Tax on NZ pensions

Wednesday April 18, 2018 Published in Letters to the Editor

A number of decisions have been made by this present government over the last two terms of parliament.

These decisions affect some (if not all) Cook Islanders and were enacted despite serious protestations from various sectors of the public.

 

I would like to highlight some of these decisions in a series of brief letters starting with this one:

A law was enacted to pursue taxation on New Zealand-paid pensions together with a back tax component. The threshold for earnings before taxation was set at $11,000.

Grey Power asked that this threshold be amended to $14,000 so that taxes would not be payable. Government ignored all pleas and protest marches.

In addition, the various bank organisations in Cook Islands were instructed (by law) to deduct penalties from pensioners’ NZ payments before deposits were made to individual accounts.

This practice is still being pursued without customer approval.

            Muri Voter

            (Name and address supplied)

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