Starting a partnership

What you need to do

Tell Inland Revenue if you’ve become a partnership. Partnerships must have an IRD number for paying the business’ income tax and GST. A partnership and its partners pay tax differently. Each partner pays tax on their income using their own individual IRD numbers.

Register the partnership for GST if your turnover will be more than $60,000 a year.

You can also get a New Zealand Business Number (NZBN), a unique identifier, which any business in New Zealand can now have. Using it will speed up your interactions with government, suppliers and customers and other businesses.

Before you start, make sure you have a clear idea of why you’re starting a partnership. Use our tips and tools to test your idea for the business and see if it’s the right decision for you.

Get an NZBN(external link) — New Zealand Business Number

Ownership

Partners usually have an equal share in a partnership, unless their partnership agreement states otherwise.

Questions to ask yourself before you start

10-step guide to starting a business