Consequently one officer armed himself with a Taser and another officer armed himself with a Glock pistol.
Those officers were in the first police car to arrive at the property at about 8.30am.
"They saw Taylor standing in a paddock about 10-15 metres away, holding a machete in one hand and a sickle in the other," the IPCA decision, released this morning, revealed.
"Mr Taylor immediately began striding towards the police car, and threw one of the weapons at the front passenger door.
"The officer in the front passenger seat, who was shouting at Mr Taylor to drop his weapons, drew his pistol and aimed it through the window at Mr Taylor.
"Mr Taylor continued advancing and then swung his right arm back, preparing to strike the front passenger window with the weapon he was still holding.
"Fearing for his life, the officer in the front passenger seat fired four shots at Mr Taylor, three of which struck him."
The IPCA said the whole incident was over in about 20 seconds.
Taylor died at the scene from gunshot wounds to his chest and abdomen.
IPCA chairman Judge Colin Doherty said the officer was justified in firing the shots at Taylor from inside the police car in defence of himself, because he believed on reasonable grounds that Taylor was about to kill or seriously injure him.
"The threat from Mr Taylor was imminent, the officer could not escape and it was not practical or realistic for him to use a lower level of force," he said.
The IPCA also found that the initial police response to this incident was appropriate, and that police provided Taylor with "appropriate and timely" medical assistance.
Waikato District Commander Superintendent Bruce Bird acknowledged the IPCA report.
"This has been tough, traumatic and challenging for all those involved," he said.
"On behalf of NZ Police I acknowledge Mr Taylor's family and extend our deepest sympathies to them.
"The incident was also challenging for our staff - not only those that were involved on the day but also our investigators and the staff in the wider Paeroa community.
"I commend our staff for the professionalism they have demonstrated throughout."