It's important everyone pays the right amount of tax. That's why the New Zealand government has joined more than 100 other countries in a global initiative to combat tax evasion. It's called the Automatic Exchange of Information – or AEOI.
This international collaboration will make it even harder for people to try to evade paying the tax they should by hiding money or investments overseas.
What this could mean for you
New Zealand tax residents are taxed on the money they make in New Zealand and in other countries – even if they don't bring money earned overseas into New Zealand.
Money earned overseas could include interest from an overseas bank account or income from an overseas investment, rental property, business and more.
If you're a New Zealand tax resident who earns money in another country, your information may be shared with Inland Revenue as part of AEOI. So now's a good time to check you're paying the right amount of tax. If you need help getting your tax right, talk with a tax agent or accountant.
New Zealand tax resident, overseas income
If you're a New Zealand tax resident and you receive money from overseas, include it in your individual income tax return (IR3). That way you'll avoid an unexpected bill down the track.
If you find you've made a mistake in a past tax return, let Inland Revenue know right away. They call this making a voluntary disclosure.
Find out more
If you want to find out more about AEOI or have questions about your tax residency, visit ird.govt.nz/infoshare for more information.