Non-resident contractors receive schedular payments. Your payer deducts tax from your payments unless you're exempt.
What you need to do
Before you start work you need to:
- get an IRD number
- decide on your tax rate
- give your payer a Tax rate notification for contractors IR330C form.
If you don’t give your payer an IR330C they will deduct tax at the no-notification rates of:
- 20% if you are a company
- 45% if you are not a company.
You need to decide on a tax rate
You can either:
- use the standard tax rate
- choose your own tax rate
- apply for a special tax rate.
The standard tax rate for non-resident contractors is 15%.
If you think the standard rate will be too low for your situation, use our tax rate estimation tool to help work out the best tax rate for you. It must be at least 15%.
If you think the standard rate will be too high for your situation, use our tax rate estimation tool to help work out the best tax rate for you. Then talk to us about how to apply for a special tax rate.
Go to this tool
If New Zealand has a double tax agreement with your home country
You might not have to pay tax to New Zealand on the money you earn here. If you're exempt from tax here, you pay the tax in your home country instead.
You or your tax agent need to check the DTA to see if this applies to you.Double tax agreements (DTAs) Apply for a certificate of exemption from schedular tax Apply for a certificate of exemption as a non-resident contractor
If New Zealand does not have a double tax agreement with your home country
- If you earn $15,000 or less in New Zealand in any 12-month period your payer will not deduct tax from your schedular payments. You pay your tax at the end of the tax year or when you leave New Zealand.
- You need to file an Individual tax return IR3 to work out how much tax you need to pay.
You may be able to claim a tax credit in your home country for tax you’ve paid here. You or your tax agent need to check the tax laws in your home country.
Talk to your tax agent or us about your situation. We can help you to understand your tax obligations and entitlements.