New Zealand's 12.5 percent goods and services tax (GST) rate is already higher than the Asia Pacific average, according to the KPMG Asia Pacific indirect tax country guide.If a rise to 15 percent is confirmed in the upcoming budget, the gap with the Asia
New Zealand's 12.5 percent goods and services tax (GST) rate is already higher than the Asia Pacific average, according to the KPMG Asia Pacific indirect tax country guide.
If a rise to 15 percent is confirmed in the upcoming budget, the gap with the Asia Pacific tax average will increase further.
"The report shows that New Zealand's GST rate is already above the Asia Pacific average of 10.8 percent," Peter Scott, senior GST partner at KPMG New Zealand said.
"This is not surprising given the relative newness of many of the indirect tax regimes in the Asia Pacific region when compared to the more established systems, such as New Zealand and the European Union," he said.
The report also shows that like New Zealand, other countries are using GST as a way of raising taxes and broadening their tax base.
