New Zealand: current issues of taxation

On September 20^th, 2018, the New Zealand Government's working group on taxes and taxation has published the Report "Taxation in the future". This Report describes the direction of New Zealand's tax policy, its current status and future development.

Within the Report there were raised the issues of income tax, business taxation and financial transactions, pension savings, etc.

It is especially worth to note the sphere of international tax planning. The government is concerned that companies registered abroad provide services over the Internet without a representative office in the territory of New Zealand, which allows them to avoid paying local taxes.

Moreover most of the intangible assets of such companies are difficult to assess and as a result their revenues may be transferred to low-tax jurisdictions.

At the current moment, the Government is looking for ways to tax transactions over the Internet or through the expansion of the actual concept of international income or through the introduction of a separate tax on such transactions.

On materials of the following website: https://taxworkinggroup.govt.nz/what-is-the-tax-working-group