Yearly Archives 2014
December 18, 2014 New Zealand Taxation
The Prime Minister has voiced his support of a bed tax, but the Treasury claims that it would set a damaging precedent.
While at a function in Queenstown on December 17th the Prime Minister John Key indicated that he supports the proposal to implement a bed tax in the city in order to pay for local infrastructure.
He explained that the reasoning behind the proposal “…is that you’ve got a small rating base, you’ve got a million-odd people that pour in here every year, you’ve got a huge amount of demand on resources, and why the hell should ratepayers have to pay for it?”
He added such a tax would be set at a small rate, which would be unlikely to deter tourists from coming to the city.
However, the New Zealand Treasury has previously voiced its opinion on the proposal, claiming that i...Read More
December 9, 2014 New Zealand Taxation
Enacting a carbon tax in New Zealand could help reduce the cost of pollution and fund tax cuts for everyday New Zealanders.
The ultimate cost of failing to take action to reduce the levels of carbon emissions in New Zealand could result in a cost to the country of between NZD 3 billion and NZD 52 billion over the years between 2021 and 2030, according to information in a new statement released by the Green Party on December 7th.
According to the co-leader of the Green Party Russel Norman, the cost of inaction on the issue of climate change and emissions will set New Zealand households back by between GBP 2 000 and GBP 34 000 per, and “…New Zealand families can’t afford the cost of inaction”.
The Green Party also added that if New Zealand enacted a levy on carbon emissions, the tax...Read More
December 3, 2014 New Zealand Taxation
The IRD is recovering NZD 3.73 for each dollar spent on tracking down and investigating tax fraud in New Zealand.
On December 3rd the Revenue Minister Todd McLay issued a new statement showing that the IRD’s efforts to crack down on tax fraud are paying off, having resulted in a greater number of uncovered and a positive return on investment.
Over the course of the 2014 financial year the IRD uncovered NZD 10.4 million of tax fraud committed in New Zealand, compared to a level of only NZD 4.5 million in 2013.
According to the Minister, the uncovered tax fraud represents a return on investment of approximately NZD 3.73 per dollar spent on enforcement.
Many of the uncovered cases of tax fraud revolved around Working for Families Tax Credits and personal tax summaries, and involved the u...Read More
November 19, 2014 New Zealand Taxation
Low income families will receive some extra financial support next year, as the limit on available tax credits is raised to account for inflation.
On November 17th the Inland revenue Department issued a new statement showing that on April 1st 2015 the level of the minimum family tax credit will rise next year.
Currently the minimum family tax credit is set at NZD 22 776 per year, which will be raised to NZD 23 036 next year.
The new limit on the tax credit scheme is intended to take into account the effects that inflation levels will have on the financial well-being of the families benefiting from the system.
The minimum family tax credit scheme provides low-incomes families or single parents in paid employment with a guaranteed minimum income each week, if the amount they earn each year...Read More