New Zealand Tax Agency Seeks Comments on Withholding Tax, GST Treatment of Board Member Fees

The New Zealand Inland Revenue May 6 opened a consultation on Exposure Draft No. ED0259, on the withholding tax and GST treatment of fees paid to board members, committees, panels, review groups, and task forces. The exposure draft includes: 1) that the withholding tax rate on fee payments to board members is 33 percent, with exceptions; 2) that tax credits may arise for any taxes withheld from payments, which may be used to offset total tax liability for the year, and that reimbursements for expenses incurred for work or services performed by members aren’t subject to withholding tax; 3) situations ...