Date posted: Thursday, August 27, 2015
Something quite topical in the press of late are the scheduled changes to the GST tax-free threshold set for 2017. A question quite commonly asked is ‘will shoppers be required to pay tax for overseas purchasers with online retailers?’
If you’re curious about these changes you might possibly be an avid online shopper or potentially an Australian retailer with an online store.
If you’re an online shopper, and you love shopping with Topshop – and pretty much anywhere you can get awesome product for a great price – you’re probably wondering if the changes to the tax-free threshold will cost you and your online shopping habit more money than it already does. Tax-free shopping is pretty attractive after all.
Or perhaps you’re an Australian retailer or business and you want to know if the changes in the tax-free threshold policies will effect your position in the market.
Well the good news is for Australian businesses. As of July 1, 2017; purchases of any amount by Australian consumers (with local or international retailers) will incur a 10% GST mark-up. This move is intended to ensure a fairer competing chance for all retailers in the Australian market, especially for local businesses.
We thrive on being the best taxation consultants in Pakenham and the South Eastern suburbs. If you have any questions about the tax-free threshold changes and how it will effect you be sure to talk to our team at Pakenham Taxation + Accounting.
Sign up with Pakenham Taxation + Accounting to receive tips on how to better manage your personal and business tax.