Tax information for people thinking about moving to New Zealand for the long-term.
New Zealand tax rates
The New Zealand tax rates are:
19.5 cents in every dollar for income up to $38,000
33 cents in every dollar for income from $38,001 to $60,000
39 cents in every dollar for income of $60,001 or above
The New Zealand tax year
A standard New Zealand tax year runs from 1 April to 31 March.
Non-residents & visitors
Depending on your tax residency status, different taxes may apply. As a tourist you will pay GST on your purchases. If you earn wages or a salary, income tax may apply. Withholding tax may apply to contractors, sportpeople, entertainers and performing artists visiting New Zealand.
Are you a New Zealand resident for tax purposes?
You need to work out if you're a New Zealand resident or non-resident for tax purposes. You'll be a:
- New Zealand resident if you're overseas for less than 325 days in a 12-month period, and
- non-resident if you're overseas for more than 325 days in a 12-month period, and you don't have an enduring relationship with New Zealand.
The New Zealand tax residence guide (IR292) explains the residency rules
Getting an IRD number
You will need an IRD number before you start a job, or if you want to open a bank account.
Find more information about applying for an IRD number
New Zealand tax rule change
From 1 April 2006, people arriving to live in New Zealand may qualify for a temporary tax exemption on most types of foreign income.
KiwiSaver - New Zealand's work-based savings initiative
Since 1 July 2007, most New Zealand residents and people entitled to be in NZ indefinitely (who are 18 years or older) are automatically enrolled in KiwiSaver when they start a new job.
KiwiSaver is voluntary - you can opt out any time from the end of week 2 to week 8 of starting your employment.
Are you entitled to Working for Families Tax Credits?
Working for Families Tax Credits (formerly family assistance) is financial help for families who have children aged 18 years or under, who are financially dependent. The amount of Working for Families Tax Credits you get depends on:
- how many children aged 18 years or younger you have in your care
- how much you and your partner earn
- where you get your income from (eg employment or a benefit).
The four kinds of Working for Families Tax Credits are:
- family tax credit, paid to low and middle-income families for each child who is aged 18 years or younger
- in-work tax credit, a payment for families who work a minimum number of hours each week
- minimum family tax credit, to bring a family's income up to at least $22,119 (before tax) a year. To receive this assistance, at least one parent in the family must be working for salary or wages
- parental tax credit, for the first 56 days of a baby's life.
More information
Source: For further information about New Zealand tax law and policy visit the Inland Revenue Department website.