Digital nomad visa allows foreigners to work for their home country company while staying in another country. Recently, New Zealand has taken a major step to loosen the nomad visa rules and made the income tax free if a tourist stays under 90 days. However, longer stays can lead to tax liabilities. These rules will be applicable from Jan 27.
This decision has been taken to boost tourism and revive the nation’s economy which has been impacted by Covid extensively. New Zealand’s economic development minister Nicola Willis stated that they hope to attract highly skilled professionals from across the world. This initiative is focused on attracting nationals of Southeast Asia and the USA.
Tourism is the second largest revenue earner stream of New Zealand while holding a value of $11 billion and creating around 2,00,000 jobs. The government aims to attract tourists that will spend more and stay for a longer duration.
Immigration minister, Erica Stanford mentioned that these modifications have been done to remove complicated eligibility criteria and extra expense, making it a perfect destination for visitors.
New Zealand is also looking to enhance their infrastructure capacity in order to avoid it falling to the local taxpayers.
