Australian low-value taxLearn how Zonos handles Australia GST.
As of January 1, 2018, Australia requires online retailers to collect GST on sales of low-value goods (sales price of 1,000 AUD or less) to consumers in Australia and remit the collected GST to the Australian Taxation Office. The requirement only applies to foreign-based online retailers with actual or projected annual sales to consumers in Australia of 75,000 AUD.
Obtain your AUSid
To access the simplified GST registration form (discussed in step two), you will need a secure credential called an AUSid. Download the AUSid application and set up your account to securely access the online platform for simplified GST whenever you need to. If you need an AUSid, go to AUSid online services.
Register for simplified GST
After you obtain your AUSid, select Register now to access the online services for non-residents with your AUSid and register for simplified GST, or visit the Simplified GST Instructions.
- The session can expire quickly so be sure to already have your AUSid application open before entering your username.
- Go to the AUSid login page and copy the reference number.
- Enter your username and copy the reference number.
- Open the downloaded AUSid application on your computer and paste in the reference number.
- Enter your password into the AUSid application.
- You do not have to prove your identity.
- You use an ATO reference number (ARN) instead of an Australian business number (ABN).
- You must lodge your GST returns and pay GST quarterly through the ATO website.
- You can pay electronically via SWIFT bank transfer or credit card.
Start collecting GST
If you are required to collect GST on low-value orders and have a registered AUSid, adding your tax ID] inside of your Dashboard will turn on GST calculation and collection for your Australian shoppers. Zonos Checkout or API will automatically start calculating 10% GST on all orders to Australia, even those under the de minimis of 1,000 AUD.
To add an Australian tax ID, follow the following steps:
Go to Settings -> Tax IDs.
Select Australia from the country dropdown.
Select Add and enter your tax ID number in the textbox labeled ARN number, or if your tax registration is not yet complete you may use a placeholder. Adding a number here is what triggers Zonos to start collecting GST from your Australian shoppers. Please remember to come back and add your real tax ID once you have it.
Select Save and you should see your Australian GST number listed below Tax IDs.
Once enabled, international low-value taxes (ILVT) will always be collected at the time of checkout. There will not be an option to pay later or at the time of customs clearance.
Ship orders with the required documentation
When shipping orders out of Dashboard, Zonos will ensure that the proper details are passed to the carrier.
Remit collected GST to the Australian Tax Office
Zonos remits quarterly the GST you collect on sales of low-value goods to Australian consumers using your Australian GST registration number.
If my store hits the threshold and Zonos remits other taxes for me, do I need to register?
Yes, if you meet the threshold for remittance in Australia. You will need to use your own tax ID. Zonos will assist you with registering for your ID, and will remit the tax on your behalf, but you will need to have have a unique ID.
What do I do if I'm below the registration threshold?
Monitor your sales to consumers in Australia. Zonos monitors your sales to consumers in Australia and will notify you when you exceed the registration threshold. Zonos is only able to monitor the sales you make on the Zonos platform. You will need to track any sales you make outside of the Zonos platform.