BMTHUG 1057 Report post Posted March 17, 2015 http://m.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11418802 Read this and thought to myself how badly it will affect the buying of cheaper car parts or pretty much anything online. I really don't know how some people are going to save money in an economy where every price goes up but the wages or salaries you earn sigh 1 Quote Share this post Link to post Share on other sites
FRT 144 Report post Posted March 17, 2015 The revenue is billions but the question that is never asked is where will the money be spent. If it was like user pays for road tolls for example to build better roads I'd expect some benefit from yet another tax from the importing arena. Or will it all go into the government slush fund for an extra MPs pay rise and air NZ flights for the rest of parliamentarians lives?? 2 Quote Share this post Link to post Share on other sites
Michael. 2313 Report post Posted March 17, 2015 How will it level the playing field when local retailers have absurd mark ups while stocking a very poor range of products. Half the reason I buy overseas is due to something not being available here, or it's considerably more expensive here. It's not just 15% that gets slapped on for $401 at the moment, I've also been charged another $50 for ridiculous security and customs fees with GST on those! 2 Quote Share this post Link to post Share on other sites
BMTHUG 1057 Report post Posted March 17, 2015 I agree with both the above comments, The government charges all these taxes etc but we never know where the money goes to. I think it sucks personally but their fat pockets have to be funded somehow. Instead of trying to tackle the problems at hand (i.e ridiculous house prices) they go and create new problems for us online shoppers. I buy mostly everything online,supplements, parts etc everything. this PMO! Quote Share this post Link to post Share on other sites
_ethrty-Andy_ 2132 Report post Posted March 17, 2015 Although i am all for supporting NZ business, they do need to wake up and be competitive, and competitiveness does not just mean on price. I can look through decide what i want and build a pelican order in about half an hour and buy. No NZ BMW parts specialist new or second hand has that facility, so its usually more than a day backwards and forwards, and I feel bad asking for quotes on 20 things etc with no gaurentee they will get the job. I have no idea if Gavin or Paul etc are cheaper or not on the orders over $800, but because my time is not worth the day or more mucking around, they dont even get thier foot in the door. those guys only get the scraps. That is one example of one sub industry, but its all common place in engineering, goods wholesalers, even shipping companies How long can NZ go on as poor little old us. 6 Quote Share this post Link to post Share on other sites
Michael. 2313 Report post Posted March 17, 2015 Yeah, the laborious task of emailing for quotes on certain items is just archaic, may as well be in 1998 with a dial up modem. I have to do that with sourcing Toyota parts locally from dealers among other things. 2 Quote Share this post Link to post Share on other sites
e30ftw 410 Report post Posted March 17, 2015 How much of a pain is that going to be, waiting for the customs letter for your GST and fees ontop of the order. Some times takes over a week for the letter, then another day or two to process and deliver after paying and its released. 3 Quote Share this post Link to post Share on other sites
Michael. 2313 Report post Posted March 17, 2015 How much of a pain is that going to be, waiting for the customs letter for your GST and fees ontop of the order. Some times takes over a week for the letter, then another day or two to process and deliver after paying and its released. This is where their plan is flawed and why such GST is not collected. A huge logistical nightmare. 1 Quote Share this post Link to post Share on other sites
polley 916 Report post Posted March 17, 2015 I've just ordered a item in, $1200 so have to pay gst etc. It's been sitting in customs for a week and still no contact or letter from them... It only took 2 days to get from the US to Auckland ffs. So I have to ring and chase them up about it. I never have any problem getting quotes from Euro Italian, I just go on real oem find the part numbers and send him an email. Have the parts the next day. Quote Share this post Link to post Share on other sites
CamB 48 Report post Posted March 17, 2015 (edited) The reason its currently a threshold of $60 of GST / duty is that someone has done a cost benefit exercise and worked out that the cost of collection isn't worth it. This is pretty dire as if you factor in the $30 import fee (ie, it costs them towards $90 to process a package). Since I mostly buy stuff overseas for availability rather than cost reasons, I would be fine paying GST if: it was efficient; and they didn't charge the documentation fee and biosecurity fee. So, would need the Govt to implement an effective and cheap collection system ... eg, I should be able to register a credit card with them and be charged GST on something that comes in, no waiting - all electronic (confirm package and # online). If you don't register, then you go through the current system and get stung the documentation fee, which should be enough to encourage people to comply. Edited March 17, 2015 by CamB 2 Quote Share this post Link to post Share on other sites
benpaul12 62 Report post Posted March 17, 2015 I ran an ecommerce business here and agree with introducing GST to online purchases. I had to pay GST on everything I sold and was competing against people who were only getting it cheaper because they didn't have to pay the 15%. If I hadn't run an online business I guess I would feel like most other people do, they're losing another access to cheaper goods. Quote Share this post Link to post Share on other sites
vtgts300kw 90 Report post Posted March 17, 2015 Is it going to be possible for someone to set up a forwarding business overseas, where they collect your package, and send it on to you in a different bag, therefore loosing any identifying markings that it's "internet" goods? Quote Share this post Link to post Share on other sites
BMTHUG 1057 Report post Posted March 17, 2015 this whole plan is horse shieet Quote Share this post Link to post Share on other sites
KwS 2425 Report post Posted March 17, 2015 Is it going to be possible for someone to set up a forwarding business overseas, where they collect your package, and send it on to you in a different bag, therefore loosing any identifying markings that it's "internet" goods? Just have everything marked as a "gift"? Quote Share this post Link to post Share on other sites
Driftit 2078 Report post Posted March 17, 2015 The reason its currently a threshold of $60 of GST / duty is that someone has done a cost benefit exercise and worked out that the cost of collection isn't worth it. This is pretty dire as if you factor in the $30 import fee (ie, it costs them towards $90 to process a package). Since I mostly buy stuff overseas for availability rather than cost reasons, I would be fine paying GST if: it was efficient; and they didn't charge the documentation fee and biosecurity fee. So, would need the Govt to implement an effective and cheap collection system ... eg, I should be able to register a credit card with them and be charged GST on something that comes in, no waiting - all electronic (confirm package and # online). If you don't register, then you go through the current system and get stung the documentation fee, which should be enough to encourage people to comply. Agree. They will quickly find it costs way too much to chase the money. Customs will not want to do this for free. Delays and fees will cause much grief. Everyone goes on about supporting NZ Companies. Just because a retail store is in NZ doesn't make it a NZ company. The Mrs and I purchase nearly all our wearable items and electronic goods from overseas. We save hundreds per year. To buy the same items in NZ you would be buying them from an Australian Owned retail store. Economies of scale dictate our prices. NZ can never compete with online sales from Europe and the US. 3 Quote Share this post Link to post Share on other sites
FIAT 131R 223 Report post Posted March 18, 2015 The joke of the situation with buying from NZ companies is they don't stock very many items and they have to get it from overseas. They want to charge you freight and then add their 300% margin. They don't even try and be competitive. The 15% GST will make very little difference. I pay the GST on many items anyway. I buy online because it's much easier and very much cheaper. 3 Quote Share this post Link to post Share on other sites
M5V8 337 Report post Posted March 18, 2015 the main reason to buying online was the cheaper deals. Take away that and I would wonder why people would. No consumer guarantees act coverage Customs and shipping charges Right of return really up to the seller Quote Share this post Link to post Share on other sites
BMTHUG 1057 Report post Posted March 18, 2015 ROFL 2 Quote Share this post Link to post Share on other sites
Michael. 2313 Report post Posted March 18, 2015 uh oh, 6 Quote Share this post Link to post Share on other sites
Navin 180 Report post Posted March 18, 2015 Haha 2 Quote Share this post Link to post Share on other sites
BreakMyWindow 1874 Report post Posted March 18, 2015 End of the line it seems. It was fun while it lasted. 1 Quote Share this post Link to post Share on other sites
westy 614 Report post Posted March 18, 2015 Yup. Now we can get on with sorting all those other rorts like offshoring profits. Oh wait.. 1 Quote Share this post Link to post Share on other sites
allan 295 Report post Posted March 18, 2015 People will always look for a easier, convenient, cheaper way to purchase items it's human nature this just happens to be one of them. Some one will come up with a scheme to get round this wait and see. 1 Quote Share this post Link to post Share on other sites
_ethrty-Andy_ 2132 Report post Posted March 18, 2015 Quite a few random and very subjective comments that bear a very loose relationship to fact. Most NZ businesses are GST registered and therefore collect GST on behalf of the government , it wastes a lot of my time in my business. All goods and services sold in NZ incur GST except financial transactions. Not paying GST on imported goods under $400 is an anachronism that dates back to the days of licencing , If avoiding the GST is a key component in your buying decision then you are not making an honest comparison and potentially you may be deliberately be tax dodging / evading. It is entirely reasonable that this anomaly is removed - I always factor the GST into my decision to buy off shore or not and treat any relief as a bonus. Those customs clearances etc that you do not want to pay are also paid by businesses who import - suck it up and make an honest comparison and an honest decision not sure why its wasting a lot of your time, you need a better accounting system. Only time it costs me in both the business I own and the business I run is about 15 minutes every two months punching in the spit out into the IRD website and making a bank payment. but agree on the rest. Quote Share this post Link to post Share on other sites
KwS 2425 Report post Posted March 18, 2015 It takes Ron ages because his abacus is inefficient. 6 Quote Share this post Link to post Share on other sites