The iPhone Australia Tax: What’s The Damage?

A few flashy new gadgets from Apple were unveiled overnight. We already know exactly what we’re going to pay for them (spoiler: lots), but is there an Australia Tax attached? What’s the damage bill?

Image: Justin Sullivan / Getty

For those out of the loop on the so-called Australia Tax, it’s the idea that large companies charge Aussies more for everything from tech and content right through to gadgets and even clothing simply due to the isolation of the Australian market. There’s been a big government inquiry on it, which you can catch up on here.

Apple’s new iPhone 6 starts at $869, while the larger iPhone 6 Plus starts at a slightly eye-watering $999. Both go on sale on Friday, 19 September.

Let’s take a look at the full price list in Australia compared to the full price list from the US, courtesy of Angus from Lifehacker:

Model AU Price US Price Converted Difference
iPhone 6 16GB $869.00 $649.00 $778.15 $90.85
iPhone 6 64GB $999.00 $749.00 $898.05 $100.95
iPhone 6 128GB $1,129.00 $849.00 $1,017.95 $111.05
iPhone 6 Plus 16GB $999.00 $749.00 $898.05 $100.95
iPhone 6 Plus 64GB $1,129.00 $849.00 $1,017.95 $111.05
iPhone 6 Plus 128GB $1,249.00 $949.00 $1,137.85 $111.15

The Australia Tax increases ever so slightly as you go up in the storage range for both the iPhone 6 and the iPhone 6 Plus, but the general rule here is that Aussies will end up paying between $90 and $111 more for their iPhones outright in Australia.

It’s also worth noting that you should never look at the “sticker” price Apple calls out in its keynotes. Comparing that to the Australian market will land you in a world of pain.

The reason Apple says that the price for a device is $US199 in a keynote is because it’s talking about the cost of the device on a subsidised carrier plan. That means telcos like AT&T and Verizon will subsidise the cost of the device for the consumer so that people only have to pay a few hundred dollars up front for their expensive new gadgets. [Lifehacker]

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