The Government introduced changes to the personal income tax rates and thresholds starting on 1st April 2009 with further changes planned for April 2010 and April 2011.
The new rates will apply to all individuals including:
- employees who make PAYE payments directly to the IRD, and
- individuals who file IR3 tax returns
The PAYE rates and thresholds for the period ended 31 March 2009 were:
| Income Thresholds |
Rates
|
| Income to $14,000 |
12.5%
|
| $14,001 - $40,000 |
21%
|
| $40,001 - $70,000 |
33%
|
| $70,001 and over |
39%
|
| Income Thresholds |
Rates
|
| Income to $14,000 |
12.5%
|
| $14,001 - $48,000 |
21%
|
| $48,001 - $70,000 |
33%
|
| $70,001 and over |
38%
|
Secondary tax code thresholds also changed from 1 April 2009.
Current rates and thresholds
| Income Thresholds |
Rates
|
Tax code (no SLS)
|
Tax code (with SLS)
|
| Total income to $40,000 |
21%
|
S
|
S SL
|
| $40,001 - $70,000 |
33%
|
SH
|
SH SL
|
| $70,001 and over |
39%
|
ST
|
ST SL
|
New rates and thresholds from 1 April 2009
| Income Thresholds |
Rates
|
Tax code (no SLS)
|
Tax code (with SLS)
|
| Total income to $48,000 |
21%
|
S
|
S SL
|
| $48,001 - $70,000 |
33%
|
SH
|
SH SL
|
| $70,001 and over |
38%
|
ST
|
ST SL
|
Full details of these changes can be found on the IRD website at
www.ird.govt.nz
