Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Inheritance tax in disguise prompts trustees

Inheritance tax in disguise prompts trustees

Nation-wide advertising begins this week in a campaign to block Government plans for "an inheritance tax in disguise".

Advertisements have been scheduled in major newspapers by the New Zealand Trustees Association seeking support from trustees, beneficiaries, and professional advisers for the association's drive to oppose an increase in the family trust tax rate.

The Trustees Association represents registered and professional trustees, administrators, trust companies and professional advisors.

Association Executive Officer Errol Anderson said the Inland Revenue Department planned to raise family trust tax to 36% while lowering the company rate to 30%.

"This is an inheritance tax in disguise which will hit families hard," he said.

"It is unacceptable for the rich, along with companies, to get a tax break at the expense of family trusts.

"More than 244,000 trusts are registered with the IRD. Most of them are family trusts where the minor beneficiaries ‹ children ‹ are already paying a corporate tax rate of 33%.

"Under this proposal, those children will pay more tax than companies and large corporate bodies."

Mr Anderson said the association had created a new membership classification for family trustees and had launched a campaign "fighting fund". An on-line registration process for new members had been set up on the association website (

In advertisements due to run this week, the association says trustees have a duty to take action to protect the income and capital of their trust.

It urges trustees and beneficiaries to join the association and contribute to the fighting fund to force an Inland Revenue and Treasury rethink.

The association has made a submission to the Commissioner of Revenue opposing proposals to increase the trust tax rate.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>


Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>


I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>


Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>


Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>


Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news