The Treasury

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Tax

Page updated 26 May 2008

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 $53,064 million in the 2006/07 financial year, and is forecast to be $56,186 million in the 2007/08 year and $55,911 million in 2008/09. These figures are reported in the Budget Economic and Fiscal Update 2008.

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 Revenue and Expenses section of the Fiscal Outlook chapter of the Budget Economic and Fiscal Update 2008.

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.

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