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Thompson was yesterday announced as a contender for the 2018 Turner Prize, named after acclaimed 19th century artist JMW Turner, which is awarded to a British artist for an outstanding presentation of their work.
The other contenders are collective Forensic Architecture, Naeem Mohaiemen and Charlotte Prodger.
The winner will be announced in December.
"British" is defined as an artist working primarily in Britain or an artist born there but working anywhere, and the prize aims to promote public discussion about contemporary art.
Previous winners include Damien Hirst, Grayson Perry and Tracey Emin, and the award has often proved controversial.
Thompson has been nominated for an autoportrait, a powerful moving image work made about and in collaboration with Diamond Reynolds, who broadcast the moments immediately after the fatal shooting of her partner, Philando Castile, by a police officer during a routine traffic-stop in Minnesota in July, 2016.
Four years ago, Thompson, then 26, became the youngest artist to win New Zealand's Walters Prize.
The shortlisted finalists' works will be exhibited at the Tate Gallery from September to January, 2019.