From 1 March 2021, you'll notice some improvements to the way we manage New Zealand foreign trusts (NZFT). The changes will allow you to file, make payments and manage your foreign trust details in myIR.
Existing NZFT’s will be allocated an IRD number and will no longer require an NZFT number. New trusts will need to apply for an IRD number and will then be able to register as an NZFT.
New Zealand foreign trusts in myIR
We're adding a new section for New Zealand foreign trusts to myIR from 1 March. This will allow you to:
- manage your account details online, including the connected persons details
- view previously provided NZFT information
- file your annual returns and make payments in myIR
- send messages to us about NZFT in myIR
- receive automatic reminders 20 days before your return is due
- register an IRD number then an 'NZ foreign trust account' in myIR
- cease an NZFT registration.
If you've already registered as an NZFT, we'll set up your 'NZ foreign trust account' in myIR automatically.'
We’ll be adding more information to this page as we work through the final details. This will include how to complete the above tasks in myIR.
Registering a New Zealand foreign trust
Currently, you need to send us a PDF form through e-mail or post to register an NZFT. From March, you'll be able to register for an IRD number, then register for the NZFT account and upload all relevant documents in myIR. You'll be able to pay the registration fee at the same time as you apply.
Change to the payment process
There are some changes to how payments can be made and received. From 1 March:
- NZFT payments will no longer be made to the IR bank account currently used (ending suffix 00). All payments will need to be made to the Crown bank account (suffix 27).
- Direct debit/credit payments will continue to be available, as well as the MyPayTax online banking option in New Zealand.
If you're a registered tax agent who manages NZFTs on behalf of your clients, you'll be able to link to their NZ foreign trust accounts and file or update their details in myIR. You'll also be able to register a new NZFT with an IRD number and an NZ foreign trust account in myIR. You may wish to consider creating new client lists with different levels of access or new myIR logons for your staff who handle foreign trusts, where appropriate.
The linking process will be the same as what you do for other tax types, under Client maintenance in myIR.
Trust service providers (non-tax agent)
If you manage NZFTs under a trustee company for a number of trusts, there will be a different way to gain online access to the new NZ foreign trust accounts in myIR.
We’ll provide more details about claiming the online access as we work through the changes. You may wish to consider creating new myIR logons for your staff who handle NZFTs, where appropriate, in preparation.