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If you're a New Zealand tax resident, you pay tax on interest and dividends you earn from bank accounts and investments in New Zealand and overseas. 

If you earn interest from New Zealand, your payer will usually deduct resident withholding tax (RWT) before they pay you. 

New Zealand residents with interest and dividends from New Zealand investments 

If you get dividends from a company, your dividends will usually have imputation credits attached. You use these imputation credits to pay tax on your dividends. The imputation credits represent income tax paid by the company.

If your dividend is not fully imputed (not enough company tax was paid) then resident withholding tax should be deducted.

Imputation for companies


If you get interest and dividends from overseas, there are different rules depending on your situation.  

New Zealand residents with overseas investments


If you are not a tax resident, you pay tax on investments you have in New Zealand. 

Non-resident taxpayers with interest and dividends from New Zealand bank accounts and investments