Tax Reform in New Zealand

Abstract:     
In 1984 New Zealand began a major programme of tax reform. The changes were part of wider economic reforms enacted by the Fourth Labour Government. There were large cuts to the level of income tax and an introduction of a Goods and Services Tax, that is, a VAT. The changes were favourable to business in the sense that New Zealand’s tax system became increasingly neutral. At the same time anti-avoidance rules were strengthened.

Number of Pages in PDF File: 19

Keywords: Tax reform, Goods and services tax, Fourth Labour Government, Income tax, Anti-avoidance, VAT

JEL Classification: K34

Accepted Paper Series