MORE THAN 35,000 AUSTRALIAN BUSINESSES WILL BE AFFECTED
There are more than 35,000 small Australia businesses, employing more than 60,000 people, who currently use sites to sell their goods overseas. If Australia puts a GST on all goods coming here, it is very likely other countries will reciprocate and tax Australian businesses selling into their countries. Australian businesses already struggle to keep prices low enough to compete against goods from countries with low wage economies. Even a small price hike will see them become uncompetitive and their export market will dry up.
THIS WILL HARM OUR EXPORT MARKET
Technology enabled commerce has meant Australian businesses of all sizes can gain access to world markets. This has seen the emergence of around 35,000 micro-multinational Australian businesses – small businesses that sell to the world. But if Australia puts a GST on all products coming into Australia, it is likely the countries our businesses export into will do the same. Australian small businesses are already at a disadvantage because of our geographical distance from other markets and our high wage economy, both of which affect the price of goods. Even a small price hike will see much of our export industry dry up.