• GST on low value imported goods

    On 16 February 2017, the Government introduced law to Parliament that will amend the law to extend Goods and Services Tax (GST) to low value imports of physical goods imported by consumers.

    Suppliers with an Australian turnover of $75,000 or more in a twelve month period will be required to register and charge GST.

    The existing processes to collect GST on imports above $1,000 at the border are unchanged.

    In summary, the reforms:

    • make supplies of goods valued at $1,000 or less at the time of supply connected with Australia if the goods are purchased by consumers and are brought into Australia with the assistance of the supplier;
    • treat the operator of an electronic distribution platform (EDP) as the supplier of low value goods if the goods are purchased through the platform by consumers and brought into Australia with the assistance of either the supplier or the operator;
    • treat redeliverers as the suppliers of low value goods if the goods are delivered outside of Australia as part of the supply, and the redeliverer assists with their delivery into Australia as part of a shopping or mailbox service that it provides under an arrangement with the consumer;
    • allow non-resident suppliers of low value goods that are connected with Australia to elect to access the simplified registration and reporting system; and
    • prevent double taxation.

    This change will apply from 1 July 2017.

    Legislation and supporting material

    The Treasury Laws Amendment (GST Low Value Goods) Bill 2017External Link is currently before Parliament.

    More information  

      Last modified: 06 Apr 2017QC 47380