GST on Imported Goods in Australia: What You Need to Pay 2026
Whether you're a business importing products from China, or a consumer ordering from overseas online stores, understanding how GST applies to imported goods is essential. The rules changed significantly in 2018 and again in 2023.
How GST Applies to Imports in Australia
GST applies to most goods imported into Australia. The rules differ significantly based on the value of the goods and whether you're a business or a consumer.
Business Imports โ Over $1,000
When a business imports goods with a customs value over $1,000 AUD, GST is assessed by the Australian Border Force (ABF) and collected at the border before the goods are released.
Taxable Value = Customs Value + Customs Duty + Insurance + Freight
GST = Taxable Value ร 10%
Low-Value Goods (Under $1,000) โ Overseas Sellers
Since 1 July 2018, overseas businesses selling goods worth under $1,000 to Australian consumers must register for and collect GST if their Australian sales exceed $75,000 per year. This means:
- Amazon, eBay, ASOS, Shein and other major platforms collect GST at checkout
- The GST appears on your receipt as "Australian GST" or similar
- Individual sellers under $75,000 threshold do not need to charge GST
Calculating GST on Imports โ Full Example
| Component | Amount |
|---|---|
| Invoice price of goods (ex overseas) | $15,000 AUD |
| International freight | $1,200 AUD |
| Insurance | $300 AUD |
| Customs Duty (e.g. 5%) | $750 AUD |
| Taxable Value (Customs Value + Duty + Freight + Insurance) | $17,250 AUD |
| GST Payable (10% of Taxable Value) | $1,725 AUD |
Customs Duty vs GST โ What's the Difference?
Customs duty is a tax on the goods themselves, set by the Australian government to protect local industries. Rates vary by product category (0% to 10% in most cases). GST is applied on top of the customs value plus the duty โ it's calculated on the total landed cost, not just the goods price.
Can Businesses Claim Import GST Back?
Yes โ if you're GST-registered and the goods are for business purposes, you can claim the import GST as an input tax credit on your BAS. Your Import Declaration (Form B650) serves as the tax invoice for this purpose. The credit offsets your GST liability for the quarter.
Practical Import Examples for 2026
| Scenario | Customs Value | Who Collects GST? | Can Claim Credit? |
|---|---|---|---|
| Business ordering $50,000 in stock from China | $50,000 | Australian Border Force | Yes (on BAS) |
| Consumer buying $200 shoes from ASOS | $200 | ASOS at checkout | No (consumer) |
| Consumer buying $1,500 camera from Japan | $1,500 | Australian Border Force | No (consumer) |
| Small business buying $800 in tools overseas | $800 | Overseas seller (if registered) | Yes if tax invoice provided |
For business imports over $1,000, GST is collected at the border on the total landed cost (goods + duty + freight + insurance) and can be claimed back as a credit. For consumer imports under $1,000 from major overseas retailers, GST is usually collected at checkout. Always request an import declaration to support your GST credit claim.