IRD releases further information – 29 July 2016
Inland Revenue (IRD) has released a fact sheet on New Zealand’s implementation of Automatic Exchange of Information (AEOI) next year.
NZ’s AEOI implementation is still subject to legislative confirmation, with a tax bill expected to be introduced in August and passed by March 2017.
The fact sheet indicates the design decisions as being:
The fact sheet clarifies the position on a number of key AEOI design issues, including the “wider approach” to due diligence and reporting periods and timelines. It also notes that while AML procedures can be used, where there are divergences the AEOI rules must be applied. This is likely to result in some duplication.
This should now enable NZ financial institutions to plan their AEOI processes. The proposed legislative timetable is tight. Leaving this until legislation is passed in early 2017 will not be an option to comply with the 1 July start date.