TAXES IN NEW ZEALAND, FEATURES AND EXEMPTIONS

New Zealand is a country with minimum number of taxes. There is double taxation avoidance agreement with many countries. New Zealand also allows four year tax concession on overseas income.

Key Features of New Zealand Taxation System

No Inheritance Tax
No Capital Gain Tax on New Zealand Investment
No Local Taxes Except property tax paid to local authorities
No Payroll Tax
No Social Security tax
No Health Care Tax except a minimal accident compensation tax

Four Year Tax Concession

Tax concession on overseas income and pension that applies for four years living in New Zealand. Only New Zealand sourced income is taxable in that period.

Double Tax avoidance

New Zealand provides credit of tax paid in other countries for overseas income. New Zealand has double taxation avoidance agreement with 35 countries.

Personal Income Tax

Income Slab	Income Tax Rate %
$0-14,000	10.50%
$14,001-$48,000	17.50%
$48,001-$70,000	30%
More than $70,000	33%

Company Income Tax

Income Slab	Income Tax Rate %
Income from $0	28%

Sales Tax and Excise Tax

Goods and Services Tax (GST) is 15%. Excise tax is paid on petrol, tobacco, alcohol

Fringe benefit Tax

Rate is upto 49.25% for employer provided cars, low interest loans, medical insurance premiums, foreign super annuation contributions etc. FBT is tax deductible and employer cost is effectively the same as paying cash remuneration.

Capital gain and Dividends

It applies only to foreign debt and investments

Note: Tax Rates mentioned above are indicative only. Please check from the particular department for accurate tax rate.