New Zealand Investor Visa: NZD 3M and the Active Investor Plus Category

New Zealand's investor immigration programme underwent a fundamental restructure in 2022 when the government replaced the Investor 1 and Investor 2 categories with the Active Investor Plus (AIP) visa. The previous NZD 3,000,000 Investor 2 category was closed. The new programme demands substantially higher investment thresholds and a greater focus on "active" investments that generate direct economic benefit to New Zealand. This guide covers the current requirements, investment options, and whether the programme still represents value for international investors.

Programme History

Former Categories (Closed)

• Investor 1 (closed 2022): NZD 10,000,000 invested for 3 years, no age limit, no English language requirement, 88 days of presence over 3 years
• Investor 2 (closed 2022): NZD 3,000,000 invested for 4 years, age limit 65, English language requirement (IELTS 3.0), 146 days of presence per year
• Investor Migrant Category: Pre-2009 programme, long since closed

Current Category

Active Investor Plus (AIP): Launched 19 September 2022 under Immigration Instructions, administered by Immigration New Zealand (INZ).

Active Investor Plus Requirements

Investment Thresholds

The AIP operates on a weighted points system where different investment types receive different weightings:

Investment Type	Weighting	Effective Minimum
Direct investment in NZ business	3x	NZD 5,000,000
Listed NZ equities	1.5x	NZD 10,000,000
NZ managed funds	1x	NZD 15,000,000
Philanthropic investment	2x	NZD 7,500,000

The minimum weighted investment value must equal NZD 15,000,000. For example:

• NZD 5,000,000 in direct investment (x3 weighting = NZD 15M weighted) meets the threshold
• NZD 10,000,000 in NZ listed equities (x1.5 weighting = NZD 15M weighted) meets the threshold
• NZD 15,000,000 in managed funds (x1 weighting = NZD 15M weighted) meets the threshold
• Combinations are permitted: NZD 2,000,000 in direct (x3 = 6M) + NZD 6,000,000 in managed funds (x1 = 6M) + NZD 2,000,000 in listed equities (x1.5 = 3M) = NZD 15M weighted

Qualifying Investments

Direct Investments (3x weighting)

• Investment in a New Zealand business that employs New Zealand residents
• The investor must take an active management role or provide demonstrable governance oversight
• Minimum investment period: 4 years
• Examples: equity in a private NZ company, establishment of a new NZ business, expansion capital for an existing NZ business

Listed Equities (1.5x weighting)

• Shares in companies listed on the New Zealand Stock Exchange (NZX)
• Must be NZX-listed at the time of purchase
• Held through a NZ-based custodian or brokerage

Managed Funds (1x weighting)

• Investments in New Zealand-domiciled managed funds registered with the Financial Markets Authority (FMA)
• The fund must invest primarily in New Zealand assets
• Must not be a capital-guaranteed or capital-protected product

Philanthropic Investments (2x weighting)

• Donations to New Zealand registered charities or donee organisations
• Non-refundable; there is no capital return
• Maximum of NZD 1,500,000 in philanthropic investment may count toward the weighted threshold

Personal Requirements

• Age: No maximum age limit
• English language: IELTS 5.0 or equivalent (all four components)
• Character: Police clearance from all countries of residence in the preceding 10 years
• Health: Medical examination and chest X-ray
• Business experience: Minimum 3 years of business, investment or management experience
• Settlement funds: In addition to the investment capital, the applicant must demonstrate NZD 1,500,000 in settlement funds for living expenses
• Nominated contact person: A New Zealand-based contact who will assist with integration

Physical Presence

• 117 days per year in New Zealand during the 4-year investment period (total 468 days over 4 years)
• This is substantially more demanding than Australia's SIV (40 days per year)
• Presence is monitored through passport stamps and airline records

Application Process

Step 1: Expression of Interest (EOI)

• Submitted online through Immigration New Zealand's system
• The EOI outlines the proposed investment strategy, personal qualifications, and settlement plan
• INZ assesses EOIs in order of receipt (no points-based ranking)

Step 2: Invitation to Apply (ITA)

• If the EOI meets threshold criteria, INZ issues an ITA within 3-6 months
• The applicant then has 4 months to submit a full application

Step 3: Full Application

• Comprehensive documentation including:
  • Proof of funds and source of wealth (audited financial statements, tax returns, sale proceeds, gift documentation)
  • Investment plan detailing the allocation across the four categories
  • English language test results
  • Police clearances and medical examinations
  • Settlement plan
• Application fee: NZD 4,745 per primary applicant (plus NZD 2,470 per dependant)
• Processing time: 12-24 months

Step 4: Resident Visa (Conditions)

• Upon approval, the applicant receives a resident visa with conditions
• The investment must be made within 12 months of visa grant
• Annual reporting to INZ confirming the investment is maintained and presence requirements are met

Step 5: Permanent Resident Visa

• After 4 years, the applicant may apply for a permanent resident visa (no conditions)
• The permanent resident visa is valid indefinitely but requires re-entry to New Zealand at least once every 5 years to maintain travel rights
• Fee: NZD 580

Total Costs

Item	Amount (NZD)
Qualifying investment	5,000,000-15,000,000
Settlement funds	1,500,000
Visa application fee (primary)	4,745
Permanent resident visa	580
Legal/advisory fees	25,000-50,000
Fund/investment management fees (annual)	Varies
Total fees (excluding investment)	32,000-56,000

Tax Implications

New Zealand Tax Residency

New Zealand taxes residents on worldwide income under the Income Tax Act 2007. An individual is a New Zealand tax resident if they are present in New Zealand for more than 183 days in any 12-month period, or if New Zealand is their permanent place of abode.

Transitional Resident Exemption

New migrants to New Zealand (including investor visa holders) benefit from the transitional resident exemption for the first 48 months of New Zealand tax residency:

• Foreign income: Most categories of foreign income are exempt (foreign dividends, foreign rental income, foreign interest, foreign business income)
• Foreign capital gains: New Zealand generally does not tax capital gains (there is no comprehensive CGT), but the financial arrangements rules and the foreign investment fund (FIF) regime may create deemed income on certain foreign investments
• FIF exemption: The FIF regime (which taxes unrealised gains on foreign portfolio investments exceeding NZD 50,000) does not apply during the transitional resident period

After 48 months, the full New Zealand tax regime applies. However, the absence of a comprehensive capital gains tax means that gains on the sale of foreign shares, property (other than certain residential property) and other capital assets generally remain untaxed.

Key Tax Features

• Personal income tax: Progressive rates from 10.5% to 39% (top rate on income above NZD 180,000)
• No CGT: New Zealand does not have a comprehensive capital gains tax. Gains from the sale of shares, property held long-term, and other capital assets are generally exempt (subject to the bright-line test for residential property and the FIF regime for foreign investments)
• Bright-line test: Residential property sold within 2 years of acquisition (previously 10 years; reduced in July 2024) is subject to tax on gains
• No inheritance or estate tax: Abolished in 1992

Practical Considerations

• Quality of life: New Zealand consistently ranks among the top 10 globally for quality of life, safety, environmental quality and governance.
• Healthcare: Public healthcare is available to residents through the ACC system. Private health insurance costs NZD 200-500 per month depending on age and coverage.
• Education: Excellent public and private schools. University fees for permanent residents are subsidised.
• Cost of living: Auckland is the most expensive city. A quality three-bedroom house rents for NZD 700-1,200 per week. Groceries and services are comparable to Australia.
• Connectivity: Auckland has direct flights to major Asian, Australian and Pacific cities. Long-haul connections to Europe and the Americas typically transit through Asia or the US West Coast.
• Time zone: NZST (UTC+12) limits real-time overlap with European and US business hours.

Key Takeaways

• New Zealand's Active Investor Plus visa requires a minimum weighted investment of NZD 15M, which translates to NZD 5M in direct business investment, NZD 10M in NZX-listed equities, or NZD 15M in managed funds. Combinations are permitted.
• The investment must be maintained for 4 years with physical presence of 117 days per year — significantly more demanding than Australia's SIV (40 days per year).
• The transitional resident exemption provides 48 months of tax relief on foreign income and FIF obligations, making the initial period highly favourable for investors with substantial offshore portfolios.
• New Zealand has no comprehensive capital gains tax, no inheritance tax, and a top personal income tax rate of 39%. For long-term residents with capital-heavy portfolios, the tax position is attractive.
• Settlement funds of NZD 1,500,000 are required in addition to the investment capital.
• The programme is substantially more expensive than its predecessor (NZD 3M Investor 2 category, now closed) and competes for a smaller pool of applicants willing to commit NZD 5M+ and 117 days of annual presence.