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Make sure your business is ready from 1 July 2018…

 

From 1 July 2018, the goods and services tax (GST) will apply to retail sales of low value physical goods ($1000 or less) that have been imported to Australia and sold to consumers. The existing processes to collect GST on imports above $1000 at the border are unchanged.

What does this mean for my business?

If your business meets the $75,000 GST registration threshold and sells low value physical goods that have been imported, you’ll need to:

  • ensure you are registered for GST
    • How to register

      When you register for GST, you’ll need an Australian Business Number (ABN).

      Note: if you are a non-resident there are special rules that may apply to you.

    • ou can register for GST:

      We’ll notify you in writing of your GST registration details, including the date your registration is effective (and your ABN details, if you haven’t already received them).

      Do you need to register?

      You must register for GST if:

      • your business or enterprise has a GST turnover (gross income minus GST) of $75,000 or more
      • your non-profit organisation has a GST turnover of $150,000 per year or more
      • you provide taxi or limousine travel for passengers in exchange for a fare as part of your business, regardless of your GST turnover – this applies to both owner drivers and if you lease or rent a taxi
      • you want to claim fuel tax credits for your business or enterprise.

      If your business or enterprise doesn’t fit into one of the above categories, registering for GST is optional. However, if you choose to register, you generally must stay registered for at least 12 months.

  • charge GST to customers on low value imported goods (unless they are GST-free)
  • lodge a return to the Australian Tax Office (ATO).

More information

 

The article Changes are coming to GST appeared first on business.gov.au blog

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Changes are coming to GST
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Changes are coming to GST
Description
From 1 July 2018, the goods and services tax (GST) will apply to retail sales of low value physical goods ($1000 or less) that have been imported to Australia and sold to consumers. The existing processes to collect GST on imports above $1000 at the border are unchanged.
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