Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.


View this topic in a long page with up to 500 replies per page Create new topic
1 | 2 | 3 | 4 | 5 | 6 | 7 | 8
6433 posts

Uber Geek
+1 received by user: 1571


  Reply # 785386 22-Mar-2013 11:59
Send private message

timmmay:
Lias: Scrap GST. Problem solved.


Scrapping GST means general tax levels need to be raised. That could disadvantage the poor if it was done fairly, or disproportionately tax the high earners. High earners already pay a lot of tax by way of higher tax rates and GST on all the things they buy.


GT is generally regarded to be a regressive tax  (that is,  higher earners generally pay a smaller proportion of their income out as GST compared to lower earners - mainly because they save more and have a higherproportion of their income go on non-GST things like mortage)
So scrapping GST and replacing it with a flat increase in tax of, say, 4% of income (just making up a number) would move it away from being regressive

1873 posts

Uber Geek
+1 received by user: 262

Trusted

  Reply # 785387 22-Mar-2013 12:08
Send private message

NonprayingMantis:
timmmay:
Lias: Scrap GST. Problem solved.


Scrapping GST means general tax levels need to be raised. That could disadvantage the poor if it was done fairly, or disproportionately tax the high earners. High earners already pay a lot of tax by way of higher tax rates and GST on all the things they buy.


GST is generally regarded to be a regressive tax  (that is,  higher earners generally pay a smaller proportion of their income out as GST compared to lower earners - mainly because they save more and have a higherproportion of their income go on non-GST things like mortage)
So scrapping GST and replacing it with a flat increase in tax of, say, 4% of income (just making up a number) would move it away from being regressive


Well it behaves as a regressive tax in the short run, yes; but over the long run its proportional.

Lets say you are earning stacks of money right now, you might save/invest half of it for retirement/inheritance, so  that you are only paying GST on half of your earnings right now. When you/your kids get around to spending it in 30 years, you will pay GST on that expenditure, and if you have saved/invested wisely you will pay more GST than if you had spent it all today

 
 
 
 


Try Wrike: fast, easy, and efficient project collaboration software
4952 posts

Uber Geek
+1 received by user: 1316

Trusted
Microsoft

  Reply # 785390 22-Mar-2013 12:15
Send private message

timmmay: It's a theoretical $300M in lost tax. If people can't get things cheaper they may not buy them. Also the cost of collecting that $300M may be $200M.


the govt borrows that amount about every 5 days to fund all the expenses us citizens demand, dole, DPB, interest free student loans and so on

they should like at cutting the outgoings like us citizens have to

2385 posts

Uber Geek
+1 received by user: 286
Inactive user


  Reply # 785392 22-Mar-2013 12:23
Send private message

nathan:
the govt borrows that amount about every 5 days to fund all the expenses us citizens demand, dole, DPB, interest free student loans and so on

they should like at cutting the outgoings like us citizens have to


There is an easy solution to that. :-p
Just wish goverment would implement it.




13792 posts

Uber Geek
+1 received by user: 1716


  Reply # 785397 22-Mar-2013 12:25
Send private message

One thing that I don't think has been discussed is that the NZ dollar is currently very strong. This makes importing stuff a lot cheaper but I don't see prices of things like books and games any cheaper in the stores as a result. People buying from overseas is basically just cutting out the middleman, meaning our low wages can stretch further.
What retailers are trying to do is protect an old business model, like what the music and movie studios are doing.

2385 posts

Uber Geek
+1 received by user: 286
Inactive user


  Reply # 785398 22-Mar-2013 12:27
Send private message

mattwnz: One thing that I don't think has been discussed is that the NZ dollar is currently very strong. This makes importing stuff a lot cheaper but I don't see prices of things like books and games any cheaper in the stores as a result. People buying from overseas is basically just cutting out the middleman, meaning our low wages can stretch further.
What retailers are trying to do is protect an old business model, like what the music and movie studios are doing.


Agreed. The strong NZ dollar is great. Its just a pitty that its not worth very much in New Zealand

13792 posts

Uber Geek
+1 received by user: 1716


  Reply # 785399 22-Mar-2013 12:27
Send private message

nathan:
timmmay: It's a theoretical $300M in lost tax. If people can't get things cheaper they may not buy them. Also the cost of collecting that $300M may be $200M.


the govt borrows that amount about every 5 days to fund all the expenses us citizens demand, dole, DPB, interest free student loans and so on

they should like at cutting the outgoings like us citizens have to


Or they could increase productivity and exports so we earn more. They should get rid of interest free loans for wage earners as that was a legacy election bribe.

7759 posts

Uber Geek
+1 received by user: 765

Subscriber

  Reply # 785414 22-Mar-2013 13:04
Send private message

Handsomedan: Quite amazing when you add all of the extra costs like duty, GST and a customs fee to something like a mobile phone, that appears at least $200-300 cheaper from overseas, then becomes effectively the same price as the locally sourced unit with these added.



Except if it's a Nexus 4 then it's about $300 cheaper than the local sold  version.




Regards,

Old3eyes


4952 posts

Uber Geek
+1 received by user: 1316

Trusted
Microsoft

  Reply # 785419 22-Mar-2013 13:10
Send private message

mattwnz:
nathan:
timmmay: It's a theoretical $300M in lost tax. If people can't get things cheaper they may not buy them. Also the cost of collecting that $300M may be $200M.


the govt borrows that amount about every 5 days to fund all the expenses us citizens demand, dole, DPB, interest free student loans and so on

they should like at cutting the outgoings like us citizens have to


Or they could increase productivity and exports so we earn more. They should get rid of interest free loans for wage earners as that was a legacy election bribe.


and the holy grail of unaffordable superannuation


13792 posts

Uber Geek
+1 received by user: 1716


  Reply # 785461 22-Mar-2013 14:42
Send private message

nathan: 

and the holy grail of unaffordable superannuation



We pay tax for that, and it actually solves a lot of problems with poverty in the elderly age group. Other countries look at NZs system as very good, and it is regarded as a national treasure, so I don't think we want to lose that. Increasing the age is probably needed up to 70, but that also means we can't withdraw from our kiwisaver until then either. If we were a richer country and exported more, and our government helped small businesses more, we could earn a lot more and not even have to look at cuts.
CGT on houses and a land tax are things I think are needed, as it is one of the only investments that isn't taxed.

Back to the topic. I think that retailers need to embrace their point of differences over overseas retailers. One big point of difference is the CGA. They should really advertise this fact, and even go beyond the minimum requirements. Instead many NZ retailers try to get out of their obligations, and you have to quote the CGA to them to get results, which isn't good customer service. I have noticed however that some retailers are now giving free extended warranties if you purchase from them, which is a good point of difference you can't really get from overseas. 
The other thing is to have stock onhand, as it means people buy instantly. Many things I have purchased from retailers, they have minimum stock, so I don't buy. For example I tryied to buy a kindle paperwhite recently. My local retailer would have to order one in and it could be at least a week. Instead I purchased online from amazon direct, and it got to me in 4 days, and I saved about $30 on the NZ retailers price. Sure no CGA protection, but I have heard that Amazon look after their customers if there are problems.

1301 posts

Uber Geek
+1 received by user: 270


  Reply # 785466 22-Mar-2013 14:48
Send private message

sbiddle:
Regs:
kyhwana2: Hah, try buying Vibram Fivefingers here, unless they're on special/getting rid of stock, it's always cheaper to buy overseas and get shipped via youship. I havn't been charged GST/customs fee's for them yet, but even so they're still cheaper from overseas.


Shoes still attract import duty.  A shop here has to add 25% (10% import duty plus 15% gst).  If you can dodge the tax at the border, you're definitely going to get them cheaper!


Shoes are one of the few things it's worthless ever trying to import. You'll always get stung with duty, GST and then the customs fee. This typically makes them most more than buying them locally.


Not necessarily true. I spent a lot on boots recently, ordering them in from Amazon, paying fast courier fees to get them here quickly, finding they didn't fit & sending them back just to repeat the exercise. There is only one retailer in NZ selling the boots I wanted. Their price was NZD$345 plus shipping from the South Island that they calculated at $45. Despite paying two lots of fast courier fees from the US plus entry fees, I still saved NZD$185. 

In the past four months I've had three pairs of boots and a pair of insulated slippers come in from the US. Only one of those items was available anywhere in NZ. Every single one came in cheaper than any cheap pair of boots or standard slippers I could buy here, even after duty and the other fees. 

If its about protecting NZ industry its not working. I bought some Icebreaker merino layers here before leaving for Canada. When I got to Canada I found they were half the price, even with exchange rates, that they are here. With the end of winter sales now on over there, I can buy one item I spent over $200 on and get it landed here for $60. When NZ-made products from a NZ manufacturer are cheaper overseas then I can only conclude we are being disadvantaged by the size of our market. Being able to shop internationally just evens things up a bit. 

4952 posts

Uber Geek
+1 received by user: 1316

Trusted
Microsoft

  Reply # 785471 22-Mar-2013 14:54
Send private message

mattwnz:
nathan: 

and the holy grail of unaffordable superannuation



We pay tax for that, and it actually solves a lot of problems with poverty in the elderly age group. Other countries look at NZs system as very good, and it is regarded as a national treasure, so I don't think we want to lose that. Increasing the age is probably needed up to 70, but that also means we can't withdraw from our kiwisaver until then either. If we were a richer country and exported more, and our government helped small businesses more, we could earn a lot more and not even have to look at cuts.
CGT on houses and a land tax are things I think are needed, as it is one of the only investments that isn't taxed.

Back to the topic. I think that retailers need to embrace their point of differences over overseas retailers. One big point of difference is the CGA. They should really advertise this fact, and even go beyond the minimum requirements. Instead many NZ retailers try to get out of their obligations, and you have to quote the CGA to them to get results, which isn't good customer service. I have noticed however that some retailers are now giving free extended warranties if you purchase from them, which is a good point of difference you can't really get from overseas. 
The other thing is to have stock onhand, as it means people buy instantly. Many things I have purchased from retailers, they have minimum stock, so I don't buy. For example I tryied to buy a kindle paperwhite recently. My local retailer would have to order one in and it could be at least a week. Instead I purchased online from amazon direct, and it got to me in 4 days, and I saved about $30 on the NZ retailers price. Sure no CGA protection, but I have heard that Amazon look after their customers if there are problems.


you make a really good point about the CGA

That is really one of the only reasons why I buy locally now, is the included 3-4 year extended warranty for "free"

2353 posts

Uber Geek
+1 received by user: 255


  Reply # 785495 22-Mar-2013 15:16
Send private message

mattwnz: Many things I have purchased from retailers, they have minimum stock, so I don't buy. For example I tryied to buy a kindle paperwhite recently. My local retailer would have to order one in and it could be at least a week. Instead I purchased online from amazon direct, and it got to me in 4 days, and I saved about $30 on the NZ retailers price. Sure no CGA protection, but I have heard that Amazon look after their customers if there are problems.


Probably not applicable in this case but sometimes the "delay" in getting stock in makes me wonder where it's coming from. Are book stores sourcing from a local publisher's warehouse or doing an online shop themselves?

2940 posts

Uber Geek
+1 received by user: 428

Trusted
Subscriber

  Reply # 785503 22-Mar-2013 15:22
Send private message

Bung:
mattwnz: Many things I have purchased from retailers, they have minimum stock, so I don't buy. For example I tryied to buy a kindle paperwhite recently. My local retailer would have to order one in and it could be at least a week. Instead I purchased online from amazon direct, and it got to me in 4 days, and I saved about $30 on the NZ retailers price. Sure no CGA protection, but I have heard that Amazon look after their customers if there are problems.


Probably not applicable in this case but sometimes the "delay" in getting stock in makes me wonder where it's coming from. Are book stores sourcing from a local publisher's warehouse or doing an online shop themselves?


My understanding is that if a store like Mighty Ape says "In Stock with Supplier" they really mean their overseas supplier - their size leads me to believe direct from the publisher.  Fishpond, however, with how slow and crap their shipping is it would not surprise me to hear they just order from Amazon, double the price, and reship.

2886 posts

Uber Geek
+1 received by user: 269


  Reply # 785522 22-Mar-2013 16:01
Send private message

Elpie: 

When NZ-made products from a NZ manufacturer are cheaper overseas then I can only conclude we are being disadvantaged by the size of our market. Being able to shop internationally just evens things up a bit. 


Yea just look at Xero, an online, digitally delivered, New Zealand made application that you pay more for here in NZ than if you were in the US.





1 | 2 | 3 | 4 | 5 | 6 | 7 | 8
View this topic in a long page with up to 500 replies per page Create new topic



Twitter »

Follow us to receive Twitter updates when new discussions are posted in our forums:



Follow us to receive Twitter updates when news items and blogs are posted in our frontpage:



Follow us to receive Twitter updates when tech item prices are listed in our price comparison site:





News »

Amazon launches the International Shopping Experience in the Amazon Shopping App
Posted 19-Apr-2018 08:38


Spark New Zealand and TVNZ to bring coverage of Rugby World Cup 2019
Posted 16-Apr-2018 06:55


How Google can seize Microsoft Office crown
Posted 14-Apr-2018 11:08


How back office transformation drives IRD efficiency
Posted 12-Apr-2018 21:15


iPod laws in a smartphone world: will we ever get copyright right?
Posted 12-Apr-2018 21:13


Lightbox service using big data and analytics to learn more about customers
Posted 9-Apr-2018 12:11


111 mobile caller location extended to iOS
Posted 6-Apr-2018 13:50


Huawei announces the HUAWEI P20 series
Posted 29-Mar-2018 11:41


Symantec Internet Security Threat Report shows increased endpoint technology risks
Posted 26-Mar-2018 18:29


Spark switches on long-range IoT network across New Zealand
Posted 26-Mar-2018 18:22


Stuff Pix enters streaming video market
Posted 21-Mar-2018 09:18


Windows no longer Microsoft’s main focus
Posted 13-Mar-2018 07:47


Why phone makers are obsessed with cameras
Posted 11-Mar-2018 12:25


New Zealand Adopts International Open Data Charter
Posted 3-Mar-2018 12:48


Shipments tumble as NZ phone upgrades slow
Posted 2-Mar-2018 11:48



Geekzone Live »

Try automatic live updates from Geekzone directly in your browser, without refreshing the page, with Geekzone Live now.



Are you subscribed to our RSS feed? You can download the latest headlines and summaries from our stories directly to your computer or smartphone by using a feed reader.

Alternatively, you can receive a daily email with Geekzone updates.