Category Taxation in New Zealand

NZ Tax Revenues Below Forecast

November 8, 2010 Taxation in New Zealand

BeehiveNew Zealand’s national tax revenues are below projections, being reported at 8.2 percent below the government forecasts.

The New Zealand Government released its latest financial statements on November 8th, indicating that tax revenues for the three months ended September 30th 2010 were NZD 1.12 billion (approx. USD 889.84 million) below projections. According to the release, both the Goods and Service Tax (GST) and the corporate tax were below expectations, suggesting a slowing in the pace of the country’s economic recovery.

According to the financial statements, GST revenues for the period were NZD 0.6 billion (approx. USD 476.7 million) below forecasts, representing an approximate 15.8 percent drop...

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IMF Publishes NZ Fiscal Policy Advice

May 27, 2010 Taxation in New Zealand

International Monetary Fund [oct 25]The International Monetary Fund (IMF) has published a new paper on the potential effect of further fiscal policy changes in the future growth of the New Zealand economy.

On May 26th the IMF published The Potential Contribution of Fiscal Policy to Rebalancing and Growth in New Zealand, a working paper dealing with possible New Zealand fiscal policy rebalancing. The paper stated that New Zealand has weathered the global economic recession relatively well, but will continue to suffer from persistent current account deficits. New Zealand also has low per-capita income levels, when compared to other advanced economies. In response to these two issues, the paper advises decreased Government spending and tax balance shifts for New Zealand.

The paper specifically suggests that the New Zealand Gove...

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New Zealand Budget Released

May 20, 2010 Taxation in New Zealand

BeehiveThe New Zealand Government has released its 2010 Budget. The announcement outlines various changes to the taxation system, putting to rest months of media speculations surrounding New Zealand’s tax future.

On May 20th the New Zealand Government revealed its national budget for the year 2010. The latest budget aims to reduce the impact of last year’s recession while introducing a range of fiscal stimulus measures and providing a solid base with which the Government can maintain control of the nation’s economy.

The Budget announcement revealed a number of significant alterations to New Zealand’s tax system. As expected by most economists, the Government has confirmed that the Goods and Service Tax (GST) rate will be raised to 15 percent from the current rate of 12.5 percent.

The incre...

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New Zealand and Hong Kong Develop Cooperation

March 30, 2010 International Tax CooperationTaxation in Hong KongTaxation in New Zealand

Night Lights in Hong KongThe Governments of New Zealand and Hong Kong have signed a Closer Economic Partnership (CEP) agreement and engaged to begin negotiations for a Double Taxation Agreement (DTA) in October.

The Hong Kong Government showed its continued commitment to meeting international standards on taxation transparency and forming closer economic ties with economies worldwide by announcing on the March 29th the signing of its first CEP agreement outside of mainland China, and intentions to begin negotiations for a future DTA agreement with New Zealand...

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Tobacco Taxes Rising Worldwide

March 15, 2010 Taxation in New ZealandTaxation in UKTaxation in USATaxation in Vietnam

cigaretteAccording to numerous political and anti-tobacco activists worldwide, taxes on cigarettes and tobacco products should be increased to raise Government revenues and deter smoking.

Several anti-smoking organizations across the world have released new reports claiming that a fresh round of tax increases needs to be seen on tobacco products, and Government officials across New Zealand, several US states, Vietnam and the UK are looking set to oblige. Although, the governments and anti-smoking groups are fighting for differing causes, with Governments citing budgetary shortfalls and the need for increased revenues as the reason for tax rises.

The Kansas Senate Taxation committee announced on March 10th that it had heard arguments in favor of increasing tobacco taxation by an equivalent of USD 0...

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