Business

Tax targets Netflix and other downloading entertainment

NETFLIX lovers are in for some bad news - there is a proposed tax that could see you paying more.

The Australian Retailers Association (ARA) has commended Federal Treasurer, Scott Morrison, on draft laws introduced to Parliament this week to close the loophole which sees digital purchases, including e-books, music, and content streaming services escape tax if purchased from online overseas operators.

The ARA has lead the campaign on tangible and intangible GST collection changes, securing a major victory in August, with confirmation of the removal of the $1000 tax-free threshold on purchases from international retailers from July 2017.

ARA Executive Director, Russell Zimmerman, said the planned changes are necessary to bring purchases of digital goods in line with physical goods from 2017, and will put a stop to the advantage online overseas retailers now enjoy over Australian businesses.

"Mr Morrison's proposal to close the GST loophole that has seen international online operators given a leg up over local Australian players is the final frontier in our fight to maintain a fair an equal business environment for Australian retailers," said Mr Zimmerman.

If the proposed legislation is passed in Parliament, intangible items such as games, music, e-books, video and other content streaming purchased from international e-commerce entities will be subject to the same tax as Australian sold physical or digital goods. The laws would be expected to come into effect from July 2017.

"The issue of international online retailers escaping the payment of taxes has been a huge concern for Australian retailers, and the ARA is overjoyed to see that the Government is finally taking action. If passed, this legislation will finally offer Aussie companies a level playing field on intangible items, with the Government committed to fixing the GST on physical items.

"This change will have the added benefit of funnelling around $350 million in extra revenue into our States and Territories, which can be used to fund crucial services such as teachers, police, and doctors. We hope to see the quick passing of the laws in Parliament and the swift implementation of this sensible law."

Topics:  australian retailers association editors picks federal politics internet netflix tax



Rocky mum leaves region to get away from drug past

court

Mother of four in court for supplying meth

BREAKING: 'Sad reality' Smelter to cut jobs after power price hike

IN A response to The Observer, Boyne Smelter general manager Joe Rea has labelled the need to cut jobs at the company a "sad reality" due to the hike in power prices.

BSL will be cutting jobs after a power price hike

Local Partners

Jess ready to fire as Heat chases finals berth

Rockhampton's Jess Jonassen is hoping to get among the runs in the Brisbane Heat's must-win double header against the Adelaide Strikers.


New Year New Yard

Win $1000 Bunnings Voucher
Learn More

WHAT'S ON: Your guide to events in CQ this weekend

Aussie Shakespeare is a frenetic and good-humoured canter combining classic Shakespearean stories and characters with Australian themes from cyclones to football to the revolving door of federal politics.

Everything you need to know about events in the region

Excitement builds over Da Vinci exhibition

Exhibition features in excess of 60 models of machines

Puppetry of the Penis secrets revealed ahead of show

The famed Puppetry of the Penis is coming to the Sunshine Coast for shows in Noosa and Caloundra.

WARNING: This interview contains adult themes and traces of nuts

Ocean Sleeper discuss being 'Six Feet Down'.

Ocean Sleeper make waves with their new EP. Photo Contributed

Gippsland band shines at Unify

Bowie's final music EP No Plan released

NEW: Artwork for David Bowie's posthumous 2016 EP, No Plan.

David Bowie's 28th and final album

Married At First Sight: Ipswich bachelor seeks love

READY FOR IT: Ipswich man Simon McQuillan will appear on the upcoming new season of Married At First Sight.

Romance would top off recovery for Booval man

Dinky-di Denyer: Family Feud favourite hosts Oz Day party

Grant Denyer will host Channel 10's Australia Day concert from the Sydney Opera House.

GRANT Denyer shares his Australia Day traditions ahead of concert.

Chelsea Handler blames the Kardashians for Donald Trump win

Chelsea Handler pictured in a scene from her talk show in Los Angeles.

TALK show host blames rise of reality TV family for election result.

Law & Order’s Trump inspired episode is still in limbo

The cast of Law & Order: SVU season 18, from left, Kelli Giddish, Raul Esparza, Mariska Hargitay, Ice-T and Peter Scanavino. Supplied by Channel 10.

SHOW'S mastermind unsure if or when twice-delayed episode will air.

Collapsed Coast company could owe up to $5 million

Staff, ATO, landlords among those out of pocket.

Ipswich block of dirt sells for $582 a square metre

JUST SOLD: A property on the Brookwater golf course sold for a record-breaking $612,000.

Property smashed 2007 record by close to $100,000

Sunday auction for historical home

Former Catholic school sure to attract spirited bidding

Looking back, looking ahead in Noosa

NEVER-ENDING GLORY: Looking towards Laguna Bay and Hastings St from Noosa National Park.

Natural appeal of Noosa continues to attract buyers

Thousands of jobs part of $1b retirement village project

THIS YEAR: An artist impression of the new Aveo retirement village in Springfield.

Aveo Springfield unveiled this month, homes ready by July

Ready to SELL your property?

Post Your Ad Here!