Government Moving to Remove (or substantially lower) GST-Free Threshold

LSTENDEC on 26/12/2014 - 14:11

Looks like the days of Australians getting something close to a decent deal on goods are coming to an end. The government has just announced today (on Boxing Day, naturally) that they're going to look at removing the $1000 GST-free "loophole" to "help" local retailers to "compete" with online sales:

http://www.dailymail.co.uk/news/article-2887248/Government-r…

Basically it means we the consumers get screwed over (yet again) simply because retailers are unwilling to be competitive and stop gouging us upwards of 50% more than our foreign cousins in the US and UK.

The sticking point is that they don't yet have a way of collecting the GST without it costing more to collect than the revenue it would generate in the first place. So guess what. My bet is that it'll be US who have to pay for collecting it. In other words a $20 USD DVD would cost roughly $25 AUD at the current exchange rate + the cost of shipping + 10% on the total + the cost of collecting the GST (which could be anywhere from $5-30 or more). So suddenly that $20USD DVD ends up costing something like $40-50 AUD.

General Discussion

Comments

        • adamren on 31/12/2014 - 22:14

          @wisc: It's relative, spn probably forgets the fact that revenues are in the high 6 figs.

          Spoiled brat me thinks. It's 30%, not 80. The age of entitlement is over isn't it? Guess they forget Australia Post needs to drive on the roads that our taxes fund.

          The mind boggles.

        • centrelink on 31/12/2014 - 23:40

          @adamren:

          Too bad Australia post do their job so badly for services I pay for and still don't deliver on time and dealing with customers who have a patient of a virgin getting sex for the first time.

          I usually get supplies posted in separate boxes under $1000 each time to avoid the the import tax anyways.

          Don't get why people get so angry about it, but 6 figures in tax is pricey and when you do all the whole process on your own. Then it does feel like you are being robbed for all the hard work you put in.

  • badg3rz on 27/12/2014 - 21:22
    +3

    Wow. I'm actually suprised this hasn't happened sooner.

    Looks like the government has finally listened to Gerry Harvey and wants their greedy cut.

    So I guess that will mean that retailers like Harvey Norman increase their already over inflated prices knowing that we can't get a cheaper deal online, or so they can have a cry about something else about online purchases.

  • watty on 27/12/2014 - 22:20
    +1

    "Mr Levey explained ‘if the issue here is about local retailers feeling uncompetitive, then we should look at what’s making them uncompetitive… we support the idea of a level playing field.’"

    Why don't you look at their prices first? Google local prices in comparison to oversea prices and see how much we Aussies are paying. I'm always happy to pay a little more to get things locally but when I'm asked to pay double or triple the price, that's not fair on the consumer.

    "We support the idea of a level playing field" - that's awesome but how is penalising the buyer fair? Perhaps looking at how Aussie businesses are pricing their goods should be under the microscope not slapping a tax on oversea purchases.

    What's next liberals? Want to tax the oxygen we are breathing? (Funny enough a part of me thinks they have that down the list of '101 ways on how to tax the Australian people') Slap it on the rates notice?

    • c0balt on 27/12/2014 - 22:31

      If a product is twice or three times as expensive here than from an OS retailer, then surely 10% GST isn't going to make you buy locally.

      It's a cash grab for the taxman, not a bowing to local retailers.

      • watty on 27/12/2014 - 22:37

        My point is that the whole idea of paying a 10% tax is nonsense which is what you are saying about how it's just a cash grab. There is no trying to help local businesses, that's just a cover up they are using which is insulting and misleading. On a side note I'm quite curious about how this would work in regards to purchases such as from ebay.

  • paloverde88 on 27/12/2014 - 22:34
    +7

    I think we can make this mob a 1 term government, already the polls are indicating majority do not like the way things are implemented without consultation.

    Once the mob gets voted out this can be repeal through the new government all we do is make it a mandate for the new government to repeal this, if this mob manage to get this pass senate.

    It's that simple, you threaten them with your vote and all your family and friends' votes.

    There is already precedence carbon tax repealed, so can this anything can be repeal your vote is important vote the opposition.

    • Gnostikos on 28/12/2014 - 01:05
      +5

      Once the mob gets voted out this can be repeal through the new government all we do is make it a mandate for the new government to repeal this,

      Oh easy.

      It'll come back. We might win a battle now and then but the war will be heavily slanted against us.

      The same with the data retention/ISP-level filtering agenda, we keep killing this sh*t and screaming ourselves hoarse just to have it to rise from the dead when no one's awake. Labour proposed it, now Liberal is perpetuating it. Two sides of the same damn coin.

      Governments are not interested in the will of the people.

  • [Deactivated] on 28/12/2014 - 00:25
    +6

    I wish they would raise GST to like %30 and stop income tax. That way people actually doing ya know business, pay tax. That way people who have money and spend it pay ya know tax. I hate the idea of putting it on things like food, education, rent, etc. Although judging by history Abbott will probably do the inverse.

    • poppit88 on 29/12/2014 - 00:15

      Suits me, I'm a consumer troglodyte. I'd be wealthy and retired within the space of about 10 years. Bring it on.!

    • hayne on 29/12/2014 - 01:24
      +6

      If only it were that simple. The GST is a regressive tax which means it's hardest on people with lower incomes. That's because people on lower incomes have to spend a higher proportion of their income on necessities. Marginal income tax rates are a better way of equalising the tax burden because it gives you an easy way to identify higher income earners and to impose a higher tax rate on them. A GST gives you a broader tax base to supplement that with.

    • adamren on 31/12/2014 - 13:18

      All great in theory but no government wants to fire 80% of the staff at the tax agency. Forbes in the US wants a 10% flat tax, not sure if it's work.

      • knackers on 01/01/2015 - 20:38

        A 10% flat tax doesn't stop companies from moving profits offshore to tax havens. A flat tax disadvantages the poor too greatly. A Walmart worker giving up a tenth of his measly $200 per week is not the same as a banker giving up 10% of a substantial $10,000 a week pay packet.

        I've been on both sides of the ledger and I've never advocated for a regressive tax. I don't need the disadvantaged to break into my home.

        • adamren on 06/01/2015 - 14:12

          Not advocating it, just pointing it out. The theory might look good on paper but I'm pretty sure doesn't really work, which I implied and also stated explicitly. Not sure how mentioning it was misconstrued as advocacy. The comprehension these days.

          Waste of time.

    • knackers on 01/01/2015 - 20:18

      Dumbest thing I've ever heard. The poor are unjustly penalised with an increase in GST. I don't think you thought it through. One just needs to look at the loop-holed American taxation system which allows the uber rich to pay less than 5% in tax. We are Australia, we don't want gated communities.

  • Thaal Sinestro on 28/12/2014 - 00:49
    +14

    Democracy is a sham… politicians do not, and never have, represented the people. Legislation is passed without the consent of the community.

    Is the government scrapped the GST threshold, several things would happen:

    1. More jobs for public servants

    2. Longer for goods to clear customs

    3. Probably a processing (Customs Clearance) fee in addition to 10% GST.

    4. Domestic price hikes (since local retailers won't have to compete with cheaper overseas retailers)

    I am really disliking these Libtards. I thought they believed in minimal government and free trade - this is the opposite. I imagine some retail lobbyists gave a brown paper bag full of money to the Liberals; they rule solely for the benefit of their rich benefactors.

    • [Deactivated] on 30/12/2014 - 22:28
      +2

      The original meaning of liberals was people who wanted a classless society, today it means a bunch of people who will do anything to give power to the private sector.

    • poppit88 on 01/01/2015 - 00:30
      +1

      And I take it you think a GST on goods under a $1k is a good thing??

      So in other words the government has to spend more money via administration to police a lower GST threshold.

      We have to wait longer for our goods to clear customs, pay the additional processing fee and then pay through the roof for domestic products.

      Free trade is being seen as the holy grail on the one hand, but you have large scale retailers such as Harvey Norman etc., wanting to stifle that free trade by slapping a GST on overseas goods below the duty free threshold.

      And if you lower the duty free threshold by post, it means that you then need to lower it for the airport etc., as well. Any idea how long that would take to administer + the cost associated at all Australian International airports?

      It's not about the money. I can buy goods overseas that far out way the quality of what I can buy in Australia (especially in clothes.)

      I've travelled fairly widely, and Australian retailers, and hospitality generally offer absolutely appalling customer service. Ever tried getting assistance at a large retail store lately.

      You don't mind paying extra if you're getting the service and range of products on offer overseas. But when you're not why should I hand over my money to the domestic retailer that considers me a problem to serve when I walk into their store.

    • cash8 on 11/01/2015 - 08:07
      1. More union strikes
      2. More union strikes
      3. More union strikes
      4. Mote union strikes
  • [Deactivated] on 28/12/2014 - 07:28

    Sorry if it's a noob question unrelated to the topic, but can someone please explain to me if the $1000 threshold is accumulated during the year? Or will I be good if I keep buying things in a given year as long as they cost say under 900 dollars each parcel?

    • wisc on 28/12/2014 - 08:26
      +5

      Per parcel…

      • [Deactivated] on 28/12/2014 - 08:37
        +7

        Damn, I have been trying hard to get my TOTAL purchases below 1000 dollars each calendar year.

        Talk about being stupid

        • centrelink on 30/12/2014 - 02:23
          +2

          You should stop trying to stay within the law. I stopped beleiving in the law a long time ago.

    • worlds_most_wanted on 28/12/2014 - 08:57
      +3

      It is on single shipments. So you can buy a $900 camera from the US today, $700 laptop from UK tomorrow, pair of Nike's from US again without paying GST.

      Customs will only look for retailers merchants who deliberately try to avoid paying taxes by ordering several shipments from the same supplier in a short time span (few parcels within the week or so) all valued just under $1000.

      But if you are purchasing as a consumer you have nothing to worry about, you can shop till you drop & won't have anything to worry about as long as the total invoice (including shipping fee) is under $1000aud.

      Or unless your goods are counterfeit.

  • anna10 on 28/12/2014 - 08:16
    +1

    The gob'ment is only examining this and it may prove too hard.

    Each 'parcel event', needs to be $999 or less. Some importers will gladly say that it's under 1K even if it's a over a bit and some have a big notice saying don't even bothering to ask.

  • ofey on 28/12/2014 - 08:36
    -1

    Just spend your money this side of the new year.
    If you've been watching something for awhile and it has become affordable for you, buy it.

    Everything points to companies jacking up the cost of stuff even for MY14 stock simply by utilising this GST movement or the collapsing A$ to raise prices.

    Sure TVs and electronics might drop in price with new models coming out but do you really need the latest and greatest tech to be able to watch stuff?

  • worlds_most_wanted on 28/12/2014 - 09:23
    +4

    This is a brick & mortar vs e-commerce issue. GST isn't the real issue retail giants are complaining about.

    Retail giants are being undercut by e-commerce businesses, because they can price point without needing to cover the overheads of wages/rent/utility bills like retail stores. Retailers would damage their in-store reputation if they were to offer substantial differences in prices between their store & website platforms, so that alone effects their challange of competing on a price point against e-commerce ventures.

    I myself would pay a little premium to purchase from a local e-commerce or retail store if the same item was sold here with a price difference less then 20%. It's just annoying in this day & age where retailers assume that paying the full RRP is the norm. That day & age is truely over apart from products such as iPhone's that are a monopolized market.

    GST is purely revenue raising, the real set back to retail giants who are complaining is the e-commerce boom which is eating away at their greedy profits.

    • qazwsx on 29/12/2014 - 21:47

      It is interesting - the discounts that you get at australian retail stores are not too bad at all. All too often people try to compare Aust full RRP to discounted overseas prices - not a fair comparison. Compare full v full, discounted v discounted.
      To put it in perspective, I was tempted to import a TV from Australia into Singapore (I have just moved overseas) because the street price - the discounted price I would have to pay instead of the RRP that is jsut for show - was much higher here in SG than it is in AUS. In the end I settled for a steep discount on an average TV set here in SG, but I know I would have got a better deal in AUS.

  • paloverde88 on 28/12/2014 - 16:04
    +4

    Unfortunately the markups here are quite unprecedented anywhere else a HP tablet at us$99 becomes $199 here, where is the logic in this?
    Retailers here like Mr Harvey Norman, if allowed to regulate themselves will bankrupt all consumers. He lobbied so hard to get this overseas purchase GST because he knows consumers will bear the costs of implementing and enforcement while he Mr Harvey Norman and his rude franchisees all laugh their way to the bank with the help of the government. I'd say the best solution is to start a campaign to vote this mob out of government and support independent and small parties.
    One of the labor senator in the senate inquiry into why things here are markup so ridiculously Ed Husic is oppose to the GST on overseas purchase and I believe Nick Xenephon of SA also is opposed to that.
    Just threaten to vote them out already majority hates this government and want change. This government have achieved nothing since going into power except implement xenophobic values.

    • adamren on 28/12/2014 - 16:10
      +3

      Meanwhile Gerry runs one of the most non-transparent companies here in terms of financial reporting. Mayne says it's something about funny licensing and rent arrangements and shifting it around.

      Just like IKEA does with IP payments etc and shifts the profits around in Liechtenstein etc.

      I don't hear Gerry squealing about foreign companies only paying 1% tax here.

      More independents would be great, NXT might just work. Otherwise it's PUP just for laughs.

    • paloverde88 on 28/12/2014 - 19:31

      That's why United we are strength to vote them out and mandate the new incoming government to repeal this, if labor gets in I betcha labor will repeal every single thing this mob puts in legislation.
      Remember how Japan and Australia signed a free trade agreement just last year and we we promised left right and centre by this mob that we will see benefits in japanese import goods far as I know Mazda still selling overpriced cars and all Japanese cars still as expensive as ever and Sony tvs just as expensive so wtf on the free trade agreement what a lie! It's just for the retailers to have fatter margin while consumers suffers as usual.
      Please don't even fall for Gerry Harvey assertion that low paying retail and warehouse jobs will be gone if we don't buy from his store it is the biggest lie by a man who had yet to win awards for most honest retailer of the year.

      • Cluster on 28/12/2014 - 23:12
        +1

        Many Japanese cars come from Thailand and not Japan so are already covered by previous free trade deals. Virtually all Sony TVs are made in China and Malaysia. Sony doesn't even make its own LCD panels.

        The free trade agreement is going to have relatively little impact on the price of 'Japanese' imported goods. Country of origin is what matters. When's the last time you saw a piece of new Made In Japan electronic gear?

        • paloverde88 on 28/12/2014 - 23:34
          +1

          That's not how this mob sells the free trade agreement as an achievement or self serving statement. Actually all Mazda are made in Japan and in fact most Japanese import cars are still made in Japan by Toyota Suzuki Nissan Honda Infiniti Lexus and the list goes on most of the higher end Bravia are made in Japan. All high end vaio are made in Japan.

        • jackary on 29/12/2014 - 12:12

          @paloverde88: Not all Mazda's are made in Japan. The 2 instantly springs to mind which is made in Thailand. I believe this is also the case with Honda.

        • paloverde88 on 29/12/2014 - 15:02
          +1

          @jackary:

          I meant to say the post 2013 upward models in Mazda line all Japanese

        • jackary on 30/12/2014 - 19:40
          +1

          @paloverde88: No. As above, the MY15 Mazda 2 is built in Thailand. The current BT-50 range is also built there. Source

  • spite on 28/12/2014 - 23:32
    +4

    I'll happily pay my extra GST on imported stuff when the following is also implemented.

    • companies who offshore Australian jobs to cheap international labour sources are penalized / taxed

    • international companies who trade in Australia are penalized / taxed properly for offshore tax dodges

    That will even up the playing field.

    Import duties on end users/consumers aren't the problem.

    • paloverde88 on 28/12/2014 - 23:38
      +10

      And mr Gerry Harvey financial dealings be made public like all Australian companies transparent and open up for ASIC and ATO scrutiny and publicly reported like all companies. A list of how much they pay on hiring staff see if it exceeds the number Telstra Virgin or qantas hires and how much they spend on hiring local labor let's see if it was more than what qantas pays their staff.
      They hire a few salesman in a few stores and think they are in the league of Qantas and Virgin when it comes to creating jobs deluded!
      Retail has never been and will never be a labor intensive industry aviation freight and logistics is very labor intensive. Harvey keeps making false claims that most of Australia will be unemployed if his stores don't make profit. Totally deluded. I dare say Australia will be just as prosperous if no Harvey Norman stores existed, maybe even better.
      Other stores will take its place be evolved be more efficient and never blame customers like he does.
      In United States few years back the circuit city chain just collapse overnight and they are a huge nationwide electronic chain store bigger than Harvey Norman chain will aspire to be, yet after circuit City collapse nothing happens and best buy continued and frys electronics and smaller players like Tiger took over and no one blame Amazon like whinging Harvey Norman.
      As they say if you can't stand the heat stay out of the kitchen don't give customers lectures on where and how to shop and don't force authorities to tax customers who simply choose not to shop in your stores your product line is limited your staff are rude and condescending and your prices are anything but honest.
      Actually some dick smiths stores are showing same kind of Harvey Norman negative traits.

    • lindol on 29/12/2014 - 02:23
      +1

      agree with you on everything except on first point: are you sure that having jobs in australia is a good thing?
      when i see lollipop men at construction site getting 150 bucks an hour, when an electrician charges me 1000 bucks to install an airconditioner, when union thugs can block and stop work at construction sites…it does make me wonder whether it's a good thing to keep jobs in australia to benefit these bogans and unionists

      • spite on 29/12/2014 - 08:08
        +1

        At the end of the day, it will ALWAYS be the end customer who pays more for the product. If it's the GST that's added on an import or purchasing from an Australian company who has higher operational costs due to higher wages it will be the end customer that foots the bill.

        The whole offshoring of work / jobs is almost the EXACT reflection of us buying goods from overseas because it costs considerably less for them to employ the staff outside the country than it does here. In all honesty the gap between AU wages and international staff is diminishing (its still big and thus viable) but its a factor and as a business owner myself in an industry rife with offshoring, I refuse to do it. I hire Australians and try to work smarter.

        All I am saying is, if businesses can offshore work, they should have to pay the government locally to compensate for AU job losses and also income tax revenue drops - much like we would be asked to pay import duties (GST) on anything we buy from overseas too because we're apparently costing Aussies jobs.

      • adamren on 31/12/2014 - 13:21

        1000 bucks? LOL you got ripped off, nothing to do with unions there. Must be inner city Sydney. You'd earn more though, so as a percentage basis it's fair.

        150 bucks an hour. Now you're just being silly, pulling my leg there. Me thinks you've been listening to too much Barnaby.

  • Tyrx on 29/12/2014 - 00:39
    +3

    That's bizarre. One of the reasons behind setting the GST-Free threshold to $1000 was that studies found that it would be prohibitively expensive in terms of administrative costs to set it anything below that amount. It's likely that the government would lose money in attempting to chase/receive/organise funds under the $1000 amount if they still only take 10% of each sale.

  • [Deactivated] on 29/12/2014 - 01:58
    +1

    Sounds like a great method of applying brakes to the economy if it goes ahead.
    Hello depression, courtesy of the Abbott Liberal National Coalition and fools that fail to appreciate a political system where there actually are more than two parties!

  • [Deactivated] on 29/12/2014 - 04:03
    +3

    I love that this Gov'ment (as Tony would say) purports to be and right wing one, yet continue to "subtly" increase taxes. Giving things names like "levy" and "co-payment," altering terms of past legislation. This things just show how desperate they are increase revenue yet maintain an "anti-big goverment" façade.

    And they do all this while turning a blind eye to negative gearing, which not only is worsening the housing bubble issue (if there is one) but also seeing millions of tax dollars stay in the pockets of those wealthy enough to own multiple properties (nothing against them for doing it though – the government sets the rules, you play by them).

    With the debt and deficits, I understand how important it is to increase revenue, but don't be so pernicious and underhanded about it.

    I really wouldn't be opposed to a slight increase (2% or so) in GST. Yes it sucks that the already high cost of everything would go up even more, but it would be an honest, straightforward way to increase the funding to the states. I'm kind of amazed it's stayed at 10% for so long anyway.

  • neonlight on 29/12/2014 - 06:59

    That's bad news. I guess I will just save money to travel overseas and then bring along goods to claim TRS, where possible then buy stuff bring them back from overseas.

  • onlyletters on 29/12/2014 - 09:16

    Don't blame me. I donkey voted.

    • syousef on 29/12/2014 - 18:39

      Then you should be happy if they elected a donkey ;-)

    • adamren on 31/12/2014 - 13:22

      Actually I blame those that vote informal. What a waste. Vote independent or minor party instead.

  • paloverde88 on 29/12/2014 - 11:40
    +1

    Even more bad news for this mob, from today's news

    …Newspoll: Male voters turn their backs on Team Abbott

    THE AUSTRALIAN
    DECEMBER 29, 2014
    THE federal government has suffered its biggest backlash from men, support tumbling 10 points since the election to the lowest level in Tony Abbott’s five years leading the ­Coalition.

    http://www.theaustralian.com.au/news/newspoll-male-voters-tu…

  • srhardy on 29/12/2014 - 13:54
    +7

    NO NEW TAXES & TAX'S UNDER A LIBERAL GOVERNMENT WILL ALWAYS BE LOWER

    ummmm, LIES, DAM LIES & Politics….

    A tax that may get 10mil but cost 2bil is a BAD TAX, its a NEW TAX so its a broken promise and it is also a RAISED TAX

    It will die a million deaths along with overly generous maternity leave deal i am hoping!

  • iSamurai on 29/12/2014 - 15:09
    +2

    The funny thing is that when they did a review a few years ago, this "$1000" threshold was worth about US$1100. Now this value has gone down to about US$800. If the Aussie dollar keeps going down like many analysists on the Tele are saying, there's really not that much point in lowering the limit because the amount of stuff you can get with AU$1000 is less than ever.

  • syousef on 29/12/2014 - 18:38
    +3

    Truly wish I could think about moving country. It's certainly not just based on this, but it seems in everything we are getting royally stuffed by both government and business. Transport, health care, education, science, retail - you name it - prices are going up by double or triple digit percentages. It's all going down the toilet in Aus.

    • AMLagonda on 29/12/2014 - 19:07
      -2

      Yep go and move to England then, you will be way better off… :p

    • adamren on 31/12/2014 - 13:25

      Where would you go? I'm curious.

      Love this whingey talk of spitting the dummy. NZ? And then come back home because you miss the good climate. Thailand and then you miss the cleanliness and proper services and actually being able to walk down a mainstreet without getting hassled by beggars or seeing cripples in the middle of the street.

      The worst we have here is fake monks soliciting donations, if that ACA ad was true.

      Double or triple digits? LOL what a laugh. Even if that was the case there is also a thing called wage inflation.

      It's all relative.

      Get some economics in you buddy.

      • syousef on 31/12/2014 - 16:17

        Where I'd go is the problem. Seems all round things are getting harder in almost every way. It's just been accelerated deterioration here due to this govt.

        Wage inflation? Are you living in the same country as me? How many people do you know that got wage increases over inflation this year?

        If you knew my background you'd realize the irony of telling me to get some "economics in you". But I rarely see reality or facts get in the way of people who just like to argue everything online.

        • adamren on 31/12/2014 - 16:48
          +2

          Wages generally increase in line with inflation. Not just a pay raise, but govt ups minimum wage inline with Treasury advice on inflation.

          Next time you sign a salary contract or negotiate, stipulate you want it indexed to inflation or 2% p.a. whichever is higher.

          Must be a pretty poor economist then. And a poor understanding of what irony is. Show me what has gone up triple digits. This is Australia mate, not Zimbabwe.

          Has anyone's grocery bill doubled in a year? Some items may go up, but they also go down too. It's the balance.

          Not even electricity really went up by triple digits, that's not inflation. Obvious 2GB listener perhaps? Never heard of the goldplating of power lines. Over-investment and now they want their capex back.

          If you can't back up this 'triple digits' baloney then don't say it. Don't really care who you are, but just stick to the facts and not some ivory tower and play the silly 'I don't argue on the Internet' card. Such a cop out. Sounds like a white flag. Hey at least it's not digging a deeper hole.

        • syousef on 31/12/2014 - 17:29

          @adamren:

          You literally don't know what you're talking about. Your wages can be negotiated away in an enterprise bargaining agreement with a huge move towards group negotiation and very few new contracts are signed where you are permitted to dictate terms, even when you are a superstar. This is a country where a prospective nobel laureate has been forced to work for free due or drop out of his field of study due to cuts at the CSIRO.

          I don't see you backing up anything you say, and I know for a fact some of it is false because I am living it. You accuse me of exaggerating while at the same time cherry picking my claim of double and triple digit increases to state that I only said triple digit increases - that is a dishonest. Double digit percentage increases in electricity, water, and council rates (>=10%) are well documented in recent years.. If you can't find them you don't know how to use a search engine.

          Wake up! Or don't. I don't care. It's NYE and I'm not going to spend the night arguing with a troll that has nothing better to do.

        • adamren on 31/12/2014 - 17:43

          @syousef: I'm trolling now? What's up, you seem upset.

          You lost me with connecting a personal salary negotiation to govt cutting science funding.

          Whenever there is 'literally don't know' it just raises alarm bells of projecting and a weak argument.

          Obviously never negotiated let alone asked for a pay rise mate.

          So won't hold my breath on the 'triple digit' rubbish. Some economist!

        • syousef on 01/01/2015 - 00:21

          @adamren:

          Whernever there is "What's up you seem upset." it just raises alarm bells of projecting and a weak argument.

          You don't know me from a bar of soap nor do you know what I earn or how I have negotiated it. Go ahead keep exaggerating - I'm sure you're convincing someone somewhere that you're superior.

          Happy new year.

        • adamren on 01/01/2015 - 19:48

          @syousef: Flattered by the imitation. Thanks.

          Projecting again - it's obvious you attempted to come off smart with the childish triple digit inflation remark. Do you always project or just online? (You don't have to answer that, not that you would anyway).

          It's not about personalities or what you have or haven't done, it's what you said/claimed. Back up what you say. Or just backup. Can backtrack all you like, but have the humility to debate properly and admit the fault. Here: "Oh you know what? I am wrong, I didn't mean to exaggerate about the triple digit inflaton in Australia, I must have gotten Zimbabwe mixed up, or have been listening to 2GB talk back radio too much". Simple.

          So, what's an original, super-intelligent and very brilliant businessman/economist/inflationary expert/political maestro like you doing on OzBargain anyways? Shouldn't you be dusting away your theses library in your ivory tower? Whiling away the day fiddling around, not answering questions. Maybe have a cup of tea, and think about finding the source of that brilliant triple digit inflation cracker of a theory.

          Failing to come up with evidence of this triple digit inflation just says 'no credibility'. Is copying and exaggerating a one off thing or something of a forte?

          It's been fun, but a bit boring debating a rather deluded random person. If I got my psychology friends to read this they'd laugh and say 'Even though I'm not allowed to really say this as I've never met them and can't diagnose anyone without many hours of serious face to face interviewing, but I'd just take an educated guess and wonder if this person might be a narcissist'.

          Hmm exaggerates then calls out the exaggerations of another! Wow. That's just triple digit percentage hilarious.

          Must be pretty easy to live by double standards.

          Please do reply with something pithy, you just made this a little less boring again with the sillyness of your reply and still refusing to back up the 'triple digit inflation' nonsense. Look forward to it, hurry on. Maybe after you find the triple digit thingo of yours you have stuck in the cobwebs of the ivory tower. Enlighten us all! Save us from the stupidity. It's your patriotic duty to alert our country to the horrors of this massive inflation.

        • syousef on 02/01/2015 - 16:34

          @adamren:

          Look up ad hominem and reductio logical fallacies. You should consider submitting your response to wikipedia as examples of such.

        • adamren on 06/01/2015 - 14:08

          @syousef: Again, flattered /s

          Cowardly to not argue the facts, and again hyprocritcal to accuse the other of exactly what you've done.

          Dunning Kruger would like to see you.

        • syousef on 06/01/2015 - 14:16

          @adamren:

          You aren't arguing the facts to begin with. You're just exaggerating or misrepresenting every statement I make. In other words you're just trolling. When you're interested in an honest discussion instead let me know. In the mean time find something better to do.

        • adamren on 06/01/2015 - 14:20

          @syousef: You're never going to find this triple digit inflation are you? Oh wait, that's right, because THAT'S an exaggeration to start with.

          You can go now. Class dismissed. Report to the psych office for your therapy. So narcissistic, just can't see it.

          Trolling? Nope. Just more evidence again you can't look at yourself in the mirror. Don't open with misleading BS statements that a troll would of 'waahh we have triple digit inflation!'

          Book your one way ticket to the ME, not sure if you'll afford or even get quality shrinks there though, so maybe use it up here before you depart.

        • syousef on 06/01/2015 - 14:25

          @adamren:

          Google hyperinflation in australia.

          I've pointed out above that you've cherry picked and exaggerated everything I've said. If you can't be honest in your argument there is no pay off for me arguing with you, is there? This is true no matter how many times you repeat yourself and repeat the personal or childish put downs in various different forms that you may think clever.

        • adamren on 06/01/2015 - 14:28

          @syousef: Nope. Don't need to. No hyperinflation currently in Australia or any other proper 1st world/comparable country.

          You're drowning.

          A lifeguard might save you, but then you'd just start digging. So make sure to stop digging yourself a deeper hole.

          No talking after class. Hurry on to your next lessons.

        • syousef on 06/01/2015 - 15:06

          @adamren:

          Of course you don't need to look anything up. You don't need to look anything up when you already know everything. Arrogance goes hand in hand with trolling. Didn't you just challenge me to make my point? Well you refused to look at the point I made.

          The mixed metaphors made me groan. I'm a digging drowning schoolkid? You think you're winning this argument? Are you for real? Your statements get more ridiculous and more colourful, but if you strip that away you say less and less with each reply.

  • wbeer on 29/12/2014 - 19:12
    -8

    Its not your right to avoid paying GST, the threshold was imposed to lessen red-tape. If its no longer efficient to have such a threshold then it should be changed.

    It may 'cost' more to raise the extra tax income- but it will also decrease the power of companies like Kogan and help Local companies.

    Stop being so selfish and think about the country, before your own back pocket.

    • wisc on 30/12/2014 - 09:19
      +2

      wow, so I take it your a shop owner/worker as you seem to have a vested interest - If this is your argument?

      This post is to complaining vendors:

      Do you really think raising the price of an import by 10% is going to make people pay 90% more for the item in your store - or locally. (As many of the items I buy are about 40-60% cheaper overseas.)
      GST is just the scape goat for local business struggling to compete with cheaper imports.

      you know what… how about instead being lazy and trying to change Australia, you change your business model to a more sustainable one and compete?

      Kogan has managed to do it.

      All this is going to do is cost EVERYONE money as even you have stated..

      "It may 'cost' more to raise the extra tax income"

      • wbeer on 30/12/2014 - 09:28
        -4

        No I actually buy grey imports all the time, but I'm not so narrow minded to appreciate the merits of changing the threshold and making the economy more efficient.

        Kogan manages to exploit a loophole and not pay any sales tax.

        You don't even know the proposed changes and are already having a fit about it 'costing everyone money'. You're a baby.

      • iridiumstem on 30/12/2014 - 09:43
        +1

        I actually don't blame the shop owners because Australia is a horrendous place to do business in. I love this place and everything but basically, the market is too small, tax is high, wage is high, distance between cities causes transport cost , servicing requires hiring people so that as well.

        Yeah, it's hard for Australian shop owners to compete. I really wouldn't call them lazy at the very least.

        So what are our options? Decrease the minimum wage? Reduce the tax for business and have no tax to support the system? Before forcing the big players to compete in competitive prices, it will kill off small shops first. Who's going to take care of them?

  • paloverde88 on 29/12/2014 - 21:35
    +3

    And retailers like Harvey Norman dick smith have noble values? Are they run by mother Theresa enterprise? If I was selfish because I am a consumer looking to save so I can pay ridiculously high electric and gas prices ridiculously high insurance premiums then maybe I should be selfish so electric and gas and insurance companies can all laugh their way to the most noble cashed up Australian banks whose main reason for their existence was 'to help Australian community' sounds very con artist to me.
    Selfish my foot you idiot!

    • wbeer on 30/12/2014 - 08:47
      -5

      Yeh dude…. Australian companies hire Australians and pay tax- you know what tax dollars pay for right?? - not your education clearly.

  • DEvok on 30/12/2014 - 04:58
    +7

    I guess it's time we elect for a new Pm?

  • TRANCE on 30/12/2014 - 20:15
    +6

    Bastards! Im going to buy everything I might need for the next 5 years from overseas this month to escape this BS. Then Im not going to buy anything from Aus so the economy shits itself. I will also never vote liberal again for my life time. I already lost my NBN now this? Its like the two best things ever have been shat on by liberals. I just want to know which people voted liberal last election so that I can whack them (italian version).

    • adamren on 31/12/2014 - 13:27

      I think you'd need over 20% of the population to do the same thing in order the economy to 'shits itself' mate. Ease up big spender.

      • TRANCE on 31/12/2014 - 15:30

        Or I could whack 20% of the people who voted Liberal and achieve the same effect :P

        • adamren on 31/12/2014 - 16:49

          Hmm well maybe 18% since they generally have a slightly higher net worth and or salary than left-leaning voters ;-p
          More bang for you buck!

  • bernsy on 31/12/2014 - 07:55
    +1

    GST is not a problem, the stuff you get from overseas are still cheaper. The local vendors are just price gouging….

    • adamren on 31/12/2014 - 13:27

      Exactly. The Australia Tax. Ding, ding we have a winner. Bernsy gets it.

  • OzzyOzbourne on 31/12/2014 - 13:41

    obviously the government doesn't care how much it costs to implement as long as their biggest business supporters are happy.

    However, do we buy overseas because stuff is 10% cheaper? No, we buy because it's 30-40-50-60% cheaper, even with delivery from the other side of the world, which is quite often faster than delivery from another state. So adding a 10% tax won't make a massive difference. Personally, I'll still keep shopping online overseas. HN and DS will never get my money while they charge double overseas prices.

  • syousef on 31/12/2014 - 16:20

    I wish the government would move to abolish companies guaranteeing lowest prices and then refusing to honour it. Been camera shopping and told all kinds of porkies like "grey market is illegal" and of course "we only price match [a short list of major] retailers". What kind of price guarantee is that? I understand refusing to match grey market but refusing to match Aussie stock with similar conditions from a brick and mortar retailer should result in heavy penalties for false advertising. Of course I'm dreaming because false advertising has become the rule, not the exception.

  • lozza64 on 31/12/2014 - 17:02

    And who was it that started the whinging about online buying versus local buying….Jerry Harvey (Hardly Normal) and then they set up an online store which sells crap anyway. It won't work, the Abbott government should really be worrying about more important things rather than trying to screw us consumers.

  • ganymede on 31/12/2014 - 17:33

    Looks like we Aussie will be shafted yet again!

  • brushlily on 31/12/2014 - 21:23
    -1

    What these Jerry Harveys don’t realize is they will be cutting their own throats.
    I was recently quoted about $1600 a DSLR camera at a nearby shop like Harveys.
    I bought it online from USA for $600 including shipping.
    If I had to pay GST I would still buy from USA but it would have cost me $660.
    Bottom line is I would now have $60 LESS in my pocket to spend at a nearby shop like Harveys.
    Multiply this by everybody and there will be $millions LESS for local stores.

  • lnq on 01/01/2015 - 10:55

    Anyone here ever heard about Bitcoin?
    This is the future of what money should have!, where money are independent to central bank!

  • Bobulon on 01/01/2015 - 12:56
    +1

    When a jar of aussie made vegemite goes by boat to the UK and sells for half the price there that it does here you know that we are being ripped off. Whether it's groceries, cars or houses - Aussies are the most ripped off consumers on Earth. No sympathy for local retailers and the govt should leave the GST threshold alone

  • Azza on 01/01/2015 - 14:01

    The golden rule for government should be to always look after the people. Happy people means growth and growth means a good economy. I believe this tax is aimed at serving the business community and and not the people. These are the types of strategies by governments and large organisations who have power to create barriers for competition which are designed to squeeze the general population.

    As Australians we've got to stop accepting that we are getting shafted by the government and let them know we are not happy.

    • ozhunter on 01/01/2015 - 15:06

      Happy people means growth

      It does?

  • donnyta on 01/01/2015 - 14:59
    -1

    with the $AUS on the way down, who bother to buy from oversea .. ??

  • [Deactivated] on 01/01/2015 - 17:06
    -1

    so im assuming ozbargin people are going to be pro labor now

  • bambooculm on 01/01/2015 - 18:46
    +1

    See this story in the SMH:
    http://www.smh.com.au/business/online-digital-goods-could-be…
    "While the government would not take action on GST in its first term, Mr Hockey has not ruled out taking the proposal to the next election." There is potential for another broken promise.

    • paloverde88 on 01/02/2015 - 10:33

      Increasingly clear there will be NO 2nd term for the Abbot Hockey mob.

  • chir0nex on 01/01/2015 - 20:09
    +2

    I've got a job offer from a multinational in the US.
    Thinking about taking it… i think this may be the last straw.

    Australia is going down the toilet, crappy government with an embarrassing prime minister.
    Aussies are just getting shafted with every government.

    I'm out of here, see you guys later :)

    • lolmao on 01/01/2015 - 20:37
      +1

      do it

    • poppit88 on 01/01/2015 - 20:47
      +1

      ChirOnex: Do it! Not sure what your salary package is but even $70k+ USA would be the equivalent of a $100k here. I was in the US a couple of years ago. Although I believe rents in places like San Francisco etc., have gone through the roof.

      And I was actually surprised at how much I liked the US considering I'd never really been a fan of the place. It's amazing….

      Not withstanding, if you can travel and get paid for it there is really no question.

  • razorack999 on 01/01/2015 - 20:44

    is this part of the libs sly methodology to raise gst and extend it to food? FFS you are no longer in opposition. If you want to bring something in do it via public debate, try to bring the community with you. This BS is just using up political capital.

  • guidedlight on 01/01/2015 - 20:46

    In Argentina… the government implemented something similar about 12 months ago.

    They ended up forcing the Banks collect the money. If you buy something on your local Credit Card in a foreign currency they collected tax on the purchase as part of the conversion fee. The problem was that it affected overseas travel too. So you end up paying tax for a coffee in Paris as well… the government just shrugged it's shoulders.

    Food for thought.

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