tax question again

howard · 30-11-07

hello im new to the forum so hi to all

my question is i plan to open up a online shop and i will be using a dropshipping service through china most of the items will be single sales of mp4's; cams ' audio gear and im not to sure as to the import tax and or gst payable. all items will be shipped direct to the customer using dhl and most sales would be under 500 each any help that you might be able to throw my way would be great as im very eager to get started
regards howard

David.Pagotto · 30-11-07

Hello Howard,
Any import into Australia under $1000AUD is Tax and GST free, so you can have the item shipped by dhl without paying anymore than the price of the good and the postal charge, because as you said most items will be single sales.
However since you will be a Registered Australian business you will be (Or at least should be) eligible to pay GST on your sales. So even though when you import the item it will be tax free, you will need to charge 10% ontop of your price to cover GST.

Don't be intimidated by this howard as it is actually quite a good and simple money making concept. I wish you all the best with your site, and hope to see it listed on the forum once it is complete.

If you have any other questions please do not hesitate to ask

Thanks and good luck, David Pagotto

controandlime · 30-11-07

Hello Howard and welcome to ABF.
Dropshipping is a very good way of starting up a business with low expenses.
I would start with the idea immediately, but remember business is not always easy so don't give up if it takes awhile to get going. Persistence pays!

David.Pagotto · 30-11-07

Hello Howard,
If you are getting into dropshipping here is abit of extra advice:
1. Don't just rely on one dropshipping company, try to get as many as possible to build your product range.
2. I used to dropship awhile back, I used dealsdirect quite a good place to start.
3. You may want to also list your gear on ebay...ALOT of extra sales and turnover.
4. Make sure you are constantly checking if the item is still available for sale on the dropshipping site, maybe check once a day.

annerz · 18-01-08

i donot know why ppl like to export things from china ...very bad things which be from china very cheap easy to stop working ...is that for just it s cheap soo what??