Grow your business with the Discover newsletter
Logistics advice & insights straight to your inbox
Subscribe now
Learn how DHL Express Singapore can help with regards to the upcoming change in GST value for low-value goods when you export courier services to New Zealand.
On June 26th, the GST Offshore Supplier Registration Bill was passed in New Zealand, which requires overseas vendors to charge Goods and Services Tax (GST) on low-value goods entering the country. Under this new regulation, the threshold amount for low-value goods has increased from NZD $400 to NZD $1,000.
This applies to overseas online retailers, marketplaces, personal shoppers, mailbox re-delivery service providers, and international businesses selling directly to NZ consumers online, by phone or mail order through exporting of goods and services.
This means that you will have to collect 15% GST from your customer when shipping physical goods with customs value not exceeding NZD $1,000 (excluding shipping and insurance costs) into New Zealand.
In addition, sellers who generate more than NZD $60,000 in cross-border e-commerce sales over a 12-month period into New Zealand will need to register on the New Zealand Inland Revenue Department (IRD) website and collect the 15% GST on sales. For more information, please click here.
If you have an e-commerce business in Singapore and are planning to engage in e-commerce logistics services to New Zealand, please contact one of our consultants at DHL Express Singapore, who will provide more information regarding the relevant GST regulations and procedures.