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Australia plan to lower GST threshold on foreign e-commerce

  • Jul 17, 2015 | Richard Asquith

Australia plan to lower GST threshold on foreign e-commerce

Australia is in advanced discussions to significantly lower its AUS$ 1,000 GST exemption on consumer goods bought from foreign websites. Currently, shoppers may make single transactions below the threshold exempt from Australian Goods and Services Tax.

The Australian Finance Minister confirmed this week that he was progressing discussions between the Australian states, and was hopeful of agreement shortly. Foreign sales account for approximately $4 billion of the total of $17 billion.

2017 GST on digital goods and services

From 2017 Australia will levy GST on digital services, such as apps, online games and music, purchased on foreign websites. This will require foreign providers of such e-services to register for GST.


VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He can be contacted at: richard.asquith@avalara.com. He is part of the European leadership team which won International Tax Review's 2019 Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.