Inland Revenue - Tax policy Tax Policy

News and information about the Government's tax policy work programme, including:
- proposed changes to the laws that Inland Revenue is responsible for
- updates on the progress of bills through Parliament
- policy announcements

Consultation

The Government and officials' are seeking feedback on proposals to strengthen New Zealand’s rules for taxing multinationals.

Three consultation documents released on 3 March 2017 contain proposals for:

–  Tackling concerns about multinationals booking profits from their New Zealand sales offshore, even though these sales are driven by New Zealand-based staff. These are set out in the Government discussion document BEPS – Transfer pricing and permanent establishment avoidance, with submissions closing on 18 April 2017.

–  Preventing multinationals using interest payments to shift profits offshore. These are covered in the Government discussion document BEPS – Strengthening our interest limitation rules, with submissions closing on 18 April 2017.

–  Implementing New Zealand’s entrance into an international convention for aligning our double tax agreements with OECD recommendations. These are set out in an officials' issues paper, New Zealand’s implementation of the multilateral convention to implement tax treaty related measures to prevent BEPS, with submissions closing on 7 April 2017.

A Government discussion document, Making tax simpler – Proposals for modernising the Tax Administration Act, seeks feedback on detailed proposals for amendments to the Tax Administration Act.

These build on earlier proposals released for consultation in November 2015, set out in Making tax simpler - Towards a new Tax Admionistration Act.

The detailed proposals, which support the Government’s transformation of tax administration, are aimed at helping to get tax right from the start.

They centre around the roles of the Commissioner of Inland Revenue, taxpayers and their agents, information collection, confidentiality and disclosure, and the design of a new Tax Administration Act.

Online forum - https://www.makingtaxsimpler.ird.govt.nz/

Submissions closed on 24 February 2017.