The week’s tax news in one handy summary.
New Zealand Tax
- Anyone who thinks tax minimisation planning isn’t already happening is frankly naive | Capital gains tax debate heating up: final recommendations out on Thursday
- There’s more happening this year in tax than the Tax Working Group’s final report – April in particular looms as a big test for Inland Revenue
- Wonder if this is something that was highlighted by the Tax Working Group’s final report | Google, Facebook among internet giants facing surprise tax
- I spoke to Kate Hawkesby this morning about the possible digital services tax. As I say there’s a competition issue relating to the power of the digital companies relative to their NZ media competitors
- Things in this space are happening quickly but NZ should not be afraid of taking action | NZ needs to seek the safety of the pack in changing the rules of international taxation
- Lots on a possible digital tax today. Worth noting the TWG’s Interim Report recommended “the Government stand ready to implement an equalisation tax on digital services if a critical mass of other countries move in that direction”
- As I told Susan, the oft mooted tax free threshold represents a form of UBI. Very obviously, cost is the major hurdle but universality has its merits | Should Government give everyone free cash?
- In the wider still shot @BeeFaerie appears to have a somewhat sceptical look. Maybe rightly so.
- The US has already told the OECD not to specifically target digital companies so getting consensus is going to take time. Hence why countries such as India, Hungary, Italy and Spain have introduced a digital services tax
- Not widely known that any Kiwi living here but holding property in Australia would be subject to Aussie CGT and at a penal rate | National Leader Simon Bridges says a capital gains tax would lead to Kiwis leaving NZ for Australia
- For example a Kiwi realising a A$100,000 gain would pay A$24,000 more than an Australian permanent resident on the same gain (assuming both had no other Australian income).
- The TWG has as expected proposed a realisation based CGT based on s valuation day approach. But it wasn’t unanimous with three members preparing a minority report
- Here’s my initial take on the Tax Working Group’s report | Beyond Capital Gains: other good stuff from the Tax Working Group report
- Unsurprisingly the tax news is dominated by the release of the TWG’s report. I’ll have more to say over the next few days including a podcast but for now check out @TheSpinoffTV and @JeneeTibshraeny @GarethHVaughan and the team at
- Amidst all the noise over the Tax Working Group keep in mind these changes will directly affect far more than any putative capital gains tax.
United Kingdom Tax
- Purely coincidental but worth noting the strength of the condemnation in the UK Parliamentary report | Facebook labelled ‘digital gangsters’ by report on fake news
I follow interesting tax news stories from around the world and share them on Twitter.
These are a selection of our best tweets from the previous week.