Cook Islands To Cut Lower Income Tax Rate

The Cook Islands has announced personal income tax cuts that will take effect from January 1, in the 2016/17 Budget Policy Statement.

From January 1, 2016, the tax rate on income between NZD11,001 (USD7,425) and NZD30,000 will fall to 17.5 percent, down from 18.5 percent. From January 1, 2017, the rate will drop again, to 17 percent.

The other two personal income tax rates, of 27.5 percent and 30 percent, will remain the same. These rates are applicable on the existing thresholds, of income up to NZD80,000 and income above NZD80,000, respectively.