Hon Peter Dunne
MP for Ohariu Belmont
Minister of Revenue
Associate Minister of Health
NZ and Austria sign double tax agreement
New Zealand has signed a double tax agreement with the Republic of Austria, Revenue Minister Peter Dunne announced today.
"Once in force, the double tax agreement with Austria will help reduce tax impediments to the growing trade and investment between our two countries," Mr Dunne said.
"Exports to Austria in the year to December 2005 totalled $18.4 million, made up of meat, transistors and electrical equipment for cars.
"Austrian imports to New Zealand in the same year totalled $161.6 million and consisted of motor vehicles, records and tapes, brass metal mountings and added sugar waters.
"Double tax agreements prevent cross-border business income being taxed twice, give greater certainty about how that income is to be taxed, reduce compliance costs for some activities and lower tax on some income.
"New Zealand is already party to double tax agreements with 32 other countries, and I welcome the addition of Austria to the network.
"The agreement will come into force once both countries have given legal effect to it, which in New Zealand's case will occur through Order in Council," Mr Dunne said.
The text of the double tax agreement, signed in Vienna on 21 September 2006, is available at www.taxpolicy.ird.govt.nz.
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