Feeds

Australian 'Apple tax' repealed for MacBook Air

But the new MacPro is priced at a premium

The Essential Guide to IT Transformation

Apple's contentious pricing plans, often criticised for producing Australian prices that exceed their US equivalents even when the $AUD/$US exchange rate suggests the opposite should be the case, have turned up some oddities for Apple's new products.

In case you've not caught up with the news, the fruity folk today announced a new MacBook Air and MacPro range, plus new versions of iOS, MacOS and a new iRadio service.

The latter either aren't on sale yet or won't be offered to Australians, so we'll ignore them and go straight for the new Air and Pro.

First we take the $US and $AUD prices of the new products, for a straight comparison.

Next, we add ten per cent to the US price. That's a sensible step because almost every jurisdiction in the USA has a state and/or local sales tax. Ten per cent is a little on the high side, but it applies in some US states so we're happy including it. Adding that sales tax brings the price a US citizen would pay for the new Apple kit into line with Australian prices, because the southern nation's goods and services tax is built into local prices.

The next step is to apply the current exchange rate – 94 US cents buys one Australian dollar - and apply it to the US price including sales tax. Doing so produces what we call the “Correct Australian price”.

All that's left to do after that is subtract the actual Australian price from the “correct” price and … presto, we get the table below.

Product $US Price $AUD Price $US Price with 10% sales tax Current exchange rate “Correct” Australian price “Apple Tax”
MacBook Air 11 $999.00 $1,099.00 $1,098.90 $0.94 $1,169.04 -$70.04
MacBook Air 13 $1,099.00 $1,249.00 $1,208.90 $0.94 $1,286.06 -$37.06
MacPro Quadcore $2,499.00 $2,999.00 $2,748.90 $0.94 $2,924.36 $74.64
MacPro 12 core $3,799.00 $4,599.00 $4,178.90 $0.94 $4,445.64 $153.36
MacPro server $2,999.00 $3,599.00 $3,298.90 $0.94 $3,509.47 $89.53

The surprise is that for once some products - the MacBook Air - are offered at rather cheaper prices than US punters are paying. But the new MacPro range cops the Apple Tax, and at a rather heavy rate.

At this point it is probably worth remembering Apple's testimony to Australia's Parliament that it sets the price for products based on exchange rates at the time of release and then leaves them alone. With the Australian Dollar on a downward trajectory, it will be interesting to see if Apple leaves the price of the Air alone. ®

Build a business case: developing custom apps

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
You didn't get the MeMO? Asus Pad 7 Android tab is ... not bad
Really, er, stands out among cheapie 7-inchers
Apple winks at parents: C'mon, get your kid a tweaked Macbook Pro
Cheapest models given new processors, more RAM
4K video on terrestrial TV? Not if the WRC shares frequencies to mobiles
Have your say with Ofcom now, before Freeview becomes Feeview
Leaked Windows Phone 8.1 Update specs tease details of Nokia's next mobes
New screen sizes, dual SIMs, voice over LTE, and more
YES, iPhones ARE getting slower with each new release of iOS
Old hardware doesn't get any faster with new software
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.