Federal Parliament has passed that will extend goods & services tax (GST) to low value imports of physical goods imported by consumers. This may affect overseas business with an Australian GST registration turnover threshold of A$75,000 or more.
From 1st July 2018, overseas businesses selling goods to consumers in Australia may need to register for GST and charge GST on Imported goods valued at A$1,000 or less. If you are registered for GST and purchasing any item from overseas, you need to provide your ABN and statement that you are registered for GST at the time of purchase, to claim back the GST.
This adds on to changes which applies from 1st July 2017, GST to sales of imported services and digital products sold to Australian customers.
To check what difference will it make to your business, please contact us on 08 9242 3555 or email admin@businessmantra.com.au