Use this New Zealand tax refund calculator to find out whether you are owed a refund from IRD or whether you have tax still to pay. Enter your total gross income for the tax year and the total PAYE tax that was deducted from your pay, and this calculator will work out your correct tax liability, any Independent Earner Tax Credit (IETC) you may be entitled to, and your resulting refund or tax to pay. This is the same calculation IRD performs when it issues your individual tax assessment each year.
You may receive a tax refund if your employer deducted more PAYE than your actual tax liability for the year. Common reasons include working part of the year only, having a tax code that was higher than necessary, earning investment income that reduced your effective rate, being entitled to the Independent Earner Tax Credit (IETC) but not having it factored into your PAYE code, or a change in income midway through the year. IRD issues most refunds automatically through the individual tax assessment process that runs from May to July each year.
The Independent Earner Tax Credit (IETC) is a tax credit available to individuals earning between $24,000 and $70,000 per year who are not receiving a main benefit such as Jobseeker, Sole Parent Support, or Supported Living Payment. The full credit is $520 per year for incomes between $24,000 and $66,000, tapering to zero by $70,000. If you have the ME tax code, your employer should be factoring this in throughout the year. If not, IRD will include it in your end-of-year assessment.
If you had multiple income sources and each employer taxed you at the basic rate on their portion only, your combined income may fall into a higher tax bracket and you could owe tax. Similarly, if you received untaxed income such as rental income, freelance earnings, or interest, you may owe terminal tax. IRD will issue an assessment showing the amount owed, which must be paid by 7 February following the end of the tax year (or 7 April if you have a tax agent).
If you've found a bug, or would like to contact us please click here.
Calculate.co.nz is partnered with Interest.co.nz for New Zealand's highest quality calculators and financial analysis.
All calculators and tools are provided for educational and indicative purposes only and do not constitute financial advice.
Calculate.co.nz is proudly part of the Realtor.co.nz group, New Zealand's leading property transaction literacy platform, helping Kiwis understand the home buying and selling process from start to finish. Whether you're a first home buyer navigating your first property purchase, an investor evaluating your next acquisition, or a homeowner planning to sell, Realtor.co.nz provides clear, independent, and trustworthy guidance on every step of the New Zealand property transaction journey.
Calculate.co.nz is also partnered with Health Based Building and Premium Homes to promote informed choices that lead to better long-term outcomes for Kiwi households.
All content on this website, including calculators, tools, source code, and design, is protected under the Copyright Act 1994 (New Zealand). No part of this site may be reproduced, copied, distributed, stored, or used in any form without prior written permission from the owner.