Buying Electronics from Overseas: GST, Customs & Is It Worth It?
Amazon US prices look tempting until you factor in shipping, GST and the chance of a customs bill. Here's how the rules actually work, and when ordering from overseas genuinely beats buying from a NZ retailer.
The $1,000 rule, in plain terms
Since December 2019, most large overseas retailers selling into New Zealand - think Amazon, eBay, AliExpress and similar platforms with more than $60,000 a year in NZ sales - are required to register for NZ GST and charge 15% at checkout, the same as a local store. This applies to individual parcels valued at NZ$1,000 or less. For most everyday electronics purchases - headphones, a phone case, a small gadget, even a mid-range laptop - the GST is simply charged upfront by the seller, and the parcel arrives without any extra customs involvement.
Above that $1,000 threshold, the rules change: GST and any applicable customs duty are collected by NZ Customs when the parcel arrives, not by the overseas seller at checkout. That usually means a demand notice and a delay while you pay before the parcel is released. Most electronics carry a 0% customs duty rate, so on higher-value items it's typically the 15% GST (plus a customs handling process) rather than duty that adds to the cost.
What actually changes the maths
- Shipping cost: often the single biggest variable - a "cheaper" overseas price can disappear entirely once international shipping is added, especially for larger items like TVs or appliances.
- Local warranty support: a NZ retailer generally handles warranty claims and Consumer Guarantees Act obligations locally. An overseas-bought device may need to be shipped back overseas for repair, at your cost and on their timeline.
- Power plugs and regional variants: some electronics sold overseas use a different plug standard, voltage, or region-locked firmware that isn't an issue with a locally-sold model.
- Exchange rate movement: a price that looked good when you added it to cart can shift by the time the charge actually processes, particularly for anything priced in USD.
A rough way to compare before you buy
Add up the overseas sticker price, GST (already included at checkout for orders under $1,000, or added at the border above that), shipping, and an estimate for the hassle of an overseas warranty claim if the item ever fails. Compare that total to the local NZ retail price. If the gap is still meaningfully in the overseas item's favour once all of that is counted, it can be a legitimate way to save - it's just rarely as simple as comparing sticker price to sticker price.
When importing genuinely makes sense
Overseas ordering tends to pay off for niche items that NZ retailers don't stock at all, accessories and small peripherals where shipping is cheap relative to the item price, and products with a long track record of reliability where a lost local warranty is a smaller risk. It tends to make less sense for expensive, failure-prone items - phones, laptops, anything with a battery or moving parts - where a local warranty and CGA cover are worth more than the price gap.
Before you click buy on an overseas site
- Check whether GST is already included at checkout - most major platforms selling into NZ now add it automatically.
- Check the total landed cost, not just the item price - add shipping and, for anything near or over $1,000, budget for a possible customs process.
- Check the plug type and voltage for anything that isn't universally compatible.
- Check what happens if it breaks - who pays return shipping, and how long a repair or replacement realistically takes.
Check the local price first
Before ordering internationally, it's worth confirming what the same or equivalent model actually costs at JB Hi-Fi, Noel Leeming and PB Tech.
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