New top tax rate left open to avoidance, tax department warns

Wed, 02 Dec 2020

The government is foregoing extra tax revenue of $1.5 billion by leaving the tax rate on trusts at 33 cents in the dollar while raising the top personal income tax rate to 39 cents in the dollar, the Inland Revenue Department has warned.Its regulatory impact statement on legislation introduced today to raise the top tax rate from April 1 next year also warns that revenue estimates from the move are made more difficult because the government is creating a six-cents-in-the-dollar difference between the trust and personal tax rates.Revenue Ministe...

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Politics

Govt reshuffle: Lee demoted, Simmonds loses portfolio

Melissa Lee has been stripped of her media and communications portfolio and dropped from the cabinet, prime minister Christopher Luxon announced today.He has given Paul Goldsmith the portfolio after Lee was widely criticised over her public handling of the numerous issues facing...

Staff reporters 1:20pm

Economy