AUCKLAND, New Zealand, March 25 (UPI) -- Profit making major banks in New Zealand are under the radar of tax authorities, Finance Minister Michael Cullen said.
Lifting the lid on the review in the parliament, Cullen said, "The Inland Revenue Department has been discussing with the banks the fact that their tax payments don't seem to reflect the amount of profit they've been making."
The minister did not name any bank but said, "banks in general."
Cullen said a report was expected "in the next few months," and he would consider then if legislative change was necessary.
KPMG's annual banking survey said the banking sector's net profit after tax was up by 25 percent to $2.56 billion.
The New Zealand Herald reported that major banks say they took their tax obligations seriously.
Hong Kong tax authorities last week slapped Air New Zealand with a $47 million (USD31 million) tax bill for plane leasing deals done between 1989 and 2002.
