- New Zealand Parliament accepted Bill No. 288-1 for consideration, which proposes a 3% digital services tax on specific revenue generated by certain digital services groups from resident users or land.
- The tax would apply to groups with a minimum annual digital services revenue of 750 million euros on a global scale, but would grant exemptions for groups with annual digital services revenue in New Zealand below 3.5 million euros.
- The law also defines in-scope revenue categories, establishes requirements for filing, payment, refunds, penalties, and administration by the Inland Revenue, and provides an option for a five-year deferral of the tax’s implementation and allowing for its repeal should an acceptable multilateral solution on DSTs be adopted.
- The effective date of this law would be January 1, 2025.
Source GVC
