Taxation (Budget Measures) Bill
This bill changes how much tax New Zealanders pay on their income. It raises the income levels at which higher tax rates kick in, meaning most workers keep a bit more of their pay. It also creates a new payment called FamilyBoost to help families with the cost of early childhood education, and increases some Working for Families payments for low- and middle-income families. Student loan interest rates for people living overseas go up for five years.
What this affects
Tap a topic to see how this bill touches it — with the parts of the text it’s based on.
Most workers will pay a little less income tax because the bill raises the income levels at which higher tax rates start applying.
The Bill will increase the three lowest personal income tax thresholds from 31 July 2024.
New bracket ($): 0–15,600 at 10.5%; 15,601–53,500 at 17.5%; 53,501–78,100 at 30%
The Bill expands the eligibility for the IETC by lifting the upper income threshold from $48,000 to $70,000.
Progress through Parliament
Have your say
Submissions open once a bill reaches the select committee stage. In the meantime, you can write to your local MP about it.
Write to your MPBill text sourced from legislation.govt.nz (Parliamentary Counsel Office). Arapono’s summary and breakdown are drafted with AI grounded in that official text and reviewed by an Arapono editor for accuracy and neutrality before publishing. Arapono is non-partisan and takes no position on this bill.