GST on low value imported goods

From 1 July 2018, goods with a customs value of AUD1000 or less (low value goods) may attract the Goods and Services Tax (GST) at the point of sale if imported from overseas by consumers in Australia.

There will be no changes to:

• the AUD1000 threshold for reporting and collection of duties and taxes at the border
• border clearance processes
• the flow of goods across borders
• current import requirements for tobacco, tobacco products or alcoholic beverages.

Businesses with sales (subject to Australian GST) of AUD75000 or more to consumers in Australia within a 12 month period, will need to register with the Australian Taxation Office (ATO), collect GST at the point of sale and remit that GST to the ATO.

This includes businesses that are:

• merchants who sell goods to consumers
• electronic distribution platform operators
• re-deliverers

There are rules that determine which businesses will need to register for, and charge GST. Further information on GST registration for non-residents of Australia is available from the ATO website.

The ATO is communicating, educating and assisting affected businesses to comply with the measure and ensuring specific information is available for transporters and customs brokers; consumers; and businesses all of which may be impacted by these changes.

Further information about GST on low value goods is available on the ATO website and also available in Chinese.

Source: https://www.homeaffairs.gov.au/busi/cargo-support-trade-and-goods/importing-goods/duty-rates-and-taxes/low-