Inland Revenue - Tax policy Tax Policy

News and information about the Government's tax policy work programme, including:
- proposed changes to the laws that Inland Revenue is responsible for
- updates on the progress of bills through Parliament
- policy announcements

Tax policy news

17 May 2019

Two pre-Budget announcements were made by the Government today. 

GST on telecommunications services

The Minister of Revenue announced today that the Government intends to align the GST rules on telecommunications services with OECD guidelines and with the treatment of other remote services.  

For more information, see:

- the officials’ issues paper which provides technical detail of implementation proposals. Consultation closes on 28 June.

- a fact sheet

- the Minister’s media statement.

The changes are intended to apply from 1 October 2020. 

 

Changes to the betting levy

Also announced today was a repeal of the betting levy. The repeal is to be progressive, occurring over a three-year period. The Racing Minister’s media statement has more information.

8 May 2019

The Taxation (Research and Development Tax Credits) Act 2019 received Royal assent yesterday.

The legislation introduces a 15% research and development tax credit, and sets out the eligibility criteria and conditions that need to be met to receive it.

For more information see the Minister of Research, Science and Innovations’s media statement and the new Act.

3 May 2019

The Welfare Expert Advisory Group report was released today by Social development Minister, Carmel Sepuloni. The report contains 42 recommendations for improving the welfare system, including:

- increasing rates of benefit payment;

- increasing Family Tax Credit rates;

- replacing the In-Work Tax Credit and the Independent Earner Tax Credit with a new tax credit (referred to as an Earned Income Tax Credit);

- removing the 30 hours maximum work rule for the Jobseeker Support payment, which would mean the Minimum Family Tax Credit would no longer be required, and could be repealed;

- repealing the Child Tax Credit;

- making the Best Start Tax Credit universal for first three years of children's lives;

- aligning core eligibility definitions across welfare agencies, and also align debt prevention, fraud practices and debt collection practices across government;

- improving employment support services and active labour market policies;

- improving financial support for housing, alongside increasing the supply of housing and improving its affordability;

- indexation of payments to reflect wage movements; and

- changes to the culture of Work and Income.

For details of the announcement see the Minister’s press releaseWEAG's report with the full set of recommendations, and Cabinet papers.

29 April 2019

The final versions of the base erosion and profit shifting (BEPS) special reports are now available. These were published in the April 2019 edition of the Tax Information Bulletin (Volume 31 Number 3).

17 April 2019

Today the Government released its response to the recommendations of the Tax Working Group. For details of the announcement see the Ministers’ statement and the full list of responses to recommendations.

Tax Working Group

For the terms of reference, news, reports, and other information see the Tax Working Group's website.

Information releases

We now proactively releases Cabinet papers, minutes and supporting papers for tax policy related decisions. View the latest information releases.

Highlights

The Minister of Revenue, Hon Stuart Nash, spoke at the International Fiscal Association’s...

Finance Minister Grant Robertson’s 2018 Budget contains the following tax-related...