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Article: GST and financial services: big changes afoot in New Zealand: the next two years will be a busy time on the GST front for New Zealand financial institutions. (Financial Services).
- Article from:
- Journal of Banking and Financial Services
- Article date:
- December 1, 2002
- Author:
CopyrightCOPYRIGHT 2002 Australian Institute of Banking and Finance. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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The GST treatment of the banking and finance sector is about to undergo big changes, arguably the most significant since introduction of the tax in 1986.
As those in the financial services sector are well aware, the GST treatment of financial services is a fraught issue, both from a high level policy perspective and from a day to day administrative viewpoint.
The policy issues include whether financial services should be subject to GST and, if so, how that would be achieved. The administrative issues include dealing with the fact that financial services are exempt; in particular, determining an appropriate apportionment ratio for claiming GST on ...