NZ Customs Good Clearance Fees for Low Value Goods Imported from Overseas

falloutshank on 07/10/2024 - 15:44

Please advise from folks who are knowledgeable on this, I want to import a low value item from overseas (under nz $400 vintage fountain pen), but there is talk of a NZ customs Good Clearance fees for low value goods, has this been implemented or still under consultation?

Some freight foward services are now charging mandatory 15% GST pre-charge on all parcels to new Zealand that are NZ$1000 or less.

Has this been normal for sometime now or more recent changes? I'm not sure myself.

I was reading this from the NZ customs website: https://www.customs.govt.nz/about-us/about-customs/goods-cle…

General Discussion

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Comments

  • tomb98 on 07/10/2024 - 16:36

    Yes, everything under $1000 there is the mandatory 15% GST that's charged on the store side now. This change came in place I think a few years ago. Above $1000, is when customs will step in to get any extra duties etc.

    • Alan6984 on 07/10/2024 - 21:53

      Yes, everything under $1000 there is the mandatory 15% GST that's charged on the store side now. This change came in place I think a few years ago. Above $1000, is when customs will step in to get any extra duties etc.

      I would think that would only be applicable to overseas sellers who are registered for GST in NZ.

      If the vendor is not registered for NZ GST, I doubt they would charge it (or if they do, I doubt that they will be remitting it to the NZ IRD!)

      • tomb98 on 07/10/2024 - 22:34

        Yep….so in practice a lot of small sellers slip through the cracks who don't comply, but that's on NZ to enforce it, which there is no real practical way. Also, it's true we have no way to know if any of that GST makes it back to the government.

        • Alan6984 on 08/10/2024 - 08:37

          in practice a lot of small sellers slip through the cracks who don't comply

          In most cases, it's not that they don't comply, it's just a practical issue where the costs of collection outweigh the tax take - in the same way that you could legitimately 'avoid' charging GST on goods or services you supply in NZ by choosing not to register if you are under the threshold. You would still be complying with the legislation, even though you would not be charging GST.

    • 1ys23 on 08/10/2024 - 15:40

      Its so annoying xd 😭

  • falloutshank on 07/10/2024 - 16:47

    Thank you, what happens if the store in question don't collect the GST?

    • xwing on 07/10/2024 - 17:45
      +3

      You get it gst free, if the store is under $50k nzd sales a year shipped to New Zealand they don't have to register to take and pass on NZ gst.

      • falloutshank on 07/10/2024 - 18:09

        Thanks everyone, helps puts my mind at ease…

      • nigglej on 07/10/2024 - 19:13
        +1

        Yes, provided the goods are under NZD 1,000

  • Bargainstalker on 08/10/2024 - 16:52

    Its all correct. But you can check the nz customs duty calculator by googling it anytime in future. Under $1000 is good as unless its a tobacco or alcohol product

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