Tax policy news
An Order in Council made on 29 November 2023 increases the Family Tax Credit and Best Start Tax Credit amounts in line with inflation. This will take effect from 1 April 2024.
A special report has been published providing details of the change. Coverage will be included in an upcoming edition of the Tax Information Bulletin.
New Zealand and Austria have signed the Second Protocol updating the double tax agreement (DTA) and First Protocol between the two countries.
New Zealand entered negotiations with Austria for the Second Protocol to satisfy a ‘most favoured nation’ (MFN) clause in the existing DTA, which was triggered in 2010 after NZ agreed to lower dividend withholding rates with the United States and Australia. The Second Protocol extends the same dividend tax treatment to Austria.
In addition, the Second Protocol updates the existing DTA to include the most recent OECD anti-abuse provisions and several other minor changes. The Second Protocol will enter into force after both countries have completed the necessary domestic procedures, which in New Zealand's case will require an Order in Council.
New Zealand and the Slovak Republic have signed a double tax agreement (DTA).
The DTA with the Slovak Republic may help New Zealand to maximise the benefits of its Free Trade Agreement (FTA) with the European Union. It also includes all of the key anti-abuse provisions in the OECD Model.
The DTA will enter into force after both countries have completed the necessary domestic procedures, which in New Zealand's case will require an Order in Council.
Inland Revenue is reviewing the rules relating to the donation tax credit. The review will assess whether the donations tax credit regime is operating effectively, efficiently, is achieving its intended outcomes and remains fit for purpose and the future.
This review is part of the regulatory stewardship programme required of all state agencies for the rules they administer. The review is expected to be completed by mid-2024.
For more information:
View the latest information releases available (includes Cabinet papers, minutes, and key supporting papers for tax policy related decisions).
Tax Working Group (2017–2019)
For the terms of reference, news, reports, and other information see the Tax Working Group website. (This site is now archived.)