New Zealand's 1988 International Tax Regime for Trusts
Australian Tax Forum, Vol. 6, pp. 65-87, 1989
24 Pages Posted: 31 Mar 2010 Last revised: 18 Apr 2015
Date Written: 1989
In the late 1980s New Zealand undertook a process of adopting a new income tax regime for companies, and in particular for controlled foreign companies. The new rules reflected a change from a classical to an imputation system. The rules were designed to frustrate avoidance deferral that was previously achievable by residents through the use of controlled foreign companies. Coupled with the introduction of this reform was a new regime for the taxation of trusts, reflecting the fact that trusts are often employed as substitutes for companies.
Keywords: Trusts, Foreign Companies, Tax, Reform
JEL Classification: K34
Suggested Citation: Suggested Citation