Home – New Forums Money matters Registering and the new GST on low value imports Reply To: Registering and the new GST on low value imports

James Millar
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geegee, post: 260518, member: 12056 wrote:
I am a micro business/sole trader and am not registered for GST as my turnover is nowhere near $75,000.
I import about 50% of my products from overseas suppliers/wholesalers (US & UK mostly) and all of my orders have been under $1000 AUD.
Now that the GST on low value imports has come in I am a unsure on how this will effect me.
The overseas businesses I deal with sell to other businesses not consumers. I’m not sure how many of their customers are non registered Australian ones like me. If they do not have to register for GST (turnover from Aus consumers under $75,000) will I still be charged GST at the border?
Or should I just register for GST in case my overseas suppliers only want to deal with GST registered businesses from now on?
Or should I do nothing and just see what happens the next time I order?

Hope this all makes sense.

The new rules for sub $1000 imports are an issue for the foreign seller to contend with – not for you to worry about. They might be required to register and report to the ATO and pay GST. Separate to that, if your Australian business is not registered for GST then your costs will increase by the amount of any GST charged to you by the foreign seller (as they will increase their price). Border / customs / ATO will not charge you the GST for the sub $1000 items. Treatment for items over $1000 has not changed. If you register for GST you will be able to claim back GST credits but you probably also need to charge your customers provided they are in Australia and your products are taxable supplies. If you register for GST and are mostly selling B2C and not B2B then registering may produce adverse pricing / demand outcomes because your goods will immediately become 10% more expensive compared to others.

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