Use-of-money interest rates change
2016 order in council adjusts the use-of-money interest rates on underpayments and overpayments of taxes and duties in line with market rates from 8 May 2016.
The use-of-money interest rates on underpayments and overpayments of taxes and duties have changed, in line with market interest rates.The new rates are:
- underpayment rate: 8.27% (previously 9.21%)
- overpayment rate: 1.62% (previously 2.63%)
The new rates came into force on 8 May 2016.
Rates are reviewed regularly to ensure they are in line with market interest rates.The new rates are consistent with the Reserve Bank floating first mortgage new customer housing rate and the 90-day bank bill rate.
The rates were changed by Order in Council on 4 April 2016.
Taxation (Use of Money Interest Rates) Amendment Regulations 2016 (LI 2016/75)