Tag: Government

RBNZ Hikes Benchmark Interest Rate To 2.5percent

Blog
In another attempt to control inflation, the Reserve Bank of New Zealand (RBNZ) has raised the benchmark interest rate by half a percentage point to 2.5%. This is the third time this year, following similar hikes in April and May, that the RBNZ has raised the official cash rate by…

Government Resists Calls for Sugar Tax

Blog
According to recently published research from a World Health Organisation (WHO) funded study conducted across a dozen countries and several US states, taxes on sugar-sweetened beverages do work on reducing the demand for said beverages by causing their prices to increase. The research reviewed 86 studies that found that with…

Highlights from Budget 2022

Blog
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…

Buy Now, Pay Later Services Come Under Fire

Blog
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

Blog
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

Blog
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…

New Interest Deductibility Rules to Net Government $1B Over Next 4 Years

Blog
The New Zealand government’s proposed changes to interest deductibility rules on residential properties are expected to see it generate an estimated additional revenue of $1 billion over the next four years according to a statement given by Revenue minister, David Parker. The key change that will contribute to the government’s…

Debate On How to Fund Superannuation Scheme Mounts

Blog
Discussion on how to meet funding requirements for the government’s superannuation scheme has peaked in recent days following the Treasury’s estimates that its cost will reach $49 billion by 2041. The scheme is also expected to grow by 1.5 times more than the economy over the next 40 years. There…

Public Consultation On New Build Tax Exemption Opens

Blog
The government has revealed proposals to have new builds exempted from planned changes in the taxation of residential investment properties. Public consultation is being invited on the details of these proposals which would see to an end of claims against interest deductions for residential investment properties, except for new builds.…