New Zealand ROI Calculator
This calculator estimates Return on Investment, CAGR, and any income tax payable on the gain for an investment disposed of by a New Zealand resident in the 2026–27 tax year. New Zealand has no general Capital Gains Tax — gains are taxable only where a specific rule applies (bright-line, FIF, or trader status).
Enter Buy and Sell Prices
Input the purchase price, acquisition costs, sale price, and disposal costs in NZD.
Set Holding Period and Income
Adjust the holding period slider and indicate if the gain is taxable under a specific IRD rule.
See Your Full Return
Results update automatically. View CAGR, any tax payable, after-tax ROI, and the OCR benchmark.
NZ ROI Calculator
Return on Investment · IRD 2026-27
Buy Price
Sell Price & Income
Holding Period & Tax
Your Return
ROI · After-tax position · Benchmarks
ROI Summary
Based on a total cost base of NZD 51,000 and net sale proceeds of NZD 74,200, the capital gain is NZD 23,200.
The total ROI is 0% over 5 years, with a CAGR of 0% p.a. After estimated tax, the after-tax ROI is 0%.
Tax Treatment on the Gain
Unlike many other countries, New Zealand has no general capital gains tax. Most one-off investment gains by individual investors are tax-free. Tax applies only when a disposal is caught by a specific rule in the Income Tax Act — in which case, per IRD, the whole gain is treated as ordinary income and taxed at the marginal rate.
Impact of NZ's No-General-CGT Framework
When Investment Gains Are Taxable in New Zealand
| Situation | Rule | Default Position |
|---|---|---|
| Residential property sold within 2 years | Bright-line test | Whole gain taxable as income |
| Property dealer / developer / builder | ss CB 6–CB 23 | Sales taxable as income |
| Bought with intent to resell | s CB 4 | Gain taxable as income |
| Frequent share trading (in business) | Trader rules | Gains taxable as income |
| Offshore equities > NZD 50,000 (cost) | FIF regime | Annual income calculated (FDR/CV) |
| One-off sale of NZ shares (long-term hold) | — | Generally not taxable |
| Main home (any holding period) | Main home exclusion | Generally not taxable |
Break-even & Target Sell Price
Based on the cost base and disposal costs, what sale price is needed? Enter a target ROI below, or see the prices required to break even, beat inflation, or beat the RBNZ Official Cash Rate.
How ROI Is Calculated
Return on Investment measures the percentage gain or loss on an investment relative to its full cost. The calculation captures every dollar in and every dollar out — purchase price plus acquisition costs on the way in, sale proceeds minus disposal costs on the way out, plus any income earned along the way.
Total ROI (period return)
Gross ROI compares total return to the cost base. Useful for a single snapshot of performance.
Total Return = Capital Gain + Income During Hold
Example: NZD 50,000 + NZD 1,000 cost; sold NZD 75,000 − NZD 800 = NZD 74,200 net. Capital Gain NZD 23,200 → ROI 45.5%.
CAGR (annualised return)
Compound Annual Growth Rate converts the total return into a consistent yearly rate, so investments held for different lengths of time can be compared on the same basis.
Example: NZD 51,000 grows to NZD 74,200 over 5 years → CAGR ≈ 7.8% p.a.
NZ's No-General-CGT Framework
New Zealand is unusual among OECD countries in not having a general capital gains tax. Per IRD, this means most one-off investment gains by individuals are tax-free. The system instead taxes gains only where a specific provision in the Income Tax Act applies.
Generally Tax-Free
- –One-off sales of NZ shares (long-term hold)
- –Sale of your main home (any holding period)
- –Personal-use property (cars, art, jewellery for personal enjoyment)
- –Inherited assets passing on death
- –Residential property sold outside the 2-year bright-line window
Generally Taxable (Specific Rule Applies)
- ✓Residential property sold within 2 years (bright-line test)
- ✓Property dealer, developer or builder sales
- ✓Assets bought with intent to resell (s CB 4)
- ✓Frequent share trading conducted as a business
- ✓Offshore equities under the FIF regime (FDR/CV)
- ✓Debt instruments under the Financial Arrangements regime
IRD Income Tax Brackets 2026-27
When a gain is taxable, it is stacked on top of other income and the IRD's progressive brackets apply. There is no tax-free threshold — tax applies from the first dollar of taxable income.
| Income Band | Rate | Tax on Band |
|---|---|---|
| NZD 0 – 15,600 | 10.5% | Up to NZD 1,638 |
| NZD 15,601 – 53,500 | 17.5% | Up to NZD 8,270 |
| NZD 53,501 – 78,100 | 30% | Up to NZD 14,650 |
| NZD 78,101 – 180,000 | 33% | Up to NZD 48,277 |
| Above NZD 180,000 | 39% | — |
Benchmarking Against Inflation & the OCR
A positive ROI in cash terms does not necessarily mean a positive real return. Two benchmarks help frame whether an investment delivered genuine value: cumulative inflation (preserves purchasing power) and the RBNZ Official Cash Rate (the near-risk-free return available on cash deposits).
Inflation — Stats NZ CPI
Cumulative inflation measures how much prices have risen over the holding period. An after-tax ROI below cumulative inflation means a real-terms loss of purchasing power.
Latest CPI: 3.1% in the 12 months to the March 2026 quarter (Stats NZ).
RBNZ Official Cash Rate
The OCR is the near-risk-free benchmark for the New Zealand dollar. The equivalent cumulative return shows what a cash deposit at this rate would have earned over the same period.
Current OCR: 2.25%, held on 27 May 2026 (RBNZ).
Frequently Asked Questions
Common questions about ROI calculation, CGT in Australia, cost base, and how different investment types are treated — answers verified against official ATO, ABS and RBA guidance.
Important Disclaimer
For educational and informational purposes only. This calculator produces estimates of Return on Investment (ROI), Compound Annual Growth Rate (CAGR) and New Zealand income tax payable on the gain (where applicable) based on the inputs provided and Inland Revenue (IRD) 2026-27 settings. New Zealand does not have a general capital gains tax; gains are taxable as income only when caught by a specific rule in the Income Tax Act, most commonly the 2-year bright-line test for residential property (from 1 July 2024), the property dealer/developer rules, the intent-to-resell provision (s CB 4), the Financial Arrangements regime, or the Foreign Investment Fund (FIF) rules. When taxable, the whole gain is added to other income and taxed at the marginal rate using IRD progressive brackets (10.5%, 17.5%, 30%, 33%, 39%) with no tax-free threshold. Benchmark figures use the Statistics New Zealand Consumers Price Index of 3.1% (12 months to the March 2026 quarter) and the Reserve Bank of New Zealand Official Cash Rate of 2.25%, held on 27 May 2026. Both figures change from time to time and should be verified against the official source.
No warranty of accuracy. While Money Snap takes reasonable care to source figures from official authorities (IRD, Stats NZ, RBNZ), this calculator is provided "as is" without any express or implied warranty as to accuracy, completeness, timeliness, or fitness for any particular purpose. Tax rates, bright-line periods, exemptions and benchmark rates change over time — figures shown may be out of date. Individual circumstances such as the main home exclusion, FIF income calculations under FDR/CV methods, imputation credits on NZ dividends, the Portfolio Investment Entity (PIE) regime for KiwiSaver and managed funds, ring-fenced rental losses, ACC levies, KiwiSaver contributions, the IRD\'s treatment of cryptoassets as having a default intention of resale, or any other rule not captured by the inputs may materially affect actual tax and after-tax returns.
Not financial or tax advice. Information provided is general in nature only and does not take into account personal circumstances, objectives, or risk tolerance. Results do not constitute financial advice, tax advice, or investment advice, and use of this calculator does not create an advisory relationship. Before relying on any figure shown, obtain advice from a qualified accountant, a Financial Advice Provider registered on the Financial Service Providers Register, or directly from IRD.
Limitation of liability. To the maximum extent permitted by law, Money Snap accepts no liability for any loss, damage, cost, or expense — direct or indirect — arising from reliance on this calculator or the information it produces. Users are responsible for verifying all figures with the relevant authority before relying on them. Use of this calculator is subject to our Terms of Use.
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