Air New Zealand receives unexpected tax bill from Hong Kong authorities

Airline Industry Information, March 22, 2004

AIRLINE INDUSTRY INFORMATION-(C)1997-2004 M2 COMMUNICATIONS LTD

Air New Zealand has reportedly been given an unexpected tax bill from Hong Kong authorities for NZD47m.

Hong Kong's Inland Revenue Department revised its tax assessment for the airline's Hong Kong subsidiary, New Zealand International Airlines, and said the parent company owes back taxes for the period between 1989 to 2002. A further NZD60m could be added to the bill if the 2003 and 2004 tax years are reassessed.

The carrier is to appeal the assessment, reported The Associated Press.

((Comments on this story may be sent to aii.feedback@m2.com))