Choose New Zealand for Business, Investment and Immigration
15 Apr 2025
New Zealand continues to build its reputation as a stable, forward-thinking destination for entrepreneurs, investors, and skilled migrants alike.
With a pragmatic regulatory approach and streamlined systems, the country offers a compelling blend of business opportunity and lifestyle appeal. Whether you are looking to establish a business, expand internationally, or relocate your family, New Zealand's environment is welcoming, transparent, and built to support success.
Ease of Doing Business and Company Setup
Starting a business in New Zealand is relatively simple. Companies can be registered online within hours, providing all the necessary documentation is supplied, whether you are incorporating a new entity or registering a foreign branch. The Companies Office offers a user-friendly online platform and allows you to reserve a company name, issue shares and appoint directors. There are no minimum capital requirements and very little red tape, making the process cost-effective and accessible.
Trusted Institutions and Transparent Governance
New Zealand ranks consistently among the world’s least corrupt nations, underpinned by a strong legal system and independent judiciary. These institutions provide legal certainty and commercial confidence to both domestic and overseas investors. Regulatory authorities, including Inland Revenue, generally take a cooperative approach, focusing on guidance and support, particularly in complex or novel scenarios.
Inland Revenue’s website is among the most informative and accessible tax portals, offering a helpful starting point, although it’s not a substitute for professional advice.
A Fair and Competitive Tax System
New Zealand’s tax landscape is considered one of the most straightforward globally. It features:
- No payroll tax
- No social security tax
- No estate or inheritance tax
- No stamp duties
- No general capital gains tax (though some specific transactions are taxed)
Companies are taxed at a flat corporate rate of 28% and Goods and Services Tax (GST) is 15% with some very limited exemptions.
For new migrants and returning New Zealanders who have been non-residents in New Zealand for 10 years or longer, the transitional tax residence regime is particularly attractive. Eligible individuals can enjoy up to forty-eight-months exemption on most passive foreign-sourced income, making the move to New Zealand especially tax-efficient for globally mobile families and high-net-worth individuals.
Flexible Foreign Investment Rules and International Integration
New Zealand's Foreign Investment Fund (FIF) rules are designed to ensure that New Zealand residents are taxed on income from certain offshore investments, even if that income is not repatriated. Introduced to counter tax deferral and base erosion from passive foreign investments, the rules apply to interests in foreign companies, foreign unit trusts, superannuation schemes, and life insurance policies that do not fall under specific exemptions. Where the FIF rules apply, income must generally be calculated under one of four prescribed methods. These rules can be complex and in the past attracted criticism from migrants arriving to New Zealand with existing portfolios.
In a welcoming development, the Government announced its intention to make changes to the FIF regime, to minimise its deterrent effect for new migrants and returning New Zealanders. Although the exact details are yet to be finalised, what has been published looks promising as the changes can reduce compliance burdens for certain categories of new migrants and returning Kiwis. In particular, US citizens seem to have the best outcome coming out of these changes.
New Zealand maintains an extensive network of free trade agreements, including with Australia, China, the UK, and the EU, as well as regional partnerships like the CPTPP and RCEP. These agreements open the door to over two billion consumers and create a platform for growth across the Asia-Pacific region. Whilst the global tariff debacle continues, New Zealand holds through to its principles of being a nation that trades freely.
Research and Innovation Supported Through Tax Incentives
New Zealand’s Research and Development Tax Incentive (RDTI) and the associated R&D loss tax credit scheme aim to support innovation by providing financial relief to businesses engaged in eligible research and development activities. The RDTI allows eligible entities to claim a 15% tax credit on qualifying R&D expenditure, helping to reduce the cost of innovation and encourage investment in new or improved products, processes, or services. For businesses in a tax loss position, the R&D loss tax creditoften referred to as the “loss cash-out”enables them to receive a cash refund of their tax losses attributable to R&D expenditure, subject to certain wage intensity and continuity requirements. These regimes are particularly valuable for start-ups and growing businesses, providing early stage cashflow support and incentivising continued investment in innovation.
Immigration Policy Updates
Overhaul of the Active Investor Plus Visa – effective 1 April 2025
New Zealand’s Active Investor Plus (AIP) visa has undergone a significant refresh, aimed at attracting more high-quality foreign investment. From 1 April 2025, two new investment categories are available: the Growth category, requiring a $5 million investment over three years, and the Balanced category, which requires $10 million over five years.
Importantly, language requirements have been relaxed, and the number of days investors must spend physically present in New Zealand has been significantly reduced. The scope of qualifying investments has widened, now including areas such as commercial property development. The changes also provide greater flexibility, investors can now switch between categories more easily, and the investment process itself has been streamlined.
Other Investor and Business Visa Changes
The Government has also launched Invest New Zealand, a dedicated agency designed to serve as a single point of contact for foreign investors, simplifying their navigation of the local regulatory and business environment.
In a nod to global working trends, recent updates now allow certain working holidaymakers and visitors to work remotely for overseas employers while based in New Zealand.
There have also been notable changes to the Accredited Employer Work Visa (AEWV). These include the removal of the median wage threshold, relaxed work experience criteria, extended visa durations, and refinements to the labour market test and interim visa rules, making it easier and more attractive for skilled migrants to work in New Zealand.
Final Thoughts
New Zealand offers a rare combination of commercial certainty and lifestyle appeal. Its open economy, cooperative regulators, investor-friendly tax and immigration settings, and world-class natural beauty make it not just a smart destination but a rewarding one. Whether you are an entrepreneur, global executive, fund manager or remote worker, New Zealand stands ready to welcome you not just for business, but for life.
Situated between Asia and the Americas, New Zealand offers strategic time zone advantages and easy access to regional markets. Cities like Auckland are increasingly seen as regional hubs for business and innovation. Beyond business, the country’s clean environment, strong healthcare and education systems, and vibrant multicultural communities make it a highly desirable place to live and raise a family.
Author - Galina Bell