ATO Rake In $250 Million ‘Amazon Tax’
The ATO has revealed its newly implemented GST on low-value goods from foreign websites has generated a whopping $250 million by April end – significantly above the $70 million annual forecast.
Speaking to The New Daily, the ATO claims the figure is more than three and a half times what it had expected for the full 2019 financial year.
Implemented in June 2018, the colloquially referred ‘Amazon tax’ forces e-tailers to add a 10% GST to online purchases delivered to Australia from overseas.
It follows significant lobbying from many local retailers, including Harvey Norman.
Some commentators claim the Aussie government has lost billions of dollars by implementing the tax later than lobbied.
The news comes as the local retail landscape continues to slump, with figures showing significant Aussie demand for overseas-based products.
As previously reported, Amazon has announced its annual ‘Prime Day’ sales event will run for 48 hours+ this year, commencing July 15.
“We are excited to announce that this year will be even bigger, with Prime members Down Under not only being the first in the world to have access to Prime Day but also having the longest Prime Day event worldwide, with an extra 17 hours of U.S. deals through the Global Store following the end of the 48 hours of local deals,” asserts Rocco Braeuniger, Country Manager for Amazon Australia.