Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Aussie Tax Office Coming for NZ Retailers: Time NZ Acted

13 April 2018
Aussie Tax Office Coming for Kiwi Retailers – Time for NZ Govt Action

New rules mean New Zealand online retailers need to register for Australian GST from 1 July if they sell to Aussie consumers, and Retail NZ has renewed its call for our Government to level the playing field by making foreign websites register for New Zealand GST.

"Online retailers from New Zealand do substantial business into Australia, to the point where the Australian Tax Office has been holding seminars in New Zealand this week to brief retailers on the new requirements," Retail NZ's General Manager for Public Affairs, Greg Harford, said today.

"Retail NZ accepts Australia's right to tax foreign firms on the same basis as Australian firms, but we are deeply concerned that the New Zealand Government has so far failed to follow suit. Retailers in New Zealand have long suffered a competitive disadvantage as a result of Government tax policy, but the ultimate indignity is now that New Zealand retailers selling into Australia need to pay Australian GST to the Canberra Government, while Australian retailers are effectively given a tax-free pass by our Government when selling into New Zealand. It's another example of action by Australia to disadvantage Kiwis that's not being reciprocated by the New Zealand Government.

"The best solution to this thorny issue is for the New Zealand Government to require all foreign firms doing business here to register for GST, just as the Australians are doing. While it may not be perfect, it is the most practical solution to deal with an issue that is causing massive problems for our domestic retail industry, who have to pay tax while their foreign competitors don’t.

Action on this issue is urgent. The previous New Zealand Government studied this issue for a number of years but failed to act and the current Government is thinking about the issue, but retailers want to see progress. Retail NZ is continuing its call for the new New Zealand Government to announce a GST registration requirement for foreign online retailers in this year's budget."

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Budget Policy Statement: 'Wellbeing Of NZers At The Heart Of Budget Priorities'

“We want a wellbeing focus to drive the decisions we make about Government policies and Budget initiatives. This means looking beyond traditional measures - such as GDP - to a wider set of indicators of success,” Grant Robertson said. More>>

ALSO:

Short Of 2017 Record: Insurers Pay $226m Over Extreme Weather

Insurers have spent more than $226 million this year helping customers recover from extreme weather, according to data from the Insurance Council of NZ (ICNZ). More>>

Environment Commissioner: Transparent Overseer Needed To Regulate Water Quality

Overseer was originally developed as a farm management tool to calculate nutrient loss but is increasingly being used by councils in regulation... “Confidence in Overseer can only be improved by opening up its workings to greater scrutiny.” More>>

ALSO:

Deal Now Reached: Air NZ Workers Vote To Strike

Last week union members voted overwhelmingly in favour of industrial action in response to the company’s low offer and requests for cuts to sick leave and overtime. More>>

ALSO: