New Zealand and Hong Kong have concluded a double tax agreement, the Government said today.Finance Minister Bill English and Hong Kong's Financial Secretary John Tsang signed the agreement in Auckland.Mr English said it was an important step forward in st
New Zealand and Hong Kong have concluded a double tax agreement, the Government said today.
Finance Minister Bill English and Hong Kong's Financial Secretary John Tsang signed the agreement in Auckland.
Mr English said it was an important step forward in strengthening New Zealand's economic relationship with Hong Kong.
"It is a significant addition to New Zealand's network of double tax agreements with key trading partners and is potentially valuable to businesses and investors from both here and Hong Kong," he said.
Revenue Minister Peter Dunne said Hong Kong was New Zealand's ninth largest market for exports and an important source of investment.
Exports to Hong Kong are worth $850 million a year.
"This agreement will make New Zealand a more attractive investment destination for Hong Kong investors and will make it easier for New Zealand businesses to invest in Hong Kong," he said.
Double tax agreements are designed to encourage growth in economic ties between countries and help cross-border trade by providing certainty of tax treatment and reducing withholding tax rates.
The agreement will bring withholding tax rates into line with rates currently operating with the United States and Australia.
