Analysis of the Import VAT Tax Reform in Australia
- Author:Cynthia
- Source:5688.cn
- Release Date:2018-02-06
Last December 8, Ministry of Commerce International Business Daily quoted the newspaper official micro-releaseAustraliaInland Revenue Department, since July 1, 2018 onwards, all products sold to Australian consumers in 12 months to reach 75,000 Australian dollars (about 375,000 yuan) of overseas companies or e-commerce platform, both in Australia tax GST system for registration, and quarterly payment of 10% of the total value-added tax of the product.
Note: GST, which collects goods and services tax on overseas business transactions
China's electricity suppliers and trade freight forwarders are directly affected
According to official data from the Australian government, there are currently about 3,000 potential enterprises or e-commerce platforms in China that require GST registrations, accounting for 17% of all potential global registrants. As a result, China will become one of the countries hit hardest by the New Deal of Australia's tax revenue and more than 500 Chinese e-commerce platforms, traders and logistics and freight companies are expected to be affected, followed by Singapore, Japan and Malaysia.
In many Chinese e-commerce sellers, it seems that the new tax package in Australia is not fair, raising the prices of commodities is not conducive to their business development in Australia. What they can not figure out is that they have already paid 17% VAT in China and why they still have to pay 10% tax again in Australia.
Connotation: Trade Protectionism
With the popularity of online shopping, consumers in Australia are very keen on purchasing goods from China, Japan, Singapore and other countries through the e-commerce platform. With the increase in total trade, Australia has changed from an exporting country to an importing country, and the products purchased by Australian consumers from abroad have had a significant impact on domestic retailers in Australia. Therefore, Australia has opted to protect its retailers by adjusting their tax policies Domestic enterprises.
Previously, for Chinese e-commerce platform and B2C merchants, the value of products sold to Australia equal to or less than 1000 Australian dollars (about 5001.9 yuan) is tax-free, only more than 1000 Australian dollars in goods and cigarettes and alcoholic beverages Will be taxed.
Kust Roff, assistant commissioner for the Australian Taxation Office, explains that the introduction of the New Deal is aimed at creating a level playing field for local businesses in Australia, which has dealt a heavy blow to cheap imports. The New Deal is expected to generate an additional $ 300 million in revenue for the Australian government within three years of its implementation.
Bai Ming, deputy director of the International Market Institute at the Research Institute of the Ministry of Commerce, pointed out that the move by the Australian government to increase tariffs is not equivalent to the further liberalization of China's market by cutting 187 tariffs on imported goods in the near future, and has essentially embarked on the path of trade protectionism.
Interpretation 1: After the tax reform tax increase yet?
GST's English title is Goods and Service Tax (GST), which refers to the tax on most goods and services sold in Australia at a tax rate of 10%. Many people used to call it GST. GST can be found in fact similar to the EU VAT, companies pay imports when imported GST, after each quarterly tax returns and re-sale of GST hedge, Duotuishaobu. Therefore, GST can also be called the Australian version of VAT, easier for everyone to understand.
July 1, 2018 The Australian government has a new policy change to GST with the following differences:
Before July 1, 2018
After July 1, 2018
FOB value
Under 1000 Australian dollars
No duty, no VAT
No duty
VAT is 10% of FOB price
FOB value
Higher than 1000 Australian dollars
Most categories tariff rate of 5%, but if there is a free trade agreement certificate (COO) free duty
Value-added tax = (CIF price + customs duty) * 10%, if the main body of imports is an enterprise, you can hedge the value-added tax collected at the quarterly tax return and re-sale.
no change
After the tax reform, regardless of the level of goods, have to import GST. Import GST = (value of the goods + sea freight (20USD / CBM) + insurance + tariff) x 10%.
In addition, GST can be deductible, that is, the seller collects GST collected revenue from sales, and deducts the GST paid when someone else buys the goods or services. Finally, it needs to be handed over to the Inland Revenue Department ATO's are: The seller charges the customer's tax - the tax on the purchase of the goods or services.
It is noteworthy that, if the annual income of the seller does not exceed $ 75000, you can not register GST.
Interpretation 2: Australian Amazon Chinese sellers must be registered Australian tax ID?
The IRS requires overseas sellers to apply for an offshore tax return after Australia's annual revenue exceeds AUD $ 75,000, but since Australia's Amazon requires all sellers to provide the ARN (ATO Reference Number) after July 1, 2018.
That is, the IRS reference number associated with VAT, so a seller equivalent to Amazon must register an IRS.
July 1, 2018 Amazon customers crowdsourcing customers can use the tax package, after which sellers must import their own tax code.
Crowdsourcing joint professional accounting firm, the imminent introduction of the Australian tax registration service, to provide customers with tax ID registration to provide one-stop tax reporting services. And to provide tariffs, value added tax, the Australian tax code to optimize the income tax program.
Customers do not need to set up an Australian tax registration number, the overseas tax number can always be used, regardless of the size, the Australian IRS will not be imposed on overseas entities operating income tax in Australia, Australia Amazon Chinese sellers can use offshore Chinese companies Apply for a tax ID even in the name of an individual. Application before the crowdsourcing will give the seller a detailed list of materials, individuals and the main body of the company can be completed within 5 working days. However, it is suggested that large and medium-sized sellers register Australian entities at the right time, which is very helpful for brand building, hiring local employees, marketing and after-sales service.
Interpretation 3: Can you declare a low import clearance?
Australian Customs has a "reasonable range" of the cost price and market price for all imported goods. Any undeclared application is of concern to the customs authorities and is subject to additional documents such as transaction certificates. Record, affecting follow-up imports; Moreover, taking into account the vast majority of products can be applied for duty-free applications, coupled with GST follow-up can apply for a return or deductible, so there is absolutely no need to declare low.
At the same time, it is suggested that sellers who want to establish their own brand register their patents and brands as soon as possible, especially when declaring the corresponding electronic products and corresponding models and models. Is conducive to rapid clearance.
Note: GST, which collects goods and services tax on overseas business transactions
China's electricity suppliers and trade freight forwarders are directly affected
According to official data from the Australian government, there are currently about 3,000 potential enterprises or e-commerce platforms in China that require GST registrations, accounting for 17% of all potential global registrants. As a result, China will become one of the countries hit hardest by the New Deal of Australia's tax revenue and more than 500 Chinese e-commerce platforms, traders and logistics and freight companies are expected to be affected, followed by Singapore, Japan and Malaysia.
In many Chinese e-commerce sellers, it seems that the new tax package in Australia is not fair, raising the prices of commodities is not conducive to their business development in Australia. What they can not figure out is that they have already paid 17% VAT in China and why they still have to pay 10% tax again in Australia.
Connotation: Trade Protectionism
With the popularity of online shopping, consumers in Australia are very keen on purchasing goods from China, Japan, Singapore and other countries through the e-commerce platform. With the increase in total trade, Australia has changed from an exporting country to an importing country, and the products purchased by Australian consumers from abroad have had a significant impact on domestic retailers in Australia. Therefore, Australia has opted to protect its retailers by adjusting their tax policies Domestic enterprises.
Previously, for Chinese e-commerce platform and B2C merchants, the value of products sold to Australia equal to or less than 1000 Australian dollars (about 5001.9 yuan) is tax-free, only more than 1000 Australian dollars in goods and cigarettes and alcoholic beverages Will be taxed.
Kust Roff, assistant commissioner for the Australian Taxation Office, explains that the introduction of the New Deal is aimed at creating a level playing field for local businesses in Australia, which has dealt a heavy blow to cheap imports. The New Deal is expected to generate an additional $ 300 million in revenue for the Australian government within three years of its implementation.
Bai Ming, deputy director of the International Market Institute at the Research Institute of the Ministry of Commerce, pointed out that the move by the Australian government to increase tariffs is not equivalent to the further liberalization of China's market by cutting 187 tariffs on imported goods in the near future, and has essentially embarked on the path of trade protectionism.
Interpretation 1: After the tax reform tax increase yet?
GST's English title is Goods and Service Tax (GST), which refers to the tax on most goods and services sold in Australia at a tax rate of 10%. Many people used to call it GST. GST can be found in fact similar to the EU VAT, companies pay imports when imported GST, after each quarterly tax returns and re-sale of GST hedge, Duotuishaobu. Therefore, GST can also be called the Australian version of VAT, easier for everyone to understand.
July 1, 2018 The Australian government has a new policy change to GST with the following differences:
Before July 1, 2018
After July 1, 2018
FOB value
Under 1000 Australian dollars
No duty, no VAT
No duty
VAT is 10% of FOB price
FOB value
Higher than 1000 Australian dollars
Most categories tariff rate of 5%, but if there is a free trade agreement certificate (COO) free duty
Value-added tax = (CIF price + customs duty) * 10%, if the main body of imports is an enterprise, you can hedge the value-added tax collected at the quarterly tax return and re-sale.
no change
After the tax reform, regardless of the level of goods, have to import GST. Import GST = (value of the goods + sea freight (20USD / CBM) + insurance + tariff) x 10%.
In addition, GST can be deductible, that is, the seller collects GST collected revenue from sales, and deducts the GST paid when someone else buys the goods or services. Finally, it needs to be handed over to the Inland Revenue Department ATO's are: The seller charges the customer's tax - the tax on the purchase of the goods or services.
It is noteworthy that, if the annual income of the seller does not exceed $ 75000, you can not register GST.
Interpretation 2: Australian Amazon Chinese sellers must be registered Australian tax ID?
The IRS requires overseas sellers to apply for an offshore tax return after Australia's annual revenue exceeds AUD $ 75,000, but since Australia's Amazon requires all sellers to provide the ARN (ATO Reference Number) after July 1, 2018.
That is, the IRS reference number associated with VAT, so a seller equivalent to Amazon must register an IRS.
July 1, 2018 Amazon customers crowdsourcing customers can use the tax package, after which sellers must import their own tax code.
Crowdsourcing joint professional accounting firm, the imminent introduction of the Australian tax registration service, to provide customers with tax ID registration to provide one-stop tax reporting services. And to provide tariffs, value added tax, the Australian tax code to optimize the income tax program.
Customers do not need to set up an Australian tax registration number, the overseas tax number can always be used, regardless of the size, the Australian IRS will not be imposed on overseas entities operating income tax in Australia, Australia Amazon Chinese sellers can use offshore Chinese companies Apply for a tax ID even in the name of an individual. Application before the crowdsourcing will give the seller a detailed list of materials, individuals and the main body of the company can be completed within 5 working days. However, it is suggested that large and medium-sized sellers register Australian entities at the right time, which is very helpful for brand building, hiring local employees, marketing and after-sales service.
Interpretation 3: Can you declare a low import clearance?
Australian Customs has a "reasonable range" of the cost price and market price for all imported goods. Any undeclared application is of concern to the customs authorities and is subject to additional documents such as transaction certificates. Record, affecting follow-up imports; Moreover, taking into account the vast majority of products can be applied for duty-free applications, coupled with GST follow-up can apply for a return or deductible, so there is absolutely no need to declare low.
At the same time, it is suggested that sellers who want to establish their own brand register their patents and brands as soon as possible, especially when declaring the corresponding electronic products and corresponding models and models. Is conducive to rapid clearance.