CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Multilateral Tax Convention Enters Into Force In NZ

Multilateral Tax Convention Enters Into Force In NZ

by Mary Swire,, Hong Kong

03 March 2014

The multilateral Convention on Mutual Administrative Assistance in Tax Matters will become effective in New Zealand from March 1.

New Zealand ratified the treaty last November, with the aim of enhancing its ability to deal with tax evasion and avoidance.

According to Revenue Minister Todd McClay: "It is important that taxpayers operating internationally pay their fair share of tax in the jurisdictions they are operating in. This issue cannot be resolved by any single country acting alone, it needs a global solution."

"The only way to achieve a fair outcome in each country is for countries to collectively agree to share information."

The Convention was developed jointly by the Organisation for Economic Cooperation and Development (OECD) and the Council of Europe. It is open to all countries, and Canada is ratifying it at the same time as New Zealand. It is thought that Russia will be the next state to take this step.

McClay welcomed international efforts to crack down on base erosion and profit shifting (BEPS), and the new standard on the automatic exchange of information. He praised the OECD and Group of Twenty nations (G20) for "working on the technical details of measures governments can take," adding that the Convention "will supplement these measures, providing us with an additional weapon in the anti-avoidance arsenal."

The Convention will allow New Zealand's Inland Revenue to request information from other tax authorities, and seek assistance in collecting outstanding tax debts.

TAGS: Russia | compliance | tax | business | tax compliance | tax avoidance | Organisation for Economic Co-operation and Development (OECD) | tax authority | multinationals | tax planning | transfer pricing | Canada | New Zealand | G20 | revenue statistics | Europe | Tax | Tax Evasion

To see today's news, click here.


Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »

Stay Updated

Please enter your email address to join the mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.

To manage your mailing list preferences, please click here »