Global exchange of tax information
New Zealand is one of many countries that has committed to a global initiative led by the Organisation for Economic Co-operation and Development (OECD) on the automatic exchange of financial account information for foreign tax residents. The Automatic Exchange of Information (AEOI) uses a Common Reporting Standard to share tax information.
Under AEOI banks and other financial institutions will have to identify foreign tax residents among their customer base. It’s similar to our obligations under the US Foreign Account Tax Compliance Act (FATCA).
AEOI will affect you if you are identified as a foreign tax resident in New Zealand, or if you’re a New Zealand tax resident with financial accounts in other participating countries.
Inland Revenue administers the law relating to AEOI. Information about the law and what it might mean for you is available here. Inland Revenue’s information for customers who hold bank accounts is available here.