Increasing fiscal transparency was an important issue in the economic and political spectrum of the 2009 year. With only a few weeks remaining in 2009, December happened to be one of the most active month of the passing year, with Governments around the globe completing efforts made in negotiations of Double Taxation Agreements (DTA) and Tax Information Exchange Agreements (TIEA). In an unprecedented step, Switzerland wishes to cease ratification of its DTA with France in protest at the French authorities' handling of account ... Read More

According to the Tax Working Group, a New Zealand Government sponsored think tank, the country's tax system is unsustainable. The conclusion was presented in the summary paper of the Tax Working Group's fifth meeting, published November 25th. Growth, fairness and integrity issues - were concluded to be the primary aspects of the problem.The meeting summary also stated that the country's tax base needs to be broadened for these to be resolved. The Tax Working Group is a New Zealand government initiated project, involving ... Read More

The New Zealand branch of Westpac Banking Corp has revealed its intention to appeal the New Zealand High Court's decision on the bank's tax assessment. Last month Westpac had challenged an amended assessment of their tax information by the Inland Revenue Department. The New Zealand High Court had decided to dismiss the challenge, leaving Westpac liable for NZ$586 million in unpaid taxes and a possible NZ$332 in interest. George Frazis, Westpac NZ Chief Executive, said, regarding the appeal decision "In our view ... Read More

The New Zealand Inland Revenue Department (IRD) and Government figures have given clear indication that the country will see increased pressure on tax evaders in 2010. According to a submission from the IRD to the government supported Tax Working Group, released October 25th, the government is losing approximately NZ$300 million in taxation receipts annually through money hidden in trust accounts. The total tax evasion amount is only increased when companies created purely for the purpose of tax avoidance are considered. Statements by ... Read More

New Zealand's ASB bank has given indicators that it may settle with the Inland Revenue Department (IRD) in their structured financing tax evasion case against the bank. Warwick Bryan, Investor Relations Analyst for the Commonwealth Bank of Australia (CBA), made indications that ASB Bank might opt for an out of court settlement with the IRD, who is pursuing the bank for allegedly evaded tax liabilities. While commenting on Westpac Bank's loss of a similar case against the IRD, Warrick Bryan said ... Read More

The New Zealand branch of Westpac Banking Corp has been found guilty by the New Zealand High Court of tax evasion, the legal action concerns a total of NZD918 million. Court proceedings revolved around adjustments made to returns filed by Westpac in which a number of transactions were claimed and used to reduce the overall tax liability. The IRD contested that these were carried out purely with the purpose of tax evasion and subsequently assessed the bank’s tax liability higher. The ... Read More

Comments made by the New Zealand Prime Minister has effectively put an end to discussion surrounding the introduction of a Capital Gains Tax in New Zealand. In a statement made on the 14th of September, John Key, New Zealand Prime Minister, cast serious doubt on the idea of introducing a capital gains tax in New Zealand. The Prime Minister had previously been hesitant to rule out a capital gains tax, so as not to limit the process of the Tax Working Group. ... Read More