Sir Slick
20-11-2007, 11:50 AM
I have just had a query from Burt concerning Duty payable on Archery Imports and since my employer taking money from people is a point of common interest I thought I would explain the basic process in a thread for everyone to read rather than answering by email. It should be noted though that this is not 'binding' advice and certain situations may result in different outcomes dependant on the policies and procedures in place, but will certainly give people a better idea. It applies only to NZ, I do not have to much knowledge of Tariff/Duty/Tax laws in other countries.
Where applicable, Customs duty is levied on the transaction value of the goods (the price actually paid for them) - in NZ dollars. The conversion is not necessarily the one that existed on the day you purchased the items or the date they are imported. Customs only up dates its currency rates every two weeks from memory. In general there is no Duty owing on Archery products as they are not locally manufactured in a large quantity and so are not tariffed.
Goods and Services Tax (GST) of 12.5 percent is then calculated on the duty-inclusive value plus international freight and/or insurance charges (also calculated in NZ dollars).
No revenue collection will be made if the total amount owing on the goods imported is less than $50 - this is Customs deminimus. What this means is that if the GST owing for the goods you import is less than 50 dollars ie 49 dollars, Customs will not collect any of it. If the GST payable is over 50 dollars even by one cent, customs will collect the lot.
To work out how much you may pay, or if you are going to pay anything, take the total value of goods in NZ dollars plus the freight charges and calculate 12.5% of the total.
Anyone want any clarification on this issue post comments here and I will endeavour to answer.
Happy Importing:thumb:
Where applicable, Customs duty is levied on the transaction value of the goods (the price actually paid for them) - in NZ dollars. The conversion is not necessarily the one that existed on the day you purchased the items or the date they are imported. Customs only up dates its currency rates every two weeks from memory. In general there is no Duty owing on Archery products as they are not locally manufactured in a large quantity and so are not tariffed.
Goods and Services Tax (GST) of 12.5 percent is then calculated on the duty-inclusive value plus international freight and/or insurance charges (also calculated in NZ dollars).
No revenue collection will be made if the total amount owing on the goods imported is less than $50 - this is Customs deminimus. What this means is that if the GST owing for the goods you import is less than 50 dollars ie 49 dollars, Customs will not collect any of it. If the GST payable is over 50 dollars even by one cent, customs will collect the lot.
To work out how much you may pay, or if you are going to pay anything, take the total value of goods in NZ dollars plus the freight charges and calculate 12.5% of the total.
Anyone want any clarification on this issue post comments here and I will endeavour to answer.
Happy Importing:thumb: