New Zealand tax rates
Oceania · headline statutory rates, 2025 · Above average
In New Zealand, the top statutory personal income tax rate is 39% (ranked #30 of 96 countries), the headline corporate income tax rate is 28%, and the standard VAT/GST rate is 15%. Capital gains for individuals are treated as: No comprehensive capital gains tax. Overall it reads as a above average jurisdiction on headline rates — headline rates above the global middle. These are statutory top rates, not the effective tax most people pay, and not tax advice — verify with New Zealand's official tax authority.
Source: PwC Worldwide Tax Summaries. Data as of June 2026.
New Zealand tax rates at a glance
| Tax | New Zealand |
|---|---|
| Top personal income tax rate | 39% |
| Corporate income tax rate | 28% |
| Standard VAT / GST | 15% |
| Capital gains (individuals) | No comprehensive capital gains tax |
| Employee social security | KiwiSaver (voluntary); ACC levy |
Source: PwC Worldwide Tax Summaries. Data as of June 2026.
Headline statutory rates (2025), compiled from PwC Worldwide Tax Summaries and cross-checked against OECD / Tax Foundation data. Rates change — confirm with the official tax authority before relying on them. This is not tax advice.
What these New Zealand rates mean
The figures above are headline statutory rates: the top marginal personal income tax rate, the standard (not reduced) VAT/GST rate, and the main corporate rate. The top 39% income tax rate only bites on income above the highest bracket — the effective rate an average earner pays is lower. Consumption is taxed through VAT/GST at 15%, usually with reduced rates on essentials. Always layer in social security (KiwiSaver (voluntary); ACC levy) and any local taxes for a full picture.
How New Zealand ranks
| Measure | New Zealand | Rank (1 = highest) |
|---|---|---|
| Top personal income tax | 39% | #30 of 96 |
| Corporate income tax | 28% | #15 of 96 |
| Standard VAT/GST | 15% | #57 of 87 |
Countries with a similar tax level to New Zealand
The five countries closest to New Zealand on overall headline tax level:
| Country | Top income tax | Corporate tax | VAT/GST |
|---|---|---|---|
| New Zealand (this country) | 39% | 28% | 15% |
| Slovakia | 35% | 24% | 23% |
| Puerto Rico | 33% | 37.5% | 11.5% |
| Luxembourg | 42% | 23.87% | 17% |
| Mexico | 35% | 30% | 16% |
| China | 45% | 25% | 13% |
Frequently asked questions
What is the income tax rate in New Zealand?
The top statutory personal income tax rate in New Zealand is 39%. This is the highest marginal rate, which only applies above the top income threshold — most taxpayers pay less. It ranks #30 of 96 countries in our dataset by top rate. Headline rate as of 2025; verify with the official tax authority.
What is the corporate tax rate in New Zealand?
New Zealand's headline corporate income tax rate is 28%, ranking #15 of 96 by headline corporate rate. Effective rates can differ with incentives, surcharges and local taxes. Verify with the official authority.
Does New Zealand have VAT or sales tax?
Yes — the standard VAT/GST rate in New Zealand is 15% (GST 15%). Reduced rates often apply to food, medicine and other essentials.
Is New Zealand a high-tax or low-tax country?
On headline statutory rates, New Zealand looks like a above average jurisdiction — headline rates above the global middle. This is a rough signal from top rates only, not the effective tax an average person or company pays. Tax residency, deductions and treaties change the real picture. Not tax advice.
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Sources & accuracy
Headline rates for New Zealand from PwC Worldwide Tax Summaries, cross-checked with the OECD and Tax Foundation. Data as of June 2026; reflects roughly the 2025 tax year. These are statutory headline rates, not effective rates, and this page is general information, not tax advice — verify with New Zealand's official tax authority and a qualified adviser before acting. See our methodology and disclaimer.
Last updated: 2026-06-20