GST
Category: tax
Goods and Services Tax — similar to VAT, used in countries like Australia, Singapore, Canada, India.
Goods and Services Tax (GST) is a broad-based consumption tax applied on most goods and services sold domestically. Several countries use GST systems: Australia (10%), Singapore (9%), Canada (5% federal), and India (multi-slab IGST/CGST/SGST). Cross-border sellers must register for GST when they exceed the local registration threshold or hold inventory locally.
Examples
- • An overseas seller with AUD 75,000+ in Australian sales must register for Australian GST and add 10% to consumer prices.
- • A seller storing goods in a Singapore warehouse must register for Singapore GST regardless of sales volume.
- • Amazon Australia collects GST on low-value imported goods (up to AUD 1,000) under the LVG rules, but sellers must self-assess for goods over AUD 1,000.