New Zealand Trusts in International Tax Planning
British Tax Review, No. 5, pp. 554-564, 2000
13 Pages Posted: 13 May 2010 Last revised: 14 Apr 2015
Date Written: 2000
The trust is the most useful device that New Zealand offers to non-residents in the field of international tax planning. So long as settlors, beneficiaries, and income are all foreign the trust is unlikely to attract New Zealand tax. The residence of the trustee has no effect on the tax benefits of the trust so long as the former requirements have been met. This has been the case since 1988. Increasingly Australian planners have employed New Zealand trustees to hold investments in superannuation funds, a strategy that is thought to avoid Australian tax. In addition to Australians, people from many countries employ New Zealand trusts to hold their investments.
Keywords: International tax planning, Trust, Taxation of Trusts
JEL Classification: K33, K34
Suggested Citation: Suggested Citation