Minimum Family Tax Credit Raised
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 is below the preset minimum income threshold.