
And for good measure

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Postby ThePhil » Fri Nov 09, 2012 5:05 pm
Postby boss » Fri Nov 09, 2012 5:10 pm
Postby Xplora » Fri Nov 09, 2012 5:25 pm
Postby ThePhil » Sat Nov 10, 2012 10:38 pm
Postby ThePhil » Fri Dec 21, 2012 12:11 pm
Postby blkmcs » Fri Dec 21, 2012 12:32 pm
ThePhil wrote:...
They have 5-10% duty, then 10% GST and say 5% compliance, roughly 21% extra on the overseas guys.
...
Happy Christmas
Postby rkelsen » Fri Dec 21, 2012 12:46 pm
ThePhil wrote:Level playing field, level playing field, level playing field, that's all retailers have ever asked for.
Postby ThePhil » Fri Dec 21, 2012 2:36 pm
Postby blkmcs » Fri Dec 21, 2012 2:59 pm
ThePhil wrote:The overseas sellers don't have any duty on under $1,000, it is all linked up with the $1,000 threshold. Don't you even know that? That's what you do, buy overseas and get it posted direct, no hassle, no paperwork, no fees and duty.
10% paid by the consumer, yea, but it's 10% extra you the consumer are paying compared to you getting it overseas.
Even if you get a whole container load of stuff at once it takes time to all the paperwork and pay the fees, then it takes time to do your BAS each quarter and pay the ATO and also claim back the GST inputs. 5% would be a very low estimate and nobody could work it out exact, most small businesses the wife does the BAS.
But its the same as the Government saying it's not worth the effort them collecting it (means 20ish % compliance), but it's OK for Aust retailers to burden the compliance costs, how about recognise it's not worth it for them either.
When they post if from overseas they do not have to collect that GST and duty off you, hence no compliance compared to what the Aussie retailer has to do. No pissed off wife! That has to be worth 5%.
How do you struggle with that concept? Imagine if you sell something to someone; your hand to theirs-easy, but a retailer does it; from himself, through Aust customs and ATO, then to you.
And I am very sure they want it tilted in their favour, everybody wants security, home ground advantage on bulk freight costs should do that, but only competition will keep people honest. They are just asking to be treated as per the overseas shops, nothing else. If you want to see real protection look at the car plant subsidies, $1,000's per car, just because they have the Governments ear.
These mega mark ups 300% compared to overseas, think about it, it's the Big International brands that isolated the Australian market, manipulated trade restrictions (still are if they can) and jacked up the prices. That's why retailers are saying, 'we can't even buy it for that', because the big mark ups went to the big brands, they just charged Aussies more for wholesale, they were never going to give the money to some little shop.
Your shooting the worker not the bosses.
Postby ThePhil » Fri Dec 21, 2012 4:00 pm
Postby biker jk » Fri Dec 21, 2012 9:27 pm
ThePhil wrote:
If the gov't said, 'hey fella's this whole collecting gst on anything under $1,000 is not worth the effort' don't worry about it, small Aussie retailers would be extremely relieved, and have a level playing field.
Postby ThePhil » Fri Dec 21, 2012 10:02 pm
biker jk wrote:Even if the $1,000 exemption from the 10% GST was abolished the domestic retailers would still not be competitive as their prices are usually 20%-50% higher than their foreign competition. You need to focus on getting a better deal from wholesalers, landlords and reducing wage costs.
To be honest, my view is that there are too many retailers in Australia. This followed the consumer spending boom from the early 1990s to the GFC in 2007-8. Those days are over and will never return. So the Australian retails sector is bloated from those bygone days of 5%-6% volume growth and now needs to shrink.
Postby DavidS » Fri Dec 21, 2012 11:54 pm
Postby ThePhil » Sat Dec 22, 2012 2:55 am
Postby Ross » Sat Dec 22, 2012 5:35 am
Postby boss » Sat Dec 22, 2012 8:55 am
ThePhil wrote:Compliance costs are:-
1. There is a flat fee of $55 for filing out the import forms, doesn't matter what you get $10 or $10,000.
2. The work in filling out all the paperwork to tell customs what you have imported, so you may have a full container with lots of different items all with different duty amounts, its stacks of work and you need to know the right codes for everything, compared to when an o/s retailer just sends you something he does not need to do this.
3. Then going through your import invoices to work out what your gst inputs are and claim them, harder than it should be however, for example DHL won't automatically send you the customs invoice, you have to request it, it's cos as its a customs invoice they are not obliged to send it on, it's just more work for them and most customers don't need it anyway.
4. Then collect the gst off the customer and remit it to the ATO
Postby ThePhil » Sat Dec 22, 2012 9:38 am
jimboss wrote:None of this is required for imports under $1000. You're sexing it up.
Postby boss » Sat Dec 22, 2012 10:00 am
ThePhil wrote:jimboss wrote:None of this is required for imports under $1000. You're sexing it up.
How can you say that? if you get $100,000 grand of stuff in a container, made up of lots of items you are not gst exempt???
Collecting the money would be so profitable, the parcels come in, they have paperwork attached (put on by the exporter, like they do now for over $1,000) says on it the duty and gst amount, then the consumer pays that as he picks it up. Or if you do it all the time you just have an account with the Customs office.
Currently the shops have to go through all the crap of collecting under $1,000 but the Govt is saying, not worth it for us, in Labor/Union terms they are being scabs.
Postby il padrone » Sat Dec 22, 2012 10:20 am
Postby boss » Sat Dec 22, 2012 12:32 pm
ThePhil wrote:We don't have VAT??
Postby il padrone » Sat Dec 22, 2012 12:56 pm
jimboss wrote:ThePhil wrote:But lobbying the Government for a level playing field regarding just taxes and charges can only be a good thing, most people don't know the hidden charges, how could they?
Overseas guys Wholesale $100 then say 33% mark up, $133.
Aussie guy $100 then 5% Duty, $105, then IPDC $49, $154, 33% mark up, $205, then gst, $225.
I knew there was something fishy about that video. A taxes equating to 54% + GST just didn't gel with what I've experienced myself commercially importing goods.
IPDC. Import Processing Declaration Charge.
Cost - between $9 and $70. Per shipment imported. Not per item.
The Aussie Guy that you refer to surely would not be importing his stock one piece at a time. Surely.
Therefore, you are not talking a whopping 49% tax (using the $49 called out in previous calcs) on a $100 item. If the importer is importing 100 items, it costs them... what... 49 cents to process that item. 1000 items - and now we are talking commercial quantities - 4.9 cents.
So the real figures are something more like $100 + $5 duty = $105, $105 + IPDC $0.49 = 105.49, 105.49 + 33% mark-up = $140, $140 + 10% GST = $154. Far cry from $225, and not that far off $133... and not that bad when you include the fact you're going to get local warrantee, etc.
So, just to re-iterate. We are talking $133 for an overseas supplier, $154 for an Australian supplier. $21. Taaahhhhh-wenty-one dollars.
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