Wine equalisation tax (WET) - foreign currency conversions for New Zealand wine producers
If you are an approved New Zealand participant and you are entitled to a producer rebate, under WET law, any component you use to work out the approved selling price that is in a foreign currency must be converted to Australian currency.
There are three options for converting New Zealand currency to Australian currency.
The average RBNZ exchange rate for the Australian financial year 2005-06 was $1 NZ = 0.8946 dollars AUD.
The average RBNZ exchange rate for the Australian financial year 2006-07 was $1 NZ = 0.8726 dollars AUD.
The average RBNZ exchange rate for the Australian financial year 2007-08 was $1 NZ = 0.8578 dollars AUD.
The average RBNZ exchange rate for the Australian financial year 2008-09 was $1 NZ = 0.8143 dollars AUD.
Definitions
The RBA rate is the exchange rate expressed as a unit of New Zealand currency per Australian dollar as calculated by the Reserve Bank of Australia.
The agreed rate is the exchange rate expressed as a unit of New Zealand currency per Australian dollar that you agreed to with the Australian purchaser for sales of wine made under an agreement and for the period of the agreement.
The average RBNZ rate is the exchange rate expressed as a unit of Australian currency per New Zealand dollar for the Australian financial year in which the conversion day occurs. This average is the total of the average Reserve Bank of New Zealand exchange rates for converting New Zealand currency to Australian dollars for each month of the financial year divided by twelve.
The conversion day is the day on which any of the consideration for the supply of wine is received by the New Zealand participant or the invoice date, whichever is the earlier.
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