Working overseas and paying New Zealand tax on earnings

A client applying for a benefit including Veteran’s Pension can be considered resident and present in New Zealand during periods of overseas employment where:

• their employer (or other relevant person) deducted PAYE or source deductions from their wages and
• paid them to Inland Revenue New Zealand.

A partner who was with the client while they were working overseas can also be treated as resident and present in New Zealand for the same periods.

The residential concession does not apply to people who are self-employed and working overseas.

Clients should provide proof of the periods they were employed overseas, and that PAYE or source deductions were paid to the New Zealand Inland Revenue during these periods.

Note if the employer (or other relevant person) has deducted the tax but failed to pay it to Inland Revenue, and if the client did not contribute to the employer's failure to pay the tax, the period of employment overseas can still be regarded as residence and presence in New Zealand.