Australians who visit these sites will be forced back to Amazon Australia's website. this is due to changes to the Online GST which will require companies to pay 10 per cent of GST on all online purchases shipped to Australia from overseas companies.
The GST amendment lowers the current minimum spend for GST inclusion from $1000 to $1 in response to backlash from local retailers.
Amazon will block Australians from buying from its worldwide e-commerce websites and restrict them to a smaller local platform from July in response to new tax rules that consumer advocates fear will reduce the range of choice for customers in Australia.
While we regret any inconvenience this may cause, from 1 July we will be redirecting Australian customers from our worldwide Amazon sites to amazon.com.au where you can shop for products sold by Amazon US on the new Amazon Global Store, available today.
The move will drive traffic to Amazon's Australian website, which has drawn criticism for a thin product range and uncompetitive prices since it began taking orders in December. While Amazon did not specifically mention this, the ban will most likely apply to other Amazon online stores (such as those for Germany, UK, Japan, etc.), as goods bought from those stores are also susceptible to the same tax.
eBay also stated its case against the Bill which applied GST to overseas sales.
Amazon has decided that rather than try to collect Australia's Goods and Services Tax (GST), it's going to force locals to shop only at its Australian store.
Australian users weren't happy with their government's decision, and are calling the GST as the "Amazon tax".
Treasurer Scott Morrison said the new laws "level the playing field for Australian businesses".
The "Global Store" will offer some 4 million items, in addition to the 60 million products previously offered at Amazon.com.au, the spokesperson said. "That tax revenue is used to fund essential services", the spokesperson said.
In a statement issued to the Good e-Reader, Amazon said it regretted the move and the inconvenience to customers accustomed to visiting Amazon's global online stores.