GST being charged for online purchases made in USD

Hi, I think its a bit strange that the elements.envato.com charges in USD and but collects Australian GST. Shouldn’t the purchases by Australian Law be in AUD?

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Further to this …the charging of GST is totally wrong as it will apple only from 1st July, 2018. I had the same issue with VIMEO who quickly backtracked and dropped the GST charge. Hey Envato…you should be doing the same.

@aussievilkas you can get some more context about this one here: GST for Australian Authors & Customers

I contacted Envato few days ago regarding this and got no answer.
Now I’ll contact the ATO and report the fact that I have been charged in USD all the times. Maybe the ATO can clear the air a bit regarding this matter…
I got the feeling that something is about to change around here… :slightly_smiling_face:

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I noticed I am too being charged Aussie GST in US currency…? What gives?
It’s nice to see no one has answered the question…

@fullboost I recommend checking out the link I’ve posted above, as that explains the situation.

The currency you use to charge customers and clients has no influence on a company or a person’s liability when it comes to taxes. I can’t invoice my clients in Arab Emirates Dirham’s, for example, and then be exempt from paying income tax.

Envato have always used US Dollar as it’s the currency of most of it’s buyers, but they will remit the taxes to the AU government in Australian dollars. As they should. It just makes everything simpler, not having to charge item prices and buyers fees in US Dollars, GST in Australian Dollars, and VAT in Pounds, Euros, Krona, Zloty etc.

It doesn’t explain why you are charging an Aussie Tax in USD currency. This is the only website I have seen do it in this format.

Then they’d either have to charge the item price in USD and the GST in AUD… or the item price and the GST both in AUD. Two currencies for one purchase would be problematic, as they’d have to split it into two purchases, which isn’t going to be very fun for buyers.

Charging everything in AUD could be an option, but then you’ve got buyers suddenly being charged in a currency different to the one they’ve always been charged in, and you’ve got different sales being made in different currencies. It’s far simpler just to charge everything in USD.

The Australian government does’t care what currency people are charged in, as long as they are charged and they get the appropriate payments remitted to them in AUS.

If all the websites you’ve seen charge in AUD, then that would make sense… but do you have any examples of sites that normally charge in a currency other than AUD, but that now charge in AUD (either the total price or just the GST part of it)?

Hi Team,

Am purchasing a theme for my company, So when am getting the invoice there is no GST number of your company. So my auditor couldn’t consider as a expensive.

Also, as per the GST rule in the invoice your GSTN number also has to be there. lets update your GSTN number in the invoice. Also let me know where i can add GSTN number of our company?