IRC secures tax treaty deal with New Zealand in Wellington

National, Normal

The National,Thursday 22nd December 2011

THE Internal Revenue Commission (IRC) have successfully negotiated a double tax treaty with the New Zealand inland revenue officials in Wellington.
The PNG officials were led by Commissioner for Tax Alois Daton during the negotiation.
Internal Revenue Commissioner-General Betty Palaso said the negotiations should allow for relief of double taxation imposed on income derived by residents of both countries who conducted business in either nation.
It also started cooperation in the prevention of fiscal evasion.
Palaso said the negotiations were conducted in a friendly, cooperative and constructive atmosphere.
She thanked the PNG and New Zealand delegations for their efforts in concluding the negotiations in the first round of discussions.
She said tax treaty negotiations usually took two rounds of discussions.
Palaso thanked the PNG High Commissioner to New Zealand Bill Dihm for his initiative to enhance bilateral relations with New Zealand.
Palaso said a cabinet submission was being prepared for the foreign minister.
Upon cabinet’s approval, the treaty would then be signed by the foreign ministers and then tabled in their respective parliaments for ratification.
This process is expected to be finalised soon for the treaty to take effect from next year.