cancel
GMS Flash Alert 2024-169

New Zealand – Increases to Visa Lodgment Fees

GMS Flash Alert 2024-169 | August 14, 2024

Immigration New Zealand has announced increases to visa charges.1 In this GMS Flash Alert, we report on New Zealand government lodgment fee and levy increases taking effect from 1 October 2024.

Why this matters

Employers will face significant fee increases on common visa application types.  This will raise their costs tied to workers who are hired under a visa status where the application fees have increased.  In some cases, the fees have been more than doubled.

The higher cost will impact the costs associated with international assignments/secondments, business travel, local hires of foreign workers and supporting residence applications.  Employers should consider the impact on international assignment costs and budgeting, and plan accordingly.

Further Details

Immigration New Zealand has announced that increases to visa charges, made up of fees and levies, are being introduced on 1 October 2024.

Most visa categories have been impacted by these increases, with the most significant and relevant fee increases listed on the following page.

Visa Type

Existing fee (including immigration levy)

New total fee from 1 October (including immigration levy)

Accredited Employer Work Visa

NZD 750

NZD 1,540

Specific Purpose Work Visa

NZD 700

NZD 1,355

Partner Work Visa

NZD 860

NZD 1,630

Skilled Residence Visa

NZD 4,290

NZD 6,450

Residence From Work Visa

NZD 4,240

NZD 6,490

Family Category Resident Visa

NZD 2,750

NZD 5,360

Student Visa

NZD 375

NZD 750

Active Investor Plus Visa

NZD 7,900

NZD 27,470

Source: KPMG in Australia

 

The full table of fee increases is accessible here: Table of changes to fee and levy rates (immigration.govt.nz).

KPMG Insights

The New Zealand government has announced that visa charges will be increased to a level deemed appropriate to recover the costs of processing a visa, and to reflect the benefits received by those utilising New Zealand’s immigration services.

With these increases, the government is seeking to shift the current visa processing system from one heavily reliant on taxpayer subsidies to a system which is largely “user-pays.”

The Immigration Minister has advised that these changes will reduce the taxpayer contribution to the immigration system by NZD 563 million over four years.2  The Minister has also stated that the new charges reflect the increased cost of assessing more high-risk applications and dealing with higher levels of migrant exploitation, as well as IT upgrade costs.

The government expects that once further improvements are made to modernise immigration systems in the coming years, the running costs will reduce over time and efficiencies will improve.

Whilst these increases will have a significant and immediate impact on business seeking to mobilise talent to New Zealand, on both assignments and local hires, charges remain competitive compared to other host country locations.

KPMG recommends that employers review their existing visa population and upcoming moves, to identify if any work, residence, or renewal applications can be fast-tracked to lodgment prior to 1 October.

The New Zealand government will continue to offer subsidised fees for applicants from Pacific countries.

Contacts

Mark Wright

Principal Director

KPMG Australia

Additional Resources

pdf

Download the PDF


Footnotes

1  See New Zealand Immigration, News Centre, "Increase to visa charges comes into effect from 1 October" (9 August 2024).

2  See Hon Erika Stanford, "Creating a sustainable immigration system" (9 August 2024).


Disclaimer

* Please also note that the KPMG International member firm in Australia is currently providing New Zealand immigration services.

The information contained in this newsletter was submitted by the KPMG International member firm in Australia.

GMS Flash Alert is a Global Mobility Services publication of the KPMG LLP Washington National Tax practice. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

© 2024 KPMG, an Australian partnership and a member firm of the KPMG global organisation of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.