GST on imported goods
As a result of recent legislation changes, from 1 December, 2019 (12.00 am NZT) we’ll be required to collect GST on all international purchases by Kiwi buyers. GST will be applied to the total purchase cost, which includes both the item and shipping.
International sellers will provide us with a GST exclusive item price and a GST exclusive shipping price, then NZ GST of 15% will be added by us. This GST inclusive price is what Kiwi buyers will see on listings. Sellers will receive the GST exclusive price less our fees.
Success fees will remain the same and be charged on GST exclusive prices, and there will be a tax handling fee on the GST exclusive sale price for in-trade sellers.
Documentation for customs
Sellers need to indicate the supplier responsible for returning GST as ‘Trade Me Limited’ and include our GST number (072-491-386) on import documentation. They’ll also need to indicate that GST has been paid on the goods.
On purchases where the total value is over $1,000 NZD (shipping costs are included on this), customs may charge the buyer any applicable tariff duties, import entry transaction fees and biosecurity system entry levies at the border.
GST will also apply to these customs charges. If customs requests the buyer to pay GST on the item and shipping value, buyers should show customs that GST has already been paid. This can be done using the GST receipt the buyer has received from us (we’ll send them one when they make the purchase).
Detailed info on documentation requirements for transporters and customs brokers is available through IRD.
Changes to international seller listing options
From 1 November there will also be some changes to the Trade Me listing options available to all international sellers, including:
- All listings will be Buy Now only, as auctions won’t be available.
- Ping and Afterpay will be the only payment options available.
- Shipping prices must always be specified, and pick-up options won’t be available.