Australian Import Duty Calculator
Estimate the full landed cost of importing goods into Australia. This calculator covers customs duty, GST, Import Processing Charges, biosecurity levies, and customs broker fees based on your product category, country of origin, and shipping method. Use it to budget for commercial imports and understand the cost components before they arrive at the border.
How Import Costs Are Calculated in Australia
Determine the customs value (CIF)
The customs value is the total of your goods value (FOB price), plus international freight, plus insurance. If your supplier quotes CIF, this is already included. If they quote FOB, you need to add your freight and insurance costs. Australia uses the WTO Transaction Value method, which means the customs value is based on the price actually paid or payable for the goods.
Look up the applicable duty rate
Customs duty rates in Australia are based on the Harmonised System (HS) tariff classification of your goods. Most goods attract a rate of 0% or 5%, with some categories like textiles and footwear at up to 10%. If your goods originate from an FTA partner country, a preferential rate (often 0%) may apply, subject to rules of origin requirements.
Calculate customs duty
Multiply your customs value (CIF) by the applicable duty rate. For example, if your customs value is $10,000 and the duty rate is 5%, the customs duty is $500. Goods valued under $1,000 are generally exempt from customs duty under the de minimis threshold.
Calculate GST on the import
GST is charged at 10% on the sum of the customs value plus any customs duty payable. Using the example above: 10% of ($10,000 + $500) = $1,050. GST on imports is collected at the border by the Australian Border Force, not by the ATO.
Add government fees
The Import Processing Charge (IPC) is $50 for goods valued $1,000-$9,999, or $152 for goods valued $10,000 and above (electronic lodgement rates). A biosecurity levy also applies: $46 for air freight or $68 for sea freight consignments.
Add customs broker fees
Licensed customs brokers typically charge $150 to $350 per standard commercial import clearance. This covers tariff classification, lodging the import declaration, and coordinating with the ABF. Complex consignments, quarantine-risk goods, or items requiring permits may attract higher fees.
Customs Duty
Customs duty is a tax imposed on goods imported into Australia. The rate depends on the tariff classification of the goods under the Harmonised System (HS), which is administered by the Australian Border Force (ABF). Australia has a relatively low average MFN (Most Favoured Nation) tariff rate of around 2.1%, and over 58% of tariff lines are duty-free.
Most general goods attract a duty rate of 0% or 5%. Higher rates of up to 10% apply to certain categories including textiles, clothing, and footwear. The duty is calculated on the customs value of the goods, which is the CIF (Cost, Insurance, Freight) value — your purchase price plus freight and insurance to the Australian port.
Goods valued below AUD $1,000 are generally exempt from customs duty under the de minimis threshold. This exemption applies to the customs value, not just the goods price. Commercial importers should note that even duty-free goods still attract GST and processing charges.
Goods and Services Tax (GST)
GST on imported goods is levied at 10% and is collected by the Australian Border Force at the time of customs clearance. The GST base is the customs value plus any customs duty payable — meaning you pay GST on the duty as well as on the goods themselves.
For businesses registered for GST, the GST paid on imports can be claimed back as an input tax credit on your Business Activity Statement (BAS). The Deferred GST Scheme allows eligible importers to defer GST on imported goods, reporting it on their BAS rather than paying it at the border. This can significantly improve cash flow for regular importers.
Import Processing Charge (IPC)
The Import Processing Charge is a fee charged by the ABF for processing import declarations. The fee varies based on the customs value of the goods and the lodgement method. For electronic lodgements (standard for commercial imports handled by customs brokers), the IPC is currently $50 for goods valued between $1,000 and $9,999, and $152 for goods valued at $10,000 or more.
The IPC is indexed annually. Goods imported under the de minimis threshold (below $1,000) are generally exempt from the IPC. The charge applies per import declaration, not per item within the declaration.
Biosecurity Levy
Australia imposes a biosecurity levy on imported consignments to fund the cost of border biosecurity operations managed by the Department of Agriculture, Fisheries and Forestry (DAFF). The levy varies by shipping method: $46 per air freight consignment and $68 per sea freight consignment.
Certain product categories carry additional biosecurity risk and may require inspection, fumigation, or treatment before release. Food, agricultural products, timber, and plant-based goods are particularly scrutinised. Importers of these goods should check the BICON (Biosecurity Import Conditions) database for specific requirements before shipping.
Customs Broker Fees
Licensed customs brokers handle the import declaration process on behalf of importers. Typical fees for standard commercial import clearance range from $150 to $350 per consignment. This covers tariff classification, preparation and lodgement of the import declaration, and liaison with the ABF.
Several factors affect broker fees: the complexity of the goods (quarantine-risk items or goods requiring permits cost more), the number of tariff line items in the shipment, whether FTA preferential rates are being claimed, and the volume and regularity of your importing activity. Many brokers offer volume discounts for regular importers.
While using a customs broker is not strictly mandatory for all imports, it is strongly recommended for commercial consignments. Brokers ensure correct tariff classification, which directly affects the duty rate applied. Incorrect classification can lead to overpayment of duty, or worse, underpayment resulting in penalties, interest charges, and potential seizure of goods.
About Free Trade Agreements
Australia has one of the most extensive networks of Free Trade Agreements (FTAs) in the world, with agreements covering over 30 economies. These agreements reduce or eliminate customs duties on qualifying goods, potentially saving importers thousands of dollars per shipment.
Key FTAs include the China-Australia Free Trade Agreement (ChAFTA), the Japan-Australia Economic Partnership Agreement (JAEPA), the Korea-Australia Free Trade Agreement (KAFTA), the Australia-United States Free Trade Agreement (AUSFTA), and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) covering 11 Pacific Rim countries.
To claim a preferential FTA rate, goods must meet the rules of origin for the relevant agreement. This typically requires proving that the goods were substantially manufactured or produced in the FTA partner country. A Certificate of Origin or declaration of origin from the exporter is usually required. Your customs broker can assess FTA eligibility and manage the documentation.