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Proposal to tax foreign dividends at deemed rate of return

|Proposed Changes|New Zealand
New Zealand

The Finance Minister and Revenue Minister announced on 15 September 2006 that further changes would be made to the previously released proposal to reform taxation of portfolio offshore share investments.

The announced changes will implement a regime of taxation of individuals on the movement in the market value of their foreign shares, capped at 5% of the market value movement. For example, if the market value of a foreign share is NZD 100 in the beginning of t…

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