As of 1st July 2018, Etsy is now required to collect and remit GST on certain orders shipped into Australia.

The Goods and Services Tax (or GST for short) is a 10% tax that is applied on most goods, services and other items sold or consumed in Australia.

This change is due to new legislation passed in Australia that means all imports of physical goods imported by Australians that are purchased from businesses that meet the threshold need to have GST applied automatically. This change became law on the 1 July 2018.

Although as an individual seller you may not meet the A$75,000 registration threshold, Etsy acting as a marketplace does reach the threshold and thus needs to apply the tax to legally be in complance.

You should notice from July onwards, any of your orders for Australian customers will automatically apply the GST tax. You don't need to do anything else as Etsy is responsible for remitting this to the Australian authorities.

Sellers however may need to include additional information on customs forms depending on the shipping method to ensure that they are in compliance with the new legislation. This can mean including Etsy's Australian Reference Number (ARN), address, item totals, shipping costs and GST charged.

These details, correct as at July 2018 are:

ARN: 3000 0920 7152;
Etsy Ireland
66/67 Great Strand Street,
Dublin 1

Listing this information clearly on your package and shipping documentation will minimise delays that can be caused by authorities when received into Australia.

Overwhelmed at the thought of getting your records in order for tax time?

This book will guide you through what taxes you are liable for as a handmade business, when they are due and how to calculate them.

Topics covered include:

  • Do I have to file if I’m just a hobby business?
  • Common business structures
  • Annual Income Tax
  • Quarterly Estimated Taxes
  • Sales Taxes & 1099-K
  • State Income Taxes
  • Bookkeeping Software

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