Read my lips – some new taxes

Written By: - Date published: 11:23 am, November 20th, 2015 - 29 comments
Categories: accountability, economy, national, tax - Tags: , , ,

Online shoppers could soon be hit with GST

iTunes, Netflix, could have GST added

Promises promises…

(Image: Foxy)

29 comments on “Read my lips – some new taxes”

  1. shorts 1

    to be fair this isn’t new taxation, rather the proposed implementation of existing taxes

    Of course they will probably make a pigs ear of this and as a consequence kiwis will be blocked from purchasing from sites that won’t bother registering to pay GST (amazon being a likely candidate) which will mean no GST revenue from those services and a HUGE number of pissed of kiwis denied access to stores they’ve been using for years – unless they use a VPN or something to mask their location. The govt will be punished by kiwis if this is the case, at the polls

    • Lara 1.1

      That’s exactly how I expect this to work.

      Overseas sites simply won’t sell to NZers anymore. And that’s gonna piss us all off!

      Even if we use a VPN or something to mask our location, we still have the problem of shipping. They just won’t ship to NZ.

      I see a big business opportunity opening up here for a kiwi overseas to provide a mid point for shipping.

      • Lanthanide 1.1.1

        “I see a big business opportunity opening up here for a kiwi overseas to provide a mid point for shipping.”

        NZPost already does, it’s called YouShop. There are already other private companies that provide the same service as well.

        • shorts

          even with a shipping service your goods will still come in for customs scrutiny and GST capture… which could see these services also decide its all too much of a hassle

          • BM

            The easiest way to collect a gst tax on over seas purchases would be through the credit card companies.

            • Smilin

              Or an FTT that was being screamed for before the 2008 crash and that would get everything and we wouldnt be listening to this BS from Ingrish or Keyhole, the name by the way is about as close as his ego will ever get to be Holyoake, the hole in Holyoake
              They could give National a new name
              The Idiot United party with Dunderhead and his idiocy on drug control as its major policy of stupidity
              The point of this being endless BS from national on how to get around the rich having to pay tax so the poor stay poor
              Another money spinner for consultants

          • Lanthanide

            I think Lara was saying that overseas retailers will simply stop selling to NZers and you won’t be able to ship to NZ. Shipping to a 3rd party solves that problem – of course we’d still have to pay GST.

        • Chch_chiquita

          In this case, the GST will be payable by the recipient, which is doable; it is done when you, for example, import a car. Question is, will the cost of implementing be worth it.

        • Lara

          oh well…. already done then.

          that’s good to know actually. cheers

      • Detrie 1.1.2

        There’s already many established companies setup for mail forwarding. e.g. (Google) (News)

  2. Lanthanide 2

    Their argument is that GST isn’t a new tax, it’s been around literally for decades.

    It’s just now being extended to catch more goods.

    Personally I find it hard to argue with their logic.

    • Tracey 2.1

      It’s semantics of course (to give the dupes something to hang their hats on when they claim Key wasn’t lying before)

      They are not extending it per se, are they , they are removing a current exemption. So a tax on goods and services already existed but not on overseas purchases under a certain value.

    • Hanswurst 2.2

      I would also find it hard to argue with the logic of somebody who promised not to punch me, then kicked me in the face.

  3. The Fairy Godmother 3

    Easiest way to get rid of this problem is to abolish gst. It was brought in when the top tax rate was lowered benefitting the rich and taxing the poor more who of couse have to spend most of their income. I say out with gst.

  4. Richard@Down South 4

    My question is would NZ businesses be happy collecting taxes for US/EU Governments?

  5. NZSage 5

    It will be interesting to see if this is just a tax on entertainment, in an attempt to support and pacify Nationals good buddies at Sky TV, or if it will be applied to ALL overseas online goods and services purchases e.g.

    – Professional publication subscriptions
    – Paid online newspapers subscriptions
    – Live data feed services (share market, FX trading platforms etc)
    – Online consultancy (Legal, medical, business etc)
    – Voice and video conference services (Skype, Webex etc)
    – Cloud based services
    -Overseas banking services
    -Insurance services
    -Mobile Apps

    The list is endless.

    It’s a dumb idea and totally impossible to police.

    • Gangnam Style 5.1

      Yes, I also purchase online games for my children, some which are paid monthly (Minecraft etc…). I will be curious to see how that works out.

    • Herodotus 5.2

      International flights are zero rated for GST . Does anyone know if this will be changed, given the govts tendency to increase revenue ?
      Transport of passengers to and from New Zealand Zero-rating applies to international transport and any other services forming a part of it. For the transport of passengers, these other services include the international journey and any air travel within New Zealand as long as it is:
      • part of the international journey
      • booked at the same time as the international journey,
      through the same agent or supplier.
      Especially as international boundaries are being destroyed then why should this form of spending be nil rated ?

  6. indiana 6

    The people living in poverty will not need to worry about this tax grab.

    • Muttonbird 6.1

      Indeed, and neither will they benefit from it.

    • Stuart Munro 6.2

      By no means – the working and non-working poor have less and less disposable income as the Gnat-precipitated economic failure shambles its way towards societal collapse. They can, and are obliged to seek bargains on things like clothing and footwear, which can be bought online for 30-40% of the best prices on offer at NZ retailers. The poor don’t have much choice.

    • Draco T Bastard 6.3

      Don’t kid yourself. When I bought parts for my bike so that I could get to uni I had to go offshore so I could afford them. If GST had been included I wouldn’t have been able to afford them even with the massively lower prices that you get from offshore stores.

  7. JonL 7

    The trouble is not just the gst. It’s all the other charges customs and co slap on as well.

  8. Smilin 8

    Freddy Ingrish and Fanny Keyhole
    surge in popularity as the country sinks to another ill thought tax
    legends in their own minds taken up my lifetime
    Thats what idiots do who are no fucken good and live their own bs to the detriment of the rest of us
    Nothing has changeD since the big crash because it was a hoax
    It was Bushes war that caused the crash but it was Americas war debt that was the loss of all that dough. It made Key happen because he had inside knowledge he is a privateer .
    His favourite rockband Fine Young Criminals reminds him of how he stole the countrys money back in the good old days of the late 80s with the help of Ripoff Roger
    Who grows the terrorism industry that sucks all the bucks ? Anyone that Key deals with

  9. Smilin 9

    This is a good song to go with those two idiots in the photo

    Grateful Dead US Blues

    look up the lyrics at your leisure

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