This video is intended to be a primer on shipping international to Australia. It outlines the holidays to avoid, commodity restrictions, basic documents and provides important Australian international shipping resource links.
We have prepared general step by step instruction on shipping an international package.
Important Points on Importing into Australia from USA
The Australia and United States function under the Australia-United States Free Trade Agreement (AUSFTA). Here are the key advantages of this free trade agreement with Australia.
How Do I know if I have to pay taxes?
It should be known that all goods imported into Australia must be cleared by Customs. Importers (into Australia) are responsible for obtaining a formal Customs clearance for goods with a value of $1000 (AUD) or greater. Goods valued at less than $1000 (AUD) can be self assessed declaration. This means that the importers (into Australia) can tell the Australian government the value of the commodity. Do not lie!
If the goods are valued at $1000 (AUD) or greater than Customs determines the value of the goods imported into Australia based on the World Trade Organization (WTO) Valuation Agreement. This valuation system is used by most trading nations. Rates of duty payable by an importer are determined by the classification of goods within the Australian Customs Tariff.
What kind of Taxes Will I pay on Goods?
There are no excise duties (or taxes) for goods entering Australia. Both the Goods and Services tax (GST) and the Customs Duty need to be paid for goods entering Australia. The Goods and Services tax is calculated using the following three points:
1. The value of the goods imported into Australia based on the World Trade Organization (WTO) Valuation Agreement.
2. The customs duty or tax which is determined by the classification of goods within the Australian Customs Tariff.
3. The transport costs and insurance to get the item into Australia.
The total costs of the above three points is known in Australia as the Value Of the Taxable Importation (V.O.T.I.). The GST payable on goods imported into Australia is 10% of the V.O.T.I. Yes you have it right…the customs duty contributes to the amount of the GST and you have to pay both.
Good Luck and Good Shipping
Your How To Ship Advisor
Basic Documents Needed for Importing into Australia
Australian Import DeclarationShipments valued at more than 1000 AUD will require a Formal Import Declaration (IMD).
DHL, FEDEX, UPS Country Links
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