Well, that's it for Australians buying goods from overseas

[Sirius Glass]

America is not a homogenous country. We have cultural, racial, ethnic, geographic, social, and other major differences among major populations of Americans. Some of these groups don't take care of themselves so the averages are brought down. Of course, no one wants to discuss these things for fear of being called bigoted. Plus, there's a huge political incentive among many liberal Americans who want universal medical coverage. So they use this "average" negative statistic as an argument for why we need government coverage. They never break out the statistics by groups. Most Americans are perfectly happy with their medical coverage, or were until the government screwed it up by getting involved.

Oh, I see. If one is a liberal than their option and vote does not count. Good to know. Most people that I have met across the country feel that medicines and medical coverage cost to much so I do not know were the "Most Americans are perfectly happy with their medical coverage" appears outside of Congress definitely not in the real world.

 

[hoffy]

Ok, I think this thread is done now....

 

[Theo Sulphate]

kodachrome

 

[hoffy]

kodachrome

Ugghhhh

 

[AgX]

European VAT's and other add-on taxes are "hidden" to fool Europeans as to how much of the real cost of the item is just taxes.

Not quite. There are two main VATs, for food stuff and non-food goods and services. These two are well known.

It gets complicated with some goods that fall in the other group than expected, and with goods as fuels where there indeed is a lot of additional taxation included in the final price.

 

[s2zart]

I just bought a piece of hardware for my analogue darkroom from amazon.com and am still buying books from book depository.com so I don't get the kerfuffle?

 

[sabredog]

I just bought a piece of hardware for my analogue darkroom from amazon.com and am still buying books from book depository.com so I don't get the kerfuffle?

I believe amazon.com's blacklisting of Australian postal addresses starts on July 1 to coincide with the commencement of the GST for imported goods under $1000. As far as I know Book Depository has not made any changes to their business practices in regards to ordering from buyers from Australian addresses?

 

[s2zart]

I believe amazon.com's blacklisting of Australian postal addresses starts on July 1 to coincide with the commencement of the GST for imported goods under $1000. As far as I know Book Depository has not made any changes to their business practices in regards to ordering from buyers from Australian addresses?

Ok then, will report back as I don't plan on NOT attempting to buy from Amazon or B&H in the foreseeable future

 

[ozphoto]

If any Aussies are thinking of using AusPost's US address service - be aware, they will charge GST on the postage as well. Clearly stated in the "fine print" but one has to ask, How can they legally charge GST on international postage from an overseas supplier?

 

[AgX]

How can they legally charge GST on international postage from an overseas supplier?

The same in Europe, that is the basic concept of such taxes.
A value added tax is applied on the whole product/service and thus on the shipping costs too, be it bought inland or imported. Over here we call such legally "additional services". If you collect a product at the manufacturer you would save on shipping and thus on tax on shipping costs.

 

[Nodda Duma]

Some states, such as Oregon, have no sales tax, so the price marked is what you pay.

Even for states with a sales tax, usually food that you buy in a store (as opposed to being served) and medicine is not taxed.

Some states have no income tax. The theory, I suppose, is that it is more fair to tax one's consumption than income. Poorer people don't get penalized on their income and can control their sales tax by avoiding more expensive products.

So the U.S. combinations are:

- states with no income tax and no sales tax (e.g. Alaska)
- states with no income tax and sales tax (e.g. Washington)
- states with income tax and no sales tax (e.g. Oregon)
- states with income tax and sales tax (most states)

Additionally, there are a few cities that impose a tax.

New Hampshire with no real sales tax or income tax.

 

[Poisson Du Jour]

July 1 is not all doom and gloom.

The day is auspicious. It is International Free Hugs Day (is there a hugs emoji on Photrio??), power prices will be dropping, plastic bags in supermarkets will be banned (fiinally!!), wearing of glasses for passport photos will be banned, credit score reporting will be mandatory among banks, there's a bit of tax relief to middle-income earners, parking fines will be slashed in New South Wales (among the highest in the country) and the minimum wage will increase by $24.30 a week (that means your PhD-equipped Barista will have an extra good reason to be cheerful!).

So many positives, people! Chin up, and onwards...

 

[OzJohn]

In OZ, all prices quoted must be GST inclusive... so when you finally make it downnder, no surprises for you!

Only in respect of retail sales. Wholesale prices are invariably quoted exclusive of GST but it is still added to the final invoice. The assumption is that the product will eventually be either retailed or converted to another product by the application of other materials and/or labour and will pick up more GST liability along the way through markups and value adding in manufacture. So the original purchaser gets a full refund of the GST originally paid but presents the government with a larger tax haul by virtue of having added value to the original good purchased.

In Australia, GST replaced a nationally levied sales tax. The sales tax on film and paper was, I think, around 22% of the wholesale price but the sales tax on finished photographic prints, while at the same rate, was applied to only 12.5% of the retail price. In the case of professional photographers, GST created a huge impost. Consider the case of someone selling a print for $99 (incl. GST) that may have only cost $5 to produce. GST of $9 (10%) was payable where the earlier sales tax was calculated at 22% of 12.5% of $99 = $2.73. This illustrates why GST is so insidious. It is all of these rolled together: a retail sales tax, a tax on the manufacture of products and a tax on human skill.

Here in Oz though we can at least be thankful that so far no political party has found the courage to increase our relatively modest 10% rate of GST.

 

[Vaughn]

New Hampshire with no real sales tax or income tax.

But the third highest property tax in the USA. Their gasoline tax is lower than most at about 24 cents/gallon. Oh well, each state gov't has to have cash to operate and I prefer nice roads and an educated population. The state will get the money one way or another -- better than a King taking it all.

 

[Barry Kirsten]

I looked at this some time ago in relation to buying x-ray film in the US from companies that won't ship to Australia... It's possible to buy stuff in the US via a company like MyUS,com, who then forward it to you in Aust with appropriate charges for commission and postage. I wonder if that's a way of both overcoming problems with companies which won't ship to Australian addresses and also avoiding payment GST? No doubt there'll always be a GST component of postage, and avoiding GST is not my main objective; I just want to get what I need.

 

[Nodda Duma]

But the third highest property tax in the USA. Their gasoline tax is lower than most at about 24 cents/gallon. Oh well, each state gov't has to have cash to operate and I prefer nice roads and an educated population. The state will get the money one way or another -- better than a King taking it all.

Our state and local taxes, taken as a whole, are 1/3 what we were paying when living in the desert in eastern California. Same income, more home and property in NH, better schools here, etc etc.

 

[Sirius Glass]

July 1 is not all doom and gloom.

The day is auspicious. It is International Free Hugs Day (is there a hugs emoji on Photrio??), power prices will be dropping, plastic bags in supermarkets will be banned (fiinally!!), wearing of glasses for passport photos will be banned, credit score reporting will be mandatory among banks, there's a bit of tax relief to middle-income earners, parking fines will be slashed in New South Wales (among the highest in the country) and the minimum wage will increase by $24.30 a week (that means your PhD-equipped Barista will have an extra good reason to be cheerful!).

So many positives, people! Chin up, and onwards...

Overall that sound good.

 

[Ces1um]

Canada already charges GST and acts as a collector for the applicable provincial sales tax ("PST") on all foreign purchases - when they elect to process and collect it.
However, due to the administrative burden - it costs money to do it - the majority of small, non-commercial purchases come in tax free.
.

Again- don't say it too loudly or Canada may elect to do what Australia is doing and collect on the small, non commercial purchases that currently come in tax free because of the administrative burden.

 

[MattKing]

Again- don't say it too loudly or Canada may elect to do what Australia is doing and collect on the small, non commercial purchases that currently come in tax free because of the administrative burden.

I actually worked as a customs officer at a "travelers" (most arriving by car) port in the 1980s.
It was very clear back then that the government wanted to devote as little in the way of financial resources as possible to the enforcement of those sorts of taxing provisions.
And everything I see now is consistent with that too.

 

[Poisson Du Jour]

Only in respect of retail sales. Wholesale prices are invariably quoted exclusive of GST but it is still added to the final invoice. The assumption is that the product will eventually be either retailed or converted to another product by the application of other materials and/or labour and will pick up more GST liability along the way through markups and value adding in manufacture. So the original purchaser gets a full refund of the GST originally paid but presents the government with a larger tax haul by virtue of having added value to the original good purchased.

In Australia, GST replaced a nationally levied sales tax. The sales tax on film and paper was, I think, around 22% of the wholesale price but the sales tax on finished photographic prints, while at the same rate, was applied to only 12.5% of the retail price. In the case of professional photographers, GST created a huge impost. Consider the case of someone selling a print for $99 (incl. GST) that may have only cost $5 to produce. GST of $9 (10%) was payable where the earlier sales tax was calculated at 22% of 12.5% of $99 = $2.73. This illustrates why GST is so insidious. It is all of these rolled together: a retail sales tax, a tax on the manufacture of products and a tax on human skill.

Here in Oz though we can at least be thankful that so far no political party has found the courage to increase our relatively modest 10% rate of GST.

I read through all that and though -- hang on, it's not always tax, tax, tax left right and centre.
There were legitimate and well-known exemptions from Sales Tax for professionals.
Professional photographers, primary producers, teachers, advertising agencies, schools/TAFE, universities, hospitals and the obscure provision for Trust Funds to purchase tax free (my equipment) were all available mechanisms to avoid the sales tax to those who properly qualified. At the time of the purchase the FT was part of our primary production on a small farm at Campbells Creek (outside Castlemaine). The Family Trust has changed very little in scope over the decades, with only a car being bought in 2010 the only movement out. The EOS 1N and 4 lenses that were purchased in 1994 from Wendy Reeve at Ted's in Melbourne CBD were only fully transferred to me as the owner in July 1999.
I will be very interested to see if this new GST arrangement actually works. Particularly interesting beside Amazon.com is eBay, which has remained silent.

 

[Ces1um]

I actually worked as a customs officer at a "travelers" (most arriving by car) port in the 1980s.
It was very clear back then that the government wanted to devote as little in the way of financial resources as possible to the enforcement of those sorts of taxing provisions.
And everything I see now is consistent with that too.

Love hearing that! The last thing we want is a government looking for a new revenue stream!

 

[Michael W]

Now we are into July it occurred to me to try a quick test. I added some items to a cart at B&H and went part way into the purchasing process and there was no mention of collecting GST or not shipping to Australia, so fingers crossed that nothing has changed there. Then I tried Amazon.com and added a book to my cart and when I got to the payment section there was a red error message saying they can't ship to Australia and that I should try the Australian Amazon site. I went there and searched for the same book which was obviously being supplied by the same USA seller however the price had jumped from USD 28 to AUD 48 and then they added $15 shipping and 10% GST on top. So that quick test suggests to me that Amazon is now next to useless for my purposes but that B&H might stay as it has always been. I'll be interested to hear of others experiences, particularly when placing real orders.

 

[hoffy]

Thanks for the check. I have to admit, I was going to do something similar today as well.

 

[Poisson Du Jour]

eBay is a little curious...
No mention of GST tacked into my order this morning for a 5-pack of 120 Provia 100F from my usual long-established seller in Melbourne. Just the film cost and postage then...done. Same amount as usual debited from bank by PayPal. And. Nothing by way of notices anywhere on eBay relating to the new GST rules. So... (?)...

 

[Poisson Du Jour]

added some items to a cart at B&H and went part way into the purchasing process and there was no mention of collecting GST or not shipping to Australia, so fingers crossed that nothing has changed there.

The catch with GST *might* be on landing here, in Australia, similar to the way that items previously above the AUD $1,000 GST-free threshold were ensnared by Customs/Australia Post on processing. But really, I think you will have to make a live, real purchase from B&H to get the full picture at the checkout, when the purchase invoice is prepared.