As of July, Australians are prevented from ordering articles on Amazon in the United States. The company announced today that buyers in Australia will be redirected to their local Amazon.com.au website and that their international websites, including Amazon.com, will no longer ship to Australian addresses. The amendment is in response to a new tax ordinance that will come into effect on July 1 and charge companies that earn more than $ 75,000 a year Australia's 10% tax on goods and services imported by consumers.
Called the "Amazon Tax," the new policy was introduced to Australian retailers because of concerns over the impact of Amazon and other large ecommerce companies overseas that must apply GST to all products they sell. However, a loophole in the tax rules means that the GST is currently only applied to items purchased from overseas retailers when they are worth $ 1
In a statement emailed to TechCrunch, an Amazon spokesperson said:
"As a result of the changes to the Australian GST Law on July 1, the international shopping opportunities for Australian customers will change.
We regret that this however, for the customers to inconvenience, we had to assess the applicability of the legislation as a global business with several international companies websites. "Based on our assessment, we will redirect Australian customers from our international websites to amazon.com.au where they can buy products which are being sold by Amazon US in the new Global Store that is available today, which allows us to continue to provide our customers with access to international selections and to comply with the law that requires us to collect and transmit GST products sold on Amazon websites that are shipped overseas. "