Category Taxation in Asia-Pacific

Amazon Tax to Launch in New Zealand

May 1, 2018 Taxation in New Zealand

Amazon taxWELLINGTON – Small and cheap goods bought by New Zealanders online will soon be 15 percent more expensive, as the government announces the launch of an “Amazon tax”.

On May 1st the government of New Zealand announced that overseas firms selling goods to New Zealanders online will soon be liable to pay GST on all sales made to locals.

Currently, New Zealand levies a GST of 15 percent on the sale of all goods and services, whether online or in a physical store.

However, up to now, GST was simply not collected on the sale of goods with a purchase price of less than NZD 400, as the cost of compliance would be too high.

The government has now stated that any overseas firm making in excess of NZD 60 000 in sales to New Zealanders each year would be required to register for GST in New Zealand, ...

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Electric Cars Skip Petrol Tax Hike in New Zealand

April 24, 2018 Taxation in New Zealand

Electric vehicle taxWELLINGTON – Should electric cars have to pay an electric tax to cover the damage they cause to roads? Some New Zealanders think they should.

Controversy is arising in New Zealand regarding the potential tax benefits to be seen by electric cars after the introduction of fuel taxes in the country’s biggest city, Auckland.

Currently, the government of New Zealand is investigating the feasibility of hiking petrol taxes in New Zealand by between NZD 0.09 per litre to NZD 0.12 per litre, with the Auckland Council looking to enact a further hike of NZD 0.115 per litre of petrol sold in the city.

The new taxes are intended to be used to help fund and develop new roading projects, improve road safety, while also paying for new public transport and rail developments.

Some vehicles, namely diesel...

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Petrol Taxes in NZ Will Hit the Poor and Old Cars

April 5, 2018 Taxation in New ZealandUncategorized

petrol tax in New ZealandWELLINGTON – New Zealanders who drive old and inefficient cars will see their tax bills rise.

On April 3rd a researcher from the economic group the New Zealand Initiative, Sam Warburton, claimed that the upcoming hike to petrol taxes in Auckland will adversely impact low-income households.

The New Zealand government has recently announced that it will be raising the rate of tax levied on the sale of petrol in the country by as much as NZD 0.12 per litre, and, further, the government will introduce a regional fuel tax targeted at the country’s largest city, Auckland.

In combination, the two taxes could see petrol in Auckland set consumers back by an extra NZD 0.20 per litre.

Sam Warburton explained that the financial impact of petrol excise taxes are directly tied to the amount of petr...

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Pay Tax on Your Bitcoin, Says NZ IRD

April 4, 2018 Taxation in New Zealand

crypto taxWELLINGTON – New Zealand’s tax authorities want to make sure that taxpayers follow the tax rules when it comes to cryptocurrency.

On April 3rd the New Zealand Inland Revenue Department issued guidance on the taxes applicable on profits derived from digital currencies.
The guidelines come as a response to the queries sent to the IRD from taxpayers in regards to their cryptocurrency holdings.

The tax department reiterated that incomes arising from any activity to do with cryptocurrency will be liable for income taxation, even though the currency is entirely digital.

It was advised that for the purposes of taxation, cryptocurrency incomes will be deemed taxable if they provide capital gains, or if they lead to income when used in a transaction, or if they are swapped for a different crypto...

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NZ Will Review Smoking Taxes

March 16, 2018 Taxation in New Zealand

taxes on smokingWELLINGTON – Taxes on cigarettes may be leading to inequality and increased rates of crime in New Zealand.

The government of New Zealand has announced that it will review the impact that taxes on tobacco have had on the country, as there are some indications that the measures have not all proven to be good.

Tobacco taxes in New Zealand have consistently risen by 10 percent in January for a number of years.

The hikes are intended to be the main pillar of the government’s smoke-free 2025 policy.

More tax hikes are already scheduled to be enacted up until 2020.

The government will now review what impact the tax hikes have had on the country, and to what extent have the hikes encouraged smokers to quit.

The review will also look at what financial impact smoking has had on smokers and socie...

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