We explore a recent Inland Revenue decision on whether the profit from a subdivision was subject to income tax and GST. 

There is little doubt that New Zealanders’ passion for investing in residential property will survive despite the tax treatment of residential rental investments increasingly becoming a tangled web of complexity.

Parents wishing to assist their children with buying residential property should carefully consider the ownership structure and alternate options before settlement. Inland Revenue has issued a draft interpretation regarding bright-line application in family and close relationship transactions.

Build-to-rent developers will get a tax break – is this unfair to private landlords? We look at what makes this new asset class quite different from the everyday rental property.

Residential property acquired after 27 March 2021 is subject to a 10-year bright-line period, or 5 years if the property qualifies as a ‘new build’. To alleviate the risk of property transfer being caught with unfair taxes, some rollover relief is available.