On Monday the 19th of June, the Australian retail industry received a big win, with the Parliament passing the low-value GST legislation for offshore tangible goods under $1000. This legislation will mean Australian retailers will be able to trade on the same level playing field as international competitors.
The Australian Retailers Association (ARA) have been working with Federal and State Governments towards this goal since 2008, with their most recent advertising campaign advocating for tax equality in numerous major newspapers.
While the ARA does not want to take away the right for consumers to purchase from overseas, they believe the Government needs to provide a level
Russell Zimmerman, Executive Director of the ARA congratulates the Parliament for passing this Bill but is extremely disappointed that the legislation won’t be implemented until 1 July, 2018.
“This tax equity issue has been going on for years, and this new legislation a fairer tax system for Australian retailers who are currently operating in a tough trading environment,” Mr. Zimmerman said.
“We are disappointed there will be a 12 month delay before overseas retailers start collecting this tax, but we look forward to Australian retailers finally being given a fair chance.”
“This legislation will mean our local retailers will be able to trade on the same level playing field as our international competitors.”
As the ARA is glad that their efforts fighting for Australian Retailers has brought positive outcomes, and will continue to work with the Government and Productivity Commission to seek the most efficient system in collecting this GST.
To view the ARA’s latest media release on this issue click here
