New Zealand goods and services tax

Goods and services tax (GST) is a consumption tax charged in New Zealand at the standard rate of 15%.

GST-registered businesses and taxable persons charge GST to the price of most goods and services in New Zealand, as well as most imported goods and services.

GST is jointly administered by the New Zealand Inland Revenue and Customs.

Non-resident businesses providing taxable supplies in New Zealand must register for GST if they pass the registration threshold of NZD 60,000 per annum.

This threshold applies to the business’s earnings over the preceding calendar year, and also applies to businesses that expect to exceed the threshold within the following 12 months.

Businesses may also voluntarily GST register below the threshold. This enables them to recover any input GST. Non-residents may also register to recover import GST even if they are making no taxable supplies.

Group GST registrations are not permitted for non-resident businesses.

Examples of taxable supplies requiring GST registrations by foreign companies include:

• Importing goods into New Zealand with an onward sale

• Providing digital services (e.g., streaming media, e-books, software, news, apps) to consumers

• Organising live events and conferences

• Buying and selling goods in New Zealand, known as domestic supplies

Overseas businesses that supply remote services in New Zealand — including digital content (ebooks, movies, streaming services, music, and online publications), games, apps, software, and website design — must register for GST if their sales to New Zealand customers exceed NZD 60,000 in the last 12 months (or will exceed NZD 60,000 in the next 12 months).

Non-resident businesses selling low value goods in New Zealand may need to register for, collect, and remit GST.

In New Zealand, low value goods are physical goods valued at NZD 1,000 or less.

How often businesses must file GST returns depends on turnover (taxable sales):

• NZD 24 million in any 12-month period — file monthly
• Under NZD 24 million in any 12-month period — file every two months
• Under NZD 500,000 in any 12-month period — file every six months

Businesses are responsible for accuracy when they file GST returns. Businesses can maintain their GST account (myIR account) online, where they can pay GST.

For GST-registered businesses, a GST return is due by the 28th of the month after the end of the taxable period. However, if the reporting period ends on November 30, the return and payment must be submitted by January 15 of the following year.

If a GST return deadline falls on a public holiday or weekend, filing obligations must be completed by the next working day.