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New Zealand signs tax agreement with Poland

21 April 2005
Media Statement

New Zealand signs tax agreement with Poland

New Zealand has signed a double tax agreement with Poland, Prime Minister Helen Clark announced today.

Helen Clark and Polish Prime Minister Marek Belka witnessed the signing of the double tax agreement today in Warsaw, where Helen Clark is attending the official opening of the New Zealand embassy.

“Poland’s entry into the European Union is positive for its economy, and over time should open up more trade opportunities for New Zealand,” Helen Clark said.

“Once in force, the double tax agreement will help to reduce the costs for New Zealanders doing business in Poland and vice versa. The agreement will thus encourage stronger economic links between our two countries.

“Double tax agreements help trade and investment in a number of ways. They prevent businesses being taxed twice on income they earn in the other country, once in that country and again at home. They also give greater certainty about future taxation, reduce compliance costs for some activities, and lower tax on some income.

“New Zealand is already party to 29 double tax agreements with other countries. Maintaining and extending that network is a continuing priority on the New Zealand Government’s tax policy work programme,” Helen Clark said.

The double tax agreement between Poland and New Zealand will come into force once both parties have completed domestic procedures to give legal effect to it. In New Zealand's case this requires an Order in Council to be passed.

The text of the agreement is published at www.taxpolicy.ird.govt.nz.


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