Non-Residents
The tax residence rules determine whether a person is a New Zealand tax resident. The worldwide income of a New Zealand tax resident is subject to New Zealand tax laws. People who are not New Zealand tax residents (non-residents) are liable for New Zealand tax only on their New Zealand-sourced income.
You’re a New Zealand tax resident if:
- You’re in New Zealand for more than 183 days in any 12-month period, or
- You have an “enduring relationship” with New Zealand (see below), or
- You’re away from New Zealand in the service of the New Zealand government.
The 183-day rule
If you’re in New Zealand for more than 183 days in any 12-month period, you’re considered to be a New Zealand tax resident from the day you arrived. The 183 days don’t have to follow each other. For example, if you come to New Zealand for 10 days in April and then return for 20 days in September of the same year, it will be counted as 30 days. If you’re in New Zealand for only part of a day, it is counted as being a whole day. This means that the days on which you depart or arrive are treated as “days present” in New Zealand.
An enduring relationship with New Zealand
The Income Tax Act 2007 says that a person, other than a company, who has a “permanent place of abode” in New Zealand is a New Zealand tax resident. Permanent place of abode means more than just the building you live in, it covers all your ties and links with New Zealand. These may be social, physical, economic or personal. The enduring relationship test overrides any rules about the number of days you’re in New Zealand.
