Tax specialist John Cantin says businesses can expect high tax bills in the future as Inland Revenue makes minor tweaks to the tax system this year.
Mr Cantin, KMPG's tax partner, says a hot issue affecting multinationals will be changes to thin capitalisation rules which determine how much interest a multinational operating in New Zealand can deduct from their borrowing.
And he says an Australian court ruling which forces Qantas to hand over millions of dollars in GST for flights not taken by customers could have an impact on this side of the Tasman.
Mr Cantin is also predicting the IRD will do a u-turn on building depreciation in the aftermath of the Canterbury earthquakes.
