So you want a level playing field Mr. Harvey?

[Petzl]

On Thu, 6 Jan 2011 14:28:56 +1100, "Rod Speed"
<rod.speed.aaa@gmail.com> wrote:
added aus.legal

Tom wrote
Don McKenzie wrote

You can sell to the European Union and save them 20% VAT.
You can sell to New Zealand and save them 15% GST.

Don't know about NZ but most EU countries will charge the receiver with VAT/duties.

No they dont.

I've sent a few presents there, kids toys and clothes went ok but a $100 laptop style DVD player attracted VAT and
duty before the parcel was delivered. On other hand $50 RC helicopter was free from government greed.

So clearly most dont incur VAT and duty.

I guess might depend on the country.

Corse it does.

Retailers warned not to avoid tax by using off-shore e-commerce

http://www.heraldsun.com.au/business/retailers-warned-not-to-avoid-tax-by-using-off-shore-e-commerce/story-e6frfh4f-1225983033812
Or http://goo.gl/HuBK0
Wonder if Australia will enforce the constitution

Petzl
--
Australia's parliament needs to obey our Constitutions, the judiciary must apply the law!

 

[Tom]

On 6/01/2011 1:28 PM, Rod Speed wrote:

Tom wrote
Don McKenzie wrote

You can sell to the European Union and save them 20% VAT.
You can sell to New Zealand and save them 15% GST.

Don't know about NZ but most EU countries will charge the receiver with VAT/duties.

No they dont.

If it comes from outside the EU and goes physically through customs they
will collect duty/VAT unless its walue is very small, differrent
countries have different understanding of small value.

I've sent a few presents there, kids toys and clothes went ok but a $100 laptop style DVD player attracted VAT and
duty before the parcel was delivered. On other hand $50 RC helicopter was free from government greed.

So clearly most dont incur VAT and duty.

Most of the small stuff - no. Anything of value - yes. I know of at
least one coutry that does not believe values declared on parcels from
known Chinese/HK dealers, they open the parcels and apply their own
value estimate for duty purposes.

I guess might depend on the country.

Corse it does.

Tom

 

[Rod Speed]

Pretzl wrote

Rod Speed <rod.speed.aaa@gmail.com> wrote
Tom wrote
Don McKenzie wrote

You can sell to the European Union and save them 20% VAT.
You can sell to New Zealand and save them 15% GST.

Don't know about NZ but most EU countries will charge the receiver with VAT/duties.

No they dont.

I've sent a few presents there, kids toys and clothes went ok but a
$100 laptop style DVD player attracted VAT and duty before the
parcel was delivered. On other hand $50 RC helicopter was free from
government greed.

So clearly most dont incur VAT and duty.

I guess might depend on the country.

Corse it does.

Retailers warned not to avoid tax by using off-shore e-commerce
http://www.heraldsun.com.au/business/retailers-warned-not-to-avoid-tax-by-using-off-shore-e-commerce/story-e6frfh4f-1225983033812
Or http://goo.gl/HuBK0

Silly fantasy.

Wonder if Australia will enforce the constitution

That isnt the constitution, stupid.

 

[Rod Speed]

Tom wrote

Rod Speed wrote
Tom wrote
Don McKenzie wrote

You can sell to the European Union and save them 20% VAT.
You can sell to New Zealand and save them 15% GST.

Don't know about NZ but most EU countries will charge the receiver with VAT/duties.

No they dont.

If it comes from outside the EU and goes physically through customs they will collect duty/VAT unless its walue is
very small,

And that is precisely what we do ourselves.

And your original claim is just plain wrong.

differrent countries have different understanding of small value.

You quite sure you aint one of those rocket scientist fellas ?

I've sent a few presents there, kids toys and clothes went ok but a
$100 laptop style DVD player attracted VAT and duty before the
parcel was delivered. On other hand $50 RC helicopter was free from
government greed.

So clearly most dont incur VAT and duty.

Most of the small stuff - no. Anything of value - yes.

That last is a lie as your RC helicopter proves.

I know of at least one coutry that does not believe values declared on parcels from known Chinese/HK dealers, they
open the parcels and apply their own value estimate for duty purposes.

As we do ourselves.

I guess might depend on the country.

Corse it does.

 

[me here]

Trevor Wilson wrote:

"Don McKenzie" <5V@2.5A> wrote in message
news:8okre5Fe3pU1@mid.individual.net...
On 6/01/2011 2:15 PM, Trevor Wilson wrote:
"Don McKenzie"<5V@2.5A> wrote in message

**Exactly. Back in the days of Sales Tax, I had a Sales Tax
number for certain purchases (for manufacturing). I went to Tandy
to buy a product that retailed for $129.95. I had to jump
through considerable hoops, but I finally got what I wanted sans
(27.5%) Sales Tax. I saved a grand total of around $2.50.

Bastards.

One advantage of sales tax was you jumped through the hoops, and
got the exemption based on your sales tax number. You never had to
pay the tax. You were exempt.

Today if your import is over $1000AUD, you pay 10% gst, plus
possibly custom duties, plus formal entry fees. Total minimum bill
is usually about one arm, and one leg.

Then 3 months later, guess what? You get the 10% GST back in full
as a tax input credit. Any owing amount is paid directly into your
nominated bank account.

So this is a real saving in resources compared to the old system
isn't it? What in the hell is this all about? Geez!


**I sold an amp to a guy who was leaving the country, back when GST
was first introduced. I was confused about what to do, so I called
the taxman for advice. They told me that the customer should pay the
full amount and he coulod retrieve the money at the exit port.
Sounded dodgy to me, but I complied. Then, of course, I received a
frantic call from my client, claiming that he could not get his money
(more than $500.00). We sorted it out later, but it sure was messy
back then.

I worked with a guy who was associated with the ANCAP vehicle testing
program for many years.

He said that's how they do it, and a prime example was US made engines
that were brought across to Oz.

He's been in the industry for years and said it's the way they operate.

Maybe as it's within the same company they can make it look like an
internal money transfer between divisions.



--

 

[Rob]

On 6/01/2011 2:15 PM, Trevor Wilson wrote:

**Exactly. Back in the days of Sales Tax, I had a Sales Tax number for
certain purchases (for manufacturing). I went to Tandy to buy a product that
retailed for $129.95. I had to jump through considerable hoops, but I
finally got what I wanted sans (27.5%) Sales Tax. I saved a grand total of
around $2.50.

Bastards.

Something is wrong with that figure.

You should have paid Sales tax on the wholesale price. you can't tell be
a $130 product was only worth $2.50 in sales tax - rated at 27.5% that
makes the wholesale price $9

 

[Rob]

On 6/01/2011 2:32 PM, Don McKenzie wrote:

On 6/01/2011 2:15 PM, Trevor Wilson wrote:
"Don McKenzie"<5V@2.5A> wrote in message

**Exactly. Back in the days of Sales Tax, I had a Sales Tax number for
certain purchases (for manufacturing). I went to Tandy to buy a
product that
retailed for $129.95. I had to jump through considerable hoops, but I
finally got what I wanted sans (27.5%) Sales Tax. I saved a grand
total of
around $2.50.

Bastards.

One advantage of sales tax was you jumped through the hoops, and got the
exemption based on your sales tax number. You never had to pay the tax.
You were exempt.

Today if your import is over $1000AUD, you pay 10% gst, plus possibly
custom duties, plus formal entry fees. Total minimum bill is usually
about one arm, and one leg.

Then 3 months later, guess what? You get the 10% GST back in full as a
tax input credit. Any owing amount is paid directly into your nominated
bank account.

So Gerry is paying no tax, only duty and freight which is passed on.

GST is paid by the consumer at the end.

So this is a real saving in resources compared to the old system isn't
it? What in the hell is this all about?
Geez!

Cheers Don...

 

[terryc]

Trevor Wilson wrote:

I saved a grand total of around $2.50.

Sales tax was on the wholesale price and not the retail price

 

[Rob]

On 6/01/2011 2:44 PM, Trevor Wilson wrote:

"Don McKenzie"<5V@2.5A> wrote in message
news:8okre5Fe3pU1@mid.individual.net...
On 6/01/2011 2:15 PM, Trevor Wilson wrote:
"Don McKenzie"<5V@2.5A> wrote in message

**Exactly. Back in the days of Sales Tax, I had a Sales Tax number for
certain purchases (for manufacturing). I went to Tandy to buy a product
that
retailed for $129.95. I had to jump through considerable hoops, but I
finally got what I wanted sans (27.5%) Sales Tax. I saved a grand total
of
around $2.50.

Bastards.

One advantage of sales tax was you jumped through the hoops, and got the
exemption based on your sales tax number. You never had to pay the tax.
You were exempt.

Today if your import is over $1000AUD, you pay 10% gst, plus possibly
custom duties, plus formal entry fees. Total minimum bill is usually about
one arm, and one leg.

Then 3 months later, guess what? You get the 10% GST back in full as a tax
input credit. Any owing amount is paid directly into your nominated bank
account.

So this is a real saving in resources compared to the old system isn't it?
What in the hell is this all about?
Geez!


**I sold an amp to a guy who was leaving the country, back when GST was
first introduced. I was confused about what to do, so I called the taxman
for advice. They told me that the customer should pay the full amount and he
coulod retrieve the money at the exit port. Sounded dodgy to me, but I
complied. Then, of course, I received a frantic call from my client,
claiming that he could not get his money (more than $500.00). We sorted it
out later, but it sure was messy back then.


All you needed was a tax invoice from a ABN registered company

 

[Don McKenzie]

On 6/01/2011 5:20 PM, me here wrote:

Don McKenzie wrote:


Ditto on that.

I sold a racing type m/cycle carby to a guy in Germany and he had to
pay a hefty tax to get it.

Strangely, Germany is one of the few countries that you can't insure an air mail package to:
http://auspost.com.au/apps/international-post-guide.html

I guess it must be because of the war. WWI? WWII? Don't mention the war!

When I started selling on-line in 1993, it was really a case of suck it and see. You had no idea of what counties would
have customs difficulties, and what countries would regularly have packages go missing.

Today things run a lot smoother, and I know they will get easier as more countries get better acquainted with on-line
sales. Customs people will get very used to the routine, and make their jobs easier eventually, as they are bombarded
with packages. Have to clone good sniffer dogs, etc.

In Australia, Ebay now has a contract to assist the Australian Post Office with deliveries from overseas. Which means a
shift from traditional local retailing, to on-line overseas sales, with additional distribution channels here to get the
product to the Australian customer. I can see courier services expanding here in the immediate future, to cater for this
explosion.

What I don't understand is how the finances work with incoming parcels from overseas, and the APO's income breakdown.
Any prominent postie personal present?

Cheers Don...

=================


--
Don McKenzie

Site Map: http://www.dontronics.com/sitemap
E-Mail Contact Page: http://www.dontronics.com/email
Web Camera Page: http://www.dontronics.com/webcam
No More Damn Spam: http://www.dontronics.com/spam

These products will reduce in price by 5% every month:
http://www.dontronics-shop.com/minus-5-every-month.html
http://www.dontronics-shop.com/ics.html

 

[me here]

Don McKenzie wrote:

On 6/01/2011 2:00 PM, Gillard = Rudd in a frock wrote:
On Thu, 06 Jan 2011 09:07:27 +1100, Don McKenzie<5V@2.5A> wrote:

So you want a level playing field Mr. Harvey?

Here is what you do:
Sell on-line to over 200 countries, but don't charge them the
Australian 10% GST. And it is legal.

You can sell to the European Union and save them 20% VAT.
You can sell to New Zealand and save them 15% GST.

How do you know that these countries will not have to pay GST on
these imports?

There is no way they have to pay Australian GST, as there is no
mechanism in place to collect this tax for the Australian Tax Office.

However there may be tax and duties payable in the country you are
exporting to. Countries like India, and Brazil are bad, as they
generally hit all imports hard. Brazil often wants up to 100% tax.
India seems to change the rules depending on the colour of the
customs officer's hair.

Most other countries ignore values less than $100, as it is a matter
of how much you spend collecting such a small amount for tax purposes.

Cheers Don...

Ditto on that.

I sold a racing type m/cycle carby to a guy in Germany and he had to
pay a hefty tax to get it.

He described the process at the time and it was a huge time waster for
him and the several local authorities involved.

I think the package even had to be unwrapped with some official present
and the tax payable depended on whether or not a payment receipt was in
the package.

I remember I had to send across a copy of the Ebay Paypal advice before
they would let him pick it up first time around coz they didn't believe
it was bought on line.

Shit, I mean, who needs all that run around?


--

 

[Phil Allison]

"Robot the Troll"

Something is wrong with that figure.

You should have paid Sales tax on the wholesale price. you can't tell be a
$130 product was only worth $2.50 in sales tax - rated at 27.5% that makes
the wholesale price $9

** That is just what the math says and very likely what the "notional "
wholesale price was.

Yep - an 1100% markup is not impossible at Tandy.

The scenario TW describes was quite common in the days of "wholesale sales
tax" and caused no end of embarrassment for retailers FORCED to reveal how
huge their margins sometimes were.



..... Phil

 

[Don McKenzie]

On 6/01/2011 5:11 PM, Rob wrote:

On 6/01/2011 2:32 PM, Don McKenzie wrote:

Then 3 months later, guess what? You get the 10% GST back in full as a
tax input credit. Any owing amount is paid directly into your nominated
bank account.


So Gerry is paying no tax, only duty and freight which is passed on.

If he is the importer, then he pays 10% GST on entry, and gets it back in 3 months, after he submits his 3 monthly tax
return to the ATO. This becomes a tax input credit.

GST is paid by the consumer at the end.

As a normal consumer, yes always. Very few exceptions. I would have to check the regs, but I think you need to be a
research foundation or similar, and have all four grand parents still living for any exemptions.

Cheers Don...

==================



--
Don McKenzie

Site Map: http://www.dontronics.com/sitemap
E-Mail Contact Page: http://www.dontronics.com/email
Web Camera Page: http://www.dontronics.com/webcam
No More Damn Spam: http://www.dontronics.com/spam

These products will reduce in price by 5% every month:
http://www.dontronics-shop.com/minus-5-every-month.html
http://www.dontronics-shop.com/ics.html

 

[Trevor Wilson]

"terryc" <newsninespam-spam@woa.com.au> wrote in message
news:ig3mee$rs7$2@news.eternal-september.org...

Trevor Wilson wrote:
I saved a grand total of around $2.50.

Sales tax was on the wholesale price and not the retail price

**I am well aware of that. In fact, THAT was my point. Tandy were fiddling
the books.


--
Trevor Wilson
www.rageaudio.com.au

 

[Trevor Wilson]

"Rob" <mesamine@gmail.com> wrote in message
news:4d255bc9$1@dnews.tpgi.com.au...

On 6/01/2011 2:15 PM, Trevor Wilson wrote:

**Exactly. Back in the days of Sales Tax, I had a Sales Tax number for
certain purchases (for manufacturing). I went to Tandy to buy a product
that
retailed for $129.95. I had to jump through considerable hoops, but I
finally got what I wanted sans (27.5%) Sales Tax. I saved a grand total
of
around $2.50.

Bastards.



Something is wrong with that figure.

**Nothing is wrong with that figure.

You should have paid Sales tax on the wholesale price. you can't tell be a
$130 product was only worth $2.50 in sales tax - rated at 27.5% that makes
the wholesale price $9

**Correct.


--
Trevor Wilson
www.rageaudio.com.au

 

[Rod Speed]

Rob wrote:

On 6/01/2011 2:32 PM, Don McKenzie wrote:
On 6/01/2011 2:15 PM, Trevor Wilson wrote:
"Don McKenzie"<5V@2.5A> wrote in message

**Exactly. Back in the days of Sales Tax, I had a Sales Tax number
for certain purchases (for manufacturing). I went to Tandy to buy a
product that
retailed for $129.95. I had to jump through considerable hoops, but
I finally got what I wanted sans (27.5%) Sales Tax. I saved a grand
total of
around $2.50.

Bastards.

One advantage of sales tax was you jumped through the hoops, and got
the exemption based on your sales tax number. You never had to pay
the tax. You were exempt.

Today if your import is over $1000AUD, you pay 10% gst, plus possibly
custom duties, plus formal entry fees. Total minimum bill is usually
about one arm, and one leg.

Then 3 months later, guess what? You get the 10% GST back in full as
a tax input credit. Any owing amount is paid directly into your
nominated bank account.


So Gerry is paying no tax, only duty and freight which is passed on.

GST is paid by the consumer at the end.

Yes, but he never claimed otherwise, just that he is forced
to charge the consumer for the GST and internet sellers of
transactions which are worth less than $1K when its posted arent.

So this is a real saving in resources compared to the old system
isn't it? What in the hell is this all about?
Geez!

Cheers Don...

 

[terryc]

Trevor Wilson wrote:

"terryc" <newsninespam-spam@woa.com.au> wrote in message
news:ig3mee$rs7$2@news.eternal-september.org...
Trevor Wilson wrote:
I saved a grand total of around $2.50.
Sales tax was on the wholesale price and not the retail price

**I am well aware of that. In fact, THAT was my point. Tandy were fiddling
the books.

In those days of protected import channels lots of companies made HUGE
markups. This was a fact that Gerry Harvey used to offer cheaper prices
when he started musceling in on the established stores with his
warehouse style store.

 

[keithr]

On 6/01/2011 2:16 PM, me here wrote:

atec77 wrote:

On 6/01/2011 8:07 AM, Don McKenzie wrote:
So you want a level playing field Mr. Harvey?

Here is what you do:
Sell on-line to over 200 countries, but don't charge them the
Australian 10% GST. And it is legal.

You can sell to the European Union and save them 20% VAT.
You can sell to New Zealand and save them 15% GST.

Boy, what a big kick start this will be for you.

But your prices will have to be competitive, as they buy from the
same shop you do. It's called China.
And your shipping costs will have to be competitive too, otherwise
there will be no advantage for them to buy from you.

NOTE *** These comments apply only to what I consider low value
goods. Under $1000AUD.

Cheers Don...


Only problem is how would he sort all the percentages for the
franchisers ?

Auto parts are a [prime example of pornographic markup being on
average 300 % on delivered from the us prices on anything over a
wheel cylinder

This is chicken shit compared to what the big companies get away with.

Ever wondered how companies like GM move money overseas and avoid
paying tax, yetd show miserable profits even when more locally built
cars are being sold than ever before ?

Simnple, they buy in critical components at hugely inflated prices from
the country they want to move the money to.

So a $50 component costs $500+ etc.

The money is transfered off shore and there's nothing the Aust Govt can
do about it.

Been going on for years.

The coal exporters used to do this in reverse. sold their product at a

low price to subsidiaries overseas who onsold it at the correct world
price, thus avoiding paying full royalty.

 

[Rod Speed]

me here wrote:

Don McKenzie wrote:

On 6/01/2011 5:20 PM, me here wrote:
Don McKenzie wrote:


Ditto on that.

I sold a racing type m/cycle carby to a guy in Germany and he had to
pay a hefty tax to get it.

Strangely, Germany is one of the few countries that you can't insure
an air mail package to:
http://auspost.com.au/apps/international-post-guide.html

I guess it must be because of the war. WWI? WWII? Don't mention the
war!

When I started selling on-line in 1993, it was really a case of suck
it and see. You had no idea of what counties would have customs
difficulties, and what countries would regularly have packages go
missing.

Today things run a lot smoother, and I know they will get easier as
more countries get better acquainted with on-line sales. Customs
people will get very used to the routine, and make their jobs easier
eventually, as they are bombarded with packages. Have to clone good
sniffer dogs, etc.

In Australia, Ebay now has a contract to assist the Australian Post
Office with deliveries from overseas. Which means a shift from
traditional local retailing, to on-line overseas sales, with
additional distribution channels here to get the product to the
Australian customer. I can see courier services expanding here in the
immediate future, to cater for this explosion.

What I don't understand is how the finances work with incoming
parcels from overseas, and the APO's income breakdown. Any prominent
postie personal present?

Australia Post seems to be trying to rub out the independent parcel delivery guys these days.

Fat chance.

I used to get stuff delivered by independents such as the local crash
repair company, who got maximum value out of their work van/spare
parts guy by getting him to courier parcels in his down time.

Haven't seen a non Aust Post type van for quite a while.

I saw one today.

 

[me here]

Don McKenzie wrote:

On 6/01/2011 5:20 PM, me here wrote:
Don McKenzie wrote:


Ditto on that.

I sold a racing type m/cycle carby to a guy in Germany and he had to
pay a hefty tax to get it.

Strangely, Germany is one of the few countries that you can't insure
an air mail package to:
http://auspost.com.au/apps/international-post-guide.html

I guess it must be because of the war. WWI? WWII? Don't mention the
war!

When I started selling on-line in 1993, it was really a case of suck
it and see. You had no idea of what counties would have customs
difficulties, and what countries would regularly have packages go
missing.

Today things run a lot smoother, and I know they will get easier as
more countries get better acquainted with on-line sales. Customs
people will get very used to the routine, and make their jobs easier
eventually, as they are bombarded with packages. Have to clone good
sniffer dogs, etc.

In Australia, Ebay now has a contract to assist the Australian Post
Office with deliveries from overseas. Which means a shift from
traditional local retailing, to on-line overseas sales, with
additional distribution channels here to get the product to the
Australian customer. I can see courier services expanding here in the
immediate future, to cater for this explosion.

What I don't understand is how the finances work with incoming
parcels from overseas, and the APO's income breakdown. Any prominent
postie personal present?

Cheers Don...

=================

Australia Post seems to be trying to rub out the independent parcel
delivery guys these days.

I used to get stuff delivered by independents such as the local crash
repair company, who got maximum value out of their work van/spare parts
guy by getting him to courier parcels in his down time.

Haven't seen a non Aust Post type van for quite a while.



--