New Zealand has published an order providing for the ratification of its income tax treaty with Croatia, signed on 20 November 2025. The agreement sets withholding tax limits of 5% or 15% on dividends and 10% on interest and royalties.
New Zealand has published the Double Tax Agreements (Republic of Croatia) Order 2026, providing for the ratification of its income tax treaty with Croatia on 24 August 2026.
The New Zealand–Croatia double tax agreement, signed on 20 November 2025, aims to eliminate double taxation and prevent tax evasion and avoidance. It caps withholding tax on dividends at 5% for qualifying corporate shareholders holding at least 10% of the paying company for 365 days, and 15% in other cases. Withholding tax on interest is capped at 10%, while royalties are subject to a 10% cap.
The treaty also sets rules for permanent establishments, business profits, capital gains, employment income, and the elimination of double taxation. It provides for the exchange of tax information, assistance in tax collection, and procedures to resolve disputes.
The agreement will enter into force once both countries notify each other that their domestic procedures are complete. Withholding tax provisions will generally apply from the first day of the second month following entry into force.
Earlier, Croatia’s President promulgated the law ratifying the Croatia–New Zealand Income Tax Treaty 2025, published in the Official Gazette No. 4 on 15 May 2026.
