Monthly Archives March 2011
March 31, 2011 New Zealand Taxation
The General Manager of the independent fuel retailer Gull New Zealand Dave Bodger has criticized the Auckland City Council’s proposal to use a regional fuel tax to fund public transport projects and infrastructure improvements.
The Auckland City Council has revealed its plans to use a 30-year loan to fund local infrastructure and transport initiatives, with repayments being covered by a new set of fuel taxes levied in the Auckland region. It is estimated that to raise the revenues necessary to cover the payments, a tax of 30 cents per liter would be required.
On March 29th Dave Bodger came forward and branded the plans as a “highway to hell”, asking, “…why introduce something that we already know won’t work, which is why it was abandoned in the first place?” He suggested that such an exo...Read More
March 29, 2011 New Zealand Taxation
The government has approved several changes to the national tax system, in an effort to aid the wellbeing of families and businesses struck by the recent earthquake.
In a media statement jointly released by the Minister of Revenue Peter Dunne and the Minister of Finance Bill English, it was conceded that New Zealand’s tax system was not forseen to handle the repercussions of disasters to the scale of the Christchurch earthquake, and several proportional changes will be added in the face of new realities. Bill English explained, saying, “…with the end of the tax year rapidly approaching, businesses and employers in Christchurch and around New Zealand need some certainty about the tax issues arising from the Canterbury earthquakes.”
The New Zealand Inland Revenue Department (IRD) had...Read More
March 25, 2011 New Zealand Taxation
The upcoming changes to the national tax system are expected to greatly improve the economy, and aid the country’s recovery from the recent Christchurch disaster and financial downturn.
Speaking in front of Parliament on March 25th the Finance Minister Bill English said that the upcoming changes to the tax system will help re-balance the economy, as the country faces its biggest budgetary deficit ever. The Finance Minister said that the changes are expected to improve conditions for businesses, encourage economic growth, while remaining tax neutral.
On April 1st a number of alterations will be carried out on the New Zealand tax system, including a cut to the corporate tax rate, from the current 30 percent to 28 percent...Read More
March 23, 2011 New Zealand Taxation
Peter Dunne’s income splitting proposal has hit a new roadblock after it failed to win the approval of the New Zealand Finance and Expenditure Committee.
The New Zealand Finance and Expenditure Committee has evaluated the income sharing tax-bill brought forward by the Revenue Minister Peter Dunne, saying that the idea has merit but would be too costly to implement and contains several oversights.
If enacted, the Taxation (Income-sharing Tax Credit) Bill would allow families with dependent children to split the parent’s incomes evenly for tax assessment purposes. Any tax benefits arising after application of the new rules would be given to the taxpayers in the form of an end of year tax credit...Read More