NZ Singapore Sign Double Taxation Agreement

August 21, 2009 International FinanceInternational TaxationNew Zealand FinanceNew Zealand Taxation  No comments

New Zealand and Singapore have signed a Double Taxation Agreement (DTA) which is set to replace the earlier signed and currently standing DTA.

New Zealand and Singapore currently have a Double Taxation Agreement, it was signed in 1973 and has been present since its inception. As stated by Peter Dunne, New Zealand Revenue Minister, at the release of this signing “The agreement will modernize our tax treaty arrangements with Singapore and bring them into line with best international practice,” and “In particular, the new agreement will allow for full exchange of information on tax matters between our two countries.”

Singapore imports approximately NZ$1.9 billion worth of goods into New Zealand, imports NZ$700 million worth of New Zealand goods and has NZ$1.6 billion worth of direct investments in New Zealand. The importance of Singapore as an economic and trading partner cannot be understated. The DTA will allow for this relationship to flourish further, by providing parties in both countries with certainties about the taxation liabilities that will be faced in their activities.