Taxation (Use of Money Interest Rates) Amendment Regulations 2020

2020/76

Coat of Arms of New Zealand

Taxation (Use of Money Interest Rates) Amendment Regulations 2020

Patsy Reddy, Governor-General

Order in Council

At Wellington this 4th day of May 2020

Present:
The Right Hon Jacinda Ardern presiding in Council

These regulations are made under section 120H(b) of the Tax Administration Act 1994 on the advice and with the consent of the Executive Council.

Regulations

1 Title

These regulations are the Taxation (Use of Money Interest Rates) Amendment Regulations 2020.

2 Commencement

These regulations come into force on 8 May 2020.

3 Application

These regulations apply on and after 8 May 2020.

4 Principal regulations

These regulations amend the Taxation (Use of Money Interest Rates) Regulations 1998 (the principal regulations).

5 Regulation 2 amended (Taxpayer’s paying rate)

In regulation 2, replace “8.35%” with “7.00%”.

6 Regulation 3 amended (Commissioner’s paying rate)

In regulation 3, replace “0.81%” with “0.0%”.

Michael Webster,
Clerk of the Executive Council.

Explanatory note

This note is not part of the regulations, but is intended to indicate their general effect.

These regulations, which come into force on 8 May 2020, amend the Taxation (Use of Money Interest Rates) Regulations 1998 to—

  • decrease the taxpayer’s paying rate of interest on unpaid tax from 8.35% to 7.00% per annum; and

  • decrease the Commissioner’s paying rate of interest on overpaid tax from 0.81% to 0.0% per annum.

The rates fixed by these regulations have been determined in accordance with the Taxation (Use of Money Interest Rates Setting Process) Regulations 1997.

Issued under the authority of the Legislation Act 2012.

Date of notification in Gazette: 7 May 2020.

These regulations are administered by the Inland Revenue Department.