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

Tax policy news

18 June 2019

Supplementary Order Paper No. 248 to the Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Bill was released today.

It includes a proposal that would require all buyers and sellers of property to provide their IRD number as part of the transaction process. Previously, those buying or selling a main home did not have to provide an IRD number.

For more information see the Minister of Revenue’s media statement, Supplementary Order Paper No. 248, revised disclosure statement, regulatory impact assessment, and associated policy report and Cabinet papers for the collection of IRD numbers and release of the SOP.

17 June 2019

Cabinet agreed today to give offshore businesses until 1 December 2019 to get their systems ready for the new GST on low-value imported goods measure.

For more information see the Minister of Revenue’s media statement and associated papers.

10 June 2019

The Australian Tax Office and New Zealand Inland Revenue have finalised a practical administrative approach for non-individual dual residents affected by Article 4(1) of the Multilateral Convention (MLI).

Under Article 4(1) of the MLI, which is designed to address tax avoidance arrangements, non-individual taxpayers that are dual residents need to apply to either Competent Authority for a determination of their residency for tax treaty purposes.

Using the administrative approach, eligible taxpayers will not need to make an application for a determination. For information on this approach and the eligibility criteria see Australia and New Zealand’s administrative approach to MLI Article 4(1).

Non-eligible taxpayers still need to submit an application for a determination. For information on the process and information required see Article 4(3) – Competent Authority Determinations.

5 June 2019

The Taxation (Research and Development Tax Credits) Act 2019 was enacted on 7 May 2019. Draft guidance was released for comment in late February 2019.

Updated guidance material is now available on Inland Revenue’s website and the online forum. This incorporates changes made during the legislative process and the feedback provided on the draft guidance.

4 June 2019

The Government is seeking public feedback on proposals to more effectively tax the digital economy in New Zealand. These are:

- Changing the current international income tax rules, to allow more taxation in market countries. This option is currently being discussed by the OECD and the G20 group of large economies.

- Applying a separate digital services tax to certain revenues earned by highly digitalised multinationals operating in New Zealand. The discussion document seeks feedback on how a DST might work in practise.

For more information see the Ministers' media statement and the discussion document. Consultation closes on 18 July 2019.

Tax Working Group

For the terms of reference, news, reports, and other information see the Tax Working Group's website.

Information releases

We now proactively release Cabinet papers, minutes and supporting papers for tax policy related decisions. View the latest information releases.

Highlights

Two pre-Budget announcements were made by the Government today.

GST on...

The Taxation (Research and Development Tax Credits) Act 2019 received Royal assent yesterday....

The Minister of Revenue, Hon Stuart Nash, spoke at the International Fiscal Association’s...