Got stung by Customs

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muzza333
muzza333
7 posts
7 posts
1 Nov 2010 7:27pm
Just a warning for anyone thinking of getting gear from Overseas. I've been getting bike parts for a while just every now and then, anyway on the last order customs held it up and asked me to come and get the delivery in person. To cut a long story short...busted big time.

Now they have asked me to produce the receipts for anything that I have bought overseas in the last 2 years.

The guy told me that it's nothing personal but they have automatic alerts that come up when a whole lot of exports start coming from the same company, then they investigate and I am responsible for what these guys wrote on the import form. They also told me that it's a $1,000 threshold but they add duty, gst and freight onto this to get to the $1,000, so really it's about $700 and you can't argue with these guys.
sausage
sausage
QLD
4874 posts
QLD, 4874 posts
1 Nov 2010 9:45pm
I think you treat these stings with vinegar and a spoonful of medicine
im
im
3 posts
im im
3 posts
1 Nov 2010 7:46pm
That sucks!

Are you sure they add the GST to get to the $1000 mark? My understanding is they add it IF it reaches the $1000 mark... It could be that they've made a mistake.

Scroll down to "How do you pay GST on imports": http://www.ato.gov.au/businesses/content.asp?doc=/content/13193.htm
tgladman
tgladman
WA
500 posts
WA, 500 posts
1 Nov 2010 8:00pm
spewin u lost those reciepts tho.
GalahOnTheBay
GalahOnTheBay
NSW
4188 posts
NSW, 4188 posts
1 Nov 2010 11:28pm
tgladman said...

spewin u lost those receipts tho.


lol
Poida
Poida
WA
1922 posts
WA, 1922 posts
1 Nov 2010 8:31pm
Paying gst on the customs duty definitely sucks. The $1,000 threshold is AUD also.
Flux
Flux
WA
533 posts
WA, 533 posts
1 Nov 2010 9:08pm
I've imported a fair amount of stuff from the states with high price tags, and the way around paying any GST on any of it is deal up with the supplier to send multiple packages through with the invoice being less than $1000 Aus.
So if you split the kite up and priced it at say $950 then sent the bar and lines separately to total the full cost of the purchase, up to $2000 for two items.
If each individual item is more than a grand just make sure you buy say 5 other low cost items on the same packing slip to make it seem like they are low cost goods not any one particular item adding to a grand or more.
If it's more you need just shuttle the postage address's around to some mates and chuck them a carton or whatever.

And yeah the seller needs to be on your side as well.
If you are a regular customer of the seller then they will indeed side with you as it is in there best interest, one would think.

If you do this you should be fine.
Kinda sounds like what a drug trafficker says to his mule just before he boards the plane with bags of powder in his suitcase, doesn't it.
But really sounds like someone with "a hard on" ...produce receipts for the last two years, why should you do that, just because they ask you?
Where in the law book does it say you need to keep import receipts on goods purchased


Bertie
Bertie
NSW
1351 posts
NSW, 1351 posts
2 Nov 2010 12:32am
i rekon we should have to pay Gst on everything we import (YES even under $1000)
It would simplify everything.
We could have Tax cuts in important areas.
Local small businesses would do better without being constantly undercut or have to match without gst prices.
Maybe extra revenue could go into the health care or education system???
And muzza wouldnt be getting the royal rubber glove!
waxman
waxman
SA
1390 posts
SA, 1390 posts
2 Nov 2010 1:07am
It's a lot worse in the UK. Those guys get charged for new or secondhand gear, and if there is no price or value of the item they just estimate what it is worth and send you the bill..which has to be paid before you get the gear.

Buying local can save you some times.



im
im
3 posts
im im
3 posts
1 Nov 2010 10:46pm
Bertie said...

i rekon we should have to pay Gst on everything we import (YES even under $1000)
It would simplify everything.


I don't think it would!

If the overseas retailer is asked to pay the GST to the ATO, they probably won't bother.
If every single individual importing had to pay GST it'd be a supply-chain nightmare! Can you imagine customs holding thousands of small-value packages until GST is paid?

Bertie said...


Local small businesses would do better without being constantly undercut or have to match without gst prices.


I think most would still be significantly undercut with GST added. You gotta remember they are still being undercut at present with international shipping added on, so 10% won't make too much difference. Besides, not many people would deal with the hassel of international purchases if the difference is only 10% I reckon.

There's a bit of media coverage about this at the moment: http://www.smh.com.au/technology/blogs/the-geek/why-gst-on-internet-shopping-aint-never-gonna-happen/20101101-179pk.html
Flux
Flux
WA
533 posts
WA, 533 posts
2 Nov 2010 10:12pm
Bertie said...

i rekon we should have to pay Gst on everything we import (YES even under $1000)
It would simplify everything.
We could have Tax cuts in important areas.
Local small businesses would do better without being constantly undercut or have to match without gst prices.


You may just get your wish as I see they are thinking of now lowering the import amount to $400 dollars due to the rising aus $$ against the green back, and retailers not being able to be competitive with online shopping.
So was the reasoning given to this yet wonderful idea to impose more choking of our ever dwindling disposable income, that I may add was supposed to increase with the induction of GST, in that the idea was to offset small taxes on duty and levys so that they would disappear, which it hasn't??

I never really agree with losing half my income to tax, or the fact that we pay duty on motor vehicles and housing which is just a rort.

I cannot see why anyone would actually perfer to make a market less competitive to the average consumer???
But I do agree with buying locally over offshore which makes it a bit of a conundrum.

I think the division between rich and poor is ever expanding and the real interest by governments should concentrate on corporate wealth as a means to revenue the budget and let the average aussie battler have a much lower personal income tax.


Mr float
Mr float
NSW
3452 posts
NSW, 3452 posts
3 Nov 2010 9:20am
Flux said...

Bertie said...

i rekon we should have to pay Gst on everything we import (YES even under $1000)
It would simplify everything.
We could have Tax cuts in important areas.
Local small businesses would do better without being constantly undercut or have to match without gst prices.


You may just get your wish as I see they are thinking of now lowering the import amount to $400 dollars due to the rising aus $$ against the green back, and retailers not being able to be competitive with online shopping.
So was the reasoning given to this yet wonderful idea to impose more choking of our ever dwindling disposable income, that I may add was supposed to increase with the induction of GST, in that the idea was to offset small taxes on duty and levys so that they would disappear, which it hasn't??

I never really agree with losing half my income to tax, or the fact that we pay duty on motor vehicles and housing which is just a rort.

I cannot see why anyone would actually perfer to make a market less competitive to the average consumer???
But I do agree with buying locally over offshore which makes it a bit of a conundrum.

I think the division between rich and poor is ever expanding and the real interest by governments should concentrate on corporate wealth as a means to revenue the budget and let the average aussie battler have a much lower personal income tax.





Ok so you don't like paying tax and don't seem to care if os competitors have an unfair advantage over local retailers by having a $1000 tax free threshold on their goods .(because it makes it more competitive)
How do you feel about the banks in Australia gouging people to the tune of $1000 for every man woman and child in this country each year ?
Vatos Locos
Vatos Locos
230 posts
230 posts
3 Nov 2010 4:15pm
See i told you to suport your local shop
RPM
RPM
WA
1549 posts
RPM RPM
WA, 1549 posts
3 Nov 2010 4:51pm
moral of the story is....

buy here, support the local shops. In the end you might be thinking your saving some money, but look now at the problems you have.

SO was it really worth it? You know you have done something a bit dodge so no sympathy really.
Brink7
Brink7
NSW
225 posts
NSW, 225 posts
3 Nov 2010 8:27pm
Nah, the moral of the story is: all Customs Officers are pricks!
dusta
dusta
WA
2940 posts
WA, 2940 posts
3 Nov 2010 6:17pm
RPM said...

moral of the story is....

buy here, support the local shops. In the end you might be thinking your saving some money, but look now at the problems you have.

SO was it really worth it? You know you have done something a bit dodge so no sympathy really.




moral of the story is dont get caught
GRunner
GRunner
QLD
238 posts
QLD, 238 posts
3 Nov 2010 8:42pm
Sounds like your getting done over. I just bought some stuff from the UK for AU$980

No import tax no VAT, money back or guarantee, black or white, rich or poor - no customs dudes knocking on my door

Only fools and horses I reckon!
Flux
Flux
WA
533 posts
WA, 533 posts
3 Nov 2010 7:03pm
Mr float said...

Ok so you don't like paying tax and don't seem to care if os competitors have an unfair advantage over local retailers by having a $1000 tax free threshold on their goods .(because it makes it more competitive)
How do you feel about the banks in Australia gouging people to the tune of $1000 for every man woman and child in this country each year ?


No one likes paying tax mate, it's pretty obvious isn't it? But it is a necessary evil I just said I didn't like the top threshold as it's too high considering all the other exorbitant taxes levy's we already pay.
I do care about local retailers but in a competitive market the local supplier has something to think about when he adjusts the mark up on his goods now doesn't he, so competition is a good thing in this case is it not? as it keeps items from being overly price hiked, which happens.

As for the banks well thats another story isn't it, it all starts with the cost of items so you borrow and borrow and borrow obviously they will make mega profits from this.
I'm not sure if I get your $1000 thing what do you mean here?

Jimmyz
Jimmyz
NSW
446 posts
NSW, 446 posts
4 Nov 2010 1:08am
RPM said...

moral of the story is....

buy here, support the local shops. In the end you might be thinking your saving some money, but look now at the problems you have.

SO was it really worth it? You know you have done something a bit dodge so no sympathy really.


It depends on how you do it... not all of us have bad experiences.

I personally have saved a combined $4000 on kites and scuba gear from overseas... though I have also bought a lot of this stuff from aus.

There's nothing dodgy about it, it's a risk/reward trade-off... overseas is more risky by lack of warranty support and lack of legal recourse if the goods are faulty, but usually cheaper.

Also, about supporting local stores; not all of us can afford to be a charity!
picker
picker
VIC
431 posts
VIC, 431 posts
4 Nov 2010 1:26am
this is total C R A P, another retailer trying to say dont buy o.s. or US buy our stuff.

muzza333 dont sound to legit.
lostinlondon
lostinlondon
VIC
1159 posts
VIC, 1159 posts
4 Nov 2010 8:09am
Mr float said...

Ok so you don't like paying tax and don't seem to care if os competitors have an unfair advantage over local retailers by having a $1000 tax free threshold on their goods .(because it makes it more competitive)
How do you feel about the banks in Australia gouging people to the tune of $1000 for every man woman and child in this country each year ?


After living in the UK for 4 years, where GST (VAT) is 17.5% (I think it is going up to 20%), I returned to Australia looking forward to a lower cost of living to find to my surprise everything is more expensive here. Now we have a strong currency we should be starting to reap the benefits, but there are so many things that I could buy online, have delivered to Australia and still pay half price for them (books, software are standouts)

Reducing the $1000 dollar threshold would be tantamount to protectionism, and a waste of money. On a $1000 invoice the tax and duty payable is $155 ish (5% customs duty, 10% GST on top) By the time you pay for someone to screen the cargo and collect the tax payable, then release the item to you, a great deal of that $155 would have been spent. If the threshold was $400 the process would probably be revenue negative, so money would have to come from somewhere else to pay for all the additional screening and staff that would be required. So, tax money would be be pumped into the system (where would that come from?)

As for the banks, well they are multi billion dollar businesses. The return on their capital is in effect only 3% the profits might seem obscene but they are getting less return on their investments than they would if they just bought government bonds with it. If kiteshops were returning 3% profit they would soon go out of business!

Beersy
Beersy
TAS
753 posts
TAS, 753 posts
4 Nov 2010 9:41am
Aussie dollar higher than USD. time to buy up!!!
Mr float
Mr float
NSW
3452 posts
NSW, 3452 posts
4 Nov 2010 9:43am
lostinlondon said...

Mr float said...

Ok so you don't like paying tax and don't seem to care if os competitors have an unfair advantage over local retailers by having a $1000 tax free threshold on their goods .(because it makes it more competitive)
How do you feel about the banks in Australia gouging people to the tune of $1000 for every man woman and child in this country each year ?


After living in the UK for 4 years, where GST (VAT) is 17.5% (I think it is going up to 20%), I returned to Australia looking forward to a lower cost of living to find to my surprise everything is more expensive here. Now we have a strong currency we should be starting to reap the benefits, but there are so many things that I could buy online, have delivered to Australia and still pay half price for them (books, software are standouts)

Reducing the $1000 dollar threshold would be tantamount to protectionism, and a waste of money. On a $1000 invoice the tax and duty payable is $155 ish (5% customs duty, 10% GST on top) By the time you pay for someone to screen the cargo and collect the tax payable, then release the item to you, a great deal of that $155 would have been spent. If the threshold was $400 the process would probably be revenue negative, so money would have to come from somewhere else to pay for all the additional screening and staff that would be required. So, tax money would be be pumped into the system (where would that come from?)

As for the banks, well they are multi billion dollar businesses. The return on their capital is in effect only 3% the profits might seem obscene but they are getting less return on their investments than they would if they just bought government bonds with it. If kiteshops were returning 3% profit they would soon go out of business!




OK so based on your info here is some advice for the banks . go out and buy govt bonds .You will make more profits and won't get into as much trouble with the govt and the people because the gv and ultimately the people benefit .Everyone is happy and you can pay yourselves even higher bonuses and have more nice holidays

and on the tax front (again based on what you say ) eliminate the GST ( so that we are on an equal footing with foreign competitors in goods and services and don't have to pay customs officers for enforcing piffling amounts ) and just increase company and income tax .
there problems solved and thanks for your insights
BrisKites
BrisKites
QLD
1293 posts
QLD, 1293 posts
4 Nov 2010 9:04am
lostinlondon said...


Reducing the $1000 dollar threshold would be tantamount to protectionism, and a waste of money. On a $1000 invoice the tax and duty payable is $155 ish (5% customs duty, 10% GST on top) By the time you pay for someone to screen the cargo and collect the tax payable, then release the item to you, a great deal of that $155 would have been spent. If the threshold was $400 the process would probably be revenue negative, so money would have to come from somewhere else to pay for all the additional screening and staff that would be required. So, tax money would be be pumped into the system (where would that come from?)



How can you say this is protectionism? Just sounds like you have no real concept of the tax system.
The idea of GST is for the tax to be charged for all goods and services provided. As an importer or retailer the GST is paid no matter what the amount of the invoice. Even if it goes through customs without GST charged it is still paid during GST reporting.
I don't understand how you can say that if everybody has to pay GST on imports that it is protecting Aus business when all it will do is create parody AND get you to pay your taxes, just like the rest of us who contribute to society.
lostinlondon
lostinlondon
VIC
1159 posts
VIC, 1159 posts
4 Nov 2010 10:05am
Nope because govt bonds are in essence loans to the government which have to be paid back by the government with interest. Where does that money come from? Tax revenue. Where does tax revenue come from? My pocket. It would be completely non productive as all the money that would otherwise be lent to businesses and industry (the productive part of the economy) would disappear. Nobody would win.

Mr Float, I'm glad you're not my financial advisor...

If retailers want to be on equal footing with overseas competitors, they need to start leaning on the wholesalers/importers to start passing on the savings associated with a stronger dollar.

That, or do what businesses like Kite Republic are doing in St Kilda, get some loyalty going by setting up a club, with a standing discount on all stock and regular day trips to different locations, organising downwinders and social funtions.

Retail is a hard business, you have to innovate or die.
Mr float
Mr float
NSW
3452 posts
NSW, 3452 posts
4 Nov 2010 10:21am
lostinlondon said...

Nope because govt bonds are in essence loans to the government which have to be paid back by the government with interest. Where does that money come from? Tax revenue. Where does tax revenue come from? My pocket.(I thought it came from GST which it misses out on when people buy stuff from OS . Again I suggest itch the GST and increase taxes) It would be completely non productive as all the money that would otherwise be lent to businesses and industry (the productive part of the economy) would disappear. Nobody would win. ( but surely based on your info the money should go there .Screw the tax payer and the gov if they want to pay a high rate that's their business it's in the interests of bank profits ,dividends and bonus es that the money should go there )

Mr Float, I'm glad you're not my financial advisor... (so am I)

If retailers want to be on equal footing with overseas competitors, they need to start leaning on the wholesalers/importers to start passing on the savings associated with a stronger dollar. (really ?,thanks for the advice)

That, or do what businesses like Kite Republic are doing in St Kilda, get some loyalty going by setting up a club, with a standing discount on all stock and regular day trips to different locations, organising downwinders and social funtions. (Nice plug )

Retail is a hard business, you have to innovate or die. (amazing stuff ,thanks for your input ,very enlightening )



Flux
Flux
WA
533 posts
WA, 533 posts
4 Nov 2010 12:43pm
lostinlondon said...


If retailers want to be on equal footing with overseas competitors, they need to start leaning on the wholesalers/importers to start passing on the savings associated with a stronger dollar.
Retail is a hard business, you have to innovate or die.

Exactly^^^
Lostinlondon the banks are declaring 50% profits this year mate,so where your 3% comes from I have no idea it's simple they are raping the country as they do everywhere in the world.
The Australian banks have used the cover of the global financial crisis to charge borrowers more than the increase in their own costs, resulting in big profits for the lenders and much higher interest bills for us the customers.
Bollocks really.




au_rick
au_rick
WA
752 posts
WA, 752 posts
4 Nov 2010 1:49pm
retaillers association is trying to get the $1000 reduced so you basically pay GST on everything you buy from overseas.

many companies set the retail prices for each country explicitly to stop overseas purchasing based on dollar fluctuations.

so much for "free trade" agreements !
INfiniDIE
INfiniDIE
WA
478 posts
WA, 478 posts
4 Nov 2010 3:01pm
Craigus said...

Nah, the moral of the story is: all Customs Officers are pricks!


Excuse me, I happen to work alongside ACS Officers and most are very nice people, some are pricks, some are absolute douchewads, but not all.
sleek1
sleek1
VIC
672 posts
VIC, 672 posts
4 Nov 2010 8:10pm
is it push bike parts? cause if it is sucked in.
dbabicwa
dbabicwa
WA
809 posts
WA, 809 posts
4 Nov 2010 5:16pm
INfiniDIE said...

Craigus said...

Nah, the moral of the story is: all Customs Officers are pricks!


Excuse me, I happen to work alongside ACS Officers and most are very nice people, some are pricks, some are absolute douchewads, but not all.


He wanted to say: all Government Officers are pricks! :0) Everywhere on the Earth....

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