After five months the Federal Parliament finally passed the sales tax changes on Monday night. Well, almost. ARN has learned the government plans to make an amendment to the bill, delaying its approval indefinitely until both houses can reach agreement.
An ARN source at the Tax Office says it's just a formality and the Bill in full should be passed within the week.
Once passed, the changes will affect all dealers of PCs, portables, monitors, keyboards, printers, CD-ROM drives, modems, disc drives, motherboards, CPUs and memory. These goods are identified by the ATO as Part 7A goods.
One of the most important changes is the accreditation process dealers will have to go through. Anyone who deals with Part 7A goods must be accredited by the Tax Office. The accreditation process is expected to be stringent and include restrictions such as Australian citizenship or residency.
Under the legislation, the accreditation process will be complemented by an electronic process for authorising movement of sales tax-free goods with the Tax Office.
The Tax Office says heavy penalties apply for violating the new laws.