Dec 4, 2012

Govt agrees on GST for e-shopping — whatever you think

Whatever your view on applying GST to online purchases, Canberra supports it. Assistant Treasurer David Bradbury is trying to walk both sides of the street.

The federal government’s initial response to the controversial issue of lowering the $1000 GST threshold on imported goods is an amazing piece of work. It has managed to find common ground between all sides of the debate, while delaying the need for real action until well after the next election.

Assistant Treasurer David Bradbury, who released the report yesterday, knows the government is caught between the devil and the deep blue sea on this issue. On one side the retailers, whinging (quite reasonably, at least at a theoretical level) about the unfair playing field the $1000 threshold hands to online retailers from overseas; on the other e-commerce-loving consumers who don’t want to see the government bring in what would effectively be a price increase on goods bought online from overseas.

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