Confirmation of annual income tax rates for 2007-08

Confirmation of annual income tax rates for 2007-08 under schedule 1 of the Income Tax Act 1994.

The Taxation (Annual Rates of Income Tax 2007-08) Act 2007 is one of three Acts to result from the passage of the Taxation (Annual Rates, Business Taxation, KiwiSaver, and Remedial Matters) Bill, introduced in May 2007. The new Act received Royal assent on 19 December 2007.

Schedule 1, Income Tax Act 2004

The income tax rates that will apply for the 2007-08 tax year are as follows:

Policyholder income 33 cents for every $1 of schedular taxable income
Maori authorities 19.5 cents for every $1 of taxable income
Companies 33 cents for every $1 of taxable income
Trustee income (including that of trustees of superannuation funds) 33 cents for every $1 of taxable income
Trustees of group investment funds in respect of Category A income

Taxable distributions from non-qualifying trusts

33 cents for every $1 of schedular taxable income

45 cents for every $1 of taxable distribution

Other taxpayers (including individuals)

- Income not more than $38,000

- Income more than $38,000 but not more than $60,000

- Income more than $60,000

19.5 cents for every $1 of taxable income

33 cents for every $1 of taxable income

39 cents for every $1 of taxable income

Specified Superannuation Contribution Withholding Tax

Where the employer has made an election under section NE 2B and the amount of salary
or wages given by section NE 2B is:

- not more than $11,400

- more than $11,400 and not more than $45,600

- more than $45,600

Where no election under section NE 2A(2) or section NE 2B is made

 

 

15 cents for every dollar of contribution

15 cents for every dollar of contribution

33 cents for every dollar of contribution

33 cents for every $1 of contribution