New Zealand Tax Knowledge Base

Browse practical answers to common tax questions for New Zealand self-employed individuals, sole traders, and freelancers. Select a category or search for your question.

Tax Basics

  • When does the New Zealand tax year start and end?
  • How does tax work for New Zealand sole traders?
  • What is an IRD number and do I need one as a NZ sole trader?
  • What types of income must NZ sole traders declare?
  • Should I operate as a NZ sole trader or form a company?

Income Tax

  • What are the New Zealand income tax rates for 2024/25?
  • What effective tax rate should NZ sole traders expect?

Acc Levy

  • What is the ACC Earners' Levy and how much do sole traders pay?
  • What is the ACC Work levy and how is it different from the Earners' Levy?

Gst

  • When do NZ sole traders need to register for GST?
  • How does GST work for New Zealand sole traders?
  • How often do NZ sole traders need to file GST returns?
  • How do GST-registered NZ sole traders claim expenses differently?

Provisional Tax

  • What is provisional tax and who has to pay it in New Zealand?
  • When are the provisional tax payment dates in New Zealand?
  • What is use-of-money interest and when does it apply in NZ?
  • How should NZ sole traders plan their cash flow for tax?

Deadlines

  • When is the IR3 tax return deadline in New Zealand?
  • What are the penalties for late filing or paying tax in New Zealand?

Expenses

  • What business expenses can New Zealand sole traders claim?
  • What is the NZ low-value asset threshold for immediate write-off?
  • How much of entertainment expenses can NZ sole traders claim?
  • Can NZ sole traders claim their phone and internet as a business expense?
  • Can NZ sole traders claim training and professional development costs?

Vehicle Home Office

  • How do NZ sole traders claim home office expenses?
  • How do NZ sole traders claim vehicle expenses?

Record Keeping

  • How long do NZ sole traders need to keep their records?
  • Should NZ sole traders use accounting software like Xero or MYOB?

Filing

  • What is myIR and how do sole traders use it?
  • How does a NZ sole trader file their IR3 tax return?
  • Should NZ sole traders use a registered tax agent?

Related Resources

  • Frequently Asked Questions
  • Tax Glossary
  • Profession Guides