The Mudcat Café TM
Thread #88184 Message #1652008
Posted By: Gurney
19-Jan-06 - 11:37 PM
Thread Name: BS: Way to go, Costco!
Subject: RE: BS: Way to go, Costco!
In New Zealand we pay GST too, at a rate of 12.5%. On virtually everything except bank charges.
Three things burn me about it. GST goes on everything every time that thing changes hands, so if it goes from importer to wholesaler to retailer to purchaser, the cutomer is paying GST on the GST-increased price, and at that rate, it gets really big. I was told by someone in the taxation department that there have been items that 60% of the price of was GST. 60%. (All the dealers claim their GST back, but it adds up for the purchaser.)
It is on Road Tax and other government charges. A tax on a tax, like the previous example.
As a contractor, I have to collect it, an acting, unpaid, untrained tax collector. Unlike the taxation department, I am personally liable to pay any shortfall, for any reason.