Tax
Page updated 3 Jul 2009
The Treasury provides advice to the government on New Zealand's tax system and its impact on the economy.
The Treasury's Role
New Zealand operates a simple and transparent tax system relative to other countries.
The Treasury advises the government on New Zealand’s tax system and its impact on the economy. We also conduct research into the effect of taxes on economic behaviour, and advise the government on the performance of Inland Revenue.
Responsibility for developing tax policy is shared by the Treasury and Inland Revenue.
For further information on tax, see the Revenue section of the Government Finances menu on this website.
Tax Revenue
Tax revenue is the major source of core Crown revenue. This totalled $56,372 million in the 2007/08 financial year, and is forecast to be $53,523 million in the 2008/09 year and $51,052 million in 2009/10. These figures are reported in the Budget Economic and Fiscal Update 2009 (BEFU) Notes to the Forecast Financial Statements. See Note 1: Revenue Collected Throught the Crown's Sovereign Power.
Tax Forecasts by the Inland Revenue
In line with established practice, Inland Revenue prepares an independent set of tax forecasts, based in the short term on analysis of taxpayer information, and in the longer term on the same broad macroeconomic trends that underpin the Treasury’s tax forecasts.
The Treasury’s forecasts are the Crown’s official forecasts.
For more information on Inland Revenue's tax forecasts and a comparison against Treasury's tax forecasts see the Inland Revenue Tax Forecasts section of the Economic and Fiscal Update chapter of the Budget Economic and Fiscal Update 2009.
Tax Working Group
The Treasury is participating in the Tax Working Group being coordinated by Victoria University of Wellington.
Read the speech delivered by John Whitehead, Secretary to the Treasury, on Friday 5 June 2009 at the first session: Tax Working Group Session: The Fiscal Framework.
Treasury Research and Policy Papers
To read Treasury papers on tax see the Taxation subject list in the Research and Policy Papers section of the Publications index.
Tools
- The Glossary of Tax Terms provides a useful explanation of other terms that are used in the Tax Outturn Data table
- Estimates of Revenue Effects of Small Tax Rate and Tax Base Changes (formerly the Ready Reckoner)
- Key Facts for Taxpayers