Filing tax return

[Auckland2016]

We have moved to New Zealand just a few months ago and my husband has started work. We are not too familiar with the taxation system here. I understand it is PAYE system here so tax is collected from my husband salary automatically. Bank also withhold tax from interests. Just wonder if there is any tax credits. We come from Canada so each year when we file tax return, we can claim tax credits such as charity donations, public transit credits etc. Also, how can someone get a refund from IRD if they think they pay too much tax. Thanks for your advice!

[JandM]

The information is on the Inland Revenue website. http://www.ird.govt.nz/aboutir/aboutir-home.html

[RedVee]

In your first year, you will need to file an IR3 return, because of the part year thing. After that, if your affairs are simple, you do a personal tax summary. You can put all your figures into a calculator and it will tell you if you are due a refund. There are a few obscure "tax credits", but the most likely ones are independent earner credit for those earring <$48k ($520 for someone on less than $44k, tapering off to nothing by $48k). You can also claim tax relief on income protection policy payments, as long as it's a type of policy where the payout would be taxable.

There are working families tax credits, in work tax credits and parental tax credits for those with children but I don't know much about those. While some of these are aimed at low earners, some of the thresholds are quite high. If you were to claim any of those you would forfeit your four years transitional tax status where you don't pay any tax on any income earned abroad.

this isn't a complete list, just the ones I'm aware of.

[Auckland2016]

Can someone suggest some online tax software? I look at woohoo.co.nz and it charges nearly 20% of the refund (up to $400 max). Not sure if it is a common rate. Looking for something charge less than 20% ...

[Oregonkiwi]

NZ income tax system is simple enough that you can do it yourself, you don't need tax software. All the information you need is on the IRD website.

[RedVee]

NZ income tax system is simple enough that you can do it yourself, you don't need tax software. All the information you need is on the IRD website.

Absolutely agree. It took me around 15 minutes to complete my IR3 online, and that included estimating next year's provisional tax on my non-NZ income. It does the calculations for you. You'd have to get the same information together to hand over to someone like woohoo.