Retailers want GST on shipped goods
Overseas online stores are becoming increasingly willing to ship products direct to Kiwi consumers, and more shoppers are using forwarding services to buy from those that won't.
Retailers Association spokeswoman Louise Evans McDonald said the trend made it more pressing for the Government to find a way to levy GST and duty on overseas purchases, which are mostly tax-free below a threshold of $400.
United States courier company I-parcel yesterday launched a forwarding service, Prezoom.com, "specifically geared" to help New Zealanders buy online from US merchants.
Customers can instruct online stores to deliver their purchases to Prezoom's address in Delaware, where there are no domestic US sales taxes, and Prezoom then forwards them to New Zealand.
Prezoom marketing manager Michael Forrester said that although it was not the only such service it believed it was the cheapest, charging NZ$19.50 to deliver a 500-gram package, usually within seven days.
Customers could "track and trace" their packages over the web, or using iPhone and Android apps that are under development. Prezoom would soon begin deliveries to Australia, South Africa and Singapore, he said. Fairfax NZ
- © Fairfax NZ News
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