Jump to content
SAU Community

Importing Containers/parts/new Products - Questions..

Angus Smart
 Share

Recommended Posts

Angus Smart Grand Master

Angus Smart

Posted
Posted

Hey,

I'm about to start importing containers of new product. (Nothing car related at all)

i will have a rather big gst payable on importation (somewhere around 8k) i've asked a question to my import broker about cutting costs down somewhere or anywhere and he mentioned deferred gst and setting it up.. i've gone to the ato website and cant find what its actually about.

anyone here can shed some light on it?

Cheers

R33GTRKid Experienced

R33GTRKid

Posted
Posted (edited)

Firstly you will need to register for GST for this and you do that if you expect to earn more than $50k per year.

You need to understand that you do not pay GST when you sell a taxable supply (good or provide a service), you collect it from your customer on behalf of the government. You only pay GST when you buy a taxable supply.

So if you sell a good to someone for $100, you have to charge an additional 10%, which is the GST component, so you collect $110 from the customer. $100 is your revenue and $10 is the GST you collect for the government.

When you buy $100 fuel to run your car to deliver your goods, you pay $91 to the fuel station and $9 in GST that the fuel station collects on behalf of the government.

The $9 you pay to the servo is a GST input credit for your business and is recorded on your BAS as GST you have paid out to others in running your business.

So if you pay $9 GST on petrol and sell something for $110 and collect the $10 GST, you will effectively have a $1 GST liability for the period and you pay $1 to the government.

Deferred GST is where you apply for an exemption to pay the GST that you collect for a set period of time, you do not get this money for free rather you have to pay it back later and after you have had a chance to rack up some GST input credits to reduce your liability to pay.

DISCLAIMER: I am a lawyer NOT an accountant or tax specialist, the above is not intended nor should be taken as advice specific to your situation and you should not make any decisions based upon it - that is you should obtain your own independent advice from an accountant..... haha

Edited by R34kid
Angus Smart Grand Master

Angus Smart

Posted
  • Author
Posted

haha disclaimer..

cheers for that. so at the end of the day the gst likes to put its arm elbow deep up my ass..

so after selling the product we would really have paid gst twice. (tho the customer pays the second lot)

elrodeo666 Mentor

elrodeo666

Posted
Posted

What if the business is based offshore. e.g based in Japan but importing goods to australia and being paid oz dollars.

Or other scenario money being payed to offhore account and having virtual offshore business address.

Andrew how good nick is the head??

Beer Baron Grand Master

Beer Baron

Posted
Posted

anything imported to australia is liable for any applicable import duty (different for different things from different countries) and GST. it doesn't matter if you are offshore, with offshore accounts and business registration. you simply need to pay those costs at the time of entry for the product/parts/cars.

R33GTRKid Experienced

R33GTRKid

Posted
Posted
haha disclaimer..

cheers for that. so at the end of the day the gst likes to put its arm elbow deep up my ass..

so after selling the product we would really have paid gst twice. (tho the customer pays the second lot)

no you have not paid it at all:

when you sell something, the customer pays the GST which you collect for the government.

When you pay someone else out, you pay them the GST but then you get to claim it as an input credit in your business which means you do not have to pay the government what your customer as already paid you (assuming they are equal).

Angus Smart Grand Master

Angus Smart

Posted
  • Author
Posted
What if the business is based offshore. e.g based in Japan but importing goods to australia and being paid oz dollars.

Or other scenario money being payed to offhore account and having virtual offshore business address.

Andrew how good nick is the head??

Is sold :banana:

Angus Smart Grand Master

Angus Smart

Posted
  • Author
Posted
no you have not paid it at all:

when you sell something, the customer pays the GST which you collect for the government.

When you pay someone else out, you pay them the GST but then you get to claim it as an input credit in your business which means you do not have to pay the government what your customer as already paid you (assuming they are equal).

yeah yee i got you :)

we wont be doing much paying anyone over here, we're mainly just importing goods and wholesale.

factory rent will be free (hopefully) and most other costs will also be within us, i guess transport will be one of the costs we're paying..

but i see that everything else we spend (even if its not business related ;) ) we will get the gst back? thats what your saying?

i should really see an accountant, but i still get lost in their words!

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share
Go to topic listing


  • Similar Content

  • Latest Posts

    • suko
      J50 clock date suddenly reset to January 1

      By suko · Posted

      Well, I can recommend the partial AV system translation CD I ordered from Car Audio Workshop in NZ. Whilst it didn't address the date issue, it has conveniently translated on-screen menu items into English, and now allows the GPS-received time to be offset in hours rather than minutes, so I can display Eastern Australian time accurately ( and bump it by another hour when daylight savings starts ).
    • GTSBoy
      Baron's R34 GT-R build thread - car in Japan for 5 years -_-

      By GTSBoy · Posted

      Yuh, if it's 45°C outside, my car is driving in it.
    • soviet_merlin
      Baron's R34 GT-R build thread - car in Japan for 5 years -_-

      By soviet_merlin · Posted

      I'd be curious to hear more. Otherwise, have you driven a modern x-trail? I wonder how it compares. Here in Australia they are/were popular for rentals and fleet vehicles. I have been in some and my impression was they are bad. But, this may have been very different in the 2000s at a good trim level. Twenty years is plenty of time to make the model worse. I do very much agree with the 2 silver cars in the garage approach. But, not driving because it's too hot would not leave a lot of time in the year for many Australians. I don't think you need to worry too much unless the car has actual issues with overheating. 
    • BaronOBeefdip
      Baron's R34 GT-R build thread - car in Japan for 5 years -_-

      By BaronOBeefdip · Posted

      Back again. I returned to Japan in Jul/Aug to spend time with the car on my birthday and remind myself what all the sacrifice and compromise is for. It happened to line up with the monthly morning meet in Okutama, which I have been wanting to go to for a long time. It's a unique event at a unique spot with really rare, interesting, and quirky cars. It's where all the oldheads and OGs gather. The nighttime scene at DKF certainly has its place and should be experienced if you're into cars, but there's too much bad attention and negativity around it now. IMO the better time is Sunday morning at DKF or Okutama; it's more chill and relaxed. I'm glad I was finally able to go, but not sure it's worth the drive from all the way from Nagoya immediately the day before, unless I was already staying in Tokyo for the days right before the meet, because you have to wake up quite early to make it in time. Funnily enough though I didn't drive the car all that much this trip because it was just too damn hot. While there were zero issues and running temps were nominal and the A/C was strong, RBs already run crazy hot as it is. Sure, it took it all like a champ but something about driving these cars in the ridiculous heat/humidity bothers me and makes me feel like I'm asking too much of it. I'm just me being weird and treating the car like a living thing with feelings; I'm mechanically sympathetic to a fault. Instead I was mainly driving something else around - a KX4(silver) 2001 X-Trail GT, that I acquired in May. There's a few different flavors to choose from with Xs, but visually it's the Nissan version of the Honda CR-V. Mechanically it's a whole different story as this, being the top-trim GT, has an SR20VET mated to a four-speed auto and full-time AWD! It was a very affordable buy in exceptional condition inside and out, with very low mileage...only 48k kms. Most likely it was owned by an older person who kept it garaged and well-maintained, so I'm really happy with how it all worked out. It literally needs zero attention at the moment, albeit except for some minor visual touch-ups. I wanted something quirky, interesting, and practical and for sure it handily delivers on all three of those aspects. I was immediately able to utilize the cargo and passenger capacity to its full extent. It's a lot of fun to drive and is quite punchy through 1st and 2nd. It's very unassuming -in the twisty bits it's a lot more composed than one would think at a glance- and it'll be even better once I get better tires on it(yes, it's an SUV but still a little boat-y for my liking). So...now I have two golden-era Nissans in silver. One sports car and one that does everything else; the perfect two-car solution I think👍 The rest of the trip...I was able to turn my stressed brain off and enjoy it, although I didn't quite get to do as much as I thought. I did some interesting things, met some interesting people, and happened into some interesting situations however, that's all for another post though only if people really want to know. Project-wise, I went back to Mine's again to discuss more plans and am hoping to wrap that up real soon; keep watching this space if that interests you. Additionally, while working in the tormenting sweatbox that is the warehouse, I was able to organize most of the myriad of parts that my friend is storing for me along with the cars, and the 34 has a nice little spot carved out for it: And since it can get so stupid hot in there, that made it all the more easy -after I was standing there looking at the car and said 'f**k it'- to finally remove all the damn gauges that have mostly been an eyesore all this time. Huzzah. The heat basically makes the adhesive backing on the gauge mounts more pliable to work with, so it was far less stressful getting this done. I didn't fully clean it up or chase the wiring though; that will happen once I have the car in closer possession. Another major reason to remove all that stuff is to give people less reasons to get in my car and steal s**t while it's being exported/imported when/if the time comes, which leads us to my next point... ...and that is even though it's time in Japan is technically almost up since it's a November car and the X would be coming in March, I'm still not entirely sure where my life and career is headed; I don't really know what the future looks like and where I'm going to end up. I feel there's a great deal of uncertainty with me and as a result of that, it feels like I'm at a crossroads moreso now than any point in my life thus far and there are some choices I need to make. Yes, I've had some years to consider things and prepare myself, however too much has happened in that time to maintain confidence and everything feels so up in the air; tenuous one might say. Simply put, there's just too much nonsense going on right now from multiple vectors. Admittedly, I'm struggling to stay in the game and keep my eyes on the prize. So much so in fact, that very recently I came the closest I ever have before to calling it quits outright; selling everything and moving on and not looking back. The astute among you will pick up on key subtext within this paragraph. In the meantime I've still managed to slowly acquire some final bits for the car, but it feels nice knowing there's not much left to get and I'm almost across that finish line; I have almost everything I'll ever want for my interpretation and expression on what it is I think an R34 should be. 'til later.
    • Bwagz
      Engine model

      By Bwagz · Posted

      Thanks for that, hadn’t used my brain enough to think about that. 
×
×
  • Create New...