Policy Advice Division

Tax policy news

8 September 2010
Legislation in the November 09 tax bill enacted

Legislation in the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Bill introduced in November 2009 received Royal assent on 7 September. It introduces changes to the tax rules to allow New Zealanders returning home from Australia to bring their retirement savings with them. At the Committee of the Whole House stage Supplementary Order Papers 156 and 157 added several significant measures to the bill, including transitional arrangements for the GST rate increase announced in Budget 2010, the repeal of fund withdrawal tax from 1 April 2011 and measures to assist banks. The Act will be published here once available. Coverage of the new legislation will appear in a Tax Information Bulletin to be published later this year.
 

2 September 2010
Views sought on options for child support reforms

The Government is seeking feedback on options to update the child support scheme, including possible changes to the formula used to determine the amount of child support that is payable and to the child support payment, penalty and debt rules. Feedback is welcomed either by completing an online survey or by making a detailed written submission in response to the discussion document, “Supporting Children” or the summarised version. For more information see the Minister of Revenue’s media statement. Consultation closes on 29 October.

30 August 2010
Views sought on proposals to promote fairness

An officials’ issues paper released today seeks feedback on suggested changes to improve the fairness of access to social assistance programmes. For more information see the media statement and the issues paper, “Social assistance integrity: defining family income". Submissions close on 24 September 2010.

27 August 2010
Student loan bill introduced

The Student Loan Scheme Bill was tabled in Parliament today, introducing reforms that will in the future allow borrowers to manage their loans online. The changes are part of a package of reforms to simplify the way Inland Revenue administers student loans. For more information see the Government’s media statement and the Regulatory Impact Statements.

25 August 2010
Supplementary order papers released

The Minister of Revenue yesterday released two Supplementary Order Papers containing measures supporting Budget 2010 and “business-friendly” amendments as well as addressing consequential matters.

Supplementary Order Paper 156 repeals fund withdrawal tax, addresses the tax treatment of certain optional convertible notes and clarifies RWT rates.

Supplementary Order Paper 157 introduces transitional arrangements for the GST rate and addresses “overreach” in the imputation credit rules.

For more information, see the Minister of Revenue’s media statement.

Highlights

New tax bill closes GST “phoenix” fraud schemes

A bill tabled in Parliament today will close off a loophole in the GST rules where some...

Budget 2010 tax announcements

Budget 2010 announced a comprehensive package of tax reforms. The Government has released a...

Tax Working Group releases final report

Victoria University's Tax Working Group today released its final report which considers the main...