[Caroline and Dave]

We are coming over in Feb and thought we had all the tax situation sorted out. According to the NZ govt website from April 2006 there is a tax exemption on most monies brought into the country for all new immigrants. This lasts for 4 years. www.ird.govt.nz/yoursituation-nonres/move-nz/temp-tax-empt-foreign-inc.html

However we have now been put in touch with an accountant in NZ who informs us that this is not the case. He reckons that anything we bring in over $27,000 we will have to pay 25% tax.
I am certain he is wrong if you go by what the nz revenue site says.
He says the only way around this is to put the money into trust which he can arrange. I smell a rat here and reckon he is trying to make a fast buck.
We have emailed inland rev nz but are still awaiting a reply.

Has anyone else experienced this. If it is true then the revenue website is very misleading


Caroline and Dave

[Trigirl]

According to the NZ govt website from April 2006 there is a tax exemption on most monies brought into the country for all new immigrants. This lasts for 4 years. www.ird.govt.nz/yoursituation-nonres/move-nz/temp-tax-empt-foreign-inc.html

Not quite. The exemption is tax on income earned overseas in the first 4 years - nothing to do with money brought into the country.

However we have now been put in touch with an accountant in NZ who informs us that this is not the case. He reckons that anything we bring in over $27,000 we will have to pay 25% tax.

I've never heard of this? As far as I'm aware moving money into the country does not incur tax. So I'd be very interested to hear if he could point you in the direction of some official info on that?

You'll will have to pay income tax on interest earned on it when the money is in NZ though.

[Mart1]

Just beware. Lots of new migrants get fleeced when they first come over. Take the rose coloured specs of and smell the coffee. If it seems a con, looks like a con - its a con.

[willsken]

I'm sure if you had to pay a whopping 25% tax on any money you bring into the country there would be a hell of a lot less people going and I am sure something would have come up about it before on the forum. I have never seen anything like it on here! Sounds like a con to me.... if it's not then we are stuffed!!! :uhoh

[scoobydoo]

Hi,

Interesting question. On the one hand a real accountant should be trustworthy. On the other, the I can help you and no one else can factor sounds odd. More posts needed from those in the know....

Fingers :)

[veronica]

I think I would be looking for another accountant. we paid no tax on the money we brought over and neither did our daughter and her husband.

[neilw71]

Isn't this a question of bringing "Income" vs "savings" in the country? We have all brought in funds from house sales in the Uk and I have never heard of anyone having to pay tax - but "income" will attract tax (except for the new rules)

Ignore what you were told - its rubbish!

Neil

[Brijan]

Hi Folks,
we came over in 2002 and brought our funds from our house sale and paid no tax on it, we did have to pay tax on our interest while it was in the bank. I would seek some official opinion as it seems strange to me.

its unfortunate to say but some newcomers do get fleeced sometimes, as your not too sure of all the rules you can be an easy target. :mad:

Just ask, and i'm sure you'll find somone with the answers :)

Brian and Jan

[Moorf]

I don't know anyone who has paid tax on money bought into NZ - and most of us have bought much more than $27k. What we did pay, however, was tax on the interest and this was deducted directly from the bank account by the bank and itemised "withholding tax".

Go and find another accountant.... :yes

[ENZ]

He reckons that anything we bring in over $27,000 we will have to pay 25% tax.


What your accountant says is completely incorrect.

As Moorf wrote, you can bring as much money as you like to NZ tax free. You only pay tax if you generate income from it, such as interest from a bank account, after it's here.

[Caroline and Dave]

We have had a very interesting email back from NZ Inland Revenue who I must admit are very helpful not like UK Inland Rev who never reply to emails.
They have advised us to be very careful with accountants and only use recommended ones. ( Anyone know a good one?)
A lot of accountants do their best to get new immigrants to sign up for trust funds. This is what this one is doing. If they set up a trust fund for you it means you do not pay tax on the interest but you have to pay 25% tax on everything over 27500 dollars that you invest into the fund unless you invest it before you come over which we are unable to do. We were told by this accountant that this was our best option but he was only interested in lining his own pockets. So we are sticking to our original plans until we can find a trustworthy reccommended accountant.
Many thanks for everyones help in confirming what we suspected anyway

Kindest regards


Caroline and Dave

[Smiler]

We've got a decent accountant in welly and we use him for both business and personal stuff.

PM me if you'd like the details. He was recommended to us as well.

[Park City Partner]

I know the US consulate here has accounts they recommend so the Bristish consulate might as well.