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Having a good overall tax system means having both good tax policies and good administrative systems.  These elements go hand in hand.  The tax system includes social policies administered by Inland Revenue such as Working for Families, Child Support, Student Loan repayments, KiwiSaver and Paid Parental Leave.

The aim of New Zealand’s tax policies is to tax as broad a range of income and expenditure as practicable at rates that are as low as possible.  This is known as the broad-base, low-rate approach.  It helps keep compliance and administration costs low.  But the tax administration system could work better. 

This is a chance to have a fundamental look at tax administration to see what changes need to be made to meet the challenges of today and the future.  Over the coming years the main focus will likely be on improvements as set out below:



High level proposals for business individuals and social policy customers


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