What is AIL?
Approved Issuer Levy (AIL) is an alternative to Non-resident Withholding Tax (NRWT). If you are a non-resident of New Zealand for tax purposes and elect in writing to have AIL applied to your interest, then generally a levy of 2% will apply (rather than NRWT of 10% or 15%).
The disadvantage of AIL is that you may not be able to get a credit for the levy against your tax liability in your country of tax residence.
Things you should know.
The information provided is general information and not tax advice. If you have any questions as to your tax position you should obtain independent tax advice. The information is based on legislation current at 1 November 2023. Taxation legislation, its interpretation and the levels and bases of taxation may change. The application of taxation laws depends upon individual circumstances. Investors and underlying investors should seek professional advice on the taxation implications of investing and should not rely solely on the information in this communication. All opinions, statements and analysis expressed are based on information current at the time of writing and from sources which Westpac believes to be authentic and reliable. Westpac issues no invitation to anyone to rely on this material and intends by this statement to exclude liability for any such opinion, statement and analysis. Westpac accepts no responsibility for the availability or content of third party websites. You can get a copy of the applicable investment statement, product disclosure statement or term sheet for your investment from any Westpac branch in New Zealand.