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IR Warns of Tax Avoidance by Top Income Earners

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Inland Revenue (IR) has reported in its Regulatory Impact Statement that high-income earners are restructuring their affairs to channel their income through lower tax rate entities. This move is enabling them to avoid the new top tax rate of 39% that came into effect just over a year ago. It…

Combating Financial Crimes in New Zealand

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In a move targeted at unveiling corporate secrecy that has seen companies and trusts act on behalf of shadowy foreign figures, the New Zealand government has committed to the establishment of a public beneficial ownership register. The register had been earlier proposed by the Ministry of Business, Innovation and Employment…

Buy Now, Pay Later Services Come Under Fire

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Consumer NZ is advocating for better credit regulation of the buy now pay later (BNPL) sector to avoid vulnerable consumers becoming at risk of falling into a spiral of debt. Head of campaigns, Gemma Rasmussen, has said that sensible regulation was needed to protect users from irresponsible lending. Her sentiments…

NZ Government Announces Temporary Fuel Tax Cuts

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While much of the world contends with rising fuel prices spurred by the ongoing invasion of Ukraine by Russia, Kiwis can sigh with relief following the announcement by PM Jacinda Ardern that petrol excise duty will be cut alongside road user charges. She said that the global energy crisis was…

Research Shows Cash Hoarding On the Rise in New Zealand

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According to research done by the Reserve Bank of New Zealand (RBNZ) – Te Pūtea Matua, there has been a significant dip in the number of people using cash for everyday purchases. The survey found that just two-thirds of Kiwis were actively using cash daily, compared with nearly the entire…

NZ Reserve Bank Bumps Up OCR Rate by 25bp

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Governor Adrian Orr announced that the official cash rate (OCR) has been lifted by the New Zealand government by 25 basis points to 1%. This is part of the easing of monetary policy stimulus measures undertaken during the pandemic and to help combat currently rising inflation, increasing housing costs, and…

NZ Government Announces Minimum Wage Increase

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Workplace Relations and Safety Minister, Michael Wood, has announced an increase in minimum wages. The increase, set to take effect in April, will see the training minimum wage boosted to $16.96 and the lowest-paid workers earning a higher $21.20 an hour. This 6% increase is expected to benefit about 300,000…

Cost of Living Rises by 5.2 percent in New Zealand in Q4 of 2021

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Statistics NZ has confirmed that household living costs price indexes (HLPI) increased by an average of 5.2% during the last quarter of 2021, as compared to the same period the year before. This is the highest increase since the metric was first tracked in 2008 for 7 of the 13…

Annual Inflation Rate in NZ Reaches 30-Year High

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Recently released figures by Statistics New Zealand confirm that inflation reached a record-setting level of 5.9% by the close of 2021. This increase was driven by rising consumer prices, as construction costs, petrol and rents recorded a sharp upsurge in the final quarter of the year. Though disappointing, this outcome…