Tax and accounting regulations

Summary of Requirements for a New Zealand Limited Liability Company:

General Information
Type of Company
Timescale to incorporate
Taxation
Double Tax Treaty Access
Limited Liability Company
2-3 working days. Original Corporate Documents to follow
Corporate Tax 28%
Yes. More than 35 countries have Double Tax Agreements with New Zealand
Directors
Minimum No. Required
Local Director Required
Publicly accessible information
Location of Meetings
1,Corporate Directors are not permitted
No
Yes, directors details are available on a public register
Anywhere
Shareholders
Minimum No. Required
Publicly accessible information
Location of Meetings
1, Corporate Shareholders are permitted
Yes
Anywhere
Company Secretary
Required
Local Secretary Required
Registered Office Required
No
N/A
Yes
Share Capital
Standard Currency
Minimum Authorised
Minimum Paid Up Capital
New Zealand Dollar (NZD)
1 NSD
There are no minimum capital requirements
Accounting & Compliance
Requirements to prepare Accounts Yes
Requirement for Audit
  • If over 25% of the shares of the company are owned by a non-resident, audited annual accounts must be filed in the New Zealand Companies Office.
  • This requirement does not apply where shares are held by a New Zealand nominee which holds the shares on behalf of an overseas shareholder.
Local Auditor Required Yes
Requirement to file Annual Return Yes. If no Annual Return is not filed by the due date the company risks being removed from the register.
Additional Information
GST The current rate of GST is 15%.
Companies must be registered for Goods and Service Tax (GST) if their turnover was more than 60,000 NZD in the last 12 months or is expected to exceed 60,000 NZD for the next 12 months.
Bank Account Opening Bank Accounts can be opened in a number of international banks in New Zealand. Please contact us for additional information.

Taxation for a Limited Liability Company:

Corporate Income Tax Rate:
  • Flat tax rate of 28%
  • A company resident in New Zealand is assessable on worldwide income whether derived from the New Zealand or elsewhere
  • A company not resident in New Zealand is liable only in respect of income derived from New Zealand (*Residency requirements for NZ LLC as below)
Capital Gains Tax Rate:
  • 0%
Withholding Tax: Dividends:

 

  • Dividends to a non-resident are subject to a 30% non-resident withholding tax to the extent not fully imputed. Fully imputed dividends are subject ti a 0% NRWT where the non-resident has a 10% or more voting interest in the company otherwise this will be 15%. Rates may be subject to further reduction under an applicable treaty.

Interest:

  • Interest paid to a non-resident is subject to a 15% NRWT.

Royalties:

  • Royalties paid to a non-resident are subject to a 15% NRWT.
Losses:
  • May be carried forward indefinitely subject to a 49% continuity of ultimate shareholder requirement.

Take the next step, we are here to help.

Register a New Zealand company.
Open a New Zealand bank account.

  Resources:

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