I want to give a large amount of money to my son as a wedding present. Will I have to pay gift duty?
Gift duty was abolished on 1 October 2011, so if you have gifted the money after this date then you will not have to pay gift duty.
However, if you gave him the money before 1 October 2011, and it totalled $12,000 or more within a twelve month period, you will at least need to file a gift duty statement with Inland Revenue. If you gave $27,000 or more within a twelve month period then you will have to pay gift duty as well. You can calculate how much duty you must pay by reading the IR194 gift duty brochure.
Gift duty is especially important when dealing with trusts, as gifting is the main way that property is transferred to a trust. (To find out about family trusts, see our Family trusts page.)
I am leaving my house to my children when I die. Will they have to pay estate duty?
Estate duty was abolished for deaths that occurred after 17 December, 1992.