New Zealand has been in the news a lot lately. Whether it is because of the huge number of people moving there or their supposed tax-free living environment, it has been making waves. The country is one that many people did not actually care too much about in the past, but thanks to news developments and viral blog stories, has become a mecca for people looking to find somewhere that is tax-free and easy to live in because of the way that it is set up and because of the way that people can do things there.
While the government is lax and there are economic opportunities around the country, it is not one of the countries that offers life without tax to the citizens of the country. The New Zealand government does require citizens to pay taxes and the taxes can often be quite high for people who make a lot of money. It is not a tax-free country and will likely never be a tax-free country because of the way that the country is set up and the government has worked to make things different for the people who live in the country.
There are many countries, though, that are tax-free. The countries are on a list that have many different things in them. New Zealand has never been on the list and Geoffrey Cone, one of the contributors to the list, suspects that it will never make the list because of the higher tax brackets and because of the way that the country is set up to run successfully with all of the taxes that it collects from its citizens in the country. There are many options that are not included in New Zealand that are in other countries and vice versa. Learn more: http://www.iclg.co.uk/firms/cone-marshall/geoffrey-cone
Where the story about New Zealand comes from is possibly from a recent change to the laws in the country. The country, which did not have a cap on taxes in the past, recently passed laws that required there to be a cap on taxes in the whole country. This means that the country is not allowed to tax people after a certain amount and that the tax percentages must stay within a certain range. Many people may have gotten confused with that and with not having any taxes at all in the country for people who live there.
Geoffrey Cone suggests that people who are looking for countries that do not require them to pay taxes first look at the list of tax-free countries. There are many countries on the list that are located in different areas. These countries can then be narrowed down and the expat can choose which one he or she wants to move to based on other criteria. It mostly comes down to which country is a good match for the lifestyle that the expat has and where he or she wants to be at when they make the change and move to a different country from the one that they are currently in.
Follow Cone on LinkedIn