I worked overseas for part of the year, do I owe New Zealand tax on that income?
- 23.07.2026
I run a consulting business in New Zealand and some of my clients are based overseas. I am GST registered for my New Zealand clients, but I am not sure whether I need to add GST to invoices for the overseas work. What is the rule?
Under the Goods and Services Tax Act 1985, supplies of services to a person who is outside New Zealand at the time the services are performed, and who is not in New Zealand, are generally zero-rated, meaning GST is charged at a rate of zero rather than the standard rate, provided certain conditions in the Act are satisfied. This differs from an exempt supply because you can still claim back GST on your related expenses. It is important to check the specific requirements, particularly if the service relates to land or goods physically situated in New Zealand, or if the recipient has some connection with New Zealand, since these can affect zero-rating eligibility. Keep good evidence of the client's location, such as their business address and correspondence. Consult an accountant to confirm the correct GST treatment for each type of overseas client work you undertake.
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