New reporting rules require online marketplace operators to provide their tax authority with information about sellers and the income they earn from relevant services on their digital platform.
Who is affected
A seller is someone who registers with an online marketplace to offer relevant services. They do not have to be actively selling on the online marketplace. Sellers may be individuals or entities (organisations).
Sellers must give their marketplace operator the required information. If a seller gives false information or does not give this information when requested, penalties may apply.
How we will use your information
If sellers are not New Zealand tax residents, we may share this information with the seller's tax authority.
We will receive information from other tax authorities about income earned by New Zealand tax residents on overseas online marketplaces.
We will use the information for tax administration purposes, such as checking that income earned by New Zealand tax residents is included in their income tax returns.