Category Taxation in New Zealand

Cigarette Taxes Lead to Robberies

August 8, 2017 Taxation in New Zealand

taxes on cigarettesWELLINGTON – The spike in break-ins in New Zealand has been linked to taxes on cigarettes, and the situation does not look set to improve.

British American Tobacco has suggested that the steady increases in the taxes charged on the sale of cigarettes in New Zealand could be the reason behind the recent spike in robberies around the country.

Currently, approximately 75 percent of the cost of cigarettes in New Zealand is comprised of taxes, with the average cost of a pack of 20 sitting at NZD 23.40.

Only 5 years ago the average price was approximately NZD 14.50.

The 60 percent increase has been blamed for the recent spike in robberies and break-ins, especially in cases where small corner stores were the victims.

New Zealand has raised taxes on cigarettes by 10 percent per year for the las...

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New Zealand Closing Tax Loopholes

August 4, 2017 Taxation in New Zealand

Taxes in New ZealandWELLINGTON – The options for multinationals trying to dodge taxes in New Zealand are numbered, as the local government proposes new measures to tackle tax dodging.

On August 4th the government of New Zealand confirmed its plans to tackle tax avoidance of multinational businesses by introducing several new anti-avoidance measures.

The government hopes to see an extra NZD 200 million in extra taxes drawn from large multinational companies.

It is expected that the focus of any changes would be targeted at tech firms, which have recently been in the international spotlight for their tax behaviours.

The proposed changes revolve around stopping international parent companies charging exorbitant interest rates to their New Zealand subsidiaries; elimination of artificial arrangements which allow c...

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NZ Researchers Say Double Tax Hikes on Cigarettes

August 2, 2017 Taxation in New Zealand

Smokefree NZWELLINGTON – New Zealand needs to double-down on its fight against smoking, if it wants to reach its goal of a smoke-free nation.

The result of joint research conducted by the University of Otago in New Zealand and the health advocacy group H?pai te Hauora have led to a push for a doubling of the tax hikes on tobacco products sold in New Zealand.

Currently, the tax rate on tobacco in New Zealand is scheduled to be increased by 10 percent per year on January 1st, until 2020.

The hikes are part of the government’s “Smokefree 2025” strategy, which is intended to see a reduction in smoking rates in the country, to the point where less than 5 percent of New Zealanders are smokers by 2025.

The researchers are now claiming that in order to meet the goal, the government will need to incre...

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New Zealanders Mull Tourist Tax

July 25, 2017 Taxation in New Zealand

Tourism Tax in New ZealandWELLINGTON – New Zealanders are looking to tax incoming tourists in order to help pay for the maintenance of national parks, reserves, and huts.

The results of a new survey released in New Zealand on July 24th has shown that local taxpayers support the prospect of a new tax to be paid by tourists.

Approximately 64 percent of respondents said that they would support a so-called “tourist tax” which would be paid by international tourists upon arrival to the country.

The funds from the proposed tax would be diverted to the national Department of Conservation, for the development of national reserves, huts, and for conservation efforts.

The public call for a tourist tax comes as the government funding for the Department of Conservation continues to dwindle, while the number of tourists c...

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Bracket Creep Strikes Thousands in New Zealand

July 10, 2017 Taxation in New Zealand

Taxes in New ZealandWELLINGTON – An increasing number of taxpayers in New Zealand are being forced to pay the highest tax rate in the country, despite not being particularly wealthy or affluent.

In a new press release issued on July 10th, the New Zealand tax advocacy group the Taxpayers’ Union claimed that approximately 659 000 taxpayers in the country now pay the country’s top marginal tax rate, despite the fact that the national population numbers just under 4.8 million.

The number of taxpayers paying the top marginal tax rate is equivalent to 18.1 percent of the population.

The Union claims that in the UK the number of people paying the highest tax rate is only 364 000, even though the UK has 14 times the population of New Zealand.

It was also claimed that the number of people paying the top rate is ...

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