Introduction of New Zealand Immigration Tax System

# New Zealand Immigrants # Introduction In addition to income tax, some taxes in New Zealand come from the income tax system, such as resident withholding tax and additional welfare tax, while others are independent of the income tax system, such as goods and services tax and investment income tax. Here is an introduction for everyone, welcome to read!

(1) Resident withholding tax

Resident withholding tax is a tax deduction for interest and dividends paid to New Zealand residents. This part of the tax deduction can be used as a deduction for calculating income tax.

(2) Additional welfare tax

All non-cash benefits provided to employees are subject to employee benefit tax, which is paid by the employer. Providing benefits is equivalent to providing goods and services, so employers have to pay GST for the extra benefits provided to employees. The value of fringe benefits includes goods and services tax, so employers can ask for the deduction of goods and services tax. Goods and services tax paid for fringe benefits can be used as a deduction for income tax calculation. Additional welfare tax is generally paid quarterly. Calculation of fringe benefits tax: The employer can choose to pay 49% or 64% fringe benefits from (1) 1 to the third fiscal quarter, and the mixed tax rate is applicable to the last quarter; (2) From 1 to the third fiscal quarter, 64% of the annex income is paid, and the last quarter is subject to 64% or mixed tax rate;

(3) Goods and Services Tax

Goods and Services Tax (GST) is an indirect value-added tax in New Zealand, which is levied on goods, services and imported goods provided by New Zealand. The legal basis for taxation is the Goods and Services Tax Law of 1985.

The object of goods and services tax is not commercial profit or turnover, but consumption, which is ultimately paid by consumers or end users. The current tax rate is 12.5%. For example, retailers need to pay 12.5% of the commodity price as GST when buying commodities in wholesale, and 12.5% of the sales price as final GST when retailing. At the same time, retailers can apply to the tax bureau for refund of GST paid at wholesale.

People whose annual turnover exceeds S $40,000 (excluding GST) must apply for registration and pay GST. People with an annual turnover of less than S $40,000 can choose not to register for GST. After registration, operators must fill in the goods and services tax form on time (every one, two or six months), and collect and pay the goods and services tax in the form of overpayment and underpayment. Unregistered business operators cannot collect or refund the paid goods and services tax.

Other taxes independent of income tax include gift tax, cheque tax and domestic commodity tax on tobacco, alcohol and petroleum products. These taxes have little impact, so I won't go into details.

Extended reading: skilled immigrants

New Zealand provides many opportunities for skilled immigrant applicants, especially now, some industries and regions in New Zealand are developing rapidly and facing labor shortage. New Zealand's skilled migration policy aims to give priority to meeting New Zealand's domestic needs.

Requirements: To apply for skilled migration to New Zealand, the applicant must first meet the requirements of good health, good conduct, qualified IELTS score and under 56 years old. After meeting the above conditions, under the current Skilled Migration Scoring System in New Zealand, applicants also need to meet the minimum immigration score 100 and submit a complete (EOI) application.

To apply for skilled migration to New Zealand, you can enter the country first, and then apply for skilled migration after you finally find a skilled job. The success rate will be greatly improved.

About 90% of China people apply for skilled immigrants from New Zealand.