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. A copy of the Act is published here. Coverage of the new legislation will appear in a Tax Information Bulletin to be published later this year.