Quick facts about New Zealand Tax

Living in New Zealand can be so exciting that, one thing is for sure – the last thing at forefront of your mind is tax. Here’s a handy guide with everything you need to know:

Quick tax facts to keep in mind:

1. One of the biggest factors affecting what you’ll pay is your residency status.

You’ll be considered a non-resident for tax purposes if you stay for 183 days or less in any 12-month period. Non-residents are only taxed on their New Zealand sourced income.
However if you remain in the country more than 183 days you’ll become a tax resident from the date you arrived and be taxed on your worldwide income.

2. If you want to work in New Zealand, you should apply for an IRD number so your employer will tax you correctly. Without one, your income will be taxed at the highest rate.

3. New Zealand has a number of tax treaties in place to help residents of certain countries avoid double taxation, so you should find out if any apply to you when filing your tax return.

4. To claim your tax back you’ll need:

  • Summary of earnings or final payslip
  • A copy of your ID
  • IRD number

5. The New Zealand tax year runs from April 1st to March 31st of the following year.

For example, if you worked any time between 1-April-2017 and 31-March-2018, you can apply for a tax return for the time worked between those dates after 31-March-2018.
The due date for income tax returns is on or before July 7th.

6. There is no payroll tax in New Zealand.

There is also no social security tax, no inheritance tax and no state/local tax.
There is no capital gains tax (only on certain particular forms of investments) and no healthcare tax (only a very low levy for the New Zealand accident compensation scheme).

7. You can do your tax refund yourself through the MyIR website.

Backpacker Guide NZ have a really handy manual for do-it-yourself tax refunds and plenty of information about how to submit a printed copy if you are leaving the country.

8. Or you can use the help of a tax agent like Taxback.com

Tax agents will ensure that your return is filed correctly. You would need to submit one of their New Zealand application forms, after which someone from their team will come back to you with a  free estimation of your refund. If you’re happy with their proposal, they will prepare your tax return and submit it to the IRD. You will receive your tax refund straight to your bank account and in the currency of your choice.

If you have further questions about your IRD number, tax return, IR3 form or anything at all tax-related then you should contact IRD directly:

  • +64 3 951 2020 from overseas
  • 0800 227 774 in New Zealand

Lisa T

Originally from Delaware, USA. Favourite Stray stop: Blue Duck Station (New Zealand). Fun fact: her knowledge of sci-fi, Disney and British literature make her the Queen of Trivia.

These New Zealand Tours will depart soon

Fantail South Island Tour

14 days - starts & ends in Picton (optional: Wellington or Christchurch)

Explore the best the South Island has to offer: highlights and lots of hidden gems.

Morepork All of NZ Tour

24 days - starts & ends in Auckland

Explore the North and South Island. Hike some of NZ's best tracks and kayak at sunrise and more, much more.

Weka South Island Tour

10 days - starts & ends in Christchurch.

This tour is all about the scenery. Each day delivers more breathtaking views, epic hikes & landscapes.

Or check out these articles for more travel inspiration

Your 2021 New Zealand Ski Season Guide

Whatever you think about Jon Snow, he was right about one thing; winter has come. With the white walker threat out of the way, it’s high time we focus on the important things, like the ski season in New Zealand.

Read More

5 Irresistible Reasons to Get Your First Skydiving Experience in Taupo

So, you want to jump out of a plane? Or you’re at least thinking about it that you’re jumping curious (my advice for these people is to just do it, YOLO).  I recently made my skydiving debut with Taupo Tandem […]

Read More

If you think the TranzAlpine scenic train is just another train ride you are wrong. Here’s why!

National Geographic listed the TranzAlpine Train Journey from Christchurch to Greymouth as one of the most scenic in the world. Jerry Cortez set out to find out what makes this trip one of NZ’s top experiences, and so much more […]

Read More
0 0 votes
Article Rating
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments
Scroll to Top