The signing of a new Double Taxation Agreement (DTA) between Australia and New Zealand has taken place. On the 29th of June New Zealand Trade Minister Tim Groser signed the new agreement on behalf of New Zealand in a Paris based ceremony. There is no date set yet to its enforcement as in it needs to be legally enacted in both countries. In New Zealand this will happen by the Order of the Council, which is expected to occur later in 2009. The ... Read More

Home detention has been sentenced to a man in the Lower Hutt District Court, after a guilty plea on 26 tax evasion charges. Wellington based, Joseph Anthony Rosendaal, company director of DeRose Limited, has pleaded guilty to 26 counts of tax evasion, totaling over $270,000. He has been sentenced to 12 month home detention. Joseph Rosendaal created and ran his bread delivery company from the October of 2003 onwards. According to the Inland Revenue Department (IRD) he failed to file income ... Read More

The Government has released a document detailing the proposed changes to profit distribution plans, and are calling for public comment. As announced on the 16th of April, the Government is looking to implement new legislation in regards to Profit Distribution Plans (PDP). Specifically it aimed to deal with the situation under PDP schemes where shares which are given to shareholders by a company are immediately sold back to the company, which not currently covered by tax legislation. The Government is seeking feed ... Read More

The rate at which fringe benefit tax is calculated on low-interest employment related loans has been lowered. The rate used to determine the Fringe Benefit Tax (FBT) on low-cost employment related loans will drop from its current rate of 8.05% to 6.41%. The change was announced and set by Order in Council on the 22nd of July, and will come into effect on the 1st of July. The change was announced by Revenue Minister Peter Dunne. The fall of 164 basis points in ... Read More