Since the GST system was introduced in 2000, imports of items that have cost less than $1,000 have been exempt from GST.
From 1 July 2018, GST will apply to retail sales of low value physical goods ($1,000 or less) that have been imported to Australia and sold to consumers. The existing process to collect GST on imports above $1,000 at the border remains unchanged.
What does this mean for your business?
If you are a business that meets the $75,000 GST registration threshold and sells low value physical goods that have been imported you will need to:
- Ensure that you are registered for GST
- Charge GST to customers on low value imported goods (unless they are GST-free)
- Lodge a return to the Australian Taxation Office.
If you need assistance in registering your business for GST, please fill in your information below or call our office on 08 8431 7444.