Monthly Archives May 2015
May 18, 2015 New Zealand Taxation
Property investors will now be eligible to pay tax for any capital gains made from the sale of their investment property.
Over the weekend the government announced that new rules will be instated regarding the taxation of the sale of investment properties, in an effort to help control the upward spiralling property market.
Under the new regulations any profits earned from the sale of investment property within two years of its original purchase will be taxed at the seller’s marginal tax rate.
The new regulations are intended to work in tandem with currently active rules stating that profits made from the sale of properties by a professional investor, or anybody trading property for profit, shall be taxed at their own tax rate.
Alongside the new rules, additional regulations were establ...Read More
May 13, 2015 New Zealand Taxation
New Zealand will wait to see if Australia can effectively implement a GST on intangible online goods before evaluating the feasibility such a measure for New Zealand.
The Finance Minister Bill English has stated that the government will not rush into copying the updates the GST recently announced in Australia.
Australia now plans to amend its regulations regarding GST to ensure that large international online businesses pay GST for good and services sold to Australians.
The new regulations are especially aimed at addressing the issue of the sale of intangible goods, such as online movies, streaming services, games, and digital books, which are currently not subject to GST if sold by an overseas seller.
Bill English indicated that the government would first see how Australia implements th...Read More
May 11, 2015 New Zealand Taxation
Tax revenues have risen, but the spike in collections may be only temporary.
On May 11th the Treasury of New Zealand released the Financial Statements of the Government of New Zealand for the nine months ending March 31st 2015, showing that tax revenues are up over the time period.
According to the information released by the Treasury the core crown tax revenues reached a level of NZD 48.2 billion, approximately 1.8 percent higher than detailed in the Half Year Economic and Fiscal Update issued in December last year.
However it was specifically noted that the increase was a product of temporary spike in the collection of personal income taxes and corporate income taxes, and a portion of the rise could be reversed by the end of the current year.
Alongside the increase in tax collections,...Read More