When you come to New Zealand, we aim to get an IRD number and get you a job soon after you arrive. You’re likely to start paying tax by the Pay As You Earn scheme as soon as you start earning. Tax can be anywhere from 12.5% to 38% depending on how much you earn. That’s bad news for the working traveller, but, alas, all is not lost! You can apply for a tax refund at the end of every tax year to make sure all is balanced on what you should have paid.
The tax year in New Zealand runs from 1st April to 31st March in the following year. If you arrive in NZ part way through the year, you’ll need to wait until the end of the tax year to apply for your refund. If you leave NZ in the middle of a tax year you can still apply for it at any time, but it may take a bit longer for the money to come back into your account.
It can be a complicated process to apply for a tax refund yourself, so we have teamed up with taxback.com to help make this process as easy as possible. They can give you a free estimation of the amount you might get back. As expected, there is a small fee for their service if you have a successful application, but the time you save through them is well worth it. The average amount people get refunded is $550, which is a lovely sum of money for us travellers! The amount you will get back depends on a variety of different factors:
The guys at taxback.com can let you know how much they think you’re owed. All you need is about 15 minutes of your time, your IRD number, and your bank details so they can throw all that money somewhere! Follow the handy link below to get the process started now.