New Zealand Tax Agency Posts Guidance on GST Apportionment, Adjustments, Build-to-Rent Interest Limitation Exclusion

The New Zealand Inland Revenue April 4 posted online guidance on recent changes under Law No. 5/2023 to GST apportionment and adjustment, and the interest limitation build-to-rent exclusion. Topics covered include: 1) the principle purpose method for goods and services acquired for no more than NZ$10,000 (US$6,314), exclusive of GST, allowing a full GST input tax deduction; 2) the reduction in adjustment periods that GST-registered persons must monitor their percentage of actual use, to 10 years for land and two years for goods and services, for acquisitions of NZ$10,000 to NZ$20,000 (US$12,628), exclusive of VAT; 3) a transitional rule allowing ...