Further measures for taxation bill

A supplementary order paper released yesterday amends the taxation bill currently under consideration by Parliament's Finance and Expenditure Committee. The new thin capitalisation rules for foreign-owned banks that are proposed in the bill have been amended to ensure the legislation, once enacted, operates as intended. Also included in the bill are changes enabling New Zealand fund managers to withhold tax on dividends from Australian unit trusts on behalf of New Zealand investors, as announced on 1 March.

For further information on the changes see Supplementary Order Paper No 337.