PKF Carr & Stanton, Hastings, New Zealand
16 Mar 2021
From 1 April 2021 the top tax rate for an estimated 2% of New Zealanders will move to 39%.
Here’s what it means:
Actions prior to 1 April 2021:
Individuals vs Non-Individuals for Investment Income
With any tax rate changes it is important to consider the wider implications, particularly when it comes to your investment plans. Depending on your tax profile and overall investment strategy there are opportunities to consider who holds the investment. For individuals in the new tax bracket of 39%, alternatives to personal investments might be:
It is important to take advice, if you are considering the structure of your investment options going forward, as these decisions should always be commercially driven rather than tax reduction. Please get in touch if you are considering any form of restructure.
The comments above should not be relied upon in making investment decisions and are not intended as investment advice.
For more information on how our services can help your business get in touch.