TRS - Tourist Refund Scheme anyone taken advantage of this?

[michael_]

Basically you purchase something here and on your way overseas you fill in the appropriate forms and claim the GST back, take the item overseas etc, then on your way back you declare the item with 20% depreciation then pay the GST on that.

I have an opportunity to partake in this with my dad going OS in a week, my only concern is when he comes back if he will remember to declare it, i wanted to know if anyone knows if his name is flagged that he took the item out on the outbound voyage and therefore it will pop up on his return and if he doesnt what the penalties are? and do they search baggage (not hand luggage) He is very forgetful when it comes to things like paperwork and hates doing it to boot so just want to cover my bases.

[ATJ]

There is a duty free concession for goods up to a total value of $900, even if the goods were purchased in Australia and the GST refunded. If the gear is less than that, your father won't have an issue.

[michael_]

$6500 so its more

[Manta]

Some conditions you'll need to be aware of:

You must spend $300 or more in the same shop to be able to make a claim. The invoice must have the ABN of the store and the same details required of a tax invoice.

Depreciation is at Customs' discretion but they're normally very good about it for items that are declared. It could be more than 20% - up to them.

The $900 concession is one thing but once you go over it you are liable for GST and/or duty on the whole value of the goods. It used to be the way that the concession was subtracted form the total value and then the owed amount calculated on what remained. Not so any more. the only 'discount' you get is the depreciation.

Customs does flag purchases over a certain amount. Not sure what the current value is but it's highly likely they know you're coming. Best to declare and not cop the fine (equivalent to the amount payable) as well as having to pay GST/Duty AND have a record.

More info about the TRS here: http://www.customs.gov.au/site/page.cfm?u=4646

[digitor]

$6500 - GST @ 10% = $650

$6500 x 0.8 = $5200 - GST @ 10% =$520

Seems like a lot of effort to save $130 on a purchase this size - still, every little bit helps I suppose!

Cheers

[michael_]

thats what i am thinking aswell, if it were me travelling it would be fine as i could use the camera while i was away.

[Manta]

Seems like a lot of effort to save $130 on a purchase this size - still, every little bit helps I suppose!

That's assuming they only depreciate it by 20%... and that you're happy with whatever you'd save being in the Treasury's pocket instead of yours!

[michael_]

i quoted 20% as i had spoken to customs, he said for the amount of time dad would be overseas it would be atleast 20%

[Manta]

i quoted 20% as i had spoken to customs, he said for the amount of time dad would be overseas it would be atleast 20%

Yep, fair point Michael. They don't usually make promises that the troops on duty on the day may not be able to keep, for whatever reason. 20% is at least the starting point but, as I said, it is discretionary.