Changing to meet challenge

GOODS AND SERVICES TAX

Changing to meet challenge

Acollection of changes to New Zealand’s GST regime will keep taxpayers on their toes in 2022. From addressing impractical rules for GST documentation, to the taxation of cryptocurrencies, a diverse array of areas has been scrutinised and modernised.

Often praised for its relative simplicity and broad-base, with limited exceptions, New Zealand’s GST regime is constantly changing. The evolving business landscape produces many challenges and tax reform is needed to keep abreast of these developments.

The latest taxation Act isn’t wholesale reform – though as we note below, a full rewrite is not beyond the realms of possibility. It remains important for all businesses to keep pace with developments in this area and to anticipate material changes that may have an impact on their operations.

In The Big Picture: Goods and Services Tax we look at the implications for taxpayers of the most significant areas of change put forward in the Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022, which was passed into law on 30 March. We review areas which aren’t subject to change, but where taxpayers are encountering challenges, and we look at what the future could hold for GST.