Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

Retailers "Deeply Disappointed" by Budget


Retailers "Deeply Disappointed" by Budget


Retail NZ says retailers will be disappointed that the Government has failed to take action to close a loophole which disadvantages small and large Kiwi businesses because foreign websites don’t have to pay their fair share of GST and duty when selling low value goods to New Zealand.

“The Budget is deeply disappointing for retailers,” Retail NZ’s General Manager Public Affairs Greg Harford said today. “The Government is moving to introduce new taxes at the border but is ignoring an existing loophole that is costing the country between $200-$500 million in lost tax revenue at the border. The current loophole means foreign firms selling to New Zealanders don’t have to pay the same taxes and duties that Kiwi firms do. This means that foreign websites have an unfair advantage over Kiwi firms, which are forced to collect GST and pay it to the Government.

“It is doubly unfair that Kiwi retailers selling goods to customers in most other countries have their goods stopped at the foreign border, and customers have to pay tax and fees before items are delivered. New Zealand has the second-highest low value threshold in the world after Australia, and both our countries are seriously out of step with most other jurisdictions. Our $400 threshold compares to $20 in Canada and £15 in the UK.

“This issue can be resolved reasonably simply, and we are deeply disappointed that the Government has not acted in this year’s Budget to close the loophole. Not only does this loophole mean that the Government is missing out on revenue it desperately needs to reduce the $684 million deficit, it is also driving New Zealand firms out of business and costing jobs.

"Retail NZ and Booksellers NZ are running the #eFairnessNZ campaign asking the government to require foreign websites to register for New Zealand GST. If a foreign retailer does not collect GST at the point of purchase, items worth more than $25 should be stopped at the border pending payment of tax, duty and any clearance fees.

“Closing the eFairness loophole will allow New Zealand retailers to compete on a level playing field with international suppliers, save Kiwi jobs and help town centres throughout the country thrive. It’s time for the Government to commit to a timeframe for action.”


ends

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

General Assembly: Ardern Rejects Trump Call For War On Drugs

New Zealand will not be signing the United States' document calling for global action on the war on drugs, Prime Minister Jacinda Ardern says.

Ms Ardern is in New York for the United Nations General Assembly this week, along with about 140 other world leaders.

US President Donald Trump is kicking off his week at the UN by holding an event to promote the US document called the Global Call to Action on the World Drug Problem. More>>

 

Hunting v Pest Control: Tahr Control Needed To Protect Alpine Habitats

A cull of introduced Himalayan tahr browsing conservation land in Kā Tiritiri o Te Moana/ the Southern Alps is needed to protect special alpine plants and their habitats, Conservation Minister, Eugenie Sage said. More>>

ALSO:

Protest At Sea: Judge Discharges Greenpeace Activists

The judge today discharged Norman and Howell without conviction, saying the cumulative consequences of a conviction would be out of proportion to what was “low level” offending off the Wairarapa coast in April 2017. More>>

ALSO:

Meth Testing Report: Housing NZ "To Right Wrong"

Phil Twyford “Housing NZ acknowledges that around 800 tenants suffered by either losing their tenancies, losing their possessions, being suspended from the public housing waiting list, negative effects on their credit ratings or, in the worst cases, being made homeless.” More>>

ALSO:

No Reshuffle: Meka Whaitiri Removed As A Minister

Meka Whaitiri will be removed as a Minister with immediate effect... The decision was made after receiving a report into an incident that occurred on 27 August in Gisborne, involving Meka Whaitiri and one of her staff. More>>

ALSO:

Pay Equity Bill: Making History For Women’s Pay

The Equal Pay Amendment Bill, introduced to the House today, will make it easier for workers to make a pay equity claim , using a more simple and accessible process within New Zealand’s existing bargaining framework. More>>

ALSO:

Asylum: Refugee Quota Increasing To 1500

“The quota increase will take place from July 2020. In the meantime, we will work to increase the number and spread of refugee resettlement and support services. We need to make sure we’re prepared for this change in policy.” More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels