Budget legislation enacted
Budget night legislation has now been enacted. The Taxation (Budget Measures) Act 2026 contains the following measures:
- An exemption from non-resident contractors' tax of the dry leasing of aircraft and parts.
- A new cap of the lower of $100,000 or the donor's taxable income for gifts qualifying for the donation tax credit.
- Changes to tax a shareholder on an outstanding loan six months after the lending company is removed from the Companies Register.
- Working for Families measures to reduce complexity and reduce the potential for future debt. To come into force from 1 April 2027.
Inland Revenue will produce an Act Commentary providing guidance on the new legislation.