Source: New Zealand Inland Revenue Department – Press Release/Statement:
Headline: Family Tax Credit Bill passed
The Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Bill, introduced on 23 November, passed through all stages in the House last night. The Bill:
- increases the Family Tax Credit by almost $15 per week for the eldest child in a family and around $13 per week for subsequent children from 1 April 2022
- provides for a scheduled CPI indexed increase to Best Start from $60 to $65 per week from 1 April 2022
- increases the abatement rate for the Family Tax Credit and the In-Work Tax Credit from 25 percent to 27 percent from 1 April 2022
- increases the Minimum Family Tax Credit threshold from $31,096 to $32,864 from 1 April 2022, and
- removes the requirement for a change in Alert levels for activating the Resurgence Support payment under the new COVID-19 Protection Framework.
The new legislation now awaits enactment. For more information, see the Minister of Revenue’s media statement.