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New Zealand: Amendments to May 2023 Tax Bill

The government added number of additional measures via an amendment paper to the recently reported back Taxation Bill.

March 15, 2024

The government added a number of additional measures via an amendment paper to the recently reported back Taxation (Annual Rates for 2023-24, Multinational Tax, and Remedial Matters) Bill.

The additional measures include a number of the government’s election tax policies, such as:

  • Phasing-in interest deductibility for residential investment properties from 1 April 2024, when 80% of interest deductions will be reinstated, with complete deductibility reinstated from 1 April 2025
  • Restoring the two-year rule if a binding contract for sale is entered into on or after 1 July 2024 (the 10, or in some cases, five year bright-line rule would apply to earlier contract dates).
  • Removing tax depreciation deductions for buildings from the 2024/2025 income year

Read a March 2024 report prepared by the KPMG member firm in New Zealand

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