Get ready to pay GST on all your online purchases

Thanks, Diamond Joe...

Joe Hockey wants you to pay GST on any purchases you make from overseas retailers.

Currently, the GST has a $1,000 threshold on overseas purchases, so inexpensive packages avoid the 10 per cent tax.

But that could be about to change, with recent comments from the government hinting that the cut off could be lowered to as little as $20.

And now the Treasurer has indicated that he'd be willing to go even further.

Na-na-na-na-na-na-na-na, taxman!

When asked on ABC radio if a $20 threshold could become a reality, Hockey replied: "It could, it may well go to zero as well."

This would result in all purchases entering Australia being slapped with a 10 per cent goods and services tax.

In the past such an approach was considered too expensive, but laws passed in other countries as a result of the G20 could see overseas retailers forced to apply the GST themselves.

With the weakening Australian dollar and the GST on top, overseas purchases are in danger of becoming a far less attractive proposition.