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View Full Version : How often do people get stung with GST?



jaymzw
8th November 2010, 19:20
Out of interest how often do people get charged with GST by customs? Just wondering as I got a letter today. I've brought parts in before and havent had it.

James

duckonin
8th November 2010, 19:22
Out of interest how often do people get charged with GST by customs? Just wondering as I got a letter today. I've brought parts in before and havent had it.

James

Were the parts valued at more than $400 ? if so that is reason no 1..

Mully
8th November 2010, 19:25
Were the parts valued at more than $400 ? if so that is reason no 1..

Yep - that.

Or undeclared value on the parcel.

Harvd
8th November 2010, 19:39
Or undeclared value on the parcel.

then how do they know how much to tax you?

duckonin
8th November 2010, 19:54
then how do they know how much to tax you?

They would open item and put their own value on it, they are not fools ..:facepalm:

baptist
8th November 2010, 19:59
Were the parts valued at more than $400 ? if so that is reason no 1..

Didn't know that myself, I used to get a lot of stuff sent over from the UK and the USA but never got any GST invoices, everything sent though was in packages of a lesser value than $400.

Mully
8th November 2010, 20:01
then how do they know how much to tax you?


They would open item and put their own value on it, they are not fools ..:facepalm:

Yeah, that.

Customs have valuation guys who pretty much make up a value.

Also, if there's no declared value, NZC will stop it until you have a clearance. You can't get a clearance without an invoice.

Yow Ling
8th November 2010, 20:11
gst amount is calculated on the item plus the freight

jaymzw
8th November 2010, 21:01
gst amount is calculated on the item plus the freight

Yep, plus the import fee (plus GST on that) plus a biosecurity fee (plus GST on that too)
Came to $133 although it is still worth the hassle.

DEATH_INC.
8th November 2010, 21:34
Most of the stuff I've brought in has just gone through. But I have had to pay it a couple of times.

pzkpfw
8th November 2010, 21:37
I got a parcel containing a "Hugger" and "Belly Pan".

They figured it was clothing and charged me for it.

By the time I found out I shouldn't have had to pay for motorcycle parts (was less than $xyz) and found out I had to front up at the customs office down town to pursue I refund I just left it.

Bastards do get stuff wrong.

(There were other clues on the label.)

bogan
8th November 2010, 21:44
got a 1100usd laptop last year, was obviously a laptop as the sender just stuck a label onto the box with packing tape. Was very surprised to see it sitting outside my front door, in plain view from the street :facepalm: and without GST charges! However my view is always expect to pay it (and always make sure they take off the VAT from purchase price!) but it's a bonus if you don't :woohoo:

MarkH
8th November 2010, 22:07
Came to $133 although it is still worth the hassle.

Basically if they can't charge at least $50 then it isn't worth their time to stop the package. In your case they consider it worthwhile since they were able to squeeze $133 out of you.

The last time I had a package stopped and had to pay GST was about 7 years ago. I bought a good flash for my camera - in NZ the cheapest price I could find was $875 and the dearest price was $1200. I paid for the flash + freight + GST and the total cost was $600 once I had it in my hand - $275 saved compared to the cheapest price that I could find here! Totally worth it.

jaymzw
8th November 2010, 22:10
got a 1100usd laptop last year, was obviously a laptop as the sender just stuck a label onto the box with packing tape. Was very surprised to see it sitting outside my front door, in plain view from the street :facepalm: and without GST charges! However my view is always expect to pay it (and always make sure they take off the VAT from purchase price!) but it's a bonus if you don't :woohoo:

No VAT in the US though right?

Owl
8th November 2010, 22:42
Yeah copped gst a couple of times on imported items.

One of those times, I had to return an item wrongly sent and it was going to be a PITA to claim back the gst. Interestingly, the US company agreed to pay the freight charges as long as I supplied the receipt. They re-imbursed me in US$, which more than covered the lost gst.:D

hellokitty
9th November 2010, 05:20
I got charged $200 or so on my bike jacket :angry: was annoying after paying US $450 to buy and ship over here. But what can you do? If you don't pay, they keep it.

bsasuper
9th November 2010, 05:35
There was an article a few months back on the news about this fine government of ours clamping down on overseas personal orders, making sure we paid the GST, It starts this month............

Quasievil
9th November 2010, 06:52
I think the fact that its the total value declared on the invoice PLUS the freight that isn't a transactional item in NZ is added to the Customs total charge.
the freight isnt a service or a product in New Zealand, it shouldnt be charged.

Mully
9th November 2010, 07:49
No VAT in the US though right?

Some States have sales tax - which they should be not charging as it's an out-of-State transaction. Check that they will before you buy anything.


There was an article a few months back on the news about this fine government of ours clamping down on overseas personal orders, making sure we paid the GST, It starts this month............

The ITF (Import Transaction Fee) - never used to be charged on small shipments. Customs have started collecting that recently (not sure it was this month, but recently.) - the De Minimis (smallest amount collected) also raised to NZ$60 - to account for the GST rise.


the freight isnt a service or a product in New Zealand, it shouldnt be charged.

Agreed - but no-one will change it as it's only a "cost" to private importers. Any GST registered entity will claim it back in any case.

White trash
9th November 2010, 08:01
I think the fact that its the total value declared on the invoice PLUS the freight that isn't a transactional item in NZ is added to the Customs total charge.
the freight isnt a service or a product in New Zealand, it shouldnt be charged.

If your commercial invoices clearly state a "CIF" value, you should only be charged the GST on that value. If it's not stated, it will be assumed freight to be paid and you'll be charged GST on the estimate of that also.

MarkH
9th November 2010, 10:01
I got charged $200 or so on my bike jacket :angry: was annoying after paying US $450 to buy and ship over here. But what can you do? If you don't pay, they keep it.

Since US$450 is well over the NZ$400 threshold for GST it should have been obvious that customs would stop it. But I have had a package stopped that was worth under US$200 - it was clothing. On clothing you get stung for GST and for import duty! Most imports have no duty, but clothing is an exception to that.

The real bastard is when you find out that in Australia the threshold value for customs is AU$1000 - you can import a US$950 exhaust for your bike in Aussie and customs wont even stop it to charge you the 10% GST. Another reason to hate those Aussies!


I think the fact that its the total value declared on the invoice PLUS the freight that isn't a transactional item in NZ is added to the Customs total charge.
the freight isnt a service or a product in New Zealand, it shouldnt be charged.

Unfortunately that freight is seen as part of the cost of the imported goods, whatever the goods cost you the tax man wants 15% chucked on top.

Luckily we can import stuff that is cheaper than the threshold amount (used to be $400, but is lower now) and not get charged at all. That is why I haven't paid GST on incoming packages for about 7 years despite importing many thousands of dollars worth of goods. I can even buy stuff from the US now from companies that don't send goods overseas! The amount of stuff that I have bought that isn't available in NZ or would cost hundreds more is staggering! Shit, I've even bought stuff from overseas that isn't available at retail anywhere in the world (custom made stuff).