The Business Advisory Blog

The Business Advisory Blog

Insight, news and updates from Alliott NZ Chartered Accountants, Auckland New Zealand. The views expressed here are the views of the author and should be discussed in further detail should an article be relevant to your individual circumstances.

While every effort has been made to provide valuable, useful information in this publication, this firm and any related suppliers or associated companies accept no responsibility or any form of liability from reliance upon or use of its contents. Any suggestions should be considered carefully within your own particular circumstances, as they are intended as general information only.

Vanessa Williams
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Inland Revenue research project

About 400 high-wealth individuals have been selected to take part in a statistical research project to help NZ Inland Revenue fill a gap in their knowledge of effective tax rates relative to economic measures of income.

nz inland revenue ird copyThe project will use household income as the unit of analysis, so people taking part will be asked for financial information about themselves and their dependent children. Their partners will also be asked for financial information.

Individuals will be legally required to provide this information.

Participants will be asked for information in three stages:

  1. In November 2021, individuals will be asked to provide details of their partner and dependent children. This will provide accurate information about whose income will be included in the analysis.

  2. In January 2022, individuals and their partners will be asked for information about the entities and business undertakings they have an interest in. Individuals will also be asked about the entities their dependent children have an interest in.

  3. In May 2022, individuals and their partners will be asked to provide further information to help calculate measures of income for IRD's analysis.

All the information provided will be kept confidential and will not be used to reassess anyone’s tax liability.

The research will be published in a report to be made public in mid-2023. The project will not make any policy recommendations, but the analysis will improve future tax policy advice.

Inland Revenue has contacted the individuals’ tax agents to let them know their clients who have been selected to take part in the study.

If you have any questions about the project, please email etrproject@ird.govt.nz.

Source: NZ Inland Revenue

Topics: IRD New Zealand research and development R&D tax wealth