New Zealand: Implemented sections of Taxation Bill 164-1 (No 2) introducing taxation measures for digital platform operators

On 1 April 2024, the Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Bill (No 2), introducing taxation measures for digital platform operators, was partially implemented. The implemented passages introduce the change that online marketplace operators must now collect GST at a 15% rate on services performed, provided, or received in New Zealand, with 6.5% going to the government and 8.5% to the operators. Large accommodation hosts meeting certain thresholds can opt out of these rules, maintaining their GST obligations independently through written agreements. The Bill also expands criteria for non-active trusts, introduces stricter compliance for foreign trusts, provides a GST exemption for employer-subsidized public transport, and addresses technical tax issues, including depreciation and business continuity. These changes impact a range of businesses, requiring system updates for compliance.