Changes to GST Rules
New Zealand’s Minister of Revenue today announced proposed new GST rules applicable to online sellers of low-value goods to New Zealand consumers.
The new rules would require offshore sellers to register, collect, and return New Zealand GST on goods valued at or below NZD 1,000 (~USD 654) supplied to consumers in New Zealand. At the same time, consumers would no longer pay customs tariffs or border security and biosecurity fees.
“There are about 26,000 small businesses in New Zealand employing more than 62,000 people in the retail sector. Many are in competition with foreign firms who sell exactly the same product into our market without collecting GST,” said Stuart Nash, speaking at the Chartered Accountants Australia New Zealand tax conference.
The proposed new rules would become effective October 2019.Back