eBay AU Lodges Submission To AU Senate Over GST

April 12, 2017

On 10 April, eBay lodged a submission to the Australian Senate’s Inquiry into the Treasury Laws Amendment (GST Low Value Goods) Bill 2017. The Senate Economics Legislation Committee is conducting an Inquiry into the Bill which will see all online overseas shopping imported into Australia subject to Australia’s domestic Goods and Services Tax (GST) and proposes that online marketplaces collect. The move is unprecedented and unworkable.

The Bill potentially deems eBay to be a “seller” and an “electronic distribution platform”. eBay is neither. In fact, a report by Deloitte Access Economics in April 2017 found that: “for this proposed regulation to be effective, it must be appropriately targeted. For example, if platforms do not hold or process the goods or services, or process transactions, they may be unable to collect this GST on behalf of the government under their current business model. Such responsibilities may limit the business’ effectiveness”.

eBay is opposed to the Bill and is actively advocating for it to be withdrawn. eBay has conducted a series of ongoing meetings and delegations to Canberra cautioning against the Bill being passed and will continue its comprehensive advocacy program.

eBay’s submission can be accessed here, alongside many others, including consumer advocacy groups, taxpayer groups and trade associations who also strongly oppose the Bill. The Bill itself can be viewed here.

eBay’s Managing Director & Vice President, for Australia and New Zealand, Mr Jooman Park, and eBay’s Director of Government Relations, Australia, New Zealand, Japan and South East Asia , Kristen Foster plan to appear as witnesses at the Senate hearings that are scheduled to be held in Melbourne on 21 April 2017.