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Work out your tax code

Activities subject to schedular payments (formerly withholding payments)

If you work as a self-employed contractor in one of the types of work listed in the table below, then you will need to have tax deducted. Your tax code will be WT.

After finding your rate in the table below, write tax code WT in the circle under question 2 of the Tax code declaration (IR330) form, then give the completed form to your employer. Make sure you complete questions 1-4 of the IR330.

You can download an IR330 or complete it online - go to "Forms and guides".

Filing a tax return

You must file an IR3 tax return at the end of the financial year. ACC clients or caregivers receiving ACC personal service rehabilitation payments may not be required to file an IR3.

Note

Companies operating in the horticultural and viticultural industries, for services or work related to the "pruning or thinning of fruit trees or vines", or the "picking or packing of fruit or grapes", will also be required to have tax deducted from schedular payments.

Activities and rates

If the activity is... the normal tax rate is... the rate if no tax code is declared is...

ACC personal rehabilitation payments (attendant care, home help, childcare, attendant care services related to training for independence and attendant care services related to transport for independence) paid under the Injury Prevention & Rehabilitation Act 2001

15c

30c

Agricultural contracts for maintenance, development or other work on farming or agricultural land

15c

30c

Agricultural, horticultural or viticultural contracts by companies and other contractors, including supply of labour, for pruning and/or thinning of fruit trees or vines, and picking and/or packing of fruit or grapes

15c

30c

Apprentice jockeys or drivers

15c

30c

Cleaning office, business, institution or other premises (except residential) or cleaning or laundering plant, vehicles, furniture etc

20c

35c

Commissions to insurance agents and sub-agents, and salespeople

20c

35c

Company directors' fees

33c

48c

Contracts wholly or substantially for labour only in the building industry

20c

35c

Demonstrating goods or appliances

25c

40c

Entertainers (New Zealand resident only) such as lecturers, presenters, participants in sporting events, and radio, television, stage and film performers

20c

35c

Examiners (fees payable)

33c

48c

Forestry or bush work of all kinds, planting, sowing or gathering vegetables, or flax planting or cutting

15c

30c

Freelance contributions to newspapers, journals etc (articles, photographs, cartoons etc) or for radio, television or stage productions

25c

40c

Gardening, grass or hedge cutting, or weed or vermin destruction (for an office, business or institution)

20c

35c

Honoraria (including payments to mayors, chairmen and members of council, boards of trustees, boards, committees and official clubs or societies)

33c

48c

Modelling

20c

35c

Mail contracting, transport of school children, milk delivery or refuse removal

15c

30c

Jockeys' or drivers' riding or driving fees paid to New Zealand residents

20c

35c

Non-resident contractors:

 - work in respect of construction, installation, assembly and similar projects

15c

30c

 - professional or technical services in respect of such projects

15c

30c

 - hire of equipment or personnel (other than as employees)

15c

30c

Non-resident entertainers and professional sports people visiting New Zealand

20c

n/a

Payments for:

 - caretaking or acting as a watchman

15c

30c

 - mail contracting

15c

30c

 - milk delivery

15c

30c

 - refuse removal, street or road cleaning

15c

30c

 - transport of school children

15c

30c

Proceeds from sales of:

 - eels (not retail sales)

25c

40c

 - greenstone (not retail sales)

25c

40c

 - sphagnum moss (not retail sales)

25c

40c

 - whitebait (not retail sales)

25c

40c

 - wild deer, pigs or goats or parts of these animals

25c

40c

Sharefishing (on contract for the supply of labour only)

20c

35c

Shearing or droving

15c

30c

Street or road cleaning

15c

30c

Television, video or film - on-set and off-set production processes (New Zealand residents only)

20c

35c

Find out more about special tax codes.

Note

We've provided this decision tree to help you work out your tax code. We welcome your feedback on how useful you found it.

 


Date published: 01 Jul 2008

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