can't add anything then as all I know has already all been posted many times

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Charging GST on low value imported goods into Australia

Charging GST on low value imported goods into Australia

Thanks enigmabear..
I have found the answer and it shiws an anomaly between national and international purchases which disadvantages the purchaser. Ie tax is paid when ut should not be.
Its also shown how several earlier respondees regard asking a question about an unknown previous thread as being a criminal act. Its disappointing that they take this view instead of understanding that new forum usets may not know about earlier threads or indeed who they are communicating with on the forum.
Also the interesting thing is that other respondees answer were technically deficient.
Thanks again for you help.
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Charging GST on low value imported goods into Australia

Thanks also brerrabbit. Read with interest. My question relates to used goods sold and bought privately. We pay gst on imported used purchases whereas we dont on Locally bought used items. Its a catch all situation it appears because the ATO was lazy. Probably will never be rescinded.
Thank you for your help.
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Charging GST on low value imported goods into Australia

No, the ATO wasn't lazy. If they allowed an exemption for secondhand goods it'd be subject to a lot of abuse (listing new goods as secondhand).

EDPs (electronic distribution platforms, eg. ebay) are considered the seller for taxation purposes so it's not actually a private sale. If you buy directly from an overseas seller (not through ebay) who isn't required to pay GST then it's considered a private sale.
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Charging GST on low value imported goods into Australia

lyndal1838
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@chriss2804 wrote:

GST is not payable on second hand private sales/purchases within Australia, and I cannot find any reference to the requirement to charge GST on private imports.

 



GST is payable on all sales within Australia if the seller is registered for GST whether the goods are used or new.

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