Digital Platform Tax Guide — Side Hustles, Freelancer, and Gig Economy in NZ
the digital platform tax rules in New Zealand. The guide covers the sharing economy income (Uber, AirBnb, TaskRabbit), the platform reporting to the IRD under the OECD model rules, the deduction claims for the platform workers, and the GST registration obligations.
Platform Income and Reporting
The income from the digital platforms (the ride-sharing, the short-term accommodation, the freelance marketplaces) is taxable income in New Zealand and must be declared in the tax return. The IRD has implemented the OECD Model Reporting Rules for Digital Platforms — the platform operators are required to report the seller income to the IRD from the 1 April 2024. The platforms include Uber, AirBnb, Uber Eats, DeliveryEasy, TaskRabbit, Airtasker, and Fiverr. The platform workers must register for the IRD number and file the tax returns showing the platform income. The expenses related to the platform work (the vehicle costs, the platform fees, the equipment) are deductible. See our Self-Employment Guide → for the detailed self-employed rules.
GST and Provisional Tax for Platform Workers
The platform workers must register for GST if the annual income from the platform activities exceeds the $60,000 threshold. The GST is charged at the 15% rate on the platform fees and the accommodation charges. The platform workers may use the payments basis or the invoice basis for the GST returns. The provisional tax applies if the residual income tax exceeds $5,000. The platform workers may use the GST ratio method or the standard provisional tax calculation. The IRD provides the myIR online portal for the tax payments. Refer to our GST Guide → for the GST registration rules.