tax avoidance tagged posts
March 9, 2016 New Zealand Finance
New Zealand police have seized millions worth of assets and cash from individuals and companies associated with criminal activity and drugs.
According to a statement released by the Minister of Corrections and Police Judith Collins the New Zealand police have seized approximately NZD 382 million under the Criminal proceeds Act since 2009.
Current regulations allow the police to retain, or freeze, assets and funds believed to be proceeds of crime, even if no criminal convictions have been laid.
Since 2009 a total of NZD 382 million in asset and funds has been frozen, and an additional NZD 85 million has been forfeited.
Approximately 96 percent of the forfeited assets, and 86 percent of frozen assets, were connected to organized crime or drugs.
In total 110 residential properties, 8 commerc...Read More
July 2, 2013 New Zealand Taxation
The Inland Revenue Department has issued new guidance on the criteria which will be used to judge and classify tax avoidance.
On July 1st the Inland Revenue Department issued a new Interpretation Statement “…to provide greater certainty on the principles the Commissioner will apply in reaching a view on whether an arrangement is ‘tax avoidance’.”
The Statement set out the Commissioners view that an arrangement may be regarded as tax avoidance if any element of the transaction utilizes provisions in the Income Tax Act in a manner which was not originally intended by Parliament.
The assessment of whether an arrangement should be considered to be tax avoidance will also take into account the commercial and economic reality surrounding the situation.
If a transaction is found to be tax avoid...Read More
February 14, 2013 New Zealand Taxation
New Zealand could soon follow the international community to crack down on excessive tax avoidance carried out by multinational companies.
In a radio interview on February 14th the Minister of revenue of New Zealand Peter Dunne the country needs to take a balanced approach to the taxation of multinational firms in order to continue attracting foreign investment but without excessively easing their tax requirements in New Zealand.
The Minister’s comments come a day after the release of a new report by the organization of Economic Cooperation and Development, which called on governments worldwide to work together and update their tax systems to match modern business practices which have often allowed multinational companies to shift their profits to low tax jurisdictions.
Peter Dunne said th...Read More
November 30, 2012 New Zealand Taxation
Facebook is avoiding its tax obligations in New Zealand, according to the Labour Party.
On November 29th the revenues spokesperson David Clark for the Labour Party issued a statement claiming that the New Zealand arm of Facebook only paid NZD 14 500 in taxes last year, making ” a mockery of Peter Dunne’s refusal to consider closing tax loopholes for multinationals.”
The David Clark explained that “…It appears Facebook is using the ‘double Irish’ tax technique. That’s where it uses Irish Facebook, which pays just 12.5% tax, to determine revenue and expenses. This ensures the company can put most of its revenue through countries with low-tax systems.”
He said that the Minister of Finance Peter Dunne calls this sort of corporate behaviour “legitimate tax avoidance”, while he hims...Read More