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Highlights from Budget 2022

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Budget 2022 is unlikely to elicit much excitement from the tax community as no new taxes or amendments to the income tax thresholds were announced despite some calls to do so. Rather, the government has opted to provide Kiwis with a temporary stimulus targeted at low to middle-income households. This…

Debate on Removal of GST on Food Rages on

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A recent Newshub Reid Research poll indicates that over 75% of Kiwis do want the government to remove GST on food prices and that the government has not done enough to control the spiralling cost of living. With food prices having risen by 7.6% from March 2021 to March 2022,…

Kiwi Retailer Set to Freeze Commodity Prices for Winter

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One of the country’s biggest supermarket chains, Countdown, has announced plans to temporarily freeze retail prices on 500 retail items for the duration of winter. They have assured that the freeze will hold no matter the changes to inflation rates during this period. This move, it has been said, is…

NZ Minister Pushes for Fairer Tax System

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During a speech at Victoria University, Revenue Minister David Parker announced that he intended to propose a new bill dubbed the Tax Principles Act that would inform future tax policy advice. The bill would make mandatory regular reporting on the tax system, hopefully leading to greater transparency. In announcing his…

IR Warns of Tax Avoidance by Top Income Earners

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Inland Revenue (IR) has reported in its Regulatory Impact Statement that high-income earners are restructuring their affairs to channel their income through lower tax rate entities. This move is enabling them to avoid the new top tax rate of 39% that came into effect just over a year ago. It…

Combating Financial Crimes in New Zealand

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In a move targeted at unveiling corporate secrecy that has seen companies and trusts act on behalf of shadowy foreign figures, the New Zealand government has committed to the establishment of a public beneficial ownership register. The register had been earlier proposed by the Ministry of Business, Innovation and Employment…

Buy Now, Pay Later Services Come Under Fire

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Consumer NZ is advocating for better credit regulation of the buy now pay later (BNPL) sector to avoid vulnerable consumers becoming at risk of falling into a spiral of debt. Head of campaigns, Gemma Rasmussen, has said that sensible regulation was needed to protect users from irresponsible lending. Her sentiments…

NZ Government Announces Temporary Fuel Tax Cuts

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While much of the world contends with rising fuel prices spurred by the ongoing invasion of Ukraine by Russia, Kiwis can sigh with relief following the announcement by PM Jacinda Ardern that petrol excise duty will be cut alongside road user charges. She said that the global energy crisis was…

Research Shows Cash Hoarding On the Rise in New Zealand

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According to research done by the Reserve Bank of New Zealand (RBNZ) – Te Pūtea Matua, there has been a significant dip in the number of people using cash for everyday purchases. The survey found that just two-thirds of Kiwis were actively using cash daily, compared with nearly the entire…