This paper argues that there is too great a reliance placed on anti-avoidance provisions, discretions reposed in the revenue, and judicially developed doctrines as a means of countering tax avoidance. In view of the difficulties in defining and countering tax avoidance, it is suggested that...

Since WW II there has been a rapid expansion in the number of bilateral double tax agreements (DTAs) concluded between countries. A feature of modern DTA negotiations has been the adoption of internationally accepted models or templates from which most DTAs are negotiated from. Although such...

This paper considers New Zealand's hybrid tax credit system consisting principally of a credit system combined with exemption features in respect of certain classes of income, both of which aim to provide relief to minimise the impact of foreign income being taxed in a foreign jurisdiction as...

This article discusses the current state of tax treaty interpretation in New Zealand with particular reference to a recent decision which has attracted attention both here in New Zealand and overseas. The case concerned whether a New Zealand resident was entitled to a tax sparing credit under...

This article examines the potential conflict between thin capitalization rules and the OECD Model article on non-discrimination using the New Zealand regime exempli gratia. It is discriminatory to impose a higher tax burden on an enterprise funded with foreign capital. Yet that is the basis for...

Hybrid entities give rise to international tax problems, and it must be acknowledged, opportunities. Why is this so? This is because, at the heart of the phenomenon, different countries tax systems treat hybrid entities in fundamentally different ways allocating income to different parties. The...

The OECD has for several years been laboriously attempting to reform the international tax system so as to rectify the gross under-taxation of heavily digitalized firms such as Google, Facebook and eBay. Progress has been slow, though, so a number of countries, including New Zealand, have...

New Zealand law provides for no special tax consequences on the formation of trusts. Transfers to trusts are taxable or non-taxable pursuant to the same rules that apply in respect of transfers to other people or entities. However, because there is more likely to be an element of gift in...