Consumption Tax tagged posts

Singapore Eyes Online Shopping GST

November 23, 2017 Taxation in Singapore

Online shopping taxSINGAPORE – Singapore’s rising government expenditure may soon be financed by a tax on online purchases.

As the spending needs of the government of Singapore grows, authorities may soon look into re-working the current legislation on the collection of Goods and Service Tax.

Currently, any goods or services purchased by a taxpayer from Singapore from an international online retailer, are not liable for GST, unless the cost exceeds SGD 400.

Some experts have suggested that the government may lower the threshold in order to capture more transaction under the net of GST.

While the government has not given any indication of how exactly the changes will work.

However, it is expected that the changes will either require merchants to register for GST in Singapore and collect taxes on behalf of ta...

Read More

New Zealand Confirms GST on Online Shopping

November 15, 2017 Taxation in New Zealand

129624134WELLINGTON – All online purchases in New Zealand will soon be liable for a 15 percent tax.

The new Revenue Minister of New Zealand Stuart Nash has confirmed that the country will start collecting Goods and Service Tax on all online purchases.

Currently, any online purchase made from an overseas retailer are not levied with the country’s 15 percent GST, if the purchase price is less than NZD 400.

The tax is typically collected at the border, as the goods come into the country.

The government now hopes to enact a tax on all goods coming into the country, regardless of the price.

The new measure is meant to level the playing field between local retailers who have to pay the tax, and foreign businesses which can ignore the charge.

Retail NZ, an advocacy group for businesses in New Zealand,...

Read More

Canada’s Pot Tax Will Fund Education

November 14, 2017 Taxation in Canada

Marijuana TaxOTTAWA – Canada’s tax on legal marijuana will help stamp out the illegal drug trade, while also potentially raising funds for public education about the harm caused by drugs.

On November 13th a Minister of Parliament of Canada Bill Blair called for the tax revenues from the country’s upcoming legalization of marijuana to be used to fund public education about the drug.

Under the current plan for the legalization of marijuana, the federal government intends to levy a tax on the sale of marijuana, with a rate of 10 percent of the retail price of marijuana or CAD 1 per gram, whichever is higher.

It is believed that the tax could garner tax revenues of as much as CAD 1 billion per year.

The MP claims that the government has a responsibility now of ensuring that Canadians know and underst...

Read More

Sugar Taxes Aren’t the Full Solution

November 8, 2017 Taxation in New Zealand

Tax on sodaWELLINGTON – New Zealand needs to look beyond a simple sugar tax, and weigh up a tax on all processed foods.

On November 7th Exercise NZ released a media statement, saying that taxes on sugary drinks is only a part of the problem of addressing the nation’s obesity problem.

It was noted that some countries have already begun implementing a tax on sugary drinks, however, the measures have only had a limited effect on drinks consumption.

The reason for the lack of success was that sugar-sweetened beverages are relatively cheap, and adding a small tax to their sale still leaves the drinks as a cheap product.

It was suggested that instead of a singular tax on one type of food item, a series of taxes should be applied to a number of processed foods, with the collected funds to be used to pay...

Read More

South Korea to Tax Vapes

October 31, 2017 Taxation in South Korea

Vape taxSEOUL – E-cigarettes and other cessation devices may soon be taxed the same as cigarettes in Korea.

The government of South Korea is mulling a change in tax legislation which could see a significant spike in the price of-cigarettes.

In November this year, lawmakers are expected to vote on a bill to enact a 90 percent tax on the sale of e-cigarettes and heat-not-burn cigarettes.

The tax will roughly match the tax treatment of regular cigarettes and tobacco products.

If the measure is approved, it could come into effect as early as December this year.

E-cigarettes have proved to be highly popular in South Korea, with imports of e-liquids rising from 12 tons in 2015 to 61 tons in the first eight months of 2017.

Some industry experts noted that over the last few years, the government has e...

Read More