Category Taxation in New Zealand

New Zealand Wont See Water Tax

March 20, 2017 Taxation in New Zealand

Water in New ZealandWELLINGTON – Bottlers and exporters of premium New Zealand water will be breathing a sigh of relief, as the Prime Minister explains why they will not be paying a water tax any time soon.

In a television interview on Match 20th the Prime Minister of New Zealand explained that the government would not soon see the implementation of a tax on the bottling of water to be sold outside of New Zealand.

Recently, New Zealand has seen an increase in public outcry and media controversy regarding the issue of water being collected from New Zealand springs and lakes, and being sold overseas, as the businesses which win the rights to bottle the water, only pay a minimal price for the privilege.

The controversy has led to the suggestion that businesses which bottle water and sell it overseas should be...

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Tax Collections May Taper in New Zealand

March 15, 2017 Taxation in New Zealand

New Zealand Tax CollectionsWELLINGTON – As less tourist flock to New Zealand, and as the country’s housing boom dies down, the national government looks like it may soon see a drop in tax collections.

New Zealand’s continued higher-than-expected tax revenue results may not continue into the foreseeable future, according to information detailed in a new report released by the New Zealand Treasury.

Over the 12 month to December 2016, the tax revenues of New Zealand grew by 8.5 percent compared to the same period in the previous year.

The growth in tax revenues also outpaced the growth in the national GDP level, and similar growth levels have been seen over the last two years.

The primary drivers behind the higher-than-expected growth have been rises in the collection of GST and corporate income tax, and higher than...

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Tax Revenues Rise Unexpectedly in NZ

March 7, 2017 Taxation in New Zealand

Tax revenues in New ZealandWELLINGTON – The New Zealand government’s surplus has come out better than expected, as the government’s spending fell and its taking rose.

New information released on March 7th has shown that the government is seeing a larger surplus over the last 7 months than originally anticipated.

The level of tax collections seen over the seven months to the end of January were NZD 291 million higher than anticipated and forecast.

The level of expenditure seen by the government was approximately NZD 338 million lower than expected.

Overall the surplus seen on the government books was NZD 1.145 billion, a level which is NZD 703 million higher than the level anticipated previously.

The decrease in expenditure was accounted for mainly by differences between the projected costs of recovery from the re...

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New Zealand Ramps Up Tax Rules for Multinationals

March 5, 2017 Taxation in New Zealand

Taxation of large business in New ZealandWELLINGTON – Multinational business operating in New Zealand, such as Facebook or Apple, may soon have a harder time shifting profits overseas, as the national government aims tightens up its tax rules.

On March 3rd the Revenue Minister of New Zealand Judith Collins and the Finance Minister of New Zealand Steven Joyce jointly announced a set of new legislative changes aimed at ensuring that large multinational companies operating in New Zealand pay their “fair share” of tax in the country.

The new changes fall in line with the Base Erosion and Profit Shifting strategies developed by the Organisation for Economic Cooperation and Development.

There are several proposed changes, however, the main update to tax rules includes stricter requirements regarding the declaration of profits rais...

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Tax Cuts and Road taxes on Horizon in New Zealand

February 16, 2017 Taxation in New Zealand

Auckland traffic taxWELLINGTON – New Zealanders can look forward to tax cuts on their incomes, but may also need to face new forms of road taxes in the near future.

In a speech given on February 16th the Finance Minister of New Zealand Steven Joyce said that in the upcoming budget the government will be looking to lower personal income taxes and implement new tax system on roading.

The Minister did not reveal the exact extent of the tax cuts that he hopes to implement, but did say that it is the government’s goal to ease the tax burden faced by middle- and low-income earners as soon the as the government’s own fiscal position allows.

New Zealand’s fiscal position has been steadily improving over the last few years, with the national debt-to-GD ratio set to fall to 20 percent by 2020.

The current Nationa...

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