A Welcoming Place For Investors
I’m not sure how you can come to the conclusion that tax compliance has got 23 percent easier from one year to the next. But apparently it has in New Zealand. Still, this isn’t a criticism. If the pain of interacting with the tax man has abated by almost a quarter, this is no bad thing. In fact, it might surprise some to learn that New Zealand is a pretty welcoming place for investors altogether, according to the various barometers measuring the tax and business climate in countries around the world. The World Bank says that New Zealand is the easiest place in the world to start a business, with company founders encountering just one procedure and the process taking just half a day on average. This compares with an OECD average of five procedures and a completion time of more than nine days. Indeed, in its Doing Business Index 2015, the World Bank placed New Zealand in second place in terms of overall ease of doing business, just behind Singapore in the league table of 189 jurisdictions. New Zealand has also had a long presence in the upper echelons of the Heritage Foundation’s Index of Economic Freedom, and this year it is deemed the third-most free economy in the world, beaten only by Hong Kong and Singapore. Unfortunately, New Zealand still has a little way to go to reach the top of PwC’s ease of paying taxes indicator, where it sits 22nd out of 189 jurisdictions. But it’s comfortably ahead of Australia in 39th. And if nothing else, getting one over the Aussies will doubtless make many kiwis cheer.