2026 determination lists the national standard costs for specified livestock.

This item summarises a private ruling that considered the opening value for the fair dividend method of calculating the foreign investment fund income of a taxpayer whose transitional residence period has ended.

New legislation

• SL 2025/260: Income Tax (Tax Credit) Order 2025
• SL 2025/271: Income Tax (Fringe Benefit Tax, Interest on Loans) Amendment Regulations (No 3) 2025
• SL 2025/310: Taxation (Use of Money Interest Rates) Amendment Regulations (No 2) 2025 
• SL 2025/259: Tax Administration (Extension of Application Deadline for Research and Development Tax Credits) Order 2025

Interpretation statement

• IS 25/26: The Commissioner’s duty of care and management – section 6A of the Tax Administration Act 1994

Question we've been asked

• QB 25/22: Do the purchase price allocation rules alter the tax book values of Farmland Improvements and listed horticultural plans under subpart DO?

 Case summary

• CS 26/01: Court approves proposal under the Insolvency Act 2006 despite Commissioner’s objection

This case involved a proposal submitted on behalf of Mr Michael Robert Garnham (Mr Garnham) under Subpart 2 of Part 5 of the Act during bankruptcy proceedings commenced by the Commissioner of Inland Revenue (the Commissioner).  If accepted by a majority of Mr Garnham’s creditors, and approved by the High Court, the proposal would bind the Commissioner and Mr Garnham would avoid bankruptcy.

The Commissioner voted against the proposal during the creditors meeting and opposed the provisional trustee’s application for the High Court to approve the proposal.

Despite the Commissioner’s objection, the Court approved the proposal.

Tax Information Bulletin - Vol 38 No 1, February 2026

Gift duty was abolished in New Zealand for dispositions of property made on or after 1 October 2011. Originally introduced in 1885, gift duty protected the estate duty base by discouraging people from transferring of assets prior to death, and generated revenue. When estate duty was repealed in 1992, gift duty was retained to address concerns around income tax avoidance and the targeting of social assistance.

However, a subsequent policy review found that New Zealand’s tax framework had strengthened since 1992. The integrity of arrangements involving gifts was adequately safeguarded by broader tax legislation, including the general anti-avoidance provision in section BG 1 of the Income Tax Act 2007. Given that gift duty no longer generated significant revenue and imposed substantial compliance costs on the private sector, the Government decided to repeal it, effective from 1 October 2011.

This means gifts can be made in New Zealand without any gift duty.

This interpretation statement sets out the Commissioner’s view on his “care and management” duty in s 6A of the Tax Administration Act 1994. In doing so, it clarifies the relationship between      s 6A and the other provisions of the Inland Revenue Acts, including s 6 of the Tax Administration Act 1994, which requires the Commissioner to use best endeavours to protect the integrity of the tax system. All legislative references are to the Tax Administration Act 1994 (the TAA) unless otherwise stated.

Tax Information Bulletin - Vol 38 No 1, February 2026

The Arrangement is the provision by Northride to its employer customers (Employers) of a product or service package, being the lease of self-powered or low-powered commuting vehicles ( Equipment). The package includes the necessary digital tools and intellectual property to allow the Employer to implement an employee bike scheme for its employees (Employees) using a valid salary sacrifice arrangement, or at the Employer’s discretion, fully funded by the Employer.  

The Arrangement enables Employers to provide the Equipment to their Employees, where the Employees may agree to a reduction in salary in return for the provision of the Equipment, or where the Employer could, at its discretion, fully fund the provision of the Equipment. Examples of Equipment are bicycles, electric bicycles, scooters and electric scooters.