New Zealand Reduces Use of Money Interest Rates on Tax Underpayments and Overpayments

According to an update from New Zealand Inland Revenue, the use of money interest (UOMI) rates on tax underpayments and overpayments are as follows from 16 January 2026:

• Underpayments - 8.97%, down from 9.89%,
• Overpayments - 2.25%, down from 3.27%,

The prior rates applied from 8 May 2025.

Inland Revenue has also published a new guide on Penalties and interest, dated February 2026.