Tax Implications - Contracted to UK company but resident in NZ?

[kissakiwi]

Hi, Apologies if this has already been answered as I could not find anything specific to my situation.

I am a UK & NZ Citizen and have been out NZ for last 20-odd years.
I am returning to NZ shortly to reside once more.
I have done a deal whereby my current UK employer (IT Services) will continue to employ me on a contract basis (so, effectively doing UK work but living in NZ) and will pay me into my UK Bank account in Sterling.

Just wondered what the tax implications were in NZ?
I am not sure if I would qualify for any exemption or tax relief as a returning citizen? Is there any 'grace' period or do I need to declare my UK income immediately to NZ IRD? I assume I just inform UK IR that I am emmigrating before I depart?

Obviously will ask these properly to an accountant when there, but was just wondering of any one else had any similar expereince and advice. Perhaps something I should do BEFORE I leave (leaving in just over a week!)

Many thanks
KK

[JandM]

Hello and welcome.

I'm afraid I don't know the answer, but there are some knowledgeable people about.

[IanW99]

...
Just wondered what the tax implications were in NZ?
I am not sure if I would qualify for any exemption or tax relief as a returning citizen? Is there any 'grace' period or do I need to declare my UK income immediately to NZ IRD?
...

If you have been out of NZ for more than 10 years and you have never previously been granted the exemption then see Temporary Tax Exemption

Note however that this doesn't cover any employment income.

You won't need to report your income immediately but will have to file an IR3 form at the end of the tax year and declare your earnings.

As you may know NZ taxes you on your world-wide earnings so will want to know about your UK earnings, what you may not know is that NZ and the UK have a double taxation agreement, so any tax you pay on your income in the UK will be taken into account when calculating how much you need to pay in NZ i.e. so you don't end up paying tax twice for the same income.

Ian

[Kiwi Mac]

That would need proper advice. All kinds of things are possible.

My brother works for a UK company. He got them to employ a Panama registered company my father owns (paper shell) to do his job and he sub-contracts to the Panama company.

The UK company pay the Panama company gross by monthly transfer to Panama and he is paid by the Panama company to an account in Monaco (0% tax!).

He lives in Jakarta and before that Geneva, so only has tax liability over the Monaco rates on such currency as he brings in from there. Which is, of course (ahem) none whatsoever...!

Nice!