Private equity update - Proposed tax changes may restrict ability to claim interest deductions in New Zealand

Inland Revenue has released an Issues Paper outlining possible changes to New Zealand's thin capitalisation regime. Some of proposed changes have significant ramifications for funding structures that non-resident's use to make New Zealand company acquisitions, including in the context of private equity transactions. In particular, companies owned 50% or more by non-residents may be restricted in their ability to claim interest deductions ... READ MORE

Released by MinterEllisonRuddWatts - 24 January 2013