On 20 May 2013 the Taxation (Annual Rates, Foreign Superannuation, and Remedial Matters) Bill was introduced into Parliament.

The 2013 Budget once again comes with no surprises. The clear message coming through from the Government is their belief that careful stewardship of public money is key for the success of all New Zealanders. However it is a Budget with caution. The Government has earmarked an increase in spending on “new initiatives” of around $5.1b over the next 5 years. This is on the back of forecast surpluses from 2014/15. Given the events that have significantly impacted our economy over the last few years (GFC and the Christchurch earthquake), in comparison to many of our trading partners this would seem to be a good result. But will the spending on new initiatives be channelled in the right direction and is it enough?

The Inland Revenue has advised that its 2013 review of the mileage rate has been delayed and the rate for the 2013 income year is not expected to be released until early July 2013.

On 6 December 2012 the IRD released a Commissioner’s Statement clarifying the Commissioner’s position on the tax treatment of accommodation allowances.

Revenue Minister, the Hon Peter Dunne has announced that the Government is looking to negotiate a Foreign Account Tax Compliance Act (FATCA) Agreement with the United States.

The Minister of Revenue, the Hon Peter Dunne, has announced that the minimum family tax credit available to low-income families will increase from 1 April 2013.

The recent receivership of the Ross Asset Management Group has certainly gained a lot of media attention. It was reported the receivers of the Group, PwC, have only been able to uncover $11 million of assets in a company that was thought to have investments worth around $450 million.

Following an initial public consultation period, there has now been a few changes to the proposed legislation around the taxation of lease inducement payments offered by commercial landlords. One of the major changes being the date the new rules will take effect.

The voluntary repayment bonus that has been available to student loan borrowers since 2009 is being removed from 1 April 2013.

An Official’s discussion paper was released earlier this year which, amongst other things, proposed taxing salary trade-off benefits. Whilst in concept many would believe this to be a move in the right direction, the suggested proposals appeared to be extremely wide.