Australia Applies New GST Laws for Low-Value Imported Goods

We wanted to let you know that Endicia shipping labels fully support the new Australian GST (Goods and Services Tax) requirements, and no additional information needs to be supplied.

Below is some general information about the new GST law. Remember, this new law only applies low-value goods ($1,000 or less) that exceed sales of A$75,000 per year to Australia.

What is GST and what’s happening on July 1?

GST (Goods and Services Tax) in Australia is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia.

Starting on July 1, 2018, some overseas business selling low-value imported goods to Australian consumers will be required to register as a GST business and charge GST when:

  • The business is selling consumer goods
  • The business has a GST turnover that exceeds, or is likely to exceed, A$75,000 yearly (gross income, not profit)
  • The value of the goods is A$1,000 or less

Note: If multiple low-value goods are sold together (for example, two goods that each have a customs value of A$600), the default rule is that you should charge GST. However, you can apply an exception if it is clear that the goods will be shipped in one consignment and taxed at the border.

The new GST low-value imported goods law does not apply to the following. These items will continue to be taxed at the border:

  • Tobacco products
  • Alcoholic beverages
  • Consumer goods valued at over A$1,000

Endicia support for GST
Endicia shipping labels fully support the new GST requirements, and no additional information needs to be supplied.

More information about GST
For more information about GTS and the registration requirements, visit the following pages:

Endicia

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