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Updated June 2026

GST for Dropshipping Businesses in New Zealand

Dropshipping adds import GST and low-value goods complexity most standard guides skip. Here’s how they interact with the NZ$60,000 threshold.

Last updated: June 2026

Registration threshold
NZ$60,000
same as any NZ business
Turnover measured on
Price charged to customer
not your margin
Low-value goods rule
For consignments ≤ NZ$1,000
overseas sellers may need to register and charge GST

The threshold still applies the same way

Dropshipping doesn’t get a special GST threshold — the NZ$60,000 threshold applies the same as any other retail business, based on the price your customer pays you, not your profit margin.

Low-value imported goods rules

New Zealand requires offshore suppliers (including marketplaces facilitating sales) selling goods valued at NZ$1,000 or less to New Zealand consumers to register for and charge GST at the point of sale, similar to the EU’s IOSS or Australia’s low-value import GST rules. This applies regardless of the seller’s physical location, once their sales to NZ consumers exceed the NZ$60,000 threshold.

For consignments over NZ$1,000, standard import GST and customs procedures apply at the border instead, typically collected by the courier or customs broker.

If a marketplace facilitates the sale

Marketplaces often handle this themselves. If you sell through a marketplace that’s registered as the "electronic marketplace" responsible for low-value goods GST, the marketplace may collect and remit GST on your behalf rather than you — check your specific platform’s terms and whether you retain any separate obligations.

Frequently asked questions

Is my dropshipping turnover based on sale price or profit margin?

The sale price — the full amount your customer pays. Your margin is irrelevant to the NZ$60,000 threshold, which is based on turnover, not profit.

What is the low-value goods rule and does it apply to me?

It requires offshore suppliers selling goods valued at NZ$1,000 or less to NZ consumers to register and charge GST at the point of sale, once their NZ sales exceed NZ$60,000.

What happens with goods over NZ$1,000?

These follow standard import GST and customs procedures at the border, typically collected by the courier or customs broker before delivery.

Do I need to register for tax where my supplier is based?

Generally no, if you’re simply purchasing from a foreign supplier and reselling — you’re their customer, not conducting a taxable activity in their jurisdiction.

Does my dropshipping platform handle GST for me?

Sometimes yes for larger marketplaces registered as the responsible electronic marketplace — check your specific platform’s terms.

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General guidance only. Import GST and low-value goods rules are complex and depend on your specific supply chain. Always verify with Inland Revenue (IRD) or consult a qualified accountant before making decisions.

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