Australia to place 10% tax on all imported goods – including games

PCgamer:

"Australia is set to get a 10 percent price hike on all goods purchased from vendors abroad. Much like the proposed "Netflix tax" we reported on back in May – which would see all Steam purchases in Australia increased by 10 percent – State and Commonwealth treasurers have agreed to install a similar tax on all physical imports from abroad. That means, if you want to purchase a game from say, Zavvi, then expect to pay more."

[Sureshot]

Man I can't wait till these old fashioned grandpa's gtfo of government and get usurped by our generation.

[Shineon]

I don't live in Australia but I agree with you and that goes for my country as well to, the old thinkers gotta go, can't believe weed isn't legal yet and it's 2015 wtf.

[Bathyj]

Well that's very small picture thinking. You're only thinking about what you have to pay.

Yeah no one likes paying more but the reason for it is so Aussie brick and mortar stores can compete. They have to charge 10% GST but online retailers currently don't. How can local business continue to exists when they aren't playing by same the rules?

[Sureshot]

I agree with what your saying my only quarrel with the Aussie Govt is that they'll happily increase taxes for the 'benefit of the local video game industry' but turn around and cut all federal funding for game developers in Australia. They're gouging our industry for money but are giving nothing back.

[Christopher]

If you're going to copy something from Brazil, don't copy their exorbitant tax on import goods.

[Kingdomcome247]

Why? If the majority of the products that your populace use/consume are imported goods, what's the reasoning? I could understand it somewhat if you are a nearly self sustaining nation that manufactures it's own goods, and wants to decrease the chance of rival imported goods being purchased, but I don't get this. Can anyone explain?

[Aenea]

When an Australian company sells you something and has to add the 10% VAT it makes sense to add that percentage to imported goods as well.

If all local game shops (brick and mortar and online ones) can't compete with online shops outside Australia they will eventually all close down I suppose. But have to say am surprised this is only done now, I don't know any better from where I live and makes importing stuff something you just don't do unless it's not available locally...

[justlikeme]

Isn't minimum wage in australia is like 20 bucks or something?

[Yui_Suzumiya]

It'd have to be with how insanely expensive it is :3

[xTheMercenary_]

$20 minimum wage doesnt justify new games being priced at $80-$110

[SweatyFlorida]

Well if you cut the $20 in half, that's still more minimum wage then US. You'd think making more than double US makes and getting games for same price is justified despite doing the same kind of work mostly? Cut min wage and cost of games in half, still cheaper then US.

Min. Wage is like $8 in US. $60 / 8 = 7.5
Aus min. wage around $20. $110 / 20 = 5.5

So, aus are getting games cheaper if going by that rate. americans have to work 7.5 hours to afford a new game. Aus only have to work 5.5. That's just going off the info that guy said that $20 is min wage though :p

[Seraphim]

actually it does. as wages increase so do costs. The one thing our Federal Government doesn't understand. You can raise the minimum wage to $10 but now cereal costs $1 more, milk $1 more, and so on. Meaning that extra cash that was suppose to help us low-middle who need the extra cash, need some expendable cash to boost the economy after paying for all that expendable credit card debt, well, everyone is just back to square one.

Consider this. Minimum wage is something like $7.20 here and a game costs $63 after taxes. Meaning one has to work 8.75 hours then after taxes, etc tack on another hour or two the following day just to pay for a single game. 9-10 hours of work to pay for a single $60 game. On the other hand if you're making $20 an hour and the game costs $80-110 it seem like they're the ones making out having to work at most 6 hours, maybe 7 after taxes and whatever else the Aussie gov takes. idk about everyone else but if i'm making $20/hr I'd happily pay $110 for a game instead of $60 for a game when I'm making $7.20/hr.

[xTheMercenary_]

@SweatyFlorida The minimum wage is $16.50-$17 here in Australia. I do get what you mean, i guess you're right. Didn't know America's minimum was $8 thats pretty damn low, i do live in Sydney Australia so i live in one of the most expensive places in the world. Im not here to start any arguments :)

[ShaunCameron]

Too bad the living costs negates it.

[TheColbertinator]

Ouch. Aussie government really want to reach the crown for Asshat Politicians of the decade

[Aenea]

Meh, it's only a VAT that's already paid inside the country for all goods you buy so makes sense to add it to imported goods as well.

Here in the Netherlands it's the same way except our VAT is 21% not a mere 10%.

Also our games are between €50 and €70, surprisingly that's about between AUS$80 and AUS$110

[clouds5]

How is downloading the same thing as importing? Don't get that.

[SunnyZ]

Yeah...
Lets fight Australia's piracy problem by making legal goods cost even more!

LOGIC!

[urwifeminder]

Well the fact that we also pay steam in US dollars our currency is currently 73c against the greenback it cost me around $25 for $20 worth of steam now another 10% lol . Will be a slow roll out tho a hell of a lot of companies to deal with wont start till 2017.