Amazon blocks Australia from global sites over tax

"As a result of changes to Australian GST law on 1 July, worldwide shopping options for Australian customers will change".

This rule now exists, but only on purchases over $1000.

Some internationals have chose to comply: Microsoft, for example, began levying GST on app store purchases in February this year.

In an email to customers on Thursday, the store said from July 1 Australian customers will be re-directed from to "as a result of changes to Australian GST law".

It was the move we all dreaded was coming: Australian shoppers will no longer be able to shop on Amazon's U.S. site as the company shifts focus to its local offering.

After that date, Aussie customers who attempt to visit the United States version of Amazon or any of Amazon's overseas sites will find themselves redirected to Amazon's Australian site, which offers a much smaller selection of items. Previously, the tax was only applied to purchases over AU$1,000.

Under the new GST collection laws, online retailers like Amazon will be forced to apply the 10 percent GST to goods purchased on worldwide sites and shipped to Australia.

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It is understood that Amazon baulked at the massive administrative burden of tracking Australian GST from all overseas transactions.

Ms. Wong, the visually impaired Amazon customer, said the company's main site offered products she just couldn't get from Australian retailers, including many created to help visually impaired people like her.

Retail stocks on the ASX rose following Amazon's announcement.

Australian Treasurer Scott Morrison announced the change in April 2017, eight months before Amazon opened its Australian unit.

He said the company 'had to assess the workability of the legislation as a global business with multiple worldwide sites'.

"If multinationals aren't forced to pay their fair share of tax, they will have a competitive advantage over retailers here in Australia, on our own main streets and in our shopping centers".

"A level playing field will help Australian businesses grow and create more jobs and opportunities".

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