3 Sep 2012

Trans-Tasman tax changes tipped to generate growth

2:59 pm on 3 September 2012

A new report suggests changes to tax laws in New Zealand and Australia could help the trans-Tasman economy grow by $NZ5 billion over the next 20 years.

The report is from the New Zealand Institute for Economic Research and Australia's Centre for International Economics.

At present, companies based in either Australia or New Zealand with operations in the other country have their profits taxed twice because neither country recognises the other's system.

Business New Zealand chief executive Phil O'Reilly said double taxation needs to be removed because it reduces the incentive to invest.