Residual Income Tax (RIT) – meaning and definition

What is Residual Income Tax (RIT)?

Residual income tax (RIT) is the final amount of tax that is paid at the end of the year.

How to Calculate Residual Income Tax in New Zealand?

Residual income tax is calculated by taking the amount of income tax paid for the year, minus any PAYE and entitled tax credits (with the exception of Working for Families Tax Credits).

Residual Income Tax (RIT) – Video Guide

Tania Ohlson, our Client Care Specialist defines residual income tax, often referred to as RIT.

Our Provisional Tax Guide explained for Business Taxpayers

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  • Learn about tax liabilities here
  • Learn about safe harbour here
  • Learn about extension of time vs no extension of time
  • Learn about open year vs closed tax year