Carbon News
  • Members
    • Login
      Forgot Password?
    • Not a member? Subscribe
    • Forgot Password
      Back to Login
    • Not a member? Subscribe
  • Home
  • New Zealand
    • Politics
    • Energy
    • Agriculture
    • Carbon emissions
    • Transport
    • Forestry
    • Business
  • Markets
    • Analysis
    • NZ carbon price
  • International
    • Australia
    • United States
    • China
    • Europe
    • United Kingdom
    • Canada
    • Asia
    • Pacific
    • Antarctic/Arctic
    • Africa
    • South America
    • United Nations
  • News Direct
    • Media releases
    • Climate calendar
  • About Carbon News
    • Contact us
    • Advertising
    • Subscribe
    • Service
    • Policies

IRD offers tax tips for destroying precious wetlands

12 Jun 2025

Wetlands at Glenorchy Lagoon
Image: Depositphotos
Wetlands at Glenorchy Lagoon

Media release | Forest & Bird is asking Inland Revenue Te Tari Taake whether the fines for illegally draining a wetland are also tax deductible, after the department published a "how-to" on claiming expenses for destroying critical habitats.

An official IRD tax guide, released this month, uses the example of a farmer draining a wetland to convert it to grazing land to illustrate a tax-deductible agricultural expense.


“We had to read this twice to believe it,” says Forest & Bird’s Regional Conservation Manager, Scott Burnett.


“On one hand, the Government has policies to protect and restore our critically endangered wetlands. On the other, the tax department is using the destruction of those same wetlands as a helpful hint for a tax write-off."


The example (Example 8, page 12) in IRD’s Commentary on the Taxation (Budget Measures) Bill (No 2) explicitly states that the cost of draining a wetland for agricultural purposes is tax deductible.


“This is profoundly unhelpful and sends all the wrong signals,” says Mr Burnett. “Draining a wetland is not a casual business decision; it’s an environmentally destructive act that is illegal in most circumstances. Our remaining wetlands are precious taonga. They are the last refuge for endangered species and are essential for filtering our water and a nature-based solution for preventing floods.


“Councils around the country are prosecuting people for this very activity. We’re curious if IRD’s tax advice extends to the non-deductibility of the court-imposed fine, and enforcement action, when the regional council prosecutes the farmer for draining the wetland."


Since European settlement, approximately 90% of New Zealand's wetlands have been drained or filled for farming or urban development. This dramatic loss makes the protection and restoration of the remaining wetlands a national priority for conservation and climate resilience.


“While DOC, councils, and community groups are spending millions of taxpayer and ratepayer dollars restoring wetlands, the IRD is effectively publishing a 'how-to' guide on writing off their destruction."


Forest & Bird is calling on Inland Revenue to remove this example from its commentary and ensure all official government guidance aligns with New Zealand’s environmental laws and conservation goals.

print this story


Related Topics:   Biodiversity Greenhouse Effect

More >
Media releases
More >

More choices for how we use, buy and sell electricity – and lower our power bills

Today 11:30am

Media release – Electricity Authority | New Zealanders will have more choices for how they use, buy and sell electricity – so they can lower their power bills – because of new market rules confirmed today by the Electricity Authority Te Mana Hiko (the Authority).

Associate Energy Minister Shane Jones

Feedback sought on national fuel security plan

Today 11:30am

Media release - Beehive: The Coalition Government is seeking feedback on a draft Fuel Security Plan that provides a long-term strategy to ensure New Zealanders have reliable access to fuel in times of domestic and global disruption, Associate Energy Minister Shane Jones says.

Professor David Frame of the University of Canterbury

Extreme global weather events show urgent need for collective effort ahead of world’s premier climate adaptation event

Tue 15 Jul 2025

As the Northern Hemisphere experiences another major heatwave, and other parts of the world grapple with extreme weather events, experts are calling for the urgent acceleration of adaptation efforts to help manage the life-threatening impacts of a rapidly changing climate.

Councils need more clarity around climate adaptation

Mon 14 Jul 2025

Media release - Local Government NZ | LGNZ says a lack of clarity around who pays for climate adaptation puts ratepayers at risk of footing the bill – which many could not afford.

Key orange roughy population on verge of collapse, govt considers closure

9 Jul 2025

Media release - Deep Sea Conservation Coalition | New data reveals that New Zealand’s main orange roughy fishery, accounting for half of the country’s total catch, is on the brink of collapse, with one model showing it may have reached that point already, and the government’s considering closing it.

Unlocking economic growth on conservation land

9 Jul 2025

Media release - New Zealand Government | A targeted effort to reduce the backlog of applications for use of conservation land is accelerating economic growth without compromising conservation values, says Conservation Minister Tama Potaka.

High Court agrees with Environmental Defence Society - law must be followed as it stands now

7 Jul 2025

Media release – Environmental Defence Society | The Environmental Defence Society (EDS) welcomes the High Court’s finding in Box Property Investments Ltd v The Expert Consenting Panel that decisions must be made based on the law as it currently stands, not on potential future legislative changes.

The change in Southern Ocean structure can drive a release in carbon to the atmosphere

Change in Southern Ocean structure could have climate implications

7 Jul 2025

Media release – Instituto de Ciencias del Mar (ICM-CSIC) | Satellite data processing algorithms developed by ICM-CSIC have played a crucial role in detecting this significant shift in the Southern Hemisphere, which could accelerate the effects of climate change.

Biodiversity plan is ‘light on detail and heavy on vague intentions’

1 Jul 2025

Media Release - WWF New Zealand | The government’s plan to tackle Aotearoa New Zealand’s biodiversity crisis lacks ambition and fails to match the scale and urgency of the challenge.

Gas decline increases urgency for new electricity generation

1 Jul 2025

Media release – Transpower | Declining gas availability means New Zealand has to lift the pace at which it is delivering new electricity generation to reliably meet growing demand over the coming years, a new report from Transpower shows.

Carbon News

Subscriptions, Advertising & General

[email protected]

Editorial

[email protected]

We welcome comments, news tips and suggestions - please also use this address to submit all media releases for News Direct).

Useful Links
Home About Carbon News Contact us Advertising Subscribe Service Policies
New Zealand
Politics Energy Agriculture Carbon emissions Transport Forestry Business
International
Australia United States China Europe United Kingdom Canada Asia Pacific Antarctic/Arctic Africa South America United Nations
Home
Markets
Analysis NZ carbon price
News Direct
Media releases Climate calendar

© 2008-2025 Carbon News. All Rights Reserved. • Your IP Address: 18.97.14.83 • User account: Sign In

Please wait...
Audit log: