A common issue that we come across is the difference in tax years between New Zealand and Australia. In New Zealand, for most people, the tax year ends on 31 March. In Australia it is 30 June. If you have been granted an interest exemption on your student loan, your income needs to be advised to the NZ IRD for the period of the New Zealand tax year. Because this won't be the same as your Australian tax year income, we advise that you keep pay slips and other records so that the correct period of time can be calculated. We can assist if you need help interpreting or reporting the correct data.
We have previously discussed the benefit in being deemed as a New Zealand resident student loan debtor, even though you are physically living overseas. Interest can be wiped and there may be no compulsory overseas assessments of up to $5,000 per annum. Instead, your payment will be calculated on your income, just like it would be for someone physically living in New Zealand.
A common issue that we come across is the difference in tax years between New Zealand and Australia. In New Zealand, for most people, the tax year ends on 31 March. In Australia it is 30 June. If you have been granted an interest exemption on your student loan, your income needs to be advised to the NZ IRD for the period of the New Zealand tax year. Because this won't be the same as your Australian tax year income, we advise that you keep pay slips and other records so that the correct period of time can be calculated. We can assist if you need help interpreting or reporting the correct data. Comments are closed.
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November 2020
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