Tax on Shipped goods

[kokopeli]

Hi Mother Bear,

The van is too big to fit into a container, so it will be going by Ro-Ro ferry to Auckland. Our furniture is going by separate container, but we won't be ready for it for at least a couple of months after the van has arrived. Although conditions apply, the rules allow new migrants to bring in their vehicle and possessions, so I don't think seperate shipments is an issue.... ..only the timing. Will we still be classed as 'New Migrants' if we decide to spend say four or six months on the road and then ship the gear?

My main concerns are that I don't want to pay storage fees in NZ or have our gear melting (or freezing) on a quayside until we've got a place to live...

I've been through the NZ Customs website and sent an email. They sent me the same reply they sent to Pulsarblu.

[MotherBear]

Will we still be classed as 'New Migrants' if we decide to spend say four or six months on the road and then ship the gear?

That would be where the 2-year limit would come in handy, if we can only verify it. You?d have time in hand then to complete your wanderings before your shipment arrives.

You could always leave your container in storage with your shippers in the UK and call for it when you?re ready. Some of the containers are kept in warehouses, like with White and Co. as an example, so it?d be worth asking what conditions it would be stored in. I think, on average, it can take about 2 months from UK to NZ to give you some idea of timescale.

My concern was that your vehicle and your container wouldn?t be arriving around the same time, so I wasn?t sure whether they?d be classed as part of the same ?shipment?. Perhaps that doesn?t matter in the case of a vehicle, as what I?d read was relating to people who might want to take a second load of stuff into NZ at a later date.

Let?s hope someone can throw some light on it. Meanwhile I?ll have a dig around in my various links.

[Glenda]

Reading a link I quoted above from Glenda, she says ?Don't think you can leave it in storage in NZ and not pay for it, the removal company has to declare it to customs within a month of arrival in NZ.? I don?t know whether this relates only to paying GST or if it means the container has to pass through the formalities within one month of arriving in NZ.

With Crown Relocations who we used, it means both. If GST has to be paid because you are on a Visitors Visa - you have a month's grace before your situation is passed to customs. Your container also has to be inspected by MAF as soon as possible - either at the depot, in the storage warehouse or at your new NZ address.

Further to my earlier post, I emailed NZ Customs again. They have just sent me the following:

The only people who may import there used household and personal effects without the payment of tax duty and GST are people immigrating to New Zealand for the first time to take up permanent residence who have a permanent residence stamp in there passport and the legal authority to take up permanent residence or who have a work permit or study permit for over 12 months.

If you do not have this then the Client Service Section Auckland asks that you have an application lodged with New Zealand Immigration Service stating that permanent residence has been applied for and will be granted within 6 months at this they usually take a deposit or bond on goods usually 10% of the value which is refunded when permanent residence is obtained if other then Auckland then check with Client Services at that Port you are going to addresses are on our website www.customs.govt.nz under contact us.

You have 5 years from the date of the permanent residence stamp in your passport to bring in your used personal and household effects.

The last line says it all - 5 years! I am now running a special prize contest for the first person to find that snippit on the NZ Customs website!

ps. The text is a cut and paste from the email - their (there) spellings not mine....

Kokopeli, that is a brilliant email from NZ Customs.

It explains some of the issues emigrants wonder about and have difficulty in finding the answer to on the website. I would think a lot of people will find it really useful ... I just hope it doesn't get lost on the forum.

Hi Glenda,

It made us smile! We were starting to flap in case in case we got hit with charges for storage and another load of fees! Five years.... well..... it's long enough not to fret...

I've spliced this onto the end of this thread to keep it easily available and because it is related to shipping goods.

Clearance procedures

Removal companies, airlines and shipping companies will usually provide arrival papers around the time your effects are imported. Some freight forwarders/Customs brokers or removal companies will also assist you with Customs formalities.

To obtain clearance of the shipment you need to:
complete an Unaccompanied Personal Baggage Declaration form, which is the declaration for Agriculture and Customs
arrange an agricultural clearance for the shipment through the Ministry of Agriculture and Forestry
obtain any permits that may be needed, for example, a Police Permit to Import if you have firearms in the shipment
arrange for a Customs clearance.
To arrange a clearance, Customs require:
a completed Unaccompanied Personal Baggage Declaration
the agriculture clearance
permits from other agencies (where applicable)
your passport
an inventory of what is in the shipment
the shipping arrival papers (such as the Bill of Lading, Airwaybill, or Arrival Advice).
If you are overseas at the time your goods arrive, you will need to arrange for someone to arrange clearance on your behalf. They are not expected to supply your passport, just your passport number(s).

When no customs charges apply

Where the criteria for duty free entry of household effects are not met, Customs charges may be payable. Where applicable, Customs duty is levied on the transaction value of the goods (the price actually paid for them). A depreciation allowance for length of personal ownership and use may also be given.

See Customs Charges ? Imported Goods for Customs charges on goods commonly imported by private individuals.

Goods and Services Tax (GST) of 12.5 percent is then calculated on the duty inclusive value, plus international freight and insurance. It is recommended that you retain your purchase documentation.

If the total amount owing on the goods imported is less than $50, no revenue collection will be made. This revenue waiver does not apply to tobacco products.

If you require further duty rate information, please contact any Customs office.

Where customs charges are applicable

Where the criteria for duty free entry of household effects are not met, Customs charges may be payable. Where applicable, Customs duty is levied on the transaction value of the goods (the price actually paid for them). A depreciation allowance for length of personal ownership and use may also be given.

See Customs Charges ? Imported Goods for Customs charges on goods commonly imported by private individuals.

Goods and Services Tax (GST) of 12.5 percent is then calculated on the duty inclusive value, plus international freight and insurance. It is recommended that you retain your purchase documentation.

If the total amount owing on the goods imported is less than $50, no revenue collection will be made. This revenue waiver does not apply to tobacco products.

If you require further duty rate information, please contact any Customs office.

*These 3 items have been taken from the Customs Service site in case you need to refer back to it.

An excerpt from an email sent to a forum member from the Custom?s Service.

The only people who may import their used household and personal effects without the payment of tax duty and GST are people immigrating to New Zealand for the first time to take up permanent residence who have a permanent residence stamp in their passport and the legal authority to take up permanent residence or who have a work permit or study permit for over 12 months.

If you do not have this then the Client Service Section Auckland asks that you have an application lodged with New Zealand Immigration Service stating that permanent residence has been applied for and will be granted within 6 months at this they usually take a deposit or bond on goods usually 10% of the value which is refunded when permanent residence is obtained if other then Auckland then check with Client Services at that Port you are going to addresses are on our website www.customs.govt.nz under contact us.

You have 5 years from the date of the permanent residence stamp in your passport to bring in your used personal and household effects.

Kokopeli, that is a brilliant email from NZ Customs.

It explains some of the issues emigrants wonder about and have difficulty in finding the answer to on the website. I would think a lot of people will find it really useful ... I just hope it doesn't get lost on the forum.

This is a recurring subject and very important. It's good to have something in black and white (or blue and grey in this instance ) from Customs so, to keep it well within view for our members, I've created a sticky at the top with a copy of the email (thanks Kokopeli) and another bit of import blurb from the Customs' site. They do mentiion in one place on the site that you can bring your stuff in within a 'reasonable time'. They don't actually mention 5 years, so it leads me to believe that this can change from time to time.

Your household or other related effects (excluding motor vehicles, boats and aircraft) will be admitted free of duty and exempt GST for a reasonable time after your arrive, provided you can meet all of the following requirements:
you are coming to New Zealand with the intention and legal authority to take up or resume permanent residence
you have lived outside New Zealand for the whole of the 21 months before the date of your arrival in New Zealand
you have owned and used the goods before the date of your departure for New Zealand
the goods are for your own personal use and not intended for any other person or persons or for gift, sale or exchange.

Yes, thankyou Kokopeli and everyone else for clarifying that!