15 November 2013

No surprises for savvy shoppers this silly season

A record 1,000 savvy customers a day are now using Customs’ What’s My Duty? calculator to find out how much GST and duty they will pay when their online shopping purchases arrive in New Zealand.

With Christmas fast approaching, if you’re one of the thousands of Kiwis going online to do your Christmas shopping, What’s My Duty? can estimate your final bill in an instant.

You can work out whether that racing bike from the USA, or dress from Milan is actually cheaper than at home once shipping, and GST and duty on the whole amount, is paid.

Terry Brown, Customs Group Manager Revenue and Assurance, says “Many people don’t know that when they buy things from an overseas website, they’re actually importing, and there are charges just like for commercial imports.”

There is a threshold below which Customs won’t collect charges, triggered when the amount of charges reaches $60 (the ‘de minimis’). Anything over that will be liable for duty, GST, and a transaction fee. The calculation can be tricky as not all items have duty charged, and GST is calculated on the value plus duty, freight, and insurance, then the transaction fee is added. What’s My Duty? helps you navigate this minefield, and avoid surprise bills when your goods arrive.

What’s My Duty? is at www.whatsmyduty.org.nz or can be downloaded as a free app for Apple and Android. It estimates the duty and GST payable on commonly imported items, including clothing, footwear, and toys

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