Heads up: your overseas shopping could be getting even pricier.
A proposal obtained by Fairfax shows that the government is considering slapping a $5 tax on every parcel worth less than $1000 arriving from overseas, in order to pay for increasing security screening costs.
Basically, because the amount of small packages we’re ordering from overseas is skyrocketing (it was 38.7 million of them last financial year alone, a 22 percent increase from the year before), the cost of screening these packages for bio-security hazards is also going up.
The Department of Home Affairs is considering charging a flat rate of $5 per parcel in order to cope with these costs, which is far less than the $90 levy on deliveries over $1000, but is still likely to go straight to the wallet of consumers.
And that’s in addition to the GST on small imports, which kicks in July 1 this year. Industry sources Fairfax spoke to reckon this GST plus the $5 levy could double the cost of some small packages. Cool.
“The department predicts the number of low value consignments entering the country will increase by a further by 31 per cent over the next four years,” says the proposal.
In comparison, high value imports (over $1000) is only expected to increase by 10 percent over the next four years, meaning the $90 levy on those orders will no longer be able to cover the cost of security screening.
Still – small mercies. At least the $5 levy isn’t being slapped on all online deliveries, otherwise your Iconic / ASOS / Zara order could quickly become that bit more expensive.
