GST free threshold removal effect on shoppers and overseas bike shops

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queequeg
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby queequeg » Wed Jul 04, 2018 11:17 am

I can confirm that Bike24 are also now including 10% VAT for Shipments to Australia
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Jmuzz
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Jmuzz » Thu Jul 05, 2018 11:25 am

Crawf wrote:Is there going to be a customs processing fee? Flat fee, percentage based on value?


The point of the new system is that the foreign business just pays the GST to ATO more or less by honesty.

It will work for eBay and Amazon (though Amazon just dealt with it by banning the international site) since they have an Australian presence so can be pressured.

AliExpress said they will comply, though since their parcels don't even get shipped by AliExpress directly and they use in-house AliPay payment gateway which can lie about transaction details I don't see how that could even be monitored, they will probably just pocket most of the extra 10% and be tricky.

Time will tell if foreign retailers are complying or just pocketing the GST or ignoring the rule completely.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby bychosis » Thu Jul 05, 2018 11:37 am

Jmuzz wrote:pocketing the GST


That is worst case for the consumer. Pay extra but no tax paid back to support our welfare systems etc.
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Jmuzz » Thu Jul 05, 2018 1:23 pm

bychosis wrote:
Jmuzz wrote:That is worst case for the consumer. Pay extra but no tax paid back to support our welfare systems etc.


Depends if it's even in the price to begin with.
The way these big retailers manage their discounts is very complex, they often sell at a loss as part of their highly competitive war with other retailers.
So it may be the case that they have the cheapest price because that 10% GST is not even a real part of the price.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby AUbicycles » Sat Jul 07, 2018 7:43 am

I don’t see many truely selling at a loss, but one way to sell low is to buy left-over stock for cheap of buy bulk and haggle for a low price. There was also a strategy of purchasing for extremely low prices from distributers and then shifting stock or OEM strategies which explains why some parts are delivered without original (display type) packaging.

Really only when they are ready to clear old stock may the retail price dip and very rarely are there genuine sales at a loss. (Except of course with discounts which are now often targeted to new customers.... though not to forget, a discount Is typically on the RRP and not their actual regular sales price.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Usernoname » Sat Jul 07, 2018 5:29 pm

I'm not sure if it has been posted before. I've just ordered a couple of bike parts from Ebay China based sites. GST is added to the sale price when paying. Anyone know if Ebay/Paypal is collecting the GST directly and forwarding to Aus Gov?

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Cheesewheel » Sat Jul 07, 2018 8:33 pm

Usernoname wrote:I'm not sure if it has been posted before. I've just ordered a couple of bike parts from Ebay China based sites. GST is added to the sale price when paying. Anyone know if Ebay/Paypal is collecting the GST directly and forwarding to Aus Gov?

Unless I am mistaken, I think fleabay collects the GST ... whether they do it directly from the transaction or throw it in on top of their sellers fee to be payable in 30 days or so, I don't know.
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Ross
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Ross » Fri Jul 13, 2018 7:46 am

I just ordered a quantity of Shimano polymer gear cables from Ribble, no GST charged. Even with $11 freight Ribble were MUCH cheaper than Bikebug - $86 vs $136

Also bought some brake pads for my MTB from o/s eBay seller and was charged GST but still way cheaper than anyone else inc the usual suspects such as Bikebug, Pushys and even Wiggle /CRC

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby mikesbytes » Fri Jul 13, 2018 11:52 am

Ross wrote:I just ordered a quantity of Shimano polymer gear cables from Ribble, no GST charged. Even with $11 freight Ribble were MUCH cheaper than Bikebug - $86 vs $136

Also bought some brake pads for my MTB from o/s eBay seller and was charged GST but still way cheaper than anyone else inc the usual suspects such as Bikebug, Pushys and even Wiggle /CRC


It will be interesting to see if it get stopped by customs or just comes thru
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Top_Bhoy » Sun Jul 15, 2018 12:28 pm

Glad I looked here. I'm looking at an ABUS U-lock which a local and several other Aussie) retailer has for $235. Wiggle has it at $122. Its not even a close comparison so I'll be interested to know what happens to the items people have ordered in the last week or two.

I'm not so fussed about an extra 10% but if couriers get away with adding in admin fees etc (even where there is no legal requirement)...additional costs can start to mount up.

Please keep us all informed.Cheers

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby LateStarter » Sun Jul 15, 2018 2:10 pm

For Wiggle orders since 01 July the price shown is the including GST price and you will see it split on the checkout screen, so no extra "admin" or other charges.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby nickobec » Sun Jul 15, 2018 3:00 pm

Top_Bhoy wrote:I'll be interested to know what happens to the items people have ordered in the last week or two.


Ordered a jersey and base layer off AliExpress prior to June 30 (just), posted after July 1 from China , arrived last week without any delays, additional charges or anything.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby trailgumby » Sun Jul 15, 2018 5:45 pm

ORered some nutrition product from Wiggle post- 1 July cutoff. Came thru GST paid with no hassle.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby DavidS » Sun Jul 15, 2018 9:14 pm

My main worry is that some smaller shops won't ship here. I want to continue to get my whisky jerseys from thecyclejersey.com

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Ross
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Ross » Thu Jul 26, 2018 10:24 am

Ross wrote:I just ordered a quantity of Shimano polymer gear cables from Ribble, no GST charged. Even with $11 freight Ribble were MUCH cheaper than Bikebug - $86 vs $136

Also bought some brake pads for my MTB from o/s eBay seller and was charged GST but still way cheaper than anyone else inc the usual suspects such as Bikebug, Pushys and even Wiggle /CRC


I actually ordered the wrong cables, got PTFE mixed up with Polymer. Ik know Duck has mentioned a couple of times that he prefers PTFE (Teflon) over Polymer but I was buying them for someone who I owed a favour/money to and that's what he wants (Polymer) so who am I to argue. So I am going to have to re-order the correct cables and it doesn't appear Ribble sell them, BikeBug and Merlin are the only other ones to have them at a reasonable price (most shops want to sell the inner and outer as a unit, I just want inner). Merlin is still ~$20 cheaper than Bike Bug even after adding GST.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby RonK » Thu Jul 26, 2018 10:35 am

DavidS wrote:My main worry is that some smaller shops won't ship here.

Why should that be an issue? Smaller businesses are not required to collect the GST.
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby biker jk » Thu Jul 26, 2018 10:55 am

Ross wrote:
Ross wrote:I just ordered a quantity of Shimano polymer gear cables from Ribble, no GST charged. Even with $11 freight Ribble were MUCH cheaper than Bikebug - $86 vs $136

Also bought some brake pads for my MTB from o/s eBay seller and was charged GST but still way cheaper than anyone else inc the usual suspects such as Bikebug, Pushys and even Wiggle /CRC


I actually ordered the wrong cables, got PTFE mixed up with Polymer. Ik know Duck has mentioned a couple of times that he prefers PTFE (Teflon) over Polymer but I was buying them for someone who I owed a favour/money to and that's what he wants (Polymer) so who am I to argue. So I am going to have to re-order the correct cables and it doesn't appear Ribble sell them, BikeBug and Merlin are the only other ones to have them at a reasonable price (most shops want to sell the inner and outer as a unit, I just want inner). Merlin is still ~$20 cheaper than Bike Bug even after adding GST.


My rear derailleur cable's life with the polymer coating was half that with the PTFE coating. Perhaps try to convince him you purchased the better cables.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby 10speedsemiracer » Thu Jul 26, 2018 11:05 am

biker jk wrote:
My rear derailleur cable's life with the polymer coating was half that with the PTFE coating. Perhaps try to convince him you purchased the better cables.


+1 for for what biker jk said.
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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Ross » Thu Jul 26, 2018 6:20 pm

mikesbytes wrote:
Ross wrote:I just ordered a quantity of Shimano polymer gear cables from Ribble, no GST charged. Even with $11 freight Ribble were MUCH cheaper than Bikebug - $86 vs $136

Also bought some brake pads for my MTB from o/s eBay seller and was charged GST but still way cheaper than anyone else inc the usual suspects such as Bikebug, Pushys and even Wiggle /CRC


It will be interesting to see if it get stopped by customs or just comes thru


Both orders came through with no extra charges except for the GST applied at POS

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby uart » Thu Jul 26, 2018 6:39 pm

Just made an order from Merlin cycles. The GST amount was not shown on any of the prices when I added them to my "basket". At the final checkout page however the 10% GST was added.

For the sake of comparative shopping I'm just wondering if this is the case in general. Do most others also show the prices without GST but then add it at the final step?

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Arbuckle23 » Thu Jul 26, 2018 6:46 pm

That's a yes with Wiggle. Just did an order yesterday.
GST added on at checkout.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby uart » Thu Jul 26, 2018 6:56 pm

Arbuckle23 wrote:That's a yes with Wiggle. Just did an order yesterday.
GST added on at checkout.


Thanks mate, at least I know I was comparing like with like when I initially compared prices.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby DavidS » Fri Jul 27, 2018 12:06 am

RonK wrote:
DavidS wrote:My main worry is that some smaller shops won't ship here.

Why should that be an issue? Smaller businesses are not required to collect the GST.


You are correct that it shouldn't be an issue, but I know some of the sellers on Discogs (a place for buying records) are saying they just can't be bothered with dealing with our new law. This is one of those unintended impacts the government really doesn't seem to care about as long as they are protecting those who have been lobbying them.

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Ross » Tue Jul 31, 2018 7:04 pm

Add REI.com to the list of places that don't want to be a tax collector for the Australian governemnt and therefore will no longer ship here

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Re: GST free threshold removal effect on shoppers and overseas bike shops

Postby Ross » Thu Aug 02, 2018 7:43 pm

My now correct polymer cable order arrived today from Merlin Cycles. Had to pay GST when I ordered, but free freight and still (a bit, but not a lot) cheaper than BikeBug. No further customs or any other charges.

Some bib shorts rrived in my letterbox today, ordered via the internet from a company in Beijing, didn't have to pay GST (or freight).

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