Ostroff, Fair and Company
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Why do you pay the gst on used goods?



Why do you pay the gst on used goods?

on some you pay GST on others you don't
if you buy a used car from a dealer you pay GST because it is a business and businesses much charge GST on their goods and services
if you buy a used car from a person you do not pay GST because it is not a business
Just another way of ripping you off...
That is very good question. I myself don't buy used goods that I have to turn around and pay gst on again.
because it's still food.
Basically to stop companies from advertising all goods as used and circumventing the system of taxation. It provides competitive balance.
GST is a value added tax. When the government made the law they deemed used goods to have value. Hence the tax on used goods. Truthfully they were copying New Zealand and Australia who had a GST type tax before them.
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