Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698754665449.pdf (New Zealand)
MK 5 Debits arising to Maori authority credit account (1) (b) In an imputation year, a Maori authority must record the fol- lowing amounts as debits in its Maori authority credit account: the amount of a Maori authority credit attached to a dis- (a) tribution made by the Maori authority during the imput- ation year: the amount of any provisional tax allocated by the Maori authority under section MB 33(5)(b) to another Maori authority that is an underpaid company (as referred to in that section): the amount of a refund of income tax paid to the Maori authority during the imputation year, except to the ex- tent that— (i) (c) the refund is for income tax paid in respect of the 2003-04 or an earlier income year; or the refund is for income tax paid that was applied in satisfaction of an income tax liability for an income year— (ii) 2149 Part M s MK 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (A) (B) during which the Maori authority did not maintain a Maori authority credit account; or during only part of which the Maori au- thority maintained a Maori authority credit account, in which case the debit to the ac- count is the amount calculated according to the formula— where— days is the number of days in the year during which the Maori authority maintained a Maori authority credit account refund is the amount of the refund: (d) (e) (f) the amount of an allocation debit arising in respect of the imputation year under section MK 7(4): the amount of any refund of dividend withholding pay- ment paid to the Maori authority during the imputation year at a time when the Maori authority is not a dividend withholding payment account company: in the case of a Maori authority that is a company, the amount of a particular credit in the Maori authority’s Maori authority credit account at any time, in this para- graph referred to as the speciﬁed time, not being a credit which has before the speciﬁed time been cancelled out by a prior or subsequent debit, unless there is a group of persons— (i) whose total minimum voting
 interests in the Maori authority in the period from the date on which the credit arose until the speciﬁed time is 66% or more; and in any case where at any time during that period a market value circumstance exists in respect of the Maori authority, whose total minimum mar- ket value interests in the Maori authority in the period is 66% or more: (ii) 2150 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MK 5 (g) (h) (i) (j) the amount of a refund of income tax paid to the Maori authority during the imputation year except to the extent that the refund is not more than the debit arising under paragraph (f): the amount of any further debit arising to the Maori au- thority credit account under section GC 27A in relation to a Maori authority credit determined to be the subject of an arrangement to obtain a tax advantage: the amount of credit balance in the Maori authority credit account if, during the imputation year, the Maori authority ceases to be a Maori authority: the amount of any overpaid income tax that the Com- missioner applies towards the satisfaction of an amount (other than an income tax liability or an instalment of provisional tax) that is due under any provision of this Act or any other of the Inland Revenue Acts, except to the extent that the amount applied— (i) is in respect of income tax paid for the 2003-04 or an earlier income year; and is in respect of income tax paid before the date that a debit arises under paragraph (f); and is not more than the amount of the debit that arises on that date.
(ii) (iii) (2) The debits referred to in subsection (1) arise at the following times: (a) in the case of a debit referred to in subsection (1)(a), on the date the distribution is made: in the case of a debit referred to in subsection (1)(b), on the date that the Maori authority gives the Commis- sioner notice in writing of the allocation of tax under section MB 33(4): in the case of a debit referred to in subsection (1)(c), (e), or (g), on the date the refund is paid: in the case of a debit referred to in subsection (1)(d), at the end of the imputation year in respect of which the allocation debit arises: in the case of a debit referred to in subsection (1)(f), at the speciﬁed time referred to in that subsection: (b) (c) (d) (f) 2151 Part M s MK 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (g) (h) (i) in the case of a debit referred to in subsection (1)(h), at the end of the imputation year in respect of which it is determined under section GC 27A that the arrangement to obtain a tax advantage occurred or commenced: in the case of a debit referred to in subsection (1)(i), immediately before the Maori authority ceases to be a Maori authority: in the case of a debit referred to in subsection (1)(j), on the date that the Commissioner applies the amount of overpaid income tax in satisfaction of the amount that is referred to in those paragraphs as due and payable.
Subject to the express provisions of this Act, subsection (1)(f) is intended to limit the circumstances in which a taxpayer, be- ing a Maori authority, may carry forward a credit for use if the tax beneﬁt arising from its use is obtained or available to be obtained (directly or indirectly), at least to the extent of 66%, only by the same natural persons holding (directly or in- directly) rights in relation to the Maori authority who— (a) by virtue of holding, directly or indirectly, such rights, bore the tax liability giving rise to the credit; or held, directly or indirectly, such rights at the time of the event giving rise to the credit.
(b) For the purposes of subsection (1)(f),— (a) in respect of any period referred to in that paragraph, the minimum voting interest or market value interest that a person holds in the Maori authority in the period is equal to the lowest voting interest or market value interest (as the case may be) that the person holds in the Maori authority during the period; and section MK 3(2)(b) does not apply and a credit in the Maori authority’s Maori authority credit account is treated as continuing to exist until treated as being can- celled out by a prior or subsequent debit in accordance with paragraph (c); and in determining whether any credit in the Maori author- ity’s Maori authority credit account has been cancelled out by a prior or subsequent debit,— (b) (c) (3) (4) 2152 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MK 7 (i) any amount of debit may be taken into account only once for the purpose of ascertaining whether any credit has been so cancelled out; and the amount of any debit is offset against the amount of any credit in the order in which the credits arise.
Compare: 1994 No 164 s MK 5 (ii) Section MK 5(1)(b): amended, on 1 October 2007, by section 161(1)(a) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Section MK 5(2)(b): amended, on 1 October 2007, by section 161(1)(b) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
MK 6 Maori authority may attach Maori authority credit to distribution (1) A Maori authority may attach a Maori authority credit to a taxable Maori authority distribution.

(2) A Maori authority that is a co-operative company may attach a Maori authority credit to a notional distribution as if, for the purposes of sections ME 35 to ME 39,— (a) (b) a Maori authority credit were an imputation credit; and a Maori authority credit account were an imputation credit account.
(3) A Maori authority may retrospectively attach a Maori author- ity credit to a taxable Maori authority distribution as if, for the purposes of section ME 6,— (a) (b) a Maori authority credit were an imputation credit; and a Maori authority credit account were an imputation credit account.
Compare: 1994 No 164 s MK 6 MK 7 Allocation rules for Maori authority credit account credits (1) A Maori authority may not attach a Maori authority credit to a taxable Maori authority distribution to the extent that the distribution’s base ratio is more than the following ratio: 2153 Part M s MK 7 Income Tax Act 2004 Reprinted as at 29 August 2011 where— tax rate is the basic rate of income tax for Maori authorities, expressed as a percentage, stated in schedule 1, part A, clause 2 and applying for the income year that is concur- rent with the imputation year in which the distribution is made.
(2) If a Maori authority makes a benchmark distribution in an im- putation year, the Maori authority must, unless it makes a ratio change declaration in accordance with subsection (4), ensure that the base ratio of every subsequent distribution it makes during the imputation year is the same as the base ratio of the benchmark distribution.

(3) A benchmark distribution with a base ratio of more than the ratio speciﬁed in subsection (1) is treated as having a base ratio equal to the ratio so speciﬁed.
The base ratio of a subsequent taxable Maori authority distri- bution by the Maori authority may differ from that of a bench- mark distribution if— (a) (4) the Maori authority declares, in a ratio change declar- ation in the prescribed form, that the subsequent distri- bution is not being made as part of an arrangement to obtain a tax advantage, and provides such further infor- mation as may be prescribed; and the ratio change declaration is delivered to the Com- missioner before the date the subsequent distribution is made, or before such later date as the Commissioner may allow in any case or class of cases; and the subsequent distribution is not paid as part of an ar- rangement to obtain a tax advantage.
(b) (c) (5) distributions is the total of all taxable Maori authority dis- tributions made by the Maori authority during the imputation year, exclusive of any Maori authority credit attached to the distributions If the base ratio of a subsequent taxable Maori authority distri- bution by the Maori authority differs from the base ratio of a benchmark distribution in contravention of subsection (2), an 2154 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MK 8 allocation debit arises for the purposes of section MK 5 and is calculated according to the formula— (distributions x ratio) — credits where— distributions is the total of all taxable Maori authority distributions made by the Maori authority during the imputation year, exclusive of any Maori au- thority credit attached to the distributions credits is the total of all Maori authority credits at- tached to distributions made by the Maori author- ity during the imputation year.
Compare: 1994 No 164 s MK 7 Subsection (5) distributions (where it appears after “where—”) was substituted, as from 1 October 2005, by section 247 Taxation (Venture Capital and Miscel- laneous Provisions) Act 2004 (2004 No 111).
MK 8 Further tax payable for end of year debit balance or (1) when Maori authority ceases to exist If there is a debit balance in a Maori authority’s Maori author- ity credit account at the end of an imputation year, and the Maori authority is not liable to pay further income tax under subsection (3), then the Maori authority is liable to pay to the Commissioner an amount of tax by way of further income tax of an amount equal to the debit balance.
(2) A Maori authority must pay further income tax for which it is liable under subsection (1) no later than the 20 June following the end of the imputation year in which there was the debit balance.

If there is a debit balance in a Maori authority’s Maori au- thority credit account immediately before the Maori authority stops being a Maori authority, then the Maori authority is li- able to pay to the Commissioner an amount of tax by way of further income tax of an amount equal to the debit balance.
(3) (4) A Maori authority must pay any further income tax to which it is liable under subsection (3) no later than the last day on which it is still a Maori authority.
(5) A Maori authority that pays an amount of further income tax for which the authority is liable may elect, with effect from the date on which the Commissioner receives the payment, that the 2155 Part M s MK 9 Income Tax Act 2004 Reprinted as at 29 August 2011 amount paid be also credited in payment of a liability of the authority to pay income tax or provisional tax in relation to an income year that corresponds to an imputation year in which the authority was required to establish and maintain a Maori authority credit account.
(5B) A Maori authority that pays an amount of income tax in re- lation to an income year in which the authority was required to establish and maintain a Maori authority credit account and that is liable to pay further income tax in relation to an imput- ation year may elect, with effect from the date on which the Commissioner receives the payment, that the amount of the payment of tax be also credited in payment of the liability of the authority to pay the further income tax.
Subject the Tax Administration Act 1994, the other provisions of this Act and of the Tax Administration Act 1994 (other than the Maori authority rules), so far as they are applicable and with any necessary modiﬁcations, apply with respect to any further income tax for which a Maori authority is chargeable under this section as if it were income tax.
Compare: 1994 No 164 s MK 8 and section 101 of to this section, (6) Subsection (5) was substituted, as from 1 October 2005, by section 248 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (5B) was inserted, as from 1 October 2005, by section 248 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Credits and debits incorrectly recorded MK 9 Correction by Commissioner of credits and debits (1) If the Commissioner considers that a credit or a debit in a Maori authority’s Maori authority credit account is incorrectly recorded or determines that a credit or a debit has not been recorded at all, the Commissioner must determine the correct credit or debit amount and the date on which the credit or debit should be recorded.
(2) As soon as is convenient after a determination is made, the Commissioner must give notice of the determination of incor- rect entry to the Maori authority.

2156 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 1 (4) (3) Unless the Maori authority establishes, in proceedings chal- lenging the determination, that the Commissioner is wrong, the account must be corrected accordingly.

The notice may be included in a notice of assessment under section 111(1) of the Tax Administration Act 1994.
Failure to give notice does not invalidate the Commissioner’s determination.
Compare: 1994 No 164 s MK 9 (5) Subpart MZ—Terminating provisions Contents MZ 1 Savings for certain credits arising in relation to overpayment of income tax or dividend withholding payment Page 2157 MZ 2 Ordering rule for purposes of section MZ 1 MZ 3 Transfers of dividend withholding payment credit balance 2158 2159 to imputation credit account MZ 4 Attachment of dividend withholding payment credits to 2160 dividends to non-residents MZ 5 Application of excess tax to nil period MZ 6 Application of excess tax for 2001-02 tax year MZ 7 Application of allocation debit rules to certain dividends [Repealed] MZ 8 Certain elections to become provisional taxpayer MZ 9 Amount of provisional tax based on 199798 or earlier tax year MZ 10 Calculating provisional tax instalments: section MB 4 MZ 11 Calculating provisional tax instalments: sections MB 7 and MB 10 MZ 12 Calculating provisional tax instalments: section MB 9 2161 2162 2163 2163 2163 2164 2164 2164 MZ 1 Savings for certain credits arising in relation to overpayment of income tax or dividend withholding payment (1) Where and to the extent that— (a) a windfall credit has been recorded in the imputation credit account or dividend withholding payment ac- 2157 Part M s MZ 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) count of a company or a consolidated group before 17 August 1995; and that windfall credit has been— (i) offset by a debit in accordance with section MZ 2; or (ii) with the approval of the Commissioner, treated as having been simultaneously offset by a debit before 17 August 1995,— then that credit is not denied to the company or consolidated group by reason of the enactment of section 38 of the Income Tax Act 1994 Amendment Act (No 4) 1995.
(2) No debit arises to a company’s or consolidated group’s imput- ation credit account or dividend withholding payment account under any of sections ME 5(1)(l) to (n), ME 12(1)(l) and (m), MG 5(1)(k), and MG 15(1)(l) to the extent that— (a) the amount of income tax or dividend withholding pay- ment that is referred to in those provisions as being ap- plied by the Commissioner has, before 17 August 1995, given rise to a credit to that imputation credit account or dividend withholding payment account of the company or group; and that credit has been offset before that date by a debit.
(b) In this section, windfall credit means any credit arising to a company’s or consolidated group’s imputation credit account or dividend withholding payment account by reason of the Commissioner crediting an amount of overpaid income tax or overpaid dividend withholding payment towards payment by the company or, as the case may be, the consolidated group or a member of the consolidated group of income tax or dividend withholding payment respectively.
Compare: 1994 No 164 s MZ 1 (3) MZ 2 Ordering rule for purposes of section MZ 1 For the purpose of determining under section MZ 1 whether, and if so to what extent, a credit has been offset by a debit,— a calculation is made of the credits and debits that would (a) arise in the relevant imputation credit account or divi- dend withholding payment account as if that account were maintained in accordance with (as the case may 2158 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 3 require) section ME 3 or ME 10 or MG 3 or MG 13 subject to the following modiﬁcations: (i) the account is to be treated as maintained as a sin- gle account for the period from its establishment until 17 August 1995, and not as a separate ac- count for each imputation year; and sections ME 3(2)(b), ME 10(2)(b), MG 3(2)(b), and MG 13(3)(b) do not apply; and sections ME 5(1)(l) to (n), ME 12(1)(l) and (m), MG 5(1)(k), and MG 15(1)(l) apply as if the rele- vant amendments or inserting of those provisions enacted by the Income Tax Act 1994 Amendment Act (No 4) 1995 had not come into force before 17 August 1995; and (ii) (iii) (b) the amount of any credits is offset successively (in the order in which those credits arise) against the amounts recorded as debits (in the order in which those debits arise).
Compare: 1994 No 164 s MZ 2 MZ 3 Transfers of dividend withholding payment credit (1) balance to imputation credit account If— (a) (b) a credit in a company’s imputation credit account arises from an election under section MG 11 made by a com- pany before 17 August 1995; and the corresponding debit to the company’s dividend withholding payment account is attributable in accord- ance with section MG 11 to a credit which— (i) in accordance with the law that was in force be- fore the enactment of the Income Tax Act 1994 Amendment Act (No 4) 1995, was recorded in the company’s dividend withholding payment account before 17 August 1995; and (ii) was a credit arising by virtue of— (A) the crediting towards dividend withhold- ing payment of an amount of overpaid dividend withholding payment; or 2159 Part M s MZ 4 Income Tax Act 2004 Reprinted as at 29 August 2011 (B) an amount of overpaid dividend with- holding payment that was applied by the Commissioner in satisfaction of an amount (other than a dividend withhold- ing payment) that was due and payable under any provision of this Act or any other of the Inland Revenue Acts,— (2) then, for the purpose of determining the extent of relief available to a company under section MZ 1, the credit to the company’s imputation credit account is deemed to be a credit which qualiﬁes for the relief provided by section MZ 1.
Subsection (1) applies with any necessary modiﬁcations to all or any part of the credit balance in the dividend withholding payment account of a consolidated group which, in accordance with section NH 6(6), the nominated company for the group elects to be a credit in the group’s imputation credit account.
Compare: 1994 No 164 s MZ 3 MZ 4 Attachment of dividend withholding payment credits to dividends to non-residents (2) (1) Notwithstanding section MG 6(2), but otherwise subject to this Act, a conduit tax relief company may attach a dividend with- holding payment credit to a dividend derived by a non-resident to the extent allowed under this section.

The rules for determining residence in sections OE 7 and OE 8 apply for the purposes of subsection (1).

The dividend must be paid before 1 April 2001.
The credit attached to the dividend, when aggregated with all dividend withholding payment credits attached under subsec- tion (1) to dividends previously paid or paid at the same time, must not exceed the greater of— (a) (b) nil; and the amount calculated as follows: (3) (4) NRS x (DWPA balance + March DWP) where— NRS is the percentage of the company’s shareholders not resident in New Zealand, as calculated under 2160 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 5 section NH 7(2) as if that section applied to a dividend received on 31 March 1998 DWPA balance is the balance of the company’s divi- dend withholding payment account at the end of the 1997-98 imputation year March DWP is the amount of the credit that arises under section MG 4(1)(a) after 31 March 1998 on account of dividends paid to the company in the quarter ended 31 March 1998.
Compare: 1994 No 164 s MZ 4 MZ 5 Application of excess tax to nil period (1) To the extent that tax paid in excess by or on behalf of a tax- payer is refundable and, before it is applied under this section, has not been applied to satisfy a tax liability or other amount due, the Commissioner must apply all or part of the excess to a nil period if— (a) before 21 April 2001,— (i) (ii) (iii) the taxpayer or their agent requested, in writing, that the Commissioner apply all or part of the excess to the nil period; or the Commissioner, by notice, declined the tax- payer’s or their agent’s request to apply all or part of the excess to the nil period; or the Commissioner provided the taxpayer to whom the tax was applied with a notice or a statement of account that reﬂected the applica- tion of all or part of the excess to the nil period, irrespective of whether the application of the excess is subsequently reversed; and (2) (b) on or after 24 October 2001, the taxpayer identiﬁes themselves, or the taxpayer’s agent identiﬁes the tax- payer, to the Commissioner as being a person to whom this section applies.
To the extent that tax paid in excess by or on behalf of a tax- payer is refundable and, before it is applied under this section, has not been applied to satisfy a tax liability or other amount due, the Commissioner must apply all or part of the excess to a nil period if, on or after 21 February 2001,— 2161 Part M s MZ 6 Income Tax Act 2004 Reprinted as at 29 August 2011 (3) (4) (a) (b) an assessment is made of a previous tax year’s tax li- ability that gives rise to the excess; and the taxpayer or their agent requests that the Commis- sioner apply all or a part of the excess to the nil period.
The Commissioner must apply all or part of an excess to a date in a nil period that occurs after the date the excess tax is paid.
In this section,— nil period means a period in which a taxpayer does not have an outstanding liability for unpaid tax tax includes a credit allowed to a taxpayer under Part L— for withholding tax or provisional tax; and (a) in respect of a dividend withholding payment, if the (b) taxpayer is entitled to a refund of that credit under Part L. Compare: 1994 No 164 s MZ 5 MZ 6 Application of excess tax for 2001-02 tax year (1) To the extent that tax for the 2001-02 tax year is paid in excess by or on behalf of a taxpayer and, before it is applied under this section, has not been applied to satisfy a tax liability or other amount due, the Commissioner must apply all or part of the excess to a nil period if the taxpayer or their agent requests that the Commissioner apply all or a part of the excess to the nil period.
The Commissioner must apply all or part of an excess to a date in a nil period that occurs after the date the excess tax is paid.
In this section,— nil period means a period in which a taxpayer does not have an outstanding liability for unpaid tax tax includes a credit allowed to a taxpayer under Part L— for withholding tax or provisional tax; and (a) in respect of a dividend withholding payment, if the (b) taxpayer is entitled to a refund of that credit under Part L. Compare: 1994 No 164 s MZ 6 (2) (3) 2162 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 9 MZ 7 Application of allocation debit rules to certain dividends [Repealed] Compare: 1994 No 164 s MZ 7 Section MZ 7 was repealed, as from 1 October 2005, by section 249 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
MZ 8 Certain elections to become provisional taxpayer (1) This section applies if a taxpayer has a non-standard income year and has, between 10 October 2000 and the date on which the Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 received the Royal assent, ﬁled a return of income for the 1998-99 or a later income year on the basis that section MB 3(a) applied (being section MB 2A(1)(a)(i) as it was before the enactment of section 50(1) of the Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002).
The taxpayer may elect to be a provisional taxpayer for the in- come year for which the return was ﬁled if the taxpayer has paid provisional tax of more than $2,500 on or before the date of instalment F for the non-standard income year that corres- ponds to the tax year for which the return was ﬁled.

Section MZ 8: added, on 1 October 2007, by section 162(1) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
(2) MZ 9 Amount of provisional tax based on 199798 or earlier tax year For the purposes of sections MB 4 and MB 5 (other than sec- tion MB 5(3) and (4)), and for a taxpayer who is a New Zealand superannuitant for the 1997–98 tax year, the taxpayer’s re- sidual income tax for that tax year or for an earlier tax year is the amount that would have been the taxpayer’s residual in- come tax if the taxpayer (a) had not been liable to pay the New Zealand superannu- itant surcharge; and had not paid any New Zealand superannuitant surcharge by way of surcharge deduction.
(b) Section MZ 9: added, on 1 October 2007, by section 163(1) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

2163 Part M s MZ 10 Income Tax Act 2004 Reprinted as at 29 August 2011 (2) MZ 10 Calculating provisional tax instalments: section MB 4 (1) This section applies, for a person’s 2008–09 and 2009–10 in- come years, when the person is a new tax rate person for that year.
For the purposes of the standard method, and for the purpose of a provisional taxpayer calculating the amount of provisional tax under section MB 4(3),— (a) for the 2008–09 income year,— 105% is treated as 95% in section MB 4(3)(a): (i) (ii) 110% is treated as 100% in section MB 4(3)(b): for the 2009–10 income year, 110% is treated as 100% in section MB 4(3)(b).

(b) Section MZ 10: added, on 1 October 2007, by section 47(1) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
MZ 11 Calculating provisional tax instalments: sections MB (1) (2) 7 and MB 10 This section applies, for a person’s 2008–09 and 2009–10 in- come years when— (a) (b) the person is a new tax rate person for that year; and in section MB 7, residual income tax amounts or income tax assessment amounts (the income tax amounts) are required for determining base amounts or otherwise for calculating the GST ratio; and the income tax amounts are for the 2007–08 or earlier income years.
(c) For the purposes of a provisional taxpayer calculating the amount of an instalment under section MB 10, the income tax amounts in section MB 7 are treated as reduced by multiplying them by 0.9.

Section MZ 11: added, on 1 October 2007, by section 47(1) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
MZ 12 Calculating provisional tax instalments: section MB 9 (1) This section applies, for a person’s 2008–09 and 2009–10 in- come years, when the person is a new tax rate person for that year.
For the purposes of a provisional taxpayer calculating the amount of an instalment under section MB 9(2),— (2) 2164 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 12 (a) (b) for the 2008–09 income year,— (i) section MB 9(3)(a)(i) is treated as requiring a 5% reduction of the taxpayer’s residual income tax for the preceding tax year, not a 5% uplift: section MB 9(3)(a)(ii) is treated as requiring the taxpayer’s residual income tax for the tax year immediately before the preceding tax year, not a 10% uplift: (ii) for the 2009–10 income year, section MB 9(3)(a)(ii) is treated as requiring the taxpayer’s residual income tax for the tax year immediately before the preceding tax year, not a 10% uplift.
Section MZ 12: added, on 1 October 2007, by section 47(1) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Part N Withholding taxes and taxes on income of others Contents Subpart NB—General NB 1 Withholding tax obligations of consolidated group members Subpart NBA—PAYE intermediaries NBA 1 Purpose NBA 2 Accreditation requirements of PAYE intermediaries NBA 3 Approval by Commissioner of employer arrangements with PAYE intermediary Page 2172 2173 2174 2176 NBA 4 Employer having PAYE intermediary: responsibilities and 2177 status under PAYE rules and SSCWT rules NBA 5 PAYE intermediary: responsibilities and status under PAYE rules and SSCWT rules NBA 6 Operation of trust account NBA 7 Refund by Commissioner of deductions NBA 8 Termination of employer arrangements with PAYE intermediary 2179 2181 2182 2183 2165 Income Tax Act 2004 Reprinted as at 29 August 2011 Subpart NBB—Subsidy payable to certain listed PAYE intermediaries NBB 1 Purpose NBB 2 Accreditation of listed PAYE intermediary NBB 3 Obligations of listed PAYE intermediaries NBB 4 Revocation of listing NBB 5 Listed PAYE intermediary claim form NBB 6 Calculation and payment of subsidy to certain listed PAYE 2184 2184 2185 2185 2186 2187 intermediaries NBB 7 Termination of employer arrangements with listed PAYE 2188 intermediary Subpart NC—Withholding of PAYE Tax deductions NC 1 Application of PAYE rules NC 2 Tax deductions to be made by employers or PAYE 2190 2190 intermediaries NC 3 Tax deductions from amounts credited to or applied for 2192 employees NC 4 Beneﬁts and superannuation and other payments deemed 2192 NC 5 to be salary or wages Payment to be made by employee where tax deduction exceeds source deduction payment NC 6 Amounts of tax deductions Amounts of tax deductions Reduced deductions 2193 2194 NC 7 Delivery of withholding declaration NC 8 Application of tax codes speciﬁed in tax code declarations 2195 2196 or tax code certiﬁcates NC 8A Entitlement to undertake employment NC 9 Cessation of transitional tax allowance for purposes of 2200 2200 tax code NC 10 Amount of total tax deduction where several deductions 2201 made for 1 week NC 11 Increased
 deductions to cover deﬁciency in deductions 2201 from advance payments NC 12 Amount of tax deductions for pay period current when 2202 tax deductions altered NC 12A Employee using incorrect tax code NC 13 Power of Commissioner to reduce tax deductions NC 14 Special tax code certiﬁcates 2203 2204 2204 2166 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 12 Duties of employer or PAYE intermediary as to deductions NC 15 Payment of tax deductions to Commissioner Employee’s duties where deductions not made NC 16 Employee to pay deductions to Commissioner Miscellaneous provisions NC 18 Bond in lieu of tax deductions in case of certain non-resident employees NC 19 Amount of tax deductions deemed to be received by employee 2206 2208 2209 2211 NC 20 Application of other provisions to amounts payable under 2211 PAYE rules NC 21 Regulations ND 1 Employer’s liability for fringe beneﬁt tax Subpart ND—Fringe beneﬁt tax Value of fringe beneﬁts ND 1A Private use of motor vehicle: value of beneﬁt ND 1AB Private use of motor vehicle: 24-hour period ND 1B Private use of motor vehicle: test period to establish private use ND 1C Subsidised transport: value of beneﬁt ND 1D Employment-related loans: value of beneﬁt using prescribed interest 2213 2216 2218 2220 2221 2222 2223 ND 1DB Employment-related loans: election to value beneﬁt 2224 using market interest ND 1E Employment-related loans: repayment ND 1F Employment-related loans: regulations ND 1G Meaning of prescribed interest ND 1H Contributions to superannuation schemes: value of 2225 2226 2226 2227 beneﬁt ND 1I Contributions to funds, trusts, and insurance: value of 2227 beneﬁt ND 1IB Beneﬁts provided by charitable organisations ND 1J Goods: value of beneﬁt ND 1K Services: value of beneﬁt ND 1L When value of fringe beneﬁt cannot be ascertained ND 1M Meaning of identical goods ND 1N Goods at staff discount ND 1O Goods on special with staff discount ND 1P Deﬁnitions for sections ND 1N and ND 1O 2227 2228 2229 2230 2230
 2230 2231 2231 2167 Income Tax Act 2004 Reprinted as at 29 August 2011 ND 1Q Unclassiﬁed beneﬁts ND 1R Adjustments for unclassiﬁed beneﬁts on amalgamation Taxable value of fringe beneﬁts ND 1S Payments towards fringe beneﬁts ND 1T Private use of motor vehicle: determining taxable value in cases of part ownership 2232 2234 2235 2236 ND 1U Private use of motor vehicle: when schedular value not 2236 used ND 1V Private use of motor vehicle: when schedular value used 2237 ND 1W Application Application Payment of fringe beneﬁt tax ND 2 Election to pay fringe beneﬁt tax per quarter ND 3 Attributed fringe beneﬁts ND 4 Attributed fringe beneﬁts: exception for subsidised transport ND 5 Multi-rate calculation for attributed fringe beneﬁts ND 5A Special rule for fringe beneﬁts attributed to shareholder-employees or employees receiving attributed income 2238 2239 2239 2241 2241 2244 ND 6 Calculation of fringe beneﬁt tax on non-attributed fringe 2244 beneﬁts ND 7 Deﬁnition of cash remuneration ND 7A Timing of certain cash remuneration ND 8 Special rule for employer who stops employing staff 2245 2246 2247 during tax year ND 8B Special rule for employer who is charitable organisation 2247 providing short-term charge facility ND 9 Payment of fringe beneﬁt tax: ﬁrst 3 quarters of tax year ND 10 Payment of fringe beneﬁt tax: ﬁnal quarter of tax year ND 11 Payment of fringe beneﬁt tax: no fringe beneﬁt provided 2248 2249 2250 during quarter ND 12 Special ﬁling rule for employer who stops employing staff 2250 during tax year ND 13 Payment of fringe beneﬁt tax on annual basis for employees who are not shareholder-employees ND 14 Payment of fringe beneﬁt tax on income year basis for shareholder-employees ND 15 Change in period for which fringe beneﬁt tax payable ND 16 Amendment to thresholds for fringe beneﬁt categories by 2250 2252 2255 2256 Order in Council 2168 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 12 Subpart NE—Speciﬁed superannuation contribution
 withholding tax NE 1 Application NE 2 Speciﬁed superannuation contribution withholding tax imposed NE 2AA Employee election that higher rate of speciﬁed superannuation contribution withholding tax apply [Repealed] NE 2AB Employer election that progressive rates of speciﬁed superannuation contribution withholding tax apply [Repealed] NE 2A Employee election that speciﬁed superannuation contributions be treated as salary or wages NE 2B Employer election that progressive rates of speciﬁed NE 3 superannuation contribution withholding tax apply Speciﬁed superannuation contribution withholding tax to be deducted NE 3B Calculation amounts in relation to current speciﬁed superannuation contribution for complying superannuation fund Period for payment Failure to deduct tax NE 4 NE 5 NE 6 Tax deemed for certain purposes to have been received by superannuation fund 2257 2257 2258 2258 2259 2259 2259 2262 2264 2264 2265 NE 7 Application of other provisions to speciﬁed superannuation 2266 contribution withholding tax Subpart NEA—Tax on certain withdrawals from superannuation funds NEA 1 Recovery of tax paid by superannuation fund 2267 Subpart NEB—Retirement scheme contribution withholding tax NEB 1 Retirement scheme contribution withholding tax imposed NEB 2 Retirement scheme contribution withholding tax to be deducted NEB 3 Payment and notice of deductions NEB 4 Failure to deduct NEB 5 Retirement savings schemes NEB 6 Retirement scheme contributors NEB 7 Application of other provisions to retirement scheme contribution withholding tax 2267 2268 2269 2269 2270 2271 2272 2169 Income Tax Act 2004 Reprinted as at 29 August 2011 Subpart NF—Resident withholding tax Application NF 1 Application of RWT rules Liability to pay resident withholding tax Liability to pay resident withholding tax NF 2 NF 2AA Election to be RWT proxy NF 2A Election to apply higher rate of deduction NF 2B Companies to notify interest payer NF 2C Transitional rule: notiﬁcations by companies between 1 April
 2001 and 31 May 2001 (both dates inclusive) NF 2D Election rates of deduction for companies NF 2E Amounts withheld from distributions to holders of FIF attributing interests NF 3 Requirements for agents or trustees to make resident withholding tax deductions on receipt of payments Payment of resident withholding tax NF 4 Payment of deductions of resident withholding tax to Commissioner 2274 2277 2290 2291 2292 2292 2293 2293 2294 2295 NF 5 Non-resident withholding tax deducted in substitution for 2298 resident withholding tax NF 6 Resident withholding tax deductions varied to correct Miscellaneous provisions errors NF 7 Refunds of deductions NF 8 Resident withholding tax deductions from dividends deemed to be dividend withholding payment credits 2299 2301 2302 NF 8A Resident withholding tax deductions from distributions 2304 treated as Maori authority credits NF 8B Resident withholding tax deductions from replacement 2304 payments treated as imputation credits NF 9 Certiﬁcates of exemption NF 10 Unincorporated bodies NF 11 Cancellation of certiﬁcates of exemption NF 12 Amount of resident withholding tax deduction deemed to have been received NF 13 Application of other provisions in relation to resident 2305 2310 2312 2315 2315 withholding tax 2170 Reprinted as at 29 August 2011 Income Tax Act 2004 Part M s MZ 12 Subpart NG—Non-resident withholding tax General NG 1 Application of NRWT rules NG 2 Non-resident withholding tax imposed NG 3 Non-resident withholding tax to be ﬁnal tax in certain cases NG 4 Non-resident withholding tax to be minimum tax in certain cases NG 5 Persons who may apply for approval NG 6 Approval of person as approved issuer NG 7 Revocation of approval Deduction of non-resident withholding tax NG 8 Deduction of non-resident withholding tax NG 9 Non-resident withholding tax on dividends not paid in money NG 10 Power of Commissioner to grant relief from or vary amount of deductions 2317 2318 2321 2322 2322 2323 2323 2324 2325 2327 Payment of
 non-resident withholding tax NG 11 Payment of deductions of non-resident withholding tax to 2328 Commissioner NG 12 Person deriving non-resident withholding income to pay non-resident withholding tax to Commissioner NG 13 Failure to make deductions of non-resident withholding 2330 2331 tax or to make payments to Commissioner Miscellaneous provisions NG 14 Non-resident withholding tax on dividends paid to 2332 company under control of non-resident NG 15 Deductions of non-resident withholding tax deemed to be 2333 received by person entitled to payment NG 16 Non-resident withholding tax deducted in error NG 16A Variation in non-resident withholding tax deductions to correct errors NG 16B Person withholding amount as retirement scheme contribution withholding tax when liable for non-resident withholding tax NG 17 Application of other provisions to non-resident 2333 2335 2336 2336 withholding tax Subpart NH—Dividend withholding payments NH 1 Liability to make deduction in respect of foreign 2338 withholding payment dividend 2171 Income Tax Act 2004 Reprinted as at 29 August 2011 NH 2 Amount of dividend withholding payment to be deducted NH 3 Payment and recovery of dividend withholding payment NH 4 Refund for overpayment and to company in loss 2339 2341 2344 Consolidated groups NH 5 Dividend withholding payments and consolidated groups NH 6 Application of speciﬁc dividend withholding payment 2348 2352 provisions to consolidated groups Conduit tax relief NH 7 Reduction in liability under conduit tax relief Subpart NZ—Terminating provisions NZ 1 Adjustment of dividends payable to preference shareholders Subpart NB—General Contents NB 1 Withholding tax obligations of consolidated group members 2354 2356 Page 2172 NB 1 Withholding tax obligations of consolidated group members Notwithstanding any provision of the consolidation rules, each company which is at any time a member of a consolidated group is, individually and not jointly with other members of that consolidated
 group, liable to comply with that company’s obligations under the FBT rules, the NRWT rules, the PAYE rules, the RWT rules, and the SSCWT rules.
Compare: 1994 No 164 s NB 1 Subpart NBA—PAYE intermediaries Contents NBA 1 Purpose NBA 2 Accreditation requirements of PAYE intermediaries Page 2173 2174 2172 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBA 1 NBA 3 Approval by Commissioner of employer arrangements 2176 with PAYE intermediary NBA 4 Employer having PAYE intermediary: responsibilities and 2177 status under PAYE rules and SSCWT rules NBA 5 PAYE intermediary: responsibilities and status under PAYE rules and SSCWT rules NBA 6 Operation of trust account NBA 7 Refund by Commissioner of deductions NBA 8 Termination of employer arrangements with PAYE 2179 2181 2182 2183 intermediary NBA 1 Purpose (b) The purpose of this subpart is to— (a) allow an employer to enter into an arrangement with a person to transfer their PAYE and SSCWT obligations to the person; and allow persons, accredited by the Commissioner, to make payments and tax deductions in accordance with the PAYE rules and SSCWT rules on behalf of an employer, and to ﬁle returns relating to those payments and tax deductions on behalf of the employer.
2173 Part N s NBA 2 Income Tax Act 2004 Reprinted as at 29 August 2011 Compare: 1994 No 164 s NBB 1 NBA 2 Accreditation requirements of PAYE intermediaries (1) A person (in this section called the applicant) may apply to the Commissioner to be accredited as a PAYE intermediary for employers by giving notice that— (a) the applicant has established a trust account that com- plies with the requirements of section NBA 6 and will operate the account as required by that section; and the applicant has administration and information tech- nology systems that satisfy section NBA 5(3) and will maintain and operate those systems as required by that section; and the applicant, if a natural person or corporation sole, or each member of the applicant, if the applicant is an unincorporated body, or each of the persons acting as a director, secretary or statutory ofﬁcer of the applicant, if the applicant is a body corporate, and any principal of the applicant,— (i) is not a discharged or undischarged bankrupt; and (b) (c) 2174 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBA 2 (2) (3) (4) (d) (ii) (ii) has not been convicted of an offence involving fraud; and (iii) is eligible to be a company director; and the applicant will, before acting as a PAYE intermediary for an employer,— (i) inform the employer that the Commissioner does not guarantee payments by the applicant to em- ployees of the employer; and provide the employer with a copy of the appli- cant’s notice to the Commissioner.
The Commissioner may accredit an applicant as a PAYE inter- mediary if the Commissioner is satisﬁed that— (a) (aa) the applicant will comply with the PAYE rules; and the applicant will comply with the SSCWT rules if the applicant assumes an employer’s obligations under the SSCWT rules; and the applicant’s information technology systems will al- low the applicant to make payments and ﬁle returns in a prescribed format.
(b) The Commissioner may specify a period for which a person is accredited as a PAYE intermediary.
The Commissioner may revoke the accreditation of a person if— (a) (aa) the person fails to comply with the PAYE rules: the person fails to comply with the SSCWT rules, if the person assumes an employer’s obligations under the SSCWT rules: the person, if a natural person or corporation sole, or a member of the person, if the person is an unincorpor- ated body, or a person acting as a director, secretary or statutory ofﬁcer of the person, if the person is a body corporate, or a principal of the person,— has been made bankrupt: (i) has been convicted of an offence involving fraud: (ii) (iii) is not eligible to be a company director: the person, if not a natural person, has been put into liquidation or receivership: the person, if a company, ceases to be registered in New Zealand.
(b) (c) (d) 2175 Part N s NBA 3 Income Tax Act 2004 Reprinted as at 29 August 2011 (5) On revoking the accreditation of a person, the Commissioner must send to the person, and to any employer who has notiﬁed the Commissioner that the person is a PAYE intermediary for the employer, notice of— the revocation; and (a) the date, not less than 14 days from the date of the no- (b) tice, on which the revocation will take effect.

(6) A decision made by the Commissioner under this section may not be challenged.
Compare: 1994 No 164 s NBB 2 Subsection (1)(c) was amended, as from 1 April 2005, by section 250(1) Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “the applicant, if a natural person or corporation sole, or each member of the applicant, if the applicant is an unincorporated body, or each of the persons acting as a director, secretary or statutory ofﬁcer of the ap- plicant, if the applicant is a body corporate, and any principal of the applicant” for the words before subparagraph (i).
Subsection (4)(b) was amended, as from 1 April 2005, by section 250(2) Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “the person, if a natural person or corporation sole, or a member of the person, if the person is an unincorporated body, or a person acting as a director, secretary or statutory ofﬁcer of the person, if the person is a body corporate, or a principal of the person” for the words before subparagraph (i).
NBA 3 Approval by Commissioner of employer arrangements with PAYE intermediary (1) An employer who wishes to enter into an arrangement with a person under which the person will be a PAYE intermediary for the employer must notify the Commissioner of the proposed arrangement.
The notice must include the following details: (a) (b) the name of the person; and the period for which the person will be a PAYE inter- mediary for the employer; and the number of the person’s bank account into which the employer will deposit payments in relation to an employee; and (c) (d) whether the proposed arrangement requires the person to make deductions under the SSCWT rules.

(2) The Commissioner must send notice to the employer approv- ing the proposed arrangement.
2176 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBA 4 (3) An approval by the Commissioner of an arrangement applies to pay periods that begin on or after the date that is 14 days after the date on which the Commissioner sends the notice of approval.
Compare: 1994 No 164 s NBB 3 NBA 4 Employer having PAYE intermediary: responsibilities and status under PAYE rules and SSCWT rules (1) An employer who is in an arrangement with a PAYE intermedi- ary that applies to an employee and a pay period must— (a) (b) if the employer has authorised the PAYE intermediary to direct the transfer of amounts from a bank account of the employer in satisfaction of the obligations under the ar- rangement of the PAYE intermediary to make payments on behalf of the employer, ensure that, at a time speci- ﬁed by the PAYE intermediary, the funds in the bank ac- count of the employer that are available for transfer are sufﬁcient to satisfy the obligations of the PAYE inter- mediary that relate to the employee and the pay period; or if the employer has not authorised the PAYE intermedi- ary as described in paragraph (a), pay into the trust ac- count established by the PAYE intermediary and identi- ﬁed in the employer’s notice to the Commissioner under section NBA 3— (i) if subparagraph (ii) does not apply, the em- ployee’s gross salary or wages for the pay period after deduction of any amount that is owed by the employee to the employer and may be law- fully withheld by the employer from the salary or wages: if the employer has paid salary or wages to the employee in the way authorised by subsection (4), the amount that the employer is required by subsection (4)(d) to make available to the PAYE intermediary: if the PAYE intermediary has agreed to assume obligations of the employer under the SSCWT rules, the speciﬁed superannuation contributions (ii) (iii) 2177 Part N s NBA 4 Income Tax Act 2004 Reprinted as at 29 August 2011 that are made in the pay period by the employer on behalf of the employee.
(1B) An employer who is in an arrangement with a PAYE intermedi- ary that applies to an employee and a pay period must— (a) keep records of the gross salary or wages of the em- ployee for the pay period and the amounts withheld by the employer for the pay period; and provide information requested by the PAYE intermedi- ary within the time agreed by the employer and the PAYE intermediary.
(b) (2) An employer who satisﬁes the requirements of subsections (1) and (1B)— (a) (b) (3) is not subject to the requirements in relation to the em- ployee and the pay period that the PAYE rules impose on the PAYE intermediary; and does not, merely because of the effect of paragraph (a) and subsection (3), cease to be liable as an employer for the payment to the employee of the salary or wages for the pay period or the making of speciﬁed superannu- ation contributions on behalf of the employee.
If an employer is in an arrangement with a PAYE intermediary under which the PAYE intermediary agrees to assume obliga- tions under the SSCWT rules in relation to an employee and a pay period and the employer satisﬁes the requirements of subsections (1) and (1B), the employer is not subject to the re- quirements in relation to the employee and the pay period that the SSCWT rules impose on the PAYE intermediary.
(4) An employer who is in an arrangement with a PAYE intermedi- ary that applies to an employee and a pay period may make a payment of salary or wages directly to the employee in cash or by cheque if— (a) the payment is made on a day in a pay period that is not the usual day for a payment of salary or wages for the pay period; and the payment is— (i) (ii) an advance of the employee’s salary or wages: salary or wages owed to the employee for an ear- lier pay period: (b) 2178 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBA 5 (c) (d) (iii) a payment on the termination of the employee’s employment; and the employer makes from the gross salary or wages of the employee the deduction that the PAYE rules and SSCWT rules would require of an employer who did not have a PAYE intermediary; and the employer makes available to the PAYE intermediary, in the way required by subsection (1), the amount of the deduction referred to in paragraph (c).
Compare: 1994 No 164 s NBB 4 Subsection (1) was substituted, as from 1 April 2005, by section 251(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (2) was amended, as from 1 April 2005, by section 251(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “subsections (1) and (1B)” for the words “subsection (1)”.
Subsection (3) was amended, as from 1 April 2005, by section 251(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “subsections (1) and (1B)” for the words “subsection (1)”.

Subsection (4)(c) and (d) was substituted, as from 1 April 2005, by section 251(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
NBA 5 PAYE intermediary: responsibilities and status under PAYE rules and SSCWT rules (1) A PAYE intermediary who is in an arrangement, that applies to an employee and a pay period, with an employer who satisﬁes the requirements of section NBA 4(1) assumes the obligations for the employee and the pay period that are not imposed on the employer by section NBA 4(1) and (1B) and that would, but for this subsection, be the obligations of the employer under the PAYE rules, including the obligations to— (a) calculate and make tax deductions and pay those deduc- tions to the Commissioner by electronic means and in the prescribed electronic format; and deliver an employer monthly schedule to the Commis- sioner by electronic means and in the prescribed elec- tronic format; and if required, deliver a remittance certiﬁcate to the Com- missioner; and (b) (c) 2179 Part N s NBA 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (1B) (d) keep records in accordance with section 24 of the Tax Administration Act 1994.
If a PAYE intermediary has been authorised by an employer to direct the transfer of amounts from a bank account of the em- ployer as described in section NBA 4(1)(a), the PAYE inter- mediary must direct that, at or before the time of the transfer of the amount of salary or wages owing to the employee, an amount representing the deductions from the gross salary or wages of the employee that are required by the PAYE rules and SSCWT rules be transferred to— (a) (b) the Commissioner: the trust account established by the PAYE intermediary and identiﬁed in the employer’s notice to the Commis- sioner under section NBA 3.
(2) A PAYE intermediary does not, merely because of the effect of subsections (1) and (2A), become liable as an employer for the payment to the employee of the salary or wages for the pay period or the making of speciﬁed superannuation contributions on behalf of the employee.
(2A) A PAYE intermediary who agrees to assume obligations under the SSCWT rules in relation to an employee and a pay period, in an arrangement with an employer who satisﬁes the require- ments of section NBA 4(1), assumes the obligations for the employee and the pay period that— (a) are not imposed on the employer by section NBA 4(1) and (1B); and (b) would, but for this subsection, be the obligations of the employer under the SSCWT rules.
(3) A PAYE intermediary must maintain and operate administra- tion and information technology systems that protect the pri- vacy of the personal information and payment details acquired by the PAYE intermediary in the performance of its functions.
(4) A PAYE intermediary who is in an arrangement, that applies to an employee and a pay period, with an employer may make an amended return relating to employees of the employer for a different pay period, and is then responsible for the accuracy of the amendments.
Compare: 1994 No 164 s NBB 5 2180 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBA 6 Subsection (1) was amended, as from 1 April 2005, by section 252(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the words “and (1B)” after the words “section NBA 4(1)” in both places that it occurs.

Subsection (1B) was inserted, as from 1 April 2005, by section 252(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Subsection (2A) was amended, as from 1 April 2005, by section 252(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the words “and (1B)” after the words “section NBA 4(1)” in both places that it occurs.

NBA 6 Operation of trust account (1) A PAYE intermediary’s trust account must be established at a registered bank within the meaning of the Reserve Bank of New Zealand Act 1989 and must be named as a trust account.
The only deposits that may be made to the account are— (a) (ab) deductions from gross salary or wages that are required gross salary or wages paid by employers: (2) (ac) by the PAYE rules and SSCWT rules: speciﬁed superannuation contributions paid by employ- ers: (ad) deductions under section NBA 4(4) made by employers (3) from salary or wages: refunds by the Commissioner under section NBA 7: interest earned by funds in the trust account.
(b) (c) The only withdrawals that may be made from the account are— (ab) speciﬁed superannuation contributions paid by employ- ers: deductions under section NBA 4(4) made by employers from salary or wages: (ac) (ab) deductions under section NBA 4(4) made by employers (b) from salary or wages: payments that the employer would be required to make, but for the arrangement with the PAYE intermediary, from— (i) a deduction from the salary or wages of an em- ployee: a deduction from a speciﬁed superannuation con- tribution made on behalf of an employee: (ii) (c) interest earned by funds in the trust account.
2181 Part N s NBA 7 Income Tax Act 2004 Reprinted as at 29 August 2011 (4) A payment relating to an employee that is credited to the trust account of a PAYE intermediary is held by the PAYE inter- mediary on trust for the beneﬁt of the employee and the Com- missioner according to their respective rights and obligations.

Interest earned in the trust account by a payment that relates to an employee is held beneﬁcially by the PAYE intermediary.
Compare: 1994 No 164 s NBB 6 (5) Subsection (2)(aa) was repealed, as from 1 April 2005, by section 253(1) Taxa- tion (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (2)(ab) was substituted, as from 1 April 2005, by section 253(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Subsection (2)(ac) and (2)(ad) were inserted, as from 21 December 2004, by section 253(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (3)(aa) was repealed, as from 1 April 2005, by section 253(2) Taxa- tion (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (3)(ab) was substituted, as from 1 April 2005, by section 253(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Subsection (3)(ac) was inserted, as from 21 December 2004, by section 253(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
NBA 7 Refund by Commissioner of deductions The Commissioner must refund to a PAYE intermediary any payment of deductions that is made by the PAYE intermediary for an employer— (a) in reliance on a payment to the trust account of the PAYE intermediary that was— (i) made by the employer and later dishonoured by the employer: (b) (ii) made by a person because of a mistake and later recovered from the PAYE intermediary by the person: because of a mistake by the PAYE intermediary or an- other person and from funds that were not provided to the PAYE intermediary by the employer for the purpose of— (i) the payment to which the deductions relate: 2182 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBA 8 (ii) the payment of the deductions.
Compare: 1994 No 164 s NBB 7 NBA 8 Termination of employer arrangements with PAYE intermediary (1) An employer or a PAYE intermediary may end an arrangement by giving notice to the other party and to the Commissioner.

(2) A notice must state the date on which the arrangement will end, being a date that occurs after the date on which the notice is given.
(3) A person who, for whatever reason, ceases to be a PAYE inter- mediary for an employer has the rights and obligations under the PAYE rules and SSCWT rules of a PAYE intermediary in relation to funds that— (a) the employer pays to the person as a PAYE intermedi- ary; and the person is holding at the time that the person ceases to be a PAYE intermediary for the employer.
(b) Compare: 1994 No 164 s NBB 8 Subpart NBB—Subsidy payable to certain listed PAYE intermediaries Subpart NBB (comprising sections NBB 1 to NBB 4) was inserted, as from 3 April 2006, by section 164(1) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Contents NBB 1 Purpose NBB 2 Accreditation of listed PAYE intermediary NBB 3 Obligations of listed PAYE intermediaries NBB 4 Revocation of listing NBB 5 Listed PAYE intermediary claim form NBB 6 Calculation and payment of subsidy to certain listed PAYE intermediaries Page 2184 2184 2185 2185 2186 2187 NBB 7 Termination of employer arrangements with listed PAYE 2188 intermediary 2183 Part N s NBB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 NBB 1 Purpose The purpose of this subpart is to prescribe the requirements for a listed PAYE intermediary to receive a subsidy payment under this subpart.
Subpart NBB (comprising sections NBB 1 to NBB 4) was inserted, as from 3 April 2006, by section 164(1) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
NBB 2 Accreditation of listed PAYE intermediary (1) The Commissioner may list an applicant as a listed PAYE intermediary if the Commissioner is satisﬁed that,— (a) the applicant is an accredited PAYE intermediary under subpart NBA, the listing of which is consistent with sec- tion 6(1) of the Tax Administration Act 1994; and the period for which the applicant requests listing as a listed PAYE intermediary does not exceed the period for which the applicant is an accredited PAYE intermedi- ary; and the applicant.
has completed and provided the tax re- turns required from the applicant; and the applicant has made the required payments of tax due from the applicant; and in the case of an applicant who acted as an accredited PAYE intermediary for an employer or who made PAYE payments for an employer before the date of the appli- cation,— (i) the applicant completed and provided the re- quired tax returns by their due dates; and the applicant made the payments of tax by their due dates; and (ii) the applicant has available the administrative (including information technology) systems necessary to perform the obligations of a listed PAYE intermediary; and if the application is approved, the applicant will, before acting as a listed PAYE intermediary for an employer, inform each employer who contracts the services of the applicant as a listed PAYE intermediary that the Com- missioner does not guarantee payments by the applicant to employees of the employer or the performance of any part of the services provided by the applicant.
(b) (c) (d) (e) (f) (g) 2184 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBB 4 (2) The Commissioner may specify a period for which a person is accredited as a listed PAYE intermediary.

Subpart NBB (comprising sections NBB 1 to NBB 4) was inserted, as from 3 April 2006, by section 164(1) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
NBB 3 Obligations of listed PAYE intermediaries (1) A listed PAYE intermediary must, throughout the period of their listing,— (a) maintain the status of an accredited PAYE intermediary (b) (c) under subpart NBA; and perform in a timely manner the obligations of an ac- credited PAYE intermediary; and continuously meet the standards listed in section NBB 2(1)(c) to (g).
(2) A listed PAYE intermediary must, throughout the period of their listing, maintain working access to administrative and in- formation technology systems that will enable the listed PAYE intermediary to correctly return by electronic means a listed PAYE intermediary claim form that— (a) employs the electronic format prescribed by the Com- missioner; and correctly calculates the amount of subsidy claimed under section NBB 5.
(b) (3) For the purposes of section 22 of the Tax Administration Act 1994, a listed PAYE intermediary must keep such records as are necessary to verify the information contained in each listed PAYE intermediary claim form.

Subpart NBB (comprising sections NBB 1 to NBB 4) was inserted, as from 3 April 2006, by section 164(1) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
NBB 4 Revocation of listing (1) The Commissioner may revoke the listing of a listed PAYE intermediary if— (a) the person’s accreditation as a PAYE intermediary is revoked: the person does not provide a listed PAYE intermediary claim form by the date and in the format prescribed by the Commissioner: (b) 2185 Part N s NBB 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) (2) (d) the person fails to comply with any of the obligations of a listed PAYE intermediary or ceases to be a person which the Commissioner may list under section NBB 2: the Commissioner considers revocation is necessary in order to protect the integrity of the tax system.
The Commissioner must give notice of his intention to revoke an accreditation under subsection (1) and of the reasons for the intended revocation.

The Commissioner may give 14 days notice of revocation, if, within 30 days of the date on which the notice of intended revocation is given under subsection (2), the listed PAYE intermediary fails to satisfy the Commissioner that the matters listed in that notice of intended revocation are resolved.
(4) At the expiration of the 14 days’ notice of revocation given under subsection (3), the listing of the listed PAYE intermedi- ary is revoked.

(3) (5) A decision made by the Commissioner under this section may not be challenged.

Subpart NBB (comprising sections NBB 1 to NBB 4) was inserted, as from 3 April 2006, by section 164(1) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Subsection (2) was amended, as from 3 April 2006, by section 135(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “notice” for “30 days”.

Subsection (3) was substituted, as from 3 April 2006, by section 135(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Subsection (4) was amended, as from 3 April 2006, by section 135(3) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “the 14 days’ notice of revocation given” for “a notice”.

(2) NBB 5 Listed PAYE intermediary claim form (1) A listed PAYE intermediary claim form must be ﬁled within one month of the date of ﬁling of the employer monthly sched- ule to which it relates.
The Commissioner may, within 2 years of receipt of a listed PAYE intermediary claim form, amend the particulars in order to rectify an error in the particulars supplied by the listed PAYE intermediary.

The Commissioner must give the listed PAYE intermediary who provided the listed PAYE intermediary claim form 14 (3) 2186 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBB 6 days notice of the amendment proposed under subsection (2) before making the amendment.
(4) An overpayment or underpayment that results from the amend- ment must be paid by the listed PAYE intermediary or the Commissioner, as the case may be, within 30 days of the giv- ing of the Commissioner’s notice under subsection (3).

(5) Despite subsection (4), the Commissioner may elect to offset an overpayment that results from an amendment under sub- section (2) against a claim for payment of subsidy made after expiry of the 14-day period prescribed in subsection (3).
Sections NBB 5 to NBB 7 were inserted, as from 3 April 2006, by section 164(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for pay periods beginning on or after 1 October 2006.

Subsection (5) was substituted, as from 3 April 2006, by section 136(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application for pay periods beginning on or after 1 October 2006.
NBB 6 Calculation and payment of subsidy to certain listed (1) PAYE intermediaries The Commissioner may pay a subsidy to a listed PAYE inter- mediary in respect of payroll services provided to an employer to whom sections NC 15(1)(c) or (d) applies if the listed PAYE intermediary— (a) has contracted with the employer for the provision of those services; and has met the obligations of the listed PAYE intermediary under subpart NBA; and ﬁles a correct listed PAYE intermediary claim form under section NBB 5.
(b) (c) (2) Within 14 days of the date on which the Commissioner pays a subsidy to a listed PAYE intermediary under subsection (1), the Commissioner must give notice by electronic means to the listed PAYE intermediary of— (a) the amount of subsidy paid in respect of each employer; and the period to which the amount relates; and other information relevant to the payroll services pro- vided by the listed PAYE intermediary that the Com- missioner considers appropriate.
(b) (c) 2187 Part N s NBB 7 Income Tax Act 2004 Reprinted as at 29 August 2011 (3) The amount of the subsidy must be calculated in the manner provided by regulations made under this section and a payment of a subsidy under this section must be made electronically to a bank account— (a) nominated by the listed PAYE intermediary for the pur- pose; or if an overpayment has been made to the listed PAYE intermediary, to the Listed PAYE Intermediary Bank Account.
(b) (4) A claim for payment of an amount of subsidy calculated under this section is to be made in the manner provided in section NBB 5.
The Commissioner must pay the amount of subsidy that is payable in respect of a listed PAYE intermediary claim form within 30 days of receipt the last of— (a) (5) (b) the employer monthly schedule to which the listed PAYE intermediary claim form relates: payment of the PAYE deductions to which the listed PAYE intermediary claim form relates: the listed PAYE intermediary claim form.
(c) The Governor-General may from time to time, by Order in Council, prescribe the amount of the subsidy to be paid in re- spect of each employee of an employer who contracts the ser- vices of a listed PAYE intermediary under this subpart.

Sections NBB 5 to NBB 7 were inserted, as from 3 April 2006, by section 164(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for pay periods beginning on or after 1 October 2006.
(6) NBB 7 Termination of employer arrangements with listed PAYE intermediary (1) An employer or a listed PAYE intermediary may end an ar- rangement by giving notice to the other party and to the Com- missioner.

(2) A notice must state the date on which the arrangement will end, being a date that occurs not less than 14 days after the date on which the notice is given.
(3) A person who, for whatever reason, ceases to be a listed PAYE intermediary for an employer has the rights and obligations 2188 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NBB 7 (b) under the PAYE rules and SSCWT rules of a listed PAYE inter- mediary in relation to funds that— (a) the employer pays to the person as a listed PAYE inter- mediary; and the person is holding at the time that the person ceases to be a listed PAYE intermediary for the employer.
Sections NBB 5 to NBB 7 were inserted, as from 3 April 2006, by section 164(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for pay periods beginning on or after 1 October 2006.
Subpart NC—Withholding of PAYE Contents Tax deductions NC 1 Application of PAYE rules NC 2 Tax deductions to be made by employers or PAYE intermediaries Page 2190 2190 NC 3 Tax deductions from amounts credited to or applied for 2192 employees NC 4 Beneﬁts and superannuation and other payments deemed 2192 NC 5 to be salary or wages Payment to be made by employee where tax deduction exceeds source deduction payment NC 6 Amounts of tax deductions Amounts of tax deductions Reduced deductions 2193 2194 NC 7 Delivery of withholding declaration NC 8 Application of tax codes speciﬁed in tax code declarations 2195 2196 or tax code certiﬁcates NC 8A Entitlement to undertake employment NC 9 Cessation of transitional tax allowance for purposes of 2200 2200 tax code NC 10 Amount of total tax deduction where several deductions 2201 made for 1 week NC 11 Increased deductions to cover deﬁciency in deductions 2201 from advance payments NC 12 Amount of tax deductions for pay period current when 2202 tax deductions altered NC 12A Employee using incorrect tax code 2203 2189 Part N s NC 1 Income Tax Act 2004 Reprinted as at 29 August 2011 NC 13 Power of Commissioner to reduce tax deductions NC 14 Special tax code certiﬁcates Duties of employer or PAYE intermediary as to deductions NC 15 Payment of tax deductions to Commissioner Employee’s duties where deductions not made NC 16 Employee to pay deductions to Commissioner Miscellaneous provisions NC 18 Bond in lieu of tax deductions in case of certain non-resident employees NC 19 Amount of tax deductions deemed to be received by employee 2204 2204 2206 2208 2209 2211 NC 20 Application of other provisions to amounts payable under 2211 PAYE rules NC 21 Regulations 2213 Tax deductions NC 1 Application of PAYE rules (1) (2) The PAYE rules apply notwithstanding anything in this Act, other than subpart KD.
If any question is raised as to whether or not a source deduction payment is as to the whole or any part subject to the PAYE rules, it is, subject to any regulations made for the purposes of the PAYE rules, determined by the Commissioner.
Compare: 1994 No 164 s NC 1 NC 2 Tax deductions to be made by employers or PAYE intermediaries For the purpose of enabling the collection of income tax from employees by instalments, where an employee receives a source deduction payment from an employer, the employer, PAYE intermediary, or other person by whom the payment is made must, at the time of making the payment, make a tax deduction from the payment in accordance with the PAYE rules: provided that no tax deduction need be made from any source deduction payment made to any employee in respect (1) 2190 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 2 of the employee’s employment as a private domestic worker: provided also that if a tax deduction is not made by the employer or the PAYE intermediary in any such case section NC 16 applies to the employee.
(3) (2) Where in the case of a regular full-time employment an em- ployee receives salary or wages from any 1 employer for part only of the pay period, that salary or wages is deemed to be for the whole of the pay period.
For the purposes of this section, where an employee receives salary or wages in respect of work performed by the employee as a piece worker or out-worker and the employee is paid on a production basis, that salary or wages is deemed to be for the period from the commencement of the performance of the work until the completion of the work.
(4) Where a source deduction payment for any pay period is paid in 2 or more separate sums, all sums so paid must, for the pur- pose of calculating the amount of the tax deduction, be ag- gregated, and the employer or PAYE intermediary may, at the employer’s or the PAYE intermediary’s option, make the tax deduction wholly from 1 sum or in part from each of any 2 or more sums: provided that where, by reason of the size or nature of the em- ployer’s business or organisation, the dispersal of employees, or difﬁculty in assembling particulars, or for any other reason approved by the Commissioner, it is impracticable for an em- ployer to pay overtime pay for a pay period at the same time as the other salary or wages for the pay period, the overtime pay of any employee for the pay period may, for the purpose of cal- culating the amount of the tax deduction, be aggregated with the employee’s salary or wages (other than overtime pay) for a subsequent pay period if, in respect of both pay periods,— the amounts of the employee’s salary or wages (other (a) than overtime pay) are substantially the same; and the amounts of the tax deductions applicable to the em- ployee’s salary or wages are the same; and the tax code applicable to the employee is the same: (c) provided also that, where it is the practice of an employer to pay overtime pay for an interval of time which is of the same length as a pay period of an employee but does not coincide (b) 2191 Part N s NC 3 Income Tax Act 2004 Reprinted as at 29 August 2011 with any such period, the overtime pay of the employee for any such interval may, for the purposes of the ﬁrst proviso to this subsection, be deemed to be overtime pay for the pay period during which that interval ends, if the amounts of the employee’s salary or wages (other than overtime pay) for that interval and for that pay period are substantially the same.
(5) When an extra pay is paid by an employer to an employee and the sum of the extra pay and the annualised value of all source deduction payments (excluding extra pays) paid to the employee by the employer in the previous 4 weeks (ending on the date the extra pay is paid) is— (a) more than $38,000 but not more than $60,000, the em- ployer or the PAYE intermediary must deduct tax from the extra pay at the basic tax deduction rate speciﬁed in schedule 19, clause 8(b): (b) more than $60,000, the employer or the PAYE inter- mediary must deduct tax from the extra pay at the basic tax deduction rate speciﬁed in schedule 19, clause 8(c).
Compare: 1994 No 164 s NC 2 NC 3 Tax deductions from amounts credited to or applied for employees Where a source deduction payment, though not actually paid, is credited to or applied on account of any employee entitled to that payment, the amount so credited or applied is, for the purposes of the PAYE rules, deemed to be paid when it is so credited or applied, and a tax deduction in respect of the pay- ment must be made accordingly.
Compare: 1994 No 164 s NC 3 NC 4 Beneﬁts and superannuation and other payments deemed to be salary or wages (1) Where in respect of an employee’s employment the employee receives or enjoys a beneﬁt referred to in section CE 1(c), or any other beneﬁt in kind which is included in the employee’s salary or wages, or receives a payment by way of superannu- ation, pension, retiring allowance, or other allowance, or an- nuity which is included in salary or wages, the value of the beneﬁt (whether in money or otherwise), or the amount of the 2192 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 5 payment, is deemed to accrue from day to day, and accord- ingly in each case the amount so accrued for any days in a pay period of the employee is deemed to be the employee’s salary or wages for the pay period, or, as the case may be, part of the employee’s salary or wages for the pay period.
(2) Where a beneﬁt to which subsection (1) applies is received or enjoyed by an employee otherwise than in money, the value of the beneﬁt for a pay period is deemed to be paid to the employee at the time when the residue of the salary or wages for the pay period is paid or deemed to be paid to the employee, and must be aggregated with that residue for the purpose of calculating the amount of the tax deduction: provided that, where the value of the beneﬁt constitutes the only salary or wages of the employee for the pay period, the value of the beneﬁt is deemed to be paid to the employee on the last day of the pay period.
Compare: 1994 No 164 s NC 4 NC 5 Payment to be made by employee where tax deduction exceeds source deduction payment (1) Where, at the time when a source deduction payment is made or deemed to be made, the amount of the source deduction payment available in money is less than the amount of the tax deduction, or there is no amount available in money, the em- ployee must immediately pay to the employer, or to the PAYE intermediary, the amount of the deﬁciency in the tax deduc- tion or, as the case may be, the amount of the tax deduction, and every amount so paid on any date is deemed to be a tax deduction made by the employer or the PAYE intermediary on that date from the source deduction payment made or deemed to be made to the employee.
If an employee makes default in paying to the employer or the PAYE intermediary any amount payable under this section, or any part of any such amount, the amount in respect of which default has been made is deemed for the purposes of section NC 16 to be a tax deduction that should have been made and was not made, and that section applies accordingly.
Compare: 1994 No 164 s NC 5 (2) 2193 Part N s NC 6 Income Tax Act 2004 Reprinted as at 29 August 2011 Amounts of tax deductions NC 6 Amounts of tax deductions (1) (1A) A tax deduction must be of an amount ﬁxed by the basic tax (1B) (1C) deductions speciﬁed in schedule 19.

If the amount of tax deduction from a withholding payment is not ﬁxed by the basic tax deductions, the tax deduction must be of an amount ﬁxed by regulations under this Act.
If,— (a) (b) by reason of the size of a source deduction payment; or in the case of a reduced deduction, by reason of the number of the employee’s dependants; or for any other reason,— (c) the amount of a tax deduction is not ﬁxed by the basic tax deductions or by regulations, the tax deduction must be of an amount ﬁxed by the Commissioner, taking into account the factors taken into account in ﬁxing the amounts of other tax deductions of a like nature.
(1D) Despite subsections (1A) to (1C), the amount of a tax deduc- tion from a source deduction payment that is— a payment of an income-tested beneﬁt; or (a) an allowance paid under regulations made under section (b) 303 of the Education Act 1989,— must be of an amount determined by the Commissioner in con- sultation with— (c) the chief executive of the department currently respon- sible for administering the Social Security Act 1964; or the Secretary of Education.
(d) Except as otherwise provided in this Act, the amount of every tax deduction must be the maximum amount for the time being in force having regard to the nature and amount of the source deduction payment: provided that where a reduced deduction applies to the employee the tax deduction must be of an amount equal to the amount of the reduced deduction.
Compare: 1994 No 164 s NC 6 Subsection (1) was repealed, as from 1 April 2005, by section 254(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
(2) (3) 2194 (2) Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 7 Subsection (1A) was amended, as from 1 April 2005, by section 254(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the word “A” for the words “For a period for which the amount of a tax deduction is not ﬁxed by an annual taxing Act, the”.
Subsection (1B) was amended, as from 1 April 2005, by section 254(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by omitting the words “by an annual taxing Act or”.

Subsection (1C) was amended, as from 1 April 2005, by section 254(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by omitting the words “by an annual taxing Act or”.
Subsection (2) was repealed, as from 1 April 2005, by section 254(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Reduced deductions NC 7 Delivery of withholding declaration (1) Every person to whom a withholding payment is to be made by another person must, before that withholding payment is made, deliver to that other person a withholding declaration in a form authorised by the Commissioner, and containing such particulars as the Commissioner requires.
If a person who is making a withholding payment has not re- ceived the withholding declaration required by subsection (1), the person must make from the withholding payment a tax de- duction that is equal to the sum of the amount of the tax de- duction that would, apart from this subsection, be made from the withholding payment and an amount equal to— (a) 15% of the amount of the withholding payment, if nei- ther of paragraphs (b) and (c) applies; or 5% of the amount of the withholding payment, if— (i) (ii) the person receiving the withholding payment is a company that is a non-resident contractor for the purposes of the Income Tax (Withholding Payments) Regulations 1979; and the person referred to in subparagraph (i) receives the withholding payment other than directly or indirectly as a result of a choice that is made for purposes that include a purpose of defeating the intent and application of paragraph (a); and paragraph (c) does not apply; or (iii) zero, if the withholding payment is a payment of the class speciﬁed in clause 4(b) of part B of the Schedule (b) (c) 2195 Part N s NC 8 Income Tax Act 2004 Reprinted as at 29 August 2011 (3) to the Income Tax (Withholding Payments) Regulations 1979.
The Commissioner may vary any of the requirements of this section in relation to any person or class of person to whom a withholding payment is to be made, or in respect of any class of withholding payment, in such cases and to such extent as the Commissioner thinks ﬁt, and in every such case this section applies as so varied.

Compare: 1994 No 164 s NC 7 Subsection (2) was substituted, as from 1 April 2005, by section 255 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
NC 8 Application of tax codes speciﬁed in tax code declarations or tax code certiﬁcates For the purposes of the PAYE rules, the tax code of any em- ployee in relation to any source deduction payment (not being a source deduction payment that is an extra pay and not being a source deduction payment that is a withholding payment and not being a source deduction payment that is a payment of an income-tested beneﬁt) must be such 1 of the following codes as applies to the employee in respect of that source deduction payment in accordance with this section, namely: (a) “No declaration”, signifying an employee who has not delivered to the employer a tax code declaration in the form authorised by the Commissioner and containing such particulars as the Commissioner requires, nor a tax code certiﬁcate: “ML”, signifying an employee who is entitled to a re- bate of income tax under section KC 3 and in relation to whom the source deduction payment is a payment that is primary employment earnings: “M”, signifying an employee who is not entitled to a re- bate of income tax under section KC 3 and in relation to whom the source deduction is a payment that is primary employment earnings: “S”, signifying an employee in relation to whom the source deduction payment is a payment that is secondary employment earnings to which neither para- graph (da) nor (db) applies: (b) (c) (d) (1) 2196 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 8 (da) (db) (e) (h) “SH”, signifying an employee in relation to whom the source deduction payment is a payment, other than a payment of the kind referred to in schedule 19, clauses 5A and 5B, that is secondary employment earnings to which neither paragraph (d) nor (db) applies: “ST”, signifying an employee in relation to whom the source deduction payment is a payment, other than a payment of the kind referred to in schedule 19, clauses 5A and 5B, that is secondary employment earnings to which neither paragraph (d) nor (da) applies: “CAE”, signifying an employee in relation to whom the
 source deduction payment is a payment of salary or wages for employment as a casual agricultural em- ployee: “EDW”, signifying an employee in relation to whom the source deduction payment is a payment of salary or wages for employment as an election day worker: provided that, where the employee is receiving 1 or more source deduction payments that are payments of income-tested beneﬁts and 1 or more source deduction payments that are not payments of income-tested bene- ﬁts, the tax code “S” applies to that employee in relation to those source deduction payments that are not pay- ments of income-tested beneﬁts.
(1AA) If other Acts require an employer to deduct amounts from a source deduction payment payable to an employee and to pay the amounts to the Commissioner, the tax code under subsec- tion (1) that applies to the employee may be combined with codes that apply to the employee under the other Acts.
(1A) An employee may elect, by providing a tax code declaration to the employer, that an extra pay be subject to the basic tax deduction rate speciﬁed in schedule 19, clause 8(b), if the em- ployee’s taxable income for the year is expected to be no more than $60,000, or in schedule 19, clause 8(c), otherwise.
Subject to this Act, where any employee desires that a re- duced deduction applies to the employee (whether or not the same or any other reduced deduction has previously applied), the employee may deliver to the employee’s employer a tax code declaration in a form authorised by the Commissioner, (2) 2197 Part N s NC 8 Income Tax Act 2004 Reprinted as at 29 August 2011 and containing such particulars as the Commissioner requires, and specifying the employee’s tax code as determined by those particulars, and that tax code applies to the employee in ac- cordance with this section.
(3) Where any employee considers that it is or will be undesirable or impracticable for the employee to deliver a tax code declar- ation to the employee’s employer, the employee may deliver the declaration to the Commissioner, and in any such case the Commissioner must issue to the employee a tax code certiﬁ- cate addressed to the employer and specifying the employee’s tax code as determined by the particulars contained in the dec- laration.
The employee may deliver that certiﬁcate to the em- ployee’s employer, and that tax code applies to the employee in accordance with this section.
If an employee in a pay period delivers a tax code declaration or a tax code certiﬁcate to the employee’s employer, the tax code applies to the employee in respect of all source deduction payments made by the employer to the employee— (a) (4) (b) (c) from the ﬁrst day of the pay period until the tax code ceases in accordance with subsection (7), if the em- ployer has not previously been provided with a tax code for the employee; or from the ﬁrst day of the pay period until the tax code ceases in accordance with subsection (7), if the declar- ation or certiﬁcate— (i) relates to a change in a tax code previously pro- vided for the employee; and is delivered to the employer before the date on which the employer calculates the employer’s payroll for the pay period; or (ii) from the ﬁrst day of the next pay period until the tax code ceases in accordance with subsection (7), if the declaration or certiﬁcate— (i) relates to a change in a tax code previously pro- vided for the employee; and is delivered to the employer after the date on which the employer calculates the employer’s payroll for the pay period.
(ii) 2198 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 8 (7) Where an employee, being an employee to whom an “M” or “ML” or “S” or “SH” or “ST” or “CAE” or “EDW” tax code previously applied, ceases to be entitled to the use of that tax code, the tax code does not apply to the employee in respect of any source deduction payment made by the employer to the employee after the date on which that entitlement so ceased, not being a payment of salary or wages for a pay period cur- rent on that date: provided that, where the employee delivers a further tax code declaration or tax code certiﬁcate to the em- ployer not later than 3 days after the date of giving the notice required by subsection (8), the tax code speciﬁed in that dec- laration or certiﬁcate is deemed to have commenced to apply to the employee immediately after the former tax code ceased to apply to the employee.
(8) Where a tax code ceases under subsection (7) to apply to an employee by reason of the employee, being an employee to whom an “M” or “ML” or “S” or “SH” or “ST” or “CAE” or “EDW” tax code previously applied, ceasing to be entitled to the use of that code, the employee must, not later than 4 days after the date on which the employee became aware that the tax code ceased to apply, give notice of that fact to the em- ployer or (where the tax code declaration was delivered to the Commissioner) to the Commissioner, stating the reason why an “M” or “ML” or “S” or “SH” or “ST” or “CAE” or “EDW” tax code, as the case may be, ceased to apply and the date it ceased to apply.
No employer or other person making a source deduction payment is liable for making a reduced deduction according to a tax code after it has ceased under subsection (7) to apply to the employee but before the employer has re- ceived notice (whether under this subsection or otherwise) that an “M” or “ML” or “S” or “SH” or “ST” or “CAE” or “EDW” tax code has ceased to apply to the employee.
(9) A reduced deduction applying to an employee in respect of the employee’s employment by any employer does not apply to the employee in respect of the employee’s employment by any other employer, not being a successor of the ﬁrst-mentioned employer in the same employment.
(9A) The tax code that applies to any parental leave payment that is payable under Part 7A of the Parental Leave and Employment 2199 Part N s NC 8A Income Tax Act 2004 Reprinted as at 29 August 2011 Protection Act 1987 is the tax code that applied to the em- ployee immediately before he or she commenced the parental leave from his or her employment, unless the employee deliv- ers a further tax code declaration to the Commissioner to the contrary.
(10) The Commissioner may vary any of the requirements of this section in relation to any employee or class of employees in such cases and to such extent as the Commissioner thinks ﬁt, and in every such case this section applies as so varied.

(11) For the purposes of this Act, a tax code declaration or tax code certiﬁcate which is delivered to an employer before the begin- ning of any tax year but is expressed to relate to that tax year is deemed to be delivered on 1 April in that tax year.
(12) Where any employee desires that a tax code apply in respect of the employee’s employment as a private domestic worker, the employee may deliver a tax code declaration to the Commis- sioner, and upon delivery of the declaration this section, with any necessary modiﬁcations, applies in respect of that employ- ment as if the Commissioner were the employer.
Compare: 1994 No 164 s NC 8 NC 8A Entitlement to undertake employment (1) The Commissioner must ensure that all tax code declaration forms provided by the Commissioner after 31 March 2003 contain a means for the employee concerned to state that he or she is entitled under the Immigration Act 1987 to undertake employment in the service of the employer concerned.

The Commissioner may, before 1 April 2003, provide forms complying with subsection (1).
Compare: 1994 No 164 s NC 8A (2) NC 9 Cessation of transitional tax allowance for purposes of tax code An employee who, in any tax year, is entitled under section NC 8(1) to the application of the tax code “ML” ceases to be so entitled if and when, before that tax code ceases to apply to the employee, the employee knows or anticipates, or should have known or anticipated, that the employee will not be entitled, 2200 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 11 for whatever reason, to a rebate of income tax under section KC 3.
Compare: 1994 No 164 s NC 9 NC 10 Amount of total tax deduction where several deductions made for 1 week Except as otherwise provided in this Act, where during any week ending with a Saturday an employee has engaged in more than 1 employment (whether with the same employer or with 2 or more employers), the amount of the total tax deduction required to be made in respect of all payments of salary or wages made to the employee for that week or any part of that week is deemed to be the amount of the tax deduction that would have been required to be made if all those payments had been 1 payment made by 1 employer for that week, and where that total tax deduction is not made in full section NC 16 applies accordingly: provided that, where the employee left 1 regular full-time employment before the employee engaged in another regular full-time employment, the employee is not deemed for the purposes of this section to have been engaged in both those employments in the 1 week: provided also that, where the employee is employed as a shearer, a shearing shed hand, a casual agricultural worker, or an election day worker, the salary or wages of the employee for that employment are not taken into account for the purposes of this section.
Compare: 1994 No 164 s NC 10 NC 11 Increased deductions to cover deﬁciency in deductions from advance payments (1) Where the amount of the tax deduction to be made from any salary or wages is increased, and before the date of the in- crease an employee has received from an employer a payment of salary or wages to the whole or a part of which the increase applies, and the proper tax deduction, taking the increase into account as far as it applies, has not been made in full at the time of the payment, the amount of the deﬁciency is added to the tax deduction required to be made from the next payment of salary or wages made to the employee in the same employ- 2201 Part N s NC 12 Income Tax Act 2004 Reprinted as at 29 August 2011 ment, and the amount of the tax deduction so required to be made is deemed to be increased accordingly.
(2) Where any salary or wages become subject to tax deductions under the PAYE rules, and before the date of its becoming so subject an employee has received from an employer a payment of salary or wages of which the whole or a part is so subject, and the proper tax deduction has not been made in full at the time of the payment, the amount of the deﬁciency must be added to the tax deduction required to be made from the next payment of salary or wages made to the employee in the same employment, and the amount of the tax deduction so required to be made is deemed to be increased accordingly.
Compare: 1994 No 164 s NC 11 NC 12 Amount of tax deductions for pay period current when tax deductions altered (1) Notwithstanding anything in the PAYE rules, this section ap- plies where the amount of the tax deduction for the time being in force in relation to any payment of salary or wages is re- duced or increased by an amendment made to the basic tax deductions.
(2) Where this section applies, the amount of the tax deduction to be made from a payment of salary or wages to an employee for a pay period current on the date on which an altered tax deduction commences to apply is as follows: (a) where the pay period does not exceed a month, the tax deduction in respect of the whole of the payment for the pay period is the amount of the altered tax deduction: (b) where the pay period exceeds a month, the tax deduction is ascertained— (i) by calculating, on the basis speciﬁed in schedule 19, clause 3(a), the parts of the payment for the pay period that are for the respective portions of the pay period before and after the altered tax deduction commences to apply; and by calculating, in respect of each such part of the payment, the amount of the tax deduction that would be required to be made from a payment of salary or wages equal to that part for a pay (ii) 2202 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 12A period equal to the portion of the pay period to which that part relates; such calculation to be made according to the tax deduction in force in that portion of the pay period and in the manner provided in schedule 19, clause 3(b) and (c),— and the total of the amounts of the tax deductions calculated under subparagraph (ii) is the amount of the tax deduction to be made from the payment of salary or wages for the pay period.
(3) Where this section applies and section NC 10 also applies, the amount of the total tax deduction required to be made in accordance with section NC 10 in respect of all payments of salary or wages made to an employee for a week current on the date on which an altered tax deduction commences to apply must be calculated in accordance with the altered tax deduc- tion: provided that, where all the payments made to an em- ployee for that week are for services rendered before that date, the amount of that total tax deduction must be calculated in ac- cordance with the tax deduction in force in the portion of the week in which the services were rendered.
(4) Where this section applies, and on or after the date on which an altered tax deduction commences to apply a payment of salary or wages is made to an employee— for a pay period that ended before that date; or (a) (b) where section NC 10 applies, for services rendered in a week that ended before that date,— the amount of the tax deduction to be made, or the amount of the total tax deduction required to be made, must be calculated in accordance with the tax deduction in force in that pay period or week.
Compare: 1994 No 164 s NC 12 Subsection (1) was amended, as from 1 April 2005, by section 256 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by omitting the words “by an annual taxing Act or”.
NC 12A Employee using incorrect tax code (1) If the Commissioner considers an employer or a PAYE inter- mediary has applied an incorrect tax code to source deduction payments made to an employee, the Commissioner may, by notice to the employer or the PAYE intermediary, specify the 2203 Part N s NC 13 Income Tax Act 2004 Reprinted as at 29 August 2011 employee’s tax code declaration and notify the employer or the PAYE intermediary of the tax code that the Commissioner considers should apply to source deduction payments made to the employee.
(2) An employer or a PAYE intermediary who receives a notice under subsection (1) must apply the tax code speciﬁed by the Commissioner to source deduction payments made to the em- ployee after the date of notiﬁcation, despite section NC 8(2).

(3) An amended tax code speciﬁed by the Commissioner under subsection (1) does not apply on and after the date that the employee gives notice to the employer that the employee’s circumstances have changed and a different tax code is applic- able.
Compare: 1994 No 164 s NC 12A NC 13 Power of Commissioner to reduce tax deductions (1) Notwithstanding sections NC 1 to NC 12, the Commissioner may, in such circumstances and to such extent as the Com- missioner thinks ﬁt, reduce the amount of the tax deduction required to be made from any source deduction payment that has been or will be made to any employee or class of employ- ees, or may make such adjustment as in the Commissioner’s opinion is equitable, for the purpose in either case of meeting the special circumstances of any case or class of cases, upon or subject to such terms and conditions as the Commissioner may require.
In every such case the PAYE rules apply as if they had been amended in accordance with the decisions or requirements of the Commissioner for the time being in force under this sec- tion.
Compare: 1994 No 164 s NC 13 (2) NC 14 Special tax code certiﬁcates (1) Where the Commissioner in any case thinks ﬁt (whether by reason of the employee being employed in 2 or more employ- ments, or being entitled to have any net loss carried forward under section IE 1, or by reason of any reduction under section NC 13, or for any other reason), the Commissioner may issue to an employee a special tax code certiﬁcate under this section.
2204 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 14 (2) A special tax code certiﬁcate may, as the Commissioner thinks ﬁt, do all or any of the following things: (a) (b) specify a tax code to be applicable to the employee in respect of payments of salary or wages made to the em- ployee during the period speciﬁed in the certiﬁcate by the employer or by all or any of the employers of the employee: specify any source deduction payments to be made to the employee during the period speciﬁed in the certiﬁ- cate in respect of which— (i) (ii) no tax deductions are made; or the tax deductions are of such amount or rate as is speciﬁed in the certiﬁcate, or are made from a speciﬁed proportionate part of each payment as if that part were the whole of the payment.
(2A) The Commissioner must calculate, for the source deduction payments and the period speciﬁed in the certiﬁcate, the amount or rate of tax deductions to be speciﬁed in the certiﬁcate having regard to the amount of any tax deduction that would otherwise be required under section NC 6.

(3) A special tax code certiﬁcate does not enable the employee to receive any beneﬁt by way of a credit of tax to which subpart KD applies.
(4) Where a special tax code certiﬁcate bearing the signature of the employee is produced to an employer at the time when the employer makes to the employee a payment to which the certiﬁcate relates, the provisions of the certiﬁcate in respect of that payment, subject to section NC 16, apply notwithstanding anything in this Act.
(5) Where a special tax code certiﬁcate so produced to an em- ployer provides for the making of a tax deduction from a spe- ciﬁed proportionate part of any source deduction payment, the PAYE rules as to tax deductions, other than this section and section NC 16, so far as they are applicable, apply in respect of the speciﬁed proportionate part as if that part constituted the whole of the source deduction payment.

The Commissioner may at any time cancel any special tax code certiﬁcate.
(6) 2205 Part N s NC 15 Income Tax Act 2004 Reprinted as at 29 August 2011 (7) Not later than 7 days after the Commissioner has given notice of the cancellation of a special tax code certiﬁcate to the em- ployee named in the certiﬁcate, the employee must return the certiﬁcate to the Commissioner.
Compare: 1994 No 164 s NC 14 Duties of employer or PAYE intermediary as to deductions NC 15 Payment of tax deductions to Commissioner (1) Every employer or PAYE intermediary who makes tax de- ductions from source deduction payments made to employees must,— (a) unless paragraph (c) or (d) applies, not later than the 20th day of the month in which the employer or the PAYE intermediary makes such a deduction in the ﬁrst PAYE period, pay to the Commissioner the amount of the tax deduction and deliver to the Commissioner a remittance certiﬁcate: unless paragraph (c) or (d) applies, not later than the 5th day of the month following a month in which the employer or the PAYE intermediary makes a deduction in the second PAYE period, or the 15th day of Janu- ary if December is the month in which the deduction is made, pay to the Commissioner the amount of the tax deductions and deliver to the Commissioner by elec- tronic means and in the prescribed electronic format (unless section 36B of the Tax Administration Act 1994 applies) an employer monthly schedule, and a remit- tance certiﬁcate: if the employer was an employer in the preceding tax year and gross tax deductions payable and speciﬁed superannuation contribution withholding tax payable in that preceding tax year were, in total, less than $100,000, not later than the 20th of the month following a month in which the employer or the PAYE intermedi- ary has made a deduction (deduction month), pay to the Commissioner the amount of the tax deductions, deliver to the Commissioner an employer monthly (b) (c) 2206 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 15 (d) (e) schedule, and deliver to the Commissioner a remittance certiﬁcate: if the employer was not an employer in the preced- ing tax year, until the time when gross tax deductions and speciﬁed superannuation contribution withholding tax payable in the current tax year in total exceeded $100,000, not later than the 20th of the month following a month in which the employer or the PAYE intermedi- ary
 has made a deduction, pay to the Commissioner the amount of the tax deductions, deliver to the Commis- sioner an employer monthly schedule, and deliver to the Commissioner a remittance certiﬁcate: not later than the 15th day of the second month after the month in a tax year in which the employer disposes of or otherwise stops carrying on a business in respect of which the employer or the PAYE intermediary has made tax deductions, notify the Commissioner of the disposal or cessation of conduct of the business in respect of which tax deductions were made.
(2) The Commissioner may exempt an employer, a class of em- ployers, a PAYE intermediary, or a class of PAYE intermedi- aries from the requirement to provide a remittance certiﬁcate under section NC 15(1)(b) or (c) or (d) if the information re- quired to be included in a remittance certiﬁcate is provided in an employer monthly schedule.

(3) (2B) An employer monthly schedule or a remittance certiﬁcate that is delivered to the Commissioner by non-electronic means is required to be signed by the employer.
The Commissioner may vary any of the requirements of this section in relation to an employer, a class of employers, a PAYE intermediary, or a class of PAYE intermediaries in such cases and to such extent as the Commissioner thinks ﬁt, and in every such case this section applies as so varied.

The executor or administrator of a deceased employer must fulﬁl such of the obligations of the employer under this sec- tion as have not been fulﬁlled by the employer before the em- ployer’s death.
For the purposes of subsection (1)(c),— (4) (5) 2207 Part N s NC 16 Income Tax Act 2004 Reprinted as at 29 August 2011 (a) (b) (c) 2 or more companies where, at any time during the rele- vant tax year, those companies were a group of compan- ies; and all partners in a partnership; and all persons in whom property has become vested or to whom the control of property has passed in the case of each estate of a deceased person or each trust or each company in liquidation or each assigned estate or each other case where property is vested or controlled in a ﬁduciary capacity,— (6) are deemed to be 1 employer.
For the purposes of subsection (1)(c), where at any time dur- ing a tax year an employer ceases business and begins a new business, or operates 2 or more businesses simultaneously, the gross tax deductions relating to all businesses carried on by the employer must be aggregated.
(7) Where any amalgamating company ceases to exist on an amalgamation, subsection (1)(c) applies from the time of the amalgamation as if gross tax deductions and speciﬁed super- annuation contribution withholding tax deductions payable by the amalgamating company in the year preceding the year in which the amalgamation takes place were payable by the amalgamated company.

In this section, PAYE period means the ﬁrst PAYE period or the second PAYE period, as the case may require.
Compare: 1994 No 164 s NC 15 (8) Employee’s duties where deductions not made NC 16 Employee to pay deductions to Commissioner Where for any reason a tax deduction or a combined tax and earner premium deduction or combined tax and earner levy deduction is not made or is not made in full at the time of the making of any source deduction payment or payments, the employee must,— (a) not later than the 20th day of the month that next fol- lows the month in which payment of the source deduc- tion payment was made, furnish to the Commissioner an 2208 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 18 employer monthly schedule containing those particulars that apply to the employee; and unless the employee is exempted from liability to pay the same or is not liable to pay the same, pay to the (b) Commissioner an amount equal to the total of the tax deduc- tions or combined tax and earner premium deductions or com- bined tax and earner levy deductions that should have been made and were not made, and that amount is due and payable to the Commissioner on the 20th of the month following the month in which payment of the source deduction payment or payments was made.
Compare: 1994 No 164 s NC 16 Miscellaneous provisions NC 18 Bond in lieu of tax deductions in case of certain non-resident employees (1) Where the Commissioner is satisﬁed on the written applica- tion of any employer or PAYE intermediary that it cannot be reasonably determined, at the time that a tax deduction is or will be required to be made from a source deduction payment under the PAYE rules, whether or not that source deduction payment will in respect of any employee of that employer be exempt income under this Act under— a double tax agreement; or (a) (b) section CW 15,— the Commissioner may accept from the employer or the PAYE intermediary a bond or other form of security satisfactory to the Commissioner securing the payment, on terms acceptable to the Commissioner, of the tax deductions that would, but for this section, have been required to be deducted under the PAYE rules from source deduction payments made to the employee.
If the Commissioner accepts from an employer or a PAYE intermediary a bond or other security under subsection (1), then, in respect of an employee and the period to which the bond or security applies,— (a) no tax deduction under the PAYE rules must be made by an employer or a PAYE intermediary from a source deduction payment made to the employee; and (2) 2209 Part N s NC 18 Income Tax Act 2004 Reprinted as at 29 August 2011 (3) (c) (b) information in relation to an employee that is, but for this paragraph, required to be included in an employer monthly schedule must not be included in that schedule; and the non-declaration rate must not be applied in relation to a source deduction payment made to the employee.
Subsection (2) ceases to apply in respect of any employer, PAYE intermediary, and employee immediately upon the ear- lier of— (a) the occurrence of any event (including the passing of any date or period) that, in terms of any provision of arrangements to which effect is given by an Order in Council made under section BH 1, or in terms of section CW 15, renders the employee liable to income tax under this Act; or such date as may be speciﬁed by the Commissioner by notice to the employer or the PAYE intermediary (being a date not earlier than that on which the notice is given) as that after which tax deductions are to be made from source deduction payments made to the employee,— (b) and tax deductions must from that time be made by the em- ployer or the PAYE intermediary in accordance with the PAYE rules.
(4) Where the Commissioner is satisﬁed that an employee is liable for income tax in respect of any source deduction payment from which no tax deduction was made by virtue of subsection (2),— (a) the Commissioner must advise the employer or the PAYE intermediary accordingly by notice; and the employer or the PAYE intermediary must account for, and pay to the Commissioner, an amount equal to the tax deductions that would have been due in respect of that employee if subsection (2) had not applied, or such lesser amount as may be determined by the Com- missioner.
(b) (5) Any amount paid to the Commissioner under subsection (4) is deemed to be a tax deduction made from a source deduction payment under the PAYE rules and, subject to section 120U of the Tax Administration Act 1994, is deemed to have been 2210 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 20 made on the date that notice was given by the Commissioner under that subsection.
Compare: 1994 No 164 s NC 18 NC 19 Amount of tax deductions deemed to be received by employee Where any amount has been deducted from a source deduction payment by way of tax deduction, or combined tax and earner premium deduction, or combined tax and earner levy deduc- tion under the PAYE rules and, where applicable, section 115 of the Accident Rehabilitation and Compensation Insurance Act 1992 or section 285 of the Accident Insurance Act 1998 or section 221 of the Injury Prevention, Rehabilitation, and Compensation Act 2001, the amount so deducted— (a) is deemed to have been received by the employee at the time of the source deduction payment: for the purposes of this Act, is deemed to have been de- rived by the employee at the same time and in the same way as the residue of the source deduction payment.
(b) Compare: 1994 No 164 s NC 19 NC 20 Application of other provisions to amounts payable (1) (2) under PAYE rules Subject to the PAYE rules, this Act and the Tax Administration Act 1994 apply with respect to every amount other than any earner premium deduction payable in accordance with sec- tion 115 of the Accident Rehabilitation and Compensation In- surance Act 1992 or section 285 of the Accident Insurance Act 1998 or an earner’s levy payable under section 221 of the Injury Prevention, Rehabilitation, and Compensation Act 2001 that any employer, PAYE intermediary, employee, or other person is liable to account for or pay to the Commis- sioner under the PAYE rules as if the amount were income tax; but nothing in the PAYE rules should be construed so as to in- clude any such amount in the terms “income tax” or “tax” for the purposes of section sections 120KB to 120KE of the Tax Administration Act 1994.
Sections 156 to 165 and 211 of the Tax Administration Act 1994 apply with respect to combined tax and earner premium 2211 Part N s NC 20 Income Tax Act 2004 Reprinted as at 29 August 2011 deductions or combined tax and earner levy deductions as if those deductions were income tax.
For the purposes of the PAYE rules, sections 156 to 165, 143, and 143A of the Tax Administration Act 1994, and section 115 of the Accident Rehabilitation and Compensation Insurance Act 1992 or section 285 of the Accident Insurance Act 1998 or section 221 of the Injury Prevention, Rehabilitation, and Compensation Act 2001, nothing in those Acts or in this Act should be treated as requiring or having required— (a) (ii) the separate identiﬁcation of those amounts of a com- bined tax and earner premium deduction or combined tax and earner levy deduction that are attributable to— a tax deduction required to be made by an em- (i) ployer or a PAYE intermediary under the PAYE rules; or a deduction required to be made by an employer under section 115 of the Accident Rehabilitation and Compensation Insurance Act 1992 or section 285 of the Accident Insurance Act 1998 on ac- count of the earner’s premium or earner’s levy payable under that section; or a deduction required to be made by an em- ployer or a PAYE intermediary under section 221 of the Injury Prevention, Rehabilitation, and Compensation Act 2001 on account of the earner’s premium or earner’s levy payable under that section; or (iii) (b) the bringing of separate proceedings or other separate treatment in relation to the collection, recovery, or im- position of penalties in relation to those types of deduc- tion,— in respect of any such deductions that, on or after 5 August 1993, have not been paid to the Commissioner in accordance with either of those Acts or this Act by the employer or the PAYE intermediary required to make the deductions.
Compare: 1994 No 164 s NC 20 Section NC 20(1): amended, on 1 October 2007, by section 165(1) of the Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3).
(3) 2212 Reprinted as at 29 August 2011 NC 21 Regulations Income Tax Act 2004 Part N s NC 21 Without limiting the general power to make regulations under the Tax Administration Act 1994, regulations may be made under this Act or that Act for all or any of the following pur- poses: (a) declaring any speciﬁed payment or payments of any speciﬁed class— (i) (ii) (iii) to be included in or excluded from the deﬁnition of extra pay ; or to be included in or excluded from the deﬁnition of salary or wages ; or to be a withholding payment or payments, or not to be a withholding payment or payments, for the purposes of the PAYE rules: (b) (c) (d) (e) (f) prescribing the amounts of the tax deductions to be made from withholding payments or from any speciﬁed withholding payment or from withholding payments of any speciﬁed class: providing that the Commissioner may, on the applica- tion of any person, specify an amount or a rate of tax deduction, other than the prescribed rate of tax deduc- tion, to be made from withholding payments made to that person: providing, in relation to any speciﬁed withholding pay- ment, or withholding payments of any speciﬁed class, or withholding payments not exceeding any speciﬁed amount, that, subject to any provisions of the regula- tions, the amount of income tax for which the person receiving the payment or payments is liable in respect of the payment or payments must be determined exclu- sively and ﬁnally by the total amount of the tax deduc- tions required under the PAYE rules to be made from the payment or payments: providing that a tax deduction may be made from a withholding payment, notwithstanding that the payment may be protected against assignment or charge: providing that a tax deduction may be made from the gross amount of a withholding payment, whether or not it consists wholly or partly of income, or from so much 2213 Income Tax Act 2004 Reprinted as at 29 August 2011 of a withholding payment as remains after the subtrac- tion from the withholding payment of any part of it re-
 garded as expenditure incurred in the production of the payment: providing that the Commissioner may determine, on such basis as the Commissioner thinks ﬁt, what amount or proportion of any speciﬁed withholding payment, or withholding payments of any speciﬁed class, is to be regarded as expenditure incurred in the production of the payment or payments, and for the determination of the Commissioner to be ﬁnal and conclusive, subject to any revocation or variation of the determination by the Commissioner: providing that a tax deduction may be made from a with- holding payment, whether the amount of the deduction relates exclusively to the income tax liability of the per- son receiving the payment or relates partly to that in- come tax and partly to the income tax liability of any employee or subcontractor of that person; and provid- ing in the latter case for that person to recover from the employee or subcontractor a part of the tax deduction and to retain that part but otherwise to comply with the PAYE rules in respect of any tax deduction made by that person from any payment to the employee or subcon- tractor: providing that the regulations or any of them do not apply in respect of payments made to any speciﬁed per- son, or to persons of any speciﬁed class, to whom the Commissioner gives notice to that effect.
(g) (h) (i) Compare: 1994 No 164 s NC 21 Subpart ND—Fringe beneﬁt tax Contents ND 1 Employer’s liability for fringe beneﬁt tax Value of fringe beneﬁts ND 1A Private use of motor vehicle: value of beneﬁt ND 1AB Private use of motor vehicle: 24-hour period 2214 Page 2216 2218 2220 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NC 21 ND 1B Private use of motor vehicle: test period to establish private use ND 1C Subsidised transport: value of beneﬁt ND 1D Employment-related loans: value of beneﬁt using prescribed interest 2221 2222 2223 ND 1DB Employment-related loans: election to value beneﬁt 2224 using market interest ND 1E Employment-related loans: repayment ND 1F Employment-related loans: regulations ND 1G Meaning of prescribed interest ND 1H Contributions to superannuation schemes: value of 2225 2226 2226 2227 beneﬁt ND 1I Contributions to funds, trusts, and insurance: value of 2227 beneﬁt ND 1IB Beneﬁts provided by charitable organisations ND 1J Goods: value of beneﬁt ND 1K Services: value of beneﬁt ND 1L When value of fringe beneﬁt cannot be ascertained ND 1M Meaning of identical goods ND 1N Goods at staff discount ND 1O Goods on special with staff discount ND 1P Deﬁnitions for sections ND 1N and ND 1O ND 1Q Unclassiﬁed beneﬁts ND 1R Adjustments for unclassiﬁed beneﬁts on amalgamation Taxable value of fringe beneﬁts ND 1S Payments towards fringe beneﬁts ND 1T Private use of motor vehicle: determining taxable value in cases of part ownership 2227 2228 2229 2230 2230 2230 2231 2231 2232 2234 2235 2236 ND 1U Private use of motor vehicle: when schedular value not 2236 used ND 1V Private use of motor vehicle: when schedular value used 2237 ND 1W Application Application Payment of fringe beneﬁt tax ND 2 Election to pay fringe beneﬁt tax per quarter ND 3 Attributed fringe beneﬁts ND 4 Attributed fringe beneﬁts: exception for subsidised transport ND 5 Multi-rate calculation for attributed fringe beneﬁts 2238 2239 2239 2241 2241 2215 Part N s ND 1 Income Tax Act 2004 Reprinted as at 29 August 2011 ND 5A
 Special rule for fringe beneﬁts attributed to 2244 shareholder-employees or employees receiving attributed income ND 6 Calculation of fringe beneﬁt tax on non-attributed fringe 2244 beneﬁts ND 7 Deﬁnition of cash remuneration ND 7A Timing of certain cash remuneration ND 8 Special rule for employer who stops employing staff 2245 2246 2247 during tax year ND 8B Special rule for employer who is charitable organisation 2247 providing short-term charge facility ND 9 Payment of fringe beneﬁt tax: ﬁrst 3 quarters of tax year ND 10 Payment of fringe beneﬁt tax: ﬁnal quarter of tax year ND 11 Payment of fringe beneﬁt tax: no fringe beneﬁt provided 2248 2249 2250 during quarter ND 12 Special ﬁling rule for employer who stops employing staff 2250 during tax year ND 13 Payment of fringe beneﬁt tax on annual basis for employees who are not shareholder-employees ND 14 Payment of fringe beneﬁt tax on income year basis for shareholder-employees ND 15 Change in period for which fringe beneﬁt tax payable ND 16 Amendment to thresholds for fringe beneﬁt categories by 2250 2252 2255 2256 Order in Council ND 1 Employer’s liability for fringe beneﬁt tax (1) Subject to section ND 1V, an employer who has provided or granted a fringe beneﬁt to an employee is liable to pay a special tax by way of an income tax to be known as fringe beneﬁt tax.
(2) An employer must do 1 of the following: (a) (b) elect to pay fringe beneﬁt tax at the rate of either 49% or 64% of the taxable value of a fringe beneﬁt for the ﬁrst 3 quarters of a tax year in accordance with section ND 2 and pay fringe beneﬁt tax for the ﬁnal quarter in accordance with both sections ND 5 and ND 6; or pay fringe beneﬁt tax at the rate of 64% of the taxable value of a fringe beneﬁt for the ﬁrst 3 quarters of a tax year and either— 2216 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1 (i) (ii) pay fringe beneﬁt tax for the ﬁnal quarter in ac- cordance with both sections ND 5 and ND 6; or pay fringe beneﬁt tax for the ﬁnal quarter at the rate of 64% of the taxable value of a fringe bene- ﬁt; or (c) if the employer pays fringe beneﬁt tax on either an an- nual or an income year basis under section ND 13 or ND 14 respectively, either— (i) apply sections ND 5 and ND 6 to a year and calculate and pay the resulting fringe beneﬁt tax liability; or pay fringe beneﬁt tax at the rate of 64% of the taxable value of a fringe beneﬁt.
(ii) (3) An employer who applies subsection (2)(c)(i) must apply sec- tions ND 5 and ND 6 as if references to the ﬁnal quarter of the year were read as being to the tax year, or the income year, as the case may be.
(4) An employer who has elected to pay fringe beneﬁt tax under subsection (2)(b)(ii) may request the Commissioner to amend the fringe beneﬁt tax liability calculated by providing the Commissioner with the necessary information to amend the fringe beneﬁt liability so that it is calculated under subsection (2)(b)(i).
(5) An employer who has elected to pay fringe beneﬁt tax under subsection (2)(c)(ii) may request the Commissioner to amend the fringe beneﬁt tax liability calculated by providing the Commissioner with the necessary information to amend the fringe beneﬁt liability so that it is calculated under subsection (2)(c)(i).
(6) An employer must provide the information to the Commis- sioner during the 2 months that occur after the date of the no- tice advising that an assessment for the ﬁnal quarter, or the year, has been made.
Compare: 1994 No 164 s ND 1 2217 Part N s ND 1A Income Tax Act 2004 Reprinted as at 29 August 2011 Value of fringe beneﬁts ND 1A Private use of motor vehicle: value of beneﬁt (1) This section determines the value of the beneﬁt that an em- ployer provides to an employee by making a motor vehicle available for their private use.

The taxable value of the fringe beneﬁt when the vehicle is owned in part by an employee or a person associated with the employee is dealt with in sections ND 1U to ND 1V.
In the ﬁrst return under this subpart (initial return) by an em- ployer for a vehicle, the employer may calculate the value of the beneﬁt using either of the valuation methods set out in schedule 2, part A.
(1B) (1C) The employer must use the method from the initial return in calculating the value of the beneﬁt in a return for the vehicle for a period beginning— (a) (b) after the end of the period of the initial return; and before the earliest of the following: (i) (ii) the date of disposal of the vehicle: the date on which the vehicle ceases to be leased by the employer or an associated person without a consecutive or successive lease of the vehicle by the employer or an associated person: the date 5 years after the beginning of the period of the initial return.
(iii) (1D) In a return for the vehicle for a period beginning 5 years or more after the beginning of the period of the initial return, the employer may calculate the value of the beneﬁt using either of the valuation methods set out in schedule 2, part A.
(1E) Despite subsections (1B) to (1D), an employer must apply schedule 2, part A item 1 or item 2 using the cost price valu- ation method if— (a) a vehicle is owned, leased or rented by the employer or an associated person; and the employer or the associated person owned, leased or rented the vehicle: (i) during the initial return period for that vehicle, being a period beginning before 1 April 2006: before 1 April 2006.
(b) (ii) 2218 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1A (1F) Subsection (1E) does not apply if— (a) (b) the employer’s initial return for the vehicle is for a period beginning on or after 1 April 2006 and the ve- hicle is not subject to an agreement or arrangement re- ferred to in section CX 6B; or the vehicle is owned by the employer or the associated person and there has been a period of 5 years after the beginning of the period of the employer’s initial return for the vehicle.
(2) If fringe beneﬁt tax is paid quarterly, the value of the beneﬁt is calculated using the formula— (3) (4) (5) (6) If fringe beneﬁt tax is paid annually, the value of the beneﬁt is the total of the amounts calculated under subsection (2) for the 4 quarters in the applicable tax year.
If fringe beneﬁt tax is paid on an income year basis, the value of the beneﬁt is calculated using the formula— In the formula,— (a) (b) in subsection (2), days refers to the number of days in the quarter on which the motor vehicle is made available for private use, reduced by the number of days on which the vehicle was a work-related vehicle, or 90, whichever is less: in subsection (4), days refers to the number of days in the income year on which the vehicle is made available for private use, reduced by the number of days on which the vehicle was a work-related vehicle: schedule 2 amount refers to the amount calculated under schedule 2, part A, as the value of the beneﬁt that would have been received for unlimited private use of the ve- hicle in that quarter or income year, as applicable.
To calculate the value of the beneﬁt, an employer may choose to use a test period to establish private use.
Compare: 1994 No 164 s CI 3(1), CI 11(1) (c) 2219 Part N s ND 1AB Income Tax Act 2004 Reprinted as at 29 August 2011 Subsections (1B) to (1D) were inserted, as from 1 April 2006, by section 166(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (1C)(b)(ii) was amended, as from 1 April 2006, by section 137(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “ceases to be leased by the employer or an associated person without a consecutive or successive lease of the vehicle by the employer or an associated person” for “ceases to be leased” with application for a per- son’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsections (1E) and (1F) were inserted, as from 1 April 2006, by section 137(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.

(2) (3) ND 1AB Private use of motor vehicle: 24-hour period (1) This section applies for the purposes of the calculation of the value of a beneﬁt under section ND 1A.
In section ND 1A(5)(a) and (b), in relation to a motor vehicle and the item days in the formulas in section ND 1A(2) and (4), a day is— (a) a 24-hour period starting at midnight, if the person who owns or leases the motor vehicle does not make an elec- tion under paragraph (b): a 24-hour period starting from the time in a day that is elected under this section by the person who owns or leases the motor vehicle.
(b) For the purposes of subsection (2)(b), the person must— (a) choose a starting point for the day that is a whole num- ber of hours after midnight; and notify the Commissioner of the election when providing the next return that relates to the motor vehicle.

(b) (4) An election under subsection (3) is effective from the start of the quarter, income year, or tax year to which the return relates, and applies to all motor vehicles in relation to which the person provides a return.
If the person chooses a particular hour in the 24-hour period as the starting point of the day under subsection (3), that hour continues to apply to the use of the motor vehicle or vehicles from the start of the relevant quarter, income year, or tax year as applicable, for a minimum period of 2 income years.
(5) 2220 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1B (6) An employer may apply to the Commissioner to amend the starting point of the 24-hour period or to treat the election as revoked if the employer’s circumstances have changed in a way that— (a) (b) makes the starting point no longer relevant to the em- is more than minor; and ployer’s business.
Subsection ND 1AB was inserted, as from 1 April 2006, by section 167(1) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 1B Private use of motor vehicle: test period to establish (1) (2) (3) (4) private use To establish the value of the beneﬁt provided through a motor vehicle being made available to an employee for their private use, an employer may choose to record the details of the use of the vehicle by the employee for a test period.

The number of days on which a vehicle is available for an employee’s private use that is ascertained in the test period is the number used in the calculation in section ND 1A(2).
The number used in the calculation in section ND 1A(4) is the number of days ascer- tained in the test period multiplied by 4.

If fringe beneﬁt tax is paid quarterly or annually, the test period is a quarter.

If fringe beneﬁt tax is paid on an income year basis, the test period is 3 consecutive months of an income year.
The employer must choose a test period that shows, or is likely to show, a pattern of use of the motor vehicle by the employee that fairly represents the use of the vehicle by the employee over the whole of the applicable term.

The employer must keep a record of the test period, including accurate details of the days in the period on which the vehicle is available for the employee’s private use.
For this purpose, a day on which the vehicle is a work-related vehicle is treated as a day on which the vehicle is not available for private use.

The number of days of availability for private use ascertained in the test period applies for a term of 3 years.
The term starts, as applicable, as follows: 2221 Part N s ND 1C Income Tax Act 2004 Reprinted as at 29 August 2011 (a) (b) (c) if fringe beneﬁt tax is paid quarterly, on the ﬁrst day of the test period: if fringe beneﬁt tax is paid annually, on the ﬁrst day of the tax year in which the test period occurs: if fringe beneﬁt tax is paid on an income year basis, on the ﬁrst day of the income year in which the test period occurs.
The term is reduced if the actual number of days of actual private use of the motor vehicle is 20 or more percentage points higher than the number ascertained in the test period.

In this case, the term ends on the last day of the applicable quarter, year, or income year.

If the employer chooses to start another test period, the existing term ends immediately before the start of the new term.
If the Commissioner considers that the result ascertained in the test period does not, or does no longer, fairly represent the actual private use of the motor vehicle by the employee, the Commissioner may give notice to the employer that the term will end on a speciﬁed date.

Following notiﬁcation, the employer must not use that result again.
(5) (6) (7) A replacement motor vehicle is treated in the same way as the vehicle it replaces if the result ascertained in the test period is likely to be fairly representative of the average availability for the private use of the vehicle during the term.
Compare: 1994 No 164 s CI 11 ND 1C Subsidised transport: value of beneﬁt (1) If an employer provides their employee with subsidised trans- port, the value of the beneﬁt is 25% of the highest fare the em- ployer charges the public for the equivalent transport (in terms of class, extent, and occasion).

This subsection is overridden by subsection (2).


(2) Despite section CX 2(2), if the fringe beneﬁt is provided under an arrangement with a third person, the value of the beneﬁt is determined under subsection (3).
If a third person provides the employee with subsidised trans- port under an arrangement with their employer, the value of the beneﬁt is the greatest of— (3) 2222 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1D (aa) (a) (b) 25% of the highest fare the third person charges the public for the equivalent transport (in terms of class, extent, and occasion), if the third person is a company in the same group of companies as the employer; and 25% of the highest fare the employer charges the public for the equivalent transport (in terms of class, extent, and occasion); and the amount that the employer has paid or is liable to pay the person for the beneﬁt provided.
(4) In this section, for a registered person who may claim input tax for subsidised transport, amount means the GST-inclusive amount.
Compare: 1994 No 164 s CI 3(6), (8A) Subsection (3) was amended, as from 1 April 2005, by section 138(1) Taxa- tion (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “the beneﬁt is the greatest of—” for “the beneﬁt is the greater of—” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (3)(aa) was inserted, as from 1 April 2005, by section 138(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 1D Employment-related loans: value of beneﬁt using prescribed interest The value of a beneﬁt provided by way of an employment re- lated loan by an employer who does not make an election under section ND 1DB in a period is the amount by which the pre- scribed interest on the loan is more than— (a) the amount of interest that accrued on the loan in that period; or (b) when the loan is a ﬁnancial arrangement and it is ap- propriate having regard to the nature of the loan, the in- come that would have accrued to the employer’s beneﬁt in that period as calculated under the yield to maturity method.
Compare: 1994 No 164 s CI 3(2) The heading to section ND 1D was amended, as from 1 April 2006, by section 168(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellan- eous Provisions) Act 2006 (2006 No 3) by inserting the words “using prescribed interest” after the word “beneﬁt” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
2223 Part N s ND 1DB Income Tax Act 2004 Reprinted as at 29 August 2011 Section ND 1D was amended, as from 1 April 2006, by section 168(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by inserting the words “by an employer who does not make an election under section ND 1DB” after the words “employment-related loan” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 1DB Employment-related loans: election to value beneﬁt using market interest (2) (1) An employer in the business of lending money to members of the public may choose that the value of a beneﬁt provided by the employer by way of an employment-related loan be determined using the market interest on the loan.
If an employer makes an election under subsection (1), the value of a beneﬁt provided by the employer by way of an em- ployment-related loan in a period is the amount by which the market interest on the loan is more than— (a) the amount of interest that accrued on the loan in that period; or (b) when the loan is a ﬁnancial arrangement and it is ap- propriate having regard to the nature of the loan, the in- come that would have accrued to the employer’s beneﬁt in that period as calculated under the yield to maturity method.
(3) Having made an election under subsection (1), an employer must use the method for the income year to which the choice relates and for the next following income year.

(5) (4) An employer may not change the method of calculating the value of the beneﬁt for an income year unless the employer no- tiﬁes the Commissioner of the proposed change at least 1 year before the beginning of the income year in which the change is to occur.
In this section, market interest means the amount of interest calculated at the interest rate that would apply to a borrower belonging to a group of persons to whom a loan of the kind provided to the employee is offered when that group meets the following requirements: (a) the group is assessed as having a comparable credit risk to the group to which the employee belongs; and 2224 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1E (6) (b) membership of the group arises from factors that do not include a link between a member and the employer; and the group is of sufﬁcient number to ensure a transaction on an arm’s-length basis.
(c) For the purposes of a calculation under subsection (5), the amount of interest is the amount accrued on the loan during the quarter or tax year calculated on the daily balance of that loan at the rate referred to in that subsection.
Section ND 1DB was inserted, as from 1 April 2006, by section 169(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 1E Employment-related loans: repayment (1) (c) (b) For the purposes of section ND 1D, an amount of income that is applied in a tax year to repay an employment-related loan is treated as having been applied towards repayment on the ﬁrst day of the tax year or, if the date of the advance of the loan falls after that day, that later date.
Subsection (1) applies only to income that— (a) an employee derives from their employer by way of salary or wages, extra pay, dividend, or interest; and is payable to the employee without any tax deduction under the PAYE rules, the RWT rules, or the NRWT rules; and is income of the employee in the tax year in which it is applied to repay the loan or in an earlier tax year.
If the amount that the employee derives and that is applied in this way relates to a tax year following the tax year in which it is applied to repay the loan, the employee may treat the amount as having been derived in that earlier tax year.

If so, the em- ployee must give notice to the Commissioner of their decision within the time allowed to the employer for ﬁling a return of income or within a longer time that the Commissioner allows.
If the employer has a non-standard accounting year, references in this section to an employer’s tax year are treated as refer- ences to that accounting year.

Compare: 1994 No 164 s CI 3(3)-(5) (2) (3) (4) 2225 Part N s ND 1F Income Tax Act 2004 Reprinted as at 29 August 2011 Section ND 1E(2)(b): substituted (with effect on 1 April 2005), on 21 December 2010 (applying for the 2005–06 and later income years), by section 168(1) of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130).
ND 1F Employment-related loans: regulations (1) The Governor-General may make regulations by Order in Council to declare the rate of interest applying to employ- ment-related loans.

(2) When regulations referred to in subsection (1) are made, they apply to quarters starting from a date at least 1 month after the date the regulations were made.
Regulations that reduce the rate of interest from the prescribed rate of interest at the time, if made at least 1 month before the quarter ends, may apply for that quarter.
Compare: 1994 No 164 s CI 6 ND 1G Meaning of prescribed interest (b) In sections ND 1D and ND 1F, prescribed interest means,— except as provided in paragraph (b), the amount of in- (a) terest that would have accrued on the loan during the quarter or tax year had the interest been calculated on the daily balance of that loan at the prescribed rate of interest: for loans made on or before 31 March 1985, the interest on which is not subject to review, the amount of interest that would have accrued on the loan during the quarter or tax year had the interest been calculated on the daily balance of the loan at the non-concessionary rate of in- terest for— (i) the tax year in which the agreement to make the loan was signed; or if the agreement was not in writing, the year in which the loan was agreed to by all parties.
(ii) Compare: 1994 No 164 s OB 1 prescribed interest Section ND 1G was amended, as from 1 April 2005, by section 139(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “sections ND 1D” for “sections ND 1E” with application as from the 2005–06 income year.
2226 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1IB ND 1H Contributions to superannuation schemes: value of (1) (2) beneﬁt The value of a beneﬁt by way of an employer’s contribution to a superannuation scheme is the amount of the contribution made by the employer.

In this section, for a registered person who may claim input tax for a contribution to a superannuation scheme, amount means the GST-inclusive amount.
Compare: 1994 No 164 s CI 3(8), (8A) ND 1I Contributions to funds, trusts, and insurance: value of (1) beneﬁt The value of a beneﬁt provided by way of a contribution to a sickness, accident, or death beneﬁt fund is the amount of the contribution made by the employer.

(2) (1A) The value of a beneﬁt provided by way of a contribution to a funeral trust is the contribution made by the employer.
The value of a beneﬁt provided by way of a speciﬁed insurance premium is the amount of the premium paid by the employer.

The value of a beneﬁt provided by way of a contribution to an insurance fund of a friendly society is the amount of the contribution made by the employer.
Compare: 1994 No 164 s CI 3(7), (8) (3) ND 1IB Beneﬁts provided by charitable organisations The value under section CX 21(2) of a beneﬁt provided by a charitable organisation by way of a short-term charge facility is the sum of— (a) the amount that the organisation pays for or towards the purchase or the hire of the goods and services obtained by the employee under the short-term charge facility: any interest incurred in relation to the purchase or hire of the goods and services: if the short-term charge facility is a credit card or charge card provided for an employee’s use solely for purposes unconnected with the organisation or its operations, the associated account or service fees.
(b) (c) Section ND 1IB was inserted, as from 1 April 2006, by section 170(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) 2227 Part N s ND 1J Income Tax Act 2004 Reprinted as at 29 August 2011 Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 1J Goods: value of beneﬁt (1) The value of a fringe beneﬁt that consists of the provision of goods is determined as follows: (a) when the person providing the goods manufactured, produced, or processed them, their market value: (b) when the person providing the goods bought them, or paid for them to be bought, dealing at arm’s length with the supplier of the goods, the cost of the goods to the person: if the person providing the goods is a company included in a group of companies, then, as the person chooses, the value of the beneﬁt under either paragraph (a) or (b), applying the provisions as if the group of companies were 1 company.
(c) This subsection is overridden by subsection (2).

If the value of the fringe beneﬁt as determined under subsec- tion (1) would be more than the amount that would have been paid to the employer for the purchase of the goods in a sale described in paragraphs (a) to (d), then the value is treated as that amount.
The sale is one that is— (a) (b) (c) made on ordinary trade terms; and (d) at retail in the open market in New Zealand; and freely offered; and to a member of the public with whom the employer is at arm’s length.
In this section,— cost, for a registered person who may claim input tax for the goods, means the GST-inclusive cost of the goods bought or the amount that the person paid for the goods market value means the lowest price, at the time at which the goods were provided to the employee, for which identical goods were sold by the same person to an arm’s length buyer (whether wholesaler, retailer, or the public) in the open market in New Zealand in a sale freely offered and made on ordinary trade terms (2) (3) 2228 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1K price, for a registered person who may claim input tax for goods that they manufacture, produce, or process, means the GST-inclusive price of those goods to that person.
Compare: 1994 No 164 s CI 3(9), (9A) ND 1K Services: value of beneﬁt (1) The value of a fringe beneﬁt that consists of providing ser- vices (other than making available a motor vehicle for private use, providing an employment-related loan, or providing sub- sidised transport) is,— (a) when an employer normally provides the services as part of their business, the price charged by the employer, at the time they provided the services, for the same or similar services to the public in the open market in New Zealand on ordinary trade or professional terms between buyers and sellers independent of each other: (b) when an employer pays for the services to be provided, dealing at arm’s length with the supplier of the services, the amount paid or payable: if neither paragraph (a) nor (b) applies, the price or fee that the employer or supplier providing the services would at that time have charged the public, had they provided the same or similar services to the public in the open market in New Zealand on ordinary trade or professional terms.
(c) (1B) For the purposes of subsection (1), a person providing services to an employee belonging to a group of employees is to be treated as providing the same or similar services to the pub- lic in the open market in New Zealand on ordinary trade or professional terms if the person provides the same or similar services to a group of persons that— (a) (b) In this section,— amount, for a registered person who may claim input tax for that service, means the GST-inclusive amount fee and price, for a registered person who may claim input tax for that service, mean the GST-inclusive fee or price.
Compare: 1994 No 164 s CI 3(10), (10A) negotiates the transaction on an arm’s-length basis; and is comparable in number to the group of employees.

(2) 2229 Part N s ND 1L Income Tax Act 2004 Reprinted as at 29 August 2011 Subsection (1B) was inserted, as from 1 April 2006, by section 171(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
(2) ND 1L When value of fringe beneﬁt cannot be ascertained (1) If, under sections ND 1A, ND 1C to ND 1E, and ND 1I to ND 1K, the value of a fringe beneﬁt cannot be ascertained, the value is the market value or otherwise as the Commissioner determines.
In this section, market value means the price, at the time at which the goods or services were provided to the employee, for which the goods or services would normally be sold in a sale— (a) (b) (c) made on ordinary trade terms; and (d) Compare: 1994 No 164 s CI 3(11) in the open market in New Zealand; and freely offered; and to a member of the public at arm’s length.
ND 1M Meaning of identical goods In the fringe beneﬁt tax rules, identical goods, for any goods, means other goods that are the same in terms of physical char- acteristics, quality, and reputation, except for minor differ- ences in appearance that do not affect the value of the goods.
Compare: 1994 No 164 s OB 1 identical goods ND 1N Goods at staff discount (1) This section applies to goods that an employer sells in the nor- mal course of their business to an employee when all the fol- lowing apply: (a) the retail price of identical goods is $200 or less to an arm’s length buyer in the open market in New Zealand in a sale freely offered and made on ordinary trade terms; and the price of the goods to the employee is lower than their cost to the employer, the difference resulting from a staff discount that the employer normally provides to employees; and (b) 2230 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1P (c) at the time of the sale, the staff discount is no more than 5% of the price of identical goods in the circumstances referred to in paragraph (a).
(2) The goods are treated as having been sold at a price equal to the cost of the goods to the employer.
Compare: 1994 No 164 s CI 2(6) ND 1O Goods on special with staff discount (1) This section applies to goods that an employer sells to an em- ployee on a day when the employer is selling identical goods at a special price and when all the following apply: (a) the price of the identical goods is $200 or less to an arm’s length buyer in the open market in New Zealand in a sale freely offered and made on ordinary trade terms; and the price of the goods to the employee is lower than their cost to the employer, the difference resulting from a staff discount that the employer offers to the employee in addition to any other discount; and immediately before or immediately after the sale, a rea- sonable quantity of those goods is available in the open market in New Zealand; and the price is at least 95% of the cost of the goods to the employer, or at least 95% of the price on the day of the sale of the identical goods to the public in the open market in New Zealand, whichever is less.
(b) (c) (d) (2) The goods are treated as having been sold at a price equal to the cost of the goods to the employer.

Compare: 1994 No 164 s CI 2(5) ND 1P Deﬁnitions for sections ND 1N and ND 1O (1) In sections ND 1N and ND 1O,— cost, for a registered person who may claim input tax for the cost of the goods, means the GST-inclusive cost of the goods to the person price, for a registered person who may claim input tax for goods provided to an employee, means the GST-inclusive price.
2231 Part N s ND 1Q Income Tax Act 2004 Reprinted as at 29 August 2011 (2) For the purposes of sections ND 1N and ND 1O, if a company that is included in a group of companies sells goods to an em- ployee of another company in the group, the sale is treated as if it were made directly from employer to employee.

Compare: 1994 No 164 s CI 2(6A), (7) ND 1Q Unclassiﬁed beneﬁts (1) An employer is liable to pay fringe beneﬁt tax on an unclassi- ﬁed beneﬁt only within the limits described in this section.
(2) When fringe beneﬁt tax is paid quarterly, an employer is liable for fringe beneﬁt tax on an unclassiﬁed beneﬁt provided to an employee in a quarter only if— (a) the total taxable value of all unclassiﬁed beneﬁts pro- vided in the quarter by the employer to the employee is more than $200; or the total taxable value of all unclassiﬁed beneﬁts pro- vided in the last four quarters including the current quar- ter by the employer to all employees of the employer (whether accounted for on a quarterly or an income year basis) is more than $15,000.
(b) (3) When fringe beneﬁt tax is paid either annually or on an income year basis (except when subsection (4) applies), an employer is liable for fringe beneﬁt tax on unclassiﬁed beneﬁts provided to an employee in the tax year or income year only if— (a) the total taxable value of all unclassiﬁed beneﬁts pro- vided in the tax year or income year by the employer to the employee is more than $800; or the total taxable value of all unclassiﬁed beneﬁts pro- vided in the tax year or income year by the employer to all employees of the employer is more than $15,000.
(b) (4) When an employer accounts for fringe beneﬁt tax on an income year basis, and the period for which they have ac- counted under section ND 14 differs from an income year for the reasons described in subsection (5), an employer is liable for fringe beneﬁt tax on unclassiﬁed beneﬁts provided in the period only if— (a) the total taxable value of all unclassiﬁed beneﬁts pro- vided in the period by the employer to an employee is more than the ﬁgure that is the same fraction or multiple 2232 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1Q (b) of $800 as the number of days in the period is a fraction or multiple of 365; or the total taxable value of all unclassiﬁed beneﬁts pro- vided in the period by the employer to all employees of the employer is more than the ﬁgure that is the same fraction or multiple of $15,000 as the number of days in the period is a fraction or multiple of 365.
(5) In subsection (4), the income year for which the employer has accounted may be longer or shorter than the normal income year because the employer has either— (a) (b) started or ceased business during that income year; or chosen (with the agreement of the Commissioner) to ﬁle a return under this subpart for the income year ending with the date of the annual balance of their accounts.

(6) In this section, employer includes a person associated with an employer at any time in the relevant period.
Compare: 1994 No 164 s CI 5 Subsection (2)(a) was amended, as from 1 April 2006, by section 172(1)(a)(i) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “$200” for the expression “$75” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (2)(b) was amended, as from 1 April 2006, by section 172(1)(a)(ii) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “the last four quar- ters including the current quarter” for the words “the quarter” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (2)(b) was amended, as from 1 April 2006, by section 172(1)(a)(iii) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “$15,000” for the expression “$450” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (3)(a) was amended, as from 1 April 2006, by section 172(1)(b)(i) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “$800” for the expression “$300” with application for a person’s liability for fringe bene- ﬁt tax for a period beginning on or after 1 April 2006.
Subsection (3)(b) was amended, as from 1 April 2006, by section 172(1)(b)(ii) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “$15,000” for the expression “$1,800” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (4)(a) was amended, as from 1 April 2006, by section 172(1)(c)(i) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous 2233 Part N s ND 1R Income Tax Act 2004 Reprinted as at 29 August 2011 Provisions) Act 2006 (2006 No 3) by substituting the expression “$800” for the expression “$300” with application for a person’s liability for fringe bene- ﬁt tax for a period beginning on or after 1 April 2006.
Subsection (4)(b) was amended, as from 1 April 2006, by section 172(1)(c)(ii) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “$15,000” for the expression “$1,800” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 1R Adjustments for unclassiﬁed beneﬁts on amalgamation This section applies when a company that is an employer (1) ceases to exist through amalgamation or when a new company is established on amalgamation.

An adjustment is allowed for unclassiﬁed beneﬁts in the period in which the amalgamation occurs.
If the amalgamating company pays fringe beneﬁt tax quarterly, an adjustment must be made in the quarter in which the amal- gamation occurs reducing the ﬁgure of $15,000 referred to in section ND 1Q(2)(b) by an amount calculated using the for- mula— (2) If an amalgamated company pays fringe beneﬁt tax quarterly, and the amalgamated company is a new company established on amalgamation, an adjustment must be made in the quarter in which the amalgamation occurs reducing the ﬁgure of $15,000 referred to in section ND 1Q(2)(b) by an amount calculated using the formula— If the amalgamating company pays fringe beneﬁt tax annually, an adjustment must be made for the year in which the amal- gamation occurs reducing the ﬁgure of $15,000 referred to in section ND 1Q(3)(b) by an amount calculated using the for- mula— (3) (4) 2234 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1S (5) If the amalgamated company pays fringe beneﬁt tax annually, and the amalgamated company is a new company established on amalgamation, an adjustment must be made for the year in which the amalgamation occurs reducing the ﬁgure of $15,000 referred to in section ND 1Q(3)(b) by an amount calculated using the formula— Compare: 1994 No 164 s CI 7 Subsection (2) was amended, as from 1 April 2006, by section 173(1)(a) Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) by substituting the expression “$15,000” for the expression “$450” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (2) formula was substituted, as from 1 April 2006, by section 173(1)(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Mis- cellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (3) was amended, as from 1 April 2006, by section 173(2)(a) Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) by substituting the expression “$15,000” for the expression “$450” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (3) formula was substituted, as from 1 April 2006, by section 173(2)(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Mis- cellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (4) was substituted, as from 1 April 2006, by section 173(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (5) was inserted, as from 1 April 2006, by section 173(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.

Taxable value of fringe beneﬁts ND 1S Payments towards fringe beneﬁts (1) (2) The taxable value of a fringe beneﬁt is the value of the beneﬁt.
If an employee pays a sum for receiving a fringe beneﬁt, the value of the beneﬁt is reduced by the amount paid.

2235 Part N s ND 1T Income Tax Act 2004 Reprinted as at 29 August 2011 (3) When section GC 15(1) applies, the value of the beneﬁt is re- duced if a person associated with the employee pays an amount for the beneﬁt.

This section does not apply to— (a) (b) an employment-related loan: a payment to acquire or improve an asset if receiving or using the asset does not constitute a fringe beneﬁt.
(4) Compare: 1994 No 164 s CI 4(1)(a) ND 1T Private use of motor vehicle: determining taxable value in cases of part ownership When a fringe beneﬁt is provided by way of a motor vehicle being made available to an employee for their private use, and the vehicle is owned in part by the employee (or, when section GC 15(1) applies, a person associated with the employee), the taxable value of the fringe beneﬁt is determined under either section ND 1U or ND 1V.
Compare: 1994 No 164 s CI 4(1)(b) ND 1U Private use of motor vehicle: when schedular value not used This section applies when the employer has not valued the motor vehicle using schedule 2, part A, clause 5.
To calculate the taxable value of the fringe beneﬁt, the value of the beneﬁt determined under section ND 1A is reduced by an amount that is the applicable percentage of the cost price (determined including GST under schedule 2, part A, clause 4) of the motor vehicle to the employee or the associated person as follows: (a) (b) if fringe beneﬁt tax is paid quarterly, 2.5%: if fringe beneﬁt tax is paid annually, 2.5% for each quar- ter in which the vehicle was part-owned by the em- ployee or the associated person: if fringe beneﬁt tax is paid on an income year basis, 10%.
(c) In subsection (2)(c) and section ND 1V(2)(c) and (3), if the period for which the employer accounts for fringe beneﬁt tax differs from a normal income year for the reasons described in subsection (4), the amount by which the taxable value of (1) (2) (3) 2236 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 1V the fringe beneﬁt is reduced is a percentage of the cost price (determined including GST under schedule 2, part A, clause 4) of the motor vehicle to the employer or the associated person equal to the amount calculated using the formula— (4) (5) The period for which the employer has accounted may be longer or shorter than the normal income year because the em- ployer has either— (a) (b) begun or ceased business during that income year; or chosen (with the agreement of the Commissioner) to ﬁle a fringe beneﬁt return for the income year ending with the date of the annual balance of their accounts.
If an employee has not been part-owner of the motor vehicle for the whole of the income year (or the period referred to in subsection (4)), the reduction is reduced by the proportion of the number of days of that income year or period for which the employee was not a part-owner to the total number of days of that income year or period.
Compare: 1994 No 164 s CI 4(1)(b), (2), (3) Subsection (1) was substituted, as from 1 April 2005, by section 140(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.

Section ND 1U(1): amended (with effect from 1 April 2006), on 19 December 2007, by section 176(1) of the Taxation (Business Taxation and Remedial Mat- ters) Act 2007 (2007 No 109).
Section ND 1U(2): amended (with effect from 1 April 2006), on 19 December 2007, by section 176(2) of the Taxation (Business Taxation and Remedial Mat- ters) Act 2007 (2007 No 109).

Section ND 1U(3): amended (with effect from 1 April 2006), on 19 December 2007, by section 176(3) of the Taxation (Business Taxation and Remedial Mat- ters) Act 2007 (2007 No 109).
ND 1V Private use of motor vehicle: when schedular value used This section applies when the employer has valued the motor (1) vehicle using schedule 2, part A, clause 5.
To calculate the taxable value of the fringe beneﬁt, the value of the beneﬁt determined under section ND 1A is reduced by an amount that is the applicable percentage of the cost price (2) 2237 Part N s ND 1W Income Tax Act 2004 Reprinted as at 29 August 2011 (3) (determined excluding GST) under schedule 2, part A, clause 6(a) in the following way: (a) when fringe beneﬁt tax is paid quarterly, by a percentage calculated using the formula— 2.5 + (2.5 x schedule 2 rate): (b) when fringe beneﬁt tax is paid annually, by a percentage for each quarter in which the vehicle was part-owned by the employee or associated person calculated using the formula— (c) 2.5 + (2.5 x schedule 2 rate): when fringe beneﬁt tax is paid on an income year basis, by a percentage calculated using the formula— 10 + (10 x schedule 2 rate).
In the formula, schedule 2 rate is the rate of GST speciﬁed in schedule 2, part A, clause 6(b), (c), (d), or (e) for the employer and the relevant quarter and relevant income year, as applic- able.

Compare: 1994 No 164 s CI 4(1)(c) Subsection (1) was substituted, as from 1 April 2005, by section 141(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Section ND 1V(1): amended (with effect from 1 April 2006), on 19 December 2007, by section 177(1) of the Taxation (Business Taxation and Remedial Mat- ters) Act 2007 (2007 No 109).

Subsection (2) was amended, as from 1 April 2005, by section 141(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “clause 6(a)” for “clause 3(b)(i)” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (3) was amended, as from 1 April 2005, by section 141(3) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “clause 6(b), (c), (d), or (e)” for “clause 3(b)(ii) or (iii)” with ap- plication for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.

Application ND 1W Application (1) (2) The fringe beneﬁt tax rules bind the Crown.
The provisions of this Act and of the Tax Administration Act 1994 apply to fringe beneﬁt tax as if it were income tax im- posed under section BB 1, and as if a reference to a tax year 2238 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 3 were a reference to a quarter or a tax year or an income year, as required.

Nothing in the fringe beneﬁt tax rules may be con- strued to include fringe beneﬁt tax in the words “income tax” or “tax” for the purposes of section OB 6(3).
Compare: 1994 No 164 ss CI 8, CI 10 Payment of fringe beneﬁt tax ND 2 Election to pay fringe beneﬁt tax per quarter (1) An employer may elect to pay fringe beneﬁt tax at the rate of 49% of the taxable value of a fringe beneﬁt provided or granted to an employee for any 1 or all of the ﬁrst 3 quarters of a tax year.
(2) An employer must pay fringe beneﬁt tax at the rate of 64% of the taxable value of a fringe beneﬁt provided or granted to an employee for any of the ﬁrst 3 quarters of the tax year for which the employer does not pay fringe beneﬁt tax at the rate of 49%.

(3) An employer may make an election under this section by pro- viding a return stipulating the rate chosen.

(4) An election under this section is irrevocable.


(5) Despite subsection (1), an employer must pay fringe beneﬁt tax at the rate of 64% of the taxable value of a fringe beneﬁt provided or granted to an employee for the quarters beginning 1 April 2000 and 1 July 2000.
Compare: 1994 No 164 s ND 2 Subsection (3) was substituted, as from 1 April 2006, by section 174(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 3 Attributed fringe beneﬁts (1) For each tax year or income year, as the case may be, an em- ployer must attribute the following fringe beneﬁts to the em- ployee to whom the fringe beneﬁt is provided or granted: (a) a beneﬁt to which either section CX 6 or CX 9 applies; and a beneﬁt with a taxable value of $1,000 or more per category per year to which any 1 of sections CX 8 and CX 12 to CX 15 applies; and (b) 2239 Part N s ND 3 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) beneﬁts with a total taxable value of $2,000 or more per year to which section CX 2(1)(b)(ii) applies.
(1A) Subsection (1)(a) does not apply to a loan to which section CX (2) 10 applies (loans owing to life insurers).
If an employer provides or grants a fringe beneﬁt to more than 1 employee and the fringe beneﬁt is one that must be attributed under subsection (1), the employer must attribute the fringe beneﬁt to the employee who principally uses, enjoys, or re- ceives the fringe beneﬁt during a quarter or, if the employer is one to whom section ND 14 applies, during an income year or to the employee to whom the fringe beneﬁt is principally available for private use during a quarter or, if the employer is one to whom section ND 14 applies, during an income year.
(3) An employer who cannot determine which employee princi- pally uses, enjoys, or receives a fringe beneﬁt must pool the fringe beneﬁt under section ND 6.

Subsection (5) applies if an employer provides or grants a fringe beneﬁt to an employee and the fringe beneﬁt— (a) (4) has a taxable value of less than $1,000 per category per year to which any 1 of sections CX 8 and CX 12 to CX 15 applies; or has a taxable value of less than $2,000 per category per year to which section CX 2(1)(b)(ii) applies.
(b) (5) An employer must either— (a) attribute the fringe beneﬁt as if it were a beneﬁt to which subsection (1)(b) or, as the case may be, subsection (1)(c) applies; or (b) pool the fringe beneﬁt in accordance with section ND 6.

If an employer attributes a fringe beneﬁt in the manner allowed by subsection (5)(a), the employer must attribute all fringe beneﬁts that have an annual taxable value of less than $1,000 or, as the case may be, $2,000 that fall within that fringe bene- ﬁt category.
For the purpose of subsection (1), each of sections CX 8 and CX 12 to CX 15, and an unclassiﬁed beneﬁt, is a fringe beneﬁt category.
Compare: 1994 No 164 s ND 3 (6) (7) 2240 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 5 ND 4 Attributed fringe beneﬁts: exception for subsidised transport Despite section ND 3(1), an employer may pool a fringe bene- ﬁt with a taxable value of $1,000 or more per year to which section CX 8 applies if all of the employer’s employees have the same or similar entitlement to the fringe beneﬁt.
Compare: 1994 No 164 s ND 4 ND 5 Multi-rate calculation for attributed fringe beneﬁts (1) An employer who attributes a fringe beneﬁt to an employee who is not a major shareholder must calculate the employee’s fringe beneﬁt inclusive cash remuneration according to the for- mula— cash remuneration – tax on cash remuneration + taxable value of fringe beneﬁt where— cash remuneration tax on cash remuneration taxable value of fringe is the cash remuneration determined under section ND 7 is the tax calculated using the basic rates of tax for every $1 of taxable income set out in schedule 1, part B, as if the cash remuneration were taxable income, the only taxable income received by the employee and any rebate of tax allowed under section KC 1, applied as if the employee were resident in New Zealand for the full tax year for the purpose of that section, were taken into account .
is the taxable value of all fringe beneﬁt beneﬁts 2241 Part N s ND 5 Income Tax Act 2004 Reprinted as at 29 August 2011 attributed to the employee in the tax year (2) An employer who attributes a fringe beneﬁt to an employee who is a major shareholder must calculate the employee’s fringe beneﬁt inclusive cash remuneration according to the formula— cash remuneration – tax on cash remuneration + taxable value of fringe beneﬁt where— cash remuneration tax on cash remuneration is the cash remuneration determined under section ND 7 is the tax calculated using the basic rates of tax for every $1 of taxable income set out in schedule 1, part B, as if the cash remuneration were the only taxable income received by the employee and any rebate of tax allowed under section KC 1, applied as if the employee were resident in New Zealand for the full income year for the purpose of that section, were taken into account tax on cash remuneration is— 2242 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 5 (a) the taxable value of all fringe beneﬁts attributed to the employee in the income year; and (b) the taxable value of all fringe beneﬁts attributed to an associate of the employee in the income year if the fringe beneﬁts are not received by the associate as an employee of the employer.
(3) An employer must calculate the tax on each employee’s fringe beneﬁt inclusive cash remuneration using the rates speciﬁed in schedule 2, part B.
(4) An employer’s fringe beneﬁt tax liability for each employee is the result of the formula— tax on fringe beneﬁt inclusive cash remuneration - tax on cash remuneration where— tax on fringe beneﬁt inclusive cash remuneration tax on cash remuneration is the result of subsection (3) is the amount of tax calculated under either subsection (1) or (2), as the case may be.
(5) An employer who applies section ND 5A(2)(a) must deduct from the result of the formula the fringe beneﬁt tax payable at the rate of 49% on attributable fringe beneﬁts in the tax year in which this section is applied to the beneﬁts.

(6) Despite subsections (1) to (5), an employer may disregard the calculations required by this section and instead pay fringe beneﬁt tax at the rate of 63.93% on the taxable value of the attributed fringe beneﬁts.
Compare: 1994 No 164 s ND 5 2243 Part N s ND 5A Income Tax Act 2004 Reprinted as at 29 August 2011 ND 5A Special rule for fringe beneﬁts attributed to (1) (2) shareholder-employees or employees receiving attributed income If at the time an employer ﬁles their return the employer does not have sufﬁcient information to undertake the calculations required by section ND 5, section ND 5 does not apply— (a) in respect of— (i) (ii) a shareholder-employee who derives salary, wages, or income to which section OB 2(2) applies; or an employee who receives attributed income from their employer, being a company or a trust, in accordance with section GC 14D; and in the year in which the employer must attribute fringe beneﬁts under section ND 3 to an employee who re- ceives income described under paragraph (a).
(b) In respect of fringe beneﬁts to be attributed to those particular employees, the employer must either— (a) pay fringe beneﬁt tax at the rate of 49% of the taxable value of the fringe beneﬁts attributed for the tax year and apply section ND 5 to the beneﬁts in the following tax year; or pay fringe beneﬁt tax at the rate of 63.93% of the taxable value of the fringe beneﬁts attributed for the tax year and, despite section ND 3, not apply section ND 5 to the beneﬁts.
Compare: 1994 No 164 s ND 5A (b) ND 6 Calculation of fringe beneﬁt tax on non-attributed fringe beneﬁts (a) (1) An employer must pool non-attributed fringe beneﬁts that— have a taxable value of less than $1,000 per category per year, being beneﬁts to which any 1 of sections CX 8 and CX 12 to CX 15 applies, and have not been attributed to a particular employee; or have a taxable value of less than $2,000 per year, being beneﬁts to which section CX 2(1)(b)(ii) applies, and have not been attributed to a particular employee; or (b) 2244 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 7 (c) (d) (e) (f) fall within section ND 4, being beneﬁts that have a tax- able value of $1,000 or more per year to which section CX 8 applies; or cannot be attributed to a particular employee; or were provided or granted to a former employee; or are loans to which section CX 10 applies (loans owing to life insurers).
(2) For the ﬁnal quarter of the tax year, an employer must— (a) create 2 pools and allocate fringe beneﬁts to each pool according to whether a recipient of the pooled fringe beneﬁts is— (i) either— (A) (B) an employee who is a major shareholder; or an associate of an employee who is a major shareholder if the associate does not re- ceive the fringe beneﬁt as an employee of the employer: (b) (ii) an employee to whom subparagraph (i) does not apply; and calculate fringe beneﬁt tax on the annual taxable value of the pooled fringe beneﬁts— (i) at the rate of 64% for pooled fringe beneﬁts re- ceived or enjoyed by either— (A) an employee who is a major shareholder; or an associate of an employee who is a major shareholder if the fringe beneﬁt is not re- ceived by the associate as an employee of the employer: (B) (ii) at the rate of 49% in all other cases.
Compare: 1994 No 164 s ND 6 ND 7 Deﬁnition of cash remuneration (1) For the purposes of section ND 5, if an employee is not a major shareholder, the employee’s cash remuneration for the tax year in which a fringe beneﬁt is attributed is the remuneration paid to, credited to, or applied on account of the employee by the employer (employer A) or a related employer during the tax 2245 Part N s ND 7A Income Tax Act 2004 Reprinted as at 29 August 2011 (2) (3) (4) year but does not include the taxable value of a fringe beneﬁt provided or granted by the employer or a related employer.
For the purpose of section ND 5, if an employee is a major shareholder, the employee’s cash remuneration for the income year in which a fringe beneﬁt is attributed is the remuneration paid to, credited to, or applied on account of the employee by the employer (employer A) or a related employer, plus— (a) dividends and interest derived by the employee from employer A; or dividends and interest derived by the employee from a related employer if the related employer is the one who pays or credits remuneration, or who applies remuner- ation on account of the employee.
(b) For the purposes of subsections (1) and (2), an employer (em- ployer B) is a related employer if employer B is treated as a separate employer from employer A and is— a branch or division of employer A; or (a) (b) a person associated with employer A.

In this section, remuneration means— (a) (b) salary or wages; and salary, wages, or income to which section OB 2(2) ap- plies; and an amount attributed in accordance with section GC 14D; and (c) extra pays; and (d) withholding payments.
Compare: 1994 No 164 s ND 7 (ba) ND 7A Timing of certain cash remuneration (1) Subsection (2) applies if— (a) a shareholder-employee derives salary, wages, or in- come to which section OB 2(2) applies; or an amount is attributed by a company or a trust in ac- cordance with section GC 14D.

(b) For the purposes of section ND 5, all of an employee’s cash remuneration is treated as being cash remuneration in the year following the year in which the amount was derived or at- tributed.
Compare: 1994 No 164 s ND 7A (2) 2246 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 8B ND 8 Special rule for employer who stops employing staff during tax year (2) (1) An employer who stops employing staff and does not intend to replace them during a tax year must apply sections ND 5, ND 6, ND 9, and ND 10 as if the ﬁnal quarter of the year were the quarter in which the employer stops employing staff.
This section does not apply to an employer who continues to provide or grant a fringe beneﬁt to a former employee.
(3) As an alternative to the application of section ND 5(4) or ND 6(2), an employer may choose to pay fringe beneﬁt tax at the rate of 64% of the taxable value of a fringe beneﬁt provided or granted to an employee,— (a) making the calculation in relation to the period from the start of the tax year to the date on which the employer stops employing staff; and taking into account any earlier payments of fringe bene- ﬁt tax made in relation to the employee.
(b) Compare: 1994 No 164 s ND 8 Subsection (3) was inserted, as from 1 April 2006, by section 175(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 8B Special rule for employer who is charitable organisation (1) (2) (b) providing short-term charge facility This rule applies to an employer who is a charitable organisa- tion if— (a) the employer provides to an employee in a tax year a beneﬁt by way of a short-term charge facility that is a fringe beneﬁt under section CX 21(2); and the employer is required to pay fringe beneﬁt tax for the tax year on a quarterly basis; and the value of the beneﬁts by way of short-term charge facilities provided by the employer to the employee in the ﬁrst quarter of the tax year does not exceed 5% of the employee’s salary or wages for the tax year.
The employer’s liability to pay fringe beneﬁt tax on the bene- ﬁts provided in a quarter of the tax year depends on whether the taxable value of the beneﬁts (accumulated beneﬁt value) provided by the employer to the employee in the period from (c) 2247 Part N s ND 9 Income Tax Act 2004 Reprinted as at 29 August 2011 (3) the beginning of the tax year to the end of the quarter exceeds 5% of the employee’s salary or wages for the tax year (thresh- old beneﬁt value).
The employer is liable to pay fringe beneﬁt tax for a quarter of the tax year on— (a) nil, if the accumulated beneﬁt value for the quarter does not exceed the threshold beneﬁt value; or the accumulated beneﬁt value, if the quarter is the earli- est in the tax year for which the accumulated beneﬁt value exceeds the threshold beneﬁt value; or the taxable value of the beneﬁts provided to the em- ployee in the quarter, if neither of paragraphs (a) and (b) applies.
(b) (c) Section ND 8B was inserted, as from 1 April 2006, by section 176(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
(2) ND 9 Payment of fringe beneﬁt tax: ﬁrst 3 quarters of tax year This section and sections ND 10 to ND 12 do not apply to an (1) employer who pays fringe beneﬁt tax— on an annual basis under section ND 13; or (a) on an income year basis under section ND 14.
(b) For each of the ﬁrst 3 quarters of a tax year or an income year, an employer to whom section BE 1(4) applies must forward to the Commissioner a return, in a form prescribed by the Com- missioner, setting out,— (a) for the fringe beneﬁts received or enjoyed by each of the employer’s employees in a quarter, such details as are prescribed in the form; and a calculation of the amount of fringe beneﬁt tax payable on the taxable value of the fringe beneﬁts.
(3) An employer must forward the return no later than 20 days after the end of the quarter, and is liable to pay to the Commis- sioner the amount calculated on or before the end of the 20th day.
Compare: 1994 No 164 s ND 9 (b) 2248 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 10 ND 10 Payment of fringe beneﬁt tax: ﬁnal quarter of tax year (1) If an employer elects to pay fringe beneﬁt tax in accordance with sections ND 5 and ND 6, the employer’s fringe beneﬁt tax liability for the ﬁnal quarter of the tax year is the total of all amounts calculated under sections ND 5(4) and ND 6(2) less the amount of the fringe beneﬁt tax payable for the previous 3 quarters of the tax year.
For the ﬁnal quarter of a year, an employer to whom section BE 1(4) applies must forward a return to the Commissioner setting out— (a) for the fringe beneﬁts received or enjoyed by the em- ployer’s employees, such details as are prescribed in the form; and the amount of fringe beneﬁt tax payable on the taxable value of the fringe beneﬁts.

(b) (2) (3) An employer must forward the return no later than 31 May (4) (5) (6) (7) next following the end of the quarter.
If an employer elects to pay fringe beneﬁt tax in accordance with sections ND 5 and ND 6 and the amount calculated is— a negative amount, the employer is entitled to a refund (a) of the excess tax: a positive amount, the employer must pay the difference on or before 31 May next following the end of the quar- ter.

(b) If subsection (4) does not apply, an employer is liable to pay to the Commissioner the amount calculated on or before the 31 May next following the end of the quarter.
Subsection (7) applies if an employer has elected to pay fringe beneﬁt tax at the rate of 49% of the taxable value of a fringe beneﬁt for the quarter beginning 1 October 2000 and the em- ployer does not have the necessary records and systems to cal- culate and pay fringe beneﬁt tax for the ﬁnal quarter of the year in accordance with sections ND 5 and ND 6.
For the ﬁnal quarter of the year, the employer must furnish a re- turn and pay fringe beneﬁt tax in accordance with this section as if all the fringe beneﬁts provided or granted during the year were pooled fringe beneﬁts to which section ND 6(2)(b)(i) ap- plies.
Compare: 1994 No 164 s ND 10 2249 Part N s ND 11 Income Tax Act 2004 Reprinted as at 29 August 2011 ND 11 Payment of fringe beneﬁt tax: no fringe beneﬁt provided (1) during quarter If a fringe beneﬁt has not been provided or granted by an employer during a quarter, the employer must forward to the Commissioner a return for the quarter, in a form prescribed by the Commissioner, setting out such details as are prescribed in the form.
(2) An employer must forward the return— (a) (b) for any 1 of the ﬁrst 3 quarters of a tax year, no later than 20 days after the end of the quarter: for the ﬁnal quarter of a tax year, no later than 31 May next following the end of the quarter.
(3) Despite subsection (1), the Commissioner may, for the pur- pose of meeting the special circumstances of a case or class of cases, and upon or subject to such terms as the Commissioner may require, relieve an employer in whole or in part from any obligation imposed by subsection (1).
Compare: 1994 No 164 s ND 11 ND 12 Special ﬁling rule for employer who stops employing staff during tax year An employer to whom section ND 8 applies must apply section ND 10(3) to (5) and paragraph (d) of the deﬁnition of date interest starts in section 120C(1) of the Tax Administration Act 1994 as if the references to “31 May next following the end of the quarter” and “31 May next following the end of the ﬁnal quarter” were to “the end of 2 months immediately following the end of the quarter in which the employer stops employing staff”.
Compare: 1994 No 164 s ND 12 Section ND 12 was amended, as from 1 April 2005, by section 257 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “section ND 10(3) to (5)” for the words “section ND 10(4) and (5)”.
ND 13 Payment of fringe beneﬁt tax on annual basis for employees who are not shareholder-employees (1) An employer may elect to pay fringe beneﬁt tax on an annual basis for fringe beneﬁts provided or granted to employees who are not shareholder-employees if, in respect of any tax year,— 2250 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 13 (a) (b) gross tax deductions and speciﬁed superannuation con- tribution withholding tax deductions payable by the em- ployer in the preceding tax year were not more than $100,000; or the employer was not an employer in the preceding tax year.
(2) An employer makes an election by giving notice to the Com- missioner, either in writing or by telephone, stating the ﬁrst tax year to which the election applies.
(3) An employer must give the notice of election to the Commis- sioner no later than— (a) (b) 30 June in the tax year in which the election ﬁrst applies, if the employer was an employer in the preceding tax year; or the last day of the quarter that ﬁrst ends after the day on which the employer ﬁrst becomes an employer, if the employer was not an employer in the preceding tax year.
(4) An employer who makes an election must,— (a) (b) subject to section ND 15, pay fringe beneﬁt tax on the taxable value of fringe beneﬁts provided or granted to employees of the employer, other than shareholderem- ployees, in the tax year of election and in every subse- quent tax year; and except as otherwise provided in the FBT rules, calculate the fringe beneﬁt tax payable in the same manner as it would be calculated for fringe beneﬁts provided or granted in the 4 consecutive quarters that comprise a tax year.
(5) For a tax year, an employer must forward to the Commissioner a return, in a form prescribed by the Commissioner, setting out the fringe beneﬁt tax payable on the taxable value of fringe beneﬁts received or enjoyed by each of the employer’s em- ployees, other than shareholder-employees, in that tax year.
(6) An employer must forward the form no later than the 31 May that ﬁrst follows the end of the tax year to which the form relates and is liable to pay to the Commissioner the amount calculated no later than that 31 May.
2251 Part N s ND 14 Income Tax Act 2004 Reprinted as at 29 August 2011 (7) (8) For the purpose of subsection (1), if an employer ceases busi- ness and begins a new business, or operates 2 or more busi- nesses simultaneously, the gross tax deductions and speciﬁed superannuation contribution withholding tax deductions relat- ing to all business carried on by the employer must be aggre- gated.
If an amalgamating company ceases to exist on an amalgam- ation, subsection (1)(a) applies on and after the date of amal- gamation as if gross tax deductions and speciﬁed superannu- ation contribution withholding tax deductions payable by the amalgamating company in the tax year preceding the tax year in which the amalgamation takes place were payable by the amalgamated company.
Compare: 1994 No 164 s ND 13 Subsection (2) was amended, as from 1 April 2006, by section 177(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “Commissioner, either in writ- ing or by telephone,” for the word “Commissioner” with application for a per- son’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
ND 14 Payment of fringe beneﬁt tax on income year basis for shareholder-employees (1) An employer that is a close company may elect to pay fringe beneﬁt tax on an income year basis for fringe beneﬁts provided or granted to shareholder-employees if, in respect of an income year,— (a) gross tax deductions and speciﬁed superannuation con- tribution withholding tax deductions payable by the em- ployer in the preceding year were not more than— (i) (ii) $100,000; or if the employer has an early balance date, the pro- portion of $100,000 that is equivalent to the pro- portion that the period beginning on 1 April in the preceding year and ending on the date by which the employer’s notice of election is required by subsection (3) to be furnished to the Commis- sioner bears to a full year; or (b) the employer was not an employer in the preceding in- come year.
2252 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 14 (2B) (2) An employer makes an election by giving notice to the Com- missioner, either in writing or by telephone, stating the ﬁrst year to which the election applies.
If an employer has been paying fringe beneﬁt tax on a quar- terly basis under sections ND 2, ND 9, and ND 10 and elects under this section to change to payment on an income year basis, a calculation must be made under section ND 10 for the period— (a) beginning immediately after the end of the last full tax year for which the employer pays fringe beneﬁt tax on a quarterly basis: ending immediately before the beginning of the ﬁrst in- come year for which the election applies.
(3) An employer must give the notice of election to the Commis- (b) sioner no later than— (a) the last day of the quarter that ﬁrst ends after the be- ginning of the income year in which the election ﬁrst applies, if the employer was an employer in the preced- ing income year; or the last day of the quarter that ﬁrst ends after the day on which the employer ﬁrst becomes an employer of employees, if the employer was not an employer in the preceding year.
(b) (4) (5) Subject to section ND 15, an employer who makes an elec- tion must pay fringe beneﬁt tax on the taxable value of fringe beneﬁts provided or granted to shareholder-employees in the income year of election and in every subsequent income year.
For an income year, an employer must forward to the Com- missioner a return, in a form prescribed by the Commissioner, setting out the fringe beneﬁt tax payable on the taxable value of the fringe beneﬁts received or enjoyed by each of the em- ployer’s shareholder-employees in that income year.
(6) An employer must forward the form no later than the em- ployer’s terminal tax date for the income year to which the form relates and is liable to pay to the Commissioner the amount calculated no later than that terminal tax date.
For the purpose of subsection (1), if an employer ceases busi- ness and begins a new business, or operates 2 or more busi- (7) 2253 Part N s ND 14 Income Tax Act 2004 Reprinted as at 29 August 2011 nesses simultaneously, the gross tax deductions and speciﬁed superannuation contribution withholding tax deductions relat- ing to all business carried on by the employer must be aggre- gated.
If an amalgamating company ceases to exist on an amal- gamation, subsection (1)(a) applies on and after the date of amalgamation as if gross tax deductions and speciﬁed super- annuation contribution withholding tax deductions payable by the amalgamating company in the income year preceding the income year in which the amalgamation takes place were payable by the amalgamated company.
In this section, preceding year means, in relation to an em- ployer and an income year,— (a) for an employer with a standard balance date, the year ending on the 31 March that immediately precedes the income year: for an employer with a late balance date, the year ending on the 31 March that last ends before the beginning of the employer’s income year: for an employer with an early balance date,— (i) (b) (c) (ii) the year beginning on 1 April before the begin- ning of the employer’s income year and end- ing on the 31 March that occurs within the em- ployer’s income year; or for the purpose of subsections (1)(a)(ii) and (3)(b) only, that part of the year referred to in paragraph (c)(i) that begins on 1 April and ends on the day before the beginning of the employer’s income year.
Compare: 1994 No 164 s ND 14 Subsection (2) was amended, as from 1 April 2006, by section 178(1)(a) Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) by substituting the words “Commissioner, either in writing or by telephone,” for the word “Commissioner” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
Subsection (2B) was inserted, as from 1 April 2006, by section 178(1)(b) Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
(8) (9) 2254 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s ND 15 ND 15 Change in period for which fringe beneﬁt tax payable (1) If, for a tax year, an employer has elected under section ND 13 to pay fringe beneﬁt tax on an annual basis and the employer does not meet the criteria speciﬁed in section ND 13(1) that are required for an election for that tax year, the employer must furnish returns and pay fringe beneﬁt tax on a quarterly basis in accordance with sections ND 9 and ND 10 for fringe beneﬁts provided or granted by the employer to employees on or after the ﬁrst day of the tax year.
If, for an income year, an employer has elected under sec- tion ND 14 to pay fringe beneﬁt tax on an income year basis, and the employer does not meet the criteria speciﬁed in sec- tion ND 14(1) that are required for an election for that income year, the employer must furnish returns and pay fringe beneﬁt tax on a quarterly basis in accordance with sections ND 9 and ND 10 for fringe beneﬁts provided or granted by the employer to shareholder-employees on or after the ﬁrst day of the em- ployer’s income year.
(2) (3) An employer who has elected to pay fringe beneﬁt tax on an annual or an income year basis may at any time elect, by giv- ing notice to the Commissioner, to pay fringe beneﬁt tax on a quarterly basis.
(4) An employer who elects must furnish returns and pay fringe beneﬁt tax on a quarterly basis in accordance with sections ND 9 and ND 10 for fringe beneﬁts provided or granted by the employer on or after— (a) the 1 April that ﬁrst follows the date of the employer’s election under subsection (3), if the employer had pre- viously elected to pay fringe beneﬁt tax on an annual basis; or the ﬁrst day of the income year of the employer that ﬁrst follows the date of the employer’s election under subsection (3), if the employer had previously elected to pay fringe beneﬁt tax on an income year basis; or such other date agreed by both the employer and the Commissioner and notiﬁed by the Commissioner to the employer.
(b) (c) (5) Subsection (6) applies if— 2255 Part N s ND 16 Income Tax Act 2004 Reprinted as at 29 August 2011 (a) (b) an employer transfers from paying fringe beneﬁt tax on an income year basis to paying fringe beneﬁt tax on a quarterly basis; and the day speciﬁed in subsection (2) or (4)(b) as the day on and after which fringe beneﬁt tax is payable on a quarterly basis is not the same day as the ﬁrst day of a quarter.
(6) (7) (8) The employer must furnish a return and pay fringe beneﬁt tax in accordance with sections ND 9 and ND 10 as if the period beginning on the day speciﬁed and ending on the day before the ﬁrst day of the quarter that begins after that speciﬁed day were a quarter.
Subsection (8) applies if— (a) an employer has made an election in accordance with section ND 14 to pay fringe beneﬁt tax on an income year basis for an income year; and the ﬁrst day of the employer’s income year in which the election ﬁrst applies is not the same day as the ﬁrst day of a quarter.
(b) The employer must furnish a return and pay fringe beneﬁt tax in accordance with sections ND 9 and ND 10 as if the period beginning on the ﬁrst day of the quarter in which the ﬁrst day of the ﬁrst income year falls and ending on the day before the ﬁrst day of the ﬁrst income year were a quarter.
Compare: 1994 No 164 s ND 15 ND 16 Amendment to thresholds for fringe beneﬁt categories (1) by Order in Council The Governor-General may, by Order in Council, determine monetary thresholds for beneﬁts that are categorised under section ND 3 and referred to in section ND 6.

(2) An Order in Council made pursuant to this section must spe- cify the tax year from which a new monetary threshold applies.
Compare: 1994 No 164 s ND 16 2256 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NE 2 Subpart NE—Speciﬁed superannuation contribution withholding tax Contents NE 1 Application NE 2 Speciﬁed superannuation contribution withholding tax imposed NE 2AA Employee election that higher rate of speciﬁed superannuation contribution withholding tax apply [Repealed] NE 2AB Employer election that progressive rates of speciﬁed superannuation contribution withholding tax apply [Repealed] NE 2A Employee election that speciﬁed superannuation contributions be treated as salary or wages NE 2B Employer election that progressive rates of speciﬁed NE 3 superannuation contribution withholding tax apply Speciﬁed superannuation contribution withholding tax to be deducted NE 3B Calculation amounts in relation to current speciﬁed superannuation contribution for complying superannuation fund Period for payment Failure to deduct tax NE 4 NE 5 NE 6 Tax deemed for certain purposes to have been received by superannuation fund Page 2257 2257 2258 2258 2259 2259 2259 2262 2264 2264 2265 NE 7 Application of other provisions to speciﬁed superannuation 2266 contribution withholding tax NE 1 Application Except as otherwise provided in the SSCWT rules, the SS- CWT rules apply notwithstanding anything in any other pro- vision of this Act.
Compare: 1994 No 164 s NE 1 NE 2 Speciﬁed superannuation contribution withholding tax imposed (1) A speciﬁed superannuation contribution made to a superannu- ation fund is subject to speciﬁed superannuation contribution 2257 Part N s NE 2AA Income Tax Act 2004 Reprinted as at 29 August 2011 (2) withholding tax at the rate speciﬁed in schedule 1, part A, clause 10(b), unless section NE 2A(2) or NE 2B applies ap- plies.
For the purposes of the SSCWT rules, unless the context other- wise requires, the amount of a speciﬁed superannuation con- tribution is deemed to be the aggregate of— (a) the amount of the speciﬁed superannuation contribu- tion received by the superannuation fund or, in the case of a contribution paid to the Commissioner under the KiwiSaver Act 2006, received by the Commissioner for payment to the superannuation fund; and the amount of any speciﬁed superannuation contribu- tion withholding tax payable under the SSCWT rules in respect of the contribution.
(b) Compare: 1994 No 164 s NE 2 Subsection (1) was amended, as from 1 April 2007, by section 142 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “unless section NE 2A(2) or NE 2B applies” for “unless either section NE 2AA(2), NE 2AB, or NE 2A(2) applies”.
Subsection (2)(a) was amended, as from 1 December 2006, by section 231 Kiwi- Saver Act 2006 (2006 No 40) by inserting “or, in the case of a contribution paid to the Commissioner under the KiwiSaver Act 2006, received by the Commis- sioner for payment to the superannuation fund” after “superannuation fund”.

See section 232 of that Act as to the transitional provision requiring all Kiwi- Saver contributions to be paid to the Commissioner in the ﬁrst 3 months.
See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

NE 2AA Employee election that higher rate of speciﬁed superannuation contribution withholding tax apply [Repealed] Section NE 2AA and NE 2AB were repealed, as from 1 April 2007, by sec- tion 143 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
NE 2AB Employer election that progressive rates of speciﬁed superannuation contribution withholding tax apply [Repealed] Section NE 2AA and NE 2AB were repealed, as from 1 April 2007, by sec- tion 143 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
2258 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NE 3 NE 2A Employee election that speciﬁed superannuation contributions be treated as salary or wages (1) With the agreement of their employer, an employee may elect, by giving notice to the employer, that all or part of a speciﬁed superannuation contribution made by the employer on behalf of the employee be treated as salary or wages, irrespective of their employment contract.
If an employee makes an election under subsection (1), the speciﬁed superannuation contribution is salary and wages of the employee and subject to the PAYE rules.

(2) (3) An employee’s election notice is valid until revoked in writing.
Compare: 1994 No 164 s NE 2A NE 2B Employer election that progressive rates of speciﬁed superannuation contribution withholding tax apply If an employer makes a speciﬁed superannuation contribution on behalf of an employee for a tax year, the employer may choose that the employer, or a PAYE intermediary, pays speci- ﬁed superannuation contribution withholding tax on the speci- ﬁed superannuation contribution at the rate speciﬁed in sched- ule 1, part A, clause 10(a) (Basic rates of income tax and speci- ﬁed superannuation contribution withholding tax) for the SS- CWT rate threshold amount for the employee.
Section NE 2B was inserted, as from 1 April 2007, by section 144 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
NE 3 Speciﬁed superannuation contribution withholding tax to (1) (2) be deducted If an employer or a PAYE intermediary pays to a superannu- ation fund an amount that represents a speciﬁed superannu- ation contribution, the employer or PAYE intermediary must, at the time of payment, deduct from the speciﬁed superannu- ation contribution an amount of speciﬁed superannuation contribution withholding tax determined in accordance with whichever is applicable of section NE 2 or NE 2B.
Subsection (1), and whichever is applicable of sections NE 2(1), NE 2A(2), and NE 2B, do not apply to the spe- ciﬁed superannuation contribution (the current speciﬁed superannuation contribution) to the extent to which that 2259 Part N s NE 3 Income Tax Act 2004 Reprinted as at 29 August 2011 contribution is for the employee’s KiwiSaver scheme, and the contribution is not more than the lesser of— (a) (b) an amount calculated under subsection (3): an amount calculated under subsection (4).
(2B) Subsection (1), and whichever is applicable of sections NE 2(1), NE 2A(2), and NE 2B, do not apply to the current spe- ciﬁed superannuation contribution to the extent to which that contribution— (a) is for the employee’s complying superannuation fund; and is subject to complying fund rules; and is not more than the lesser of— (i) (ii) an amount calculated under section NE 3B(1): an amount calculated under section NE 3B(2).
(b) (c) In subsection (2)(a) the amount is calculated using the formula previous exempt contributions.

0.04 × total salary or wages In subsection (2)(b) the amount is calculated using the for- mula— total KiwiSaver contributions previous exempt KiwiSaver contributions.
In the formulas,— (a) total salary or wages means the total salary or wages paid to the employee in the KiwiSaver calculation period, but excluding salary or wages for which there are no KiwiSaver contributions: previous exempt contributions means the total speci- ﬁed superannuation contributions for the employee, to the extent to which— (i) those contributions are made in the KiwiSaver calculation period, but excluding the current spe- ciﬁed superannuation contribution; and subsection (2) or (2B) applied to those contribu- tions (excluding the current one): (ii) total KiwiSaver contributions means the total Kiwi- Saver contributions deducted from the salary or wages paid to the employee in the KiwiSaver calculation period: (b) (c) (3) (4) (5) 2260 Reprinted as at 29 August 2011 (d) Income Tax Act 2004 Part N s NE 3 previous exempt KiwiSaver contributions means the total speciﬁed superannuation contributions for the em- ployee’s KiwiSaver scheme, to the extent to which— (i) those contributions are made in the KiwiSaver calculation period, but excluding the current spe- ciﬁed superannuation contribution; and subsection (2) applied to the contributions (ex- cluding the current one): (ii) (6) In this section,— KiwiSaver calculation period means, for the current speci- ﬁed superannuation contribution, a period— beginning with the later of— (a) (i) 1 year before when the employer makes the cur- rent speciﬁed superannuation contribution: (ii) when the employer is ﬁrst required to deduct KiwiSaver contributions from the employee’s salary or wages; and (b) ending with when the employer makes the current spe- ciﬁed superannuation contribution KiwiSaver contributions[Repealed] KiwiSaver contributions: this deﬁnition was repealed, as from 1 July 2007, by section 145(6) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
[Repealed] KiwiSaver scheme[Repealed] KiwiSaver scheme: this deﬁnition was repealed, as from 1 July 2007, by section 145(6) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

[Repealed] Compare: 1994 No 164 s NE 3 Section NE 3 was amended, as from 1 April 2007, by section 145(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “section NE 2 or NE 2B” for “sections NE 2, NE 2AA, and NE 2AB”.
Subsections (2) to (6) were inserted, as from 1 July 2007, by section 231 Kiwi- Saver Act 2006 (2006 No 40).

See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(1) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

Subsection (2) was substituted, as from 1 July 2007, by section 145(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
2261 Part N s NE 3B Income Tax Act 2004 Reprinted as at 29 August 2011 Subsection (2B) was inserted, as from 1 July 2007, by section 145(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Subsection (3) was amended, as from 1 July 2007, by section 145(3) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “subsection (2)(a)” for “subsection (2)(b)(i)”.
Subsection (4) was amended, as from 1 July 2007, by section 145(4)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “subsection (2)(b)” for “subsection (2)(b)(ii)”.

Subsection (4) was amended, as from 1 July 2007, by section 145(4)(b) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “previous exempt KiwiSaver contributions” for “previous exempt contributions”.
Subsection (5)(b)(ii) was amended, as from 1 July 2007, by section 145(5)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “subsection (2) or (2B)” for “subsection (2)”.
Subsection (5)(c) was amended, as from 1 July 2007, by section 145(5)(b) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “period:” for “period.” Subsection (5)(d) was inserted, as from 1 July 2007, by section 145(5)(b) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section NE 3(6) salary or wages: repealed, on 1 April 2008, by section 11 of the Taxation (KiwiSaver) Act 2007 (2007 No 110).
NE 3B Calculation amounts in relation to current speciﬁed superannuation contribution for complying superannuation fund For the current speciﬁed superannuation contribution, in sec- tion NE 3(2B)(c)(i) the amount is calculated using the for- mula— previous exempt contributions.
0.04 × total salary or wages For the current speciﬁed superannuation contribution, in sec- tion NE 3(2B)(c)(ii) the amount is calculated using the for- mula— total complying fund contributions previous exempt complying fund contributions.
In the formulas,— (a) total salary or wages means the total salary or wages paid to the employee in the complying fund calculation period, but excluding salary or wages for which there are no superannuation contributions for the employee’s (1) (2) (3) 2262 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NE 3B (b) (c) (d) complying superannuation fund that are subject to com- plying fund rules: previous exempt contributions means the total speci- ﬁed superannuation contributions for the employee, to the extent to which— (i) the contributions are made in the complying fund calculation period, but excluding the current spe- ciﬁed superannuation contribution; and section NE 3(2) or (2B) applied to those contri- butions (excluding the current one): (ii) total complying fund contributions means the total superannuation contributions that are— (i) deducted from the employee’s salary or wages in the complying fund calculation period; and subject to complying fund rules: (ii) previous exempt complying fund contributions means the total speciﬁed superannuation contributions for the employee’s complying superannuation fund, to the extent to which— (i) those contributions are made in the complying fund calculation period, but excluding the current speciﬁed superannuation contribution; and section NE 3(2B) applied to those contributions (excluding the current one).
(ii) (4) In this section, complying fund calculation period means, for the current speciﬁed superannuation contribution, a period— (a) beginning with the later of— (i) 1 year before when the employer makes the cur- rent speciﬁed superannuation contribution: (ii) when the employer is ﬁrst required to deduct superannuation contributions that are subject to complying fund rules from the employee’s salary or wages; and (b) ending with when the employer makes the current spe- ciﬁed superannuation contribution.
Section NE 3B was inserted, as from 1 July 2007, by section 146 Taxation (Sav- ings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
2263 Part N s NE 4 Income Tax Act 2004 Reprinted as at 29 August 2011 NE 4 Period for payment Every employer or PAYE intemediary who makes a deduction of speciﬁed superannuation contribution withholding tax from a speciﬁed superannuation contribution must pay to the Com- missioner the amount of the deduction,— (a) (b) (c) subject to paragraph (c), where the employer or PAYE intermediary has made that deduction during the ﬁrst PAYE period, not later than the 20th of the month during which that deduction was made: subject to paragraph (c), where the employer or PAYE intermediary has made that deduction during the second PAYE period, not later than— (i) the 5th of the month following the month in which the deduction was made; or the 15th of January where the month in which the deduction was made is December: (ii) notwithstanding paragraphs (a) and (b), where the em- ployer or PAYE intermediary is required to pay tax de- ductions to the Commissioner in accordance with sec- tion NC 15(1)(c), not later than the 20th of the month following the month in which that deduction was made.
Compare: 1994 No 164 s NE 4 NE 5 Failure to deduct tax Where an employer or PAYE intermediary fails to make any deduction of speciﬁed superannuation contribution withhold- ing tax from any speciﬁed superannuation contribution in ac- cordance with the obligations under section NE 3,— (a) the amount in respect of which default has been made is, notwithstanding any other provision of this Act, deemed for the purposes of this Act to be an amount calculated in accordance with the following formula: where— a is the rate of speciﬁed superannuation contribu- tion withholding tax, expressed as a percentage, 2264 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NE 6 b c stated in schedule 1, part A, clause 10, and ap- plying at the time the contribution was made is the amount of the contribution (exclusive of any amount of speciﬁed superannuation contri- bution withholding tax) received by the super- annuation fund is the amount (if any) of speciﬁed superannu- ation contribution withholding tax already paid in respect of the contribution; and (b) that amount constitutes a debt payable by the employer or PAYE intermediary to the Commissioner and is deemed to have become due and payable to the Com- missioner,— (i) (ii) (iii) subject to subparagraph (iii), where the speciﬁed superannuation contribution was made during the ﬁrst PAYE period, on the 20th of the month dur- ing which that contribution was made: subject to subparagraph (iii), where the speciﬁed superannuation contribution was made during the second PAYE period, on the 5th of the month following the month in which that contribution was made: notwithstanding subparagraphs (i) and (ii), where the employer or PAYE intermediary is required to pay tax deductions to the Commissioner in ac- cordance with section NC 15(1)(c), on the 20th of the month following the month in which that contribution was so made.
Compare: 1994 No 164 s NE 5 NE 6 Tax deemed for certain purposes to have been received by superannuation fund In determining whether an employer has satisﬁed the em- ployer’s obligations or commitments to pay contributions to a superannuation fund,— (a) the employer or the employer’s PAYE intermediary is treated, in respect of any speciﬁed superannuation con- tribution that has been made on behalf of an employee, 2265 Part N s NE 7 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) as having paid to the superannuation fund in satisfaction of the employer’s obligations or commitments— (i) the amount of any speciﬁed superannuation con- tribution withholding tax payable in accordance with the SSCWT rules: the amount of any PAYE payable in accordance with the PAYE rules as a result of an election by the employee under section NE 2A; and the superannuation fund is treated as having received the amount referred to in paragraph (a); and the payment referred to in paragraph (a) and the receipt referred to in paragraph (b) are treated as having oc- curred when the superannuation fund received the spe- ciﬁed superannuation contribution referred to in para- graph (a).
Compare: 1994 No 164 s NE 6 (b) (c) (1) NE 7 Application of other provisions to speciﬁed superannuation contribution withholding tax Subject to the SSCWT rules, section GC 18, and sections 167 and 169 of the Tax Administration Act 1994, as far as they are applicable and with any necessary modiﬁcations, for the purposes of the SSCWT rules, apply as if— (a) every reference in those sections to a tax deduction were a reference to a deduction of speciﬁed superannuation contribution withholding tax: every reference in those sections to the PAYE rules were a reference to the SSCWT rules.
(b) Subject to the SSCWT rules, the other provisions of this Act (other than section GC 18) and of the Tax Administration Act 1994 (other than sections 167 and 169), as far as they are ap- plicable and with any necessary modiﬁcations, apply with re- spect to speciﬁed superannuation contribution withholding tax as if it were income tax levied under section BB 1; but noth- ing in the SSCWT rules should be construed so as to include speciﬁed superannuation contribution withholding tax in the terms “income tax” or “tax” for the purposes of section 121 or 122 of the Tax Administration Act 1994.
Compare: 1994 No 164 s NE 7 (2) 2266 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NEB 1 Subpart NEA—Tax on certain withdrawals from superannuation funds NEA 1 Recovery of tax paid by superannuation fund Page 2267 Contents NEA 1 Recovery of tax paid by superannuation fund (1) If section CS 1 applies to a withdrawal in respect of a person’s membership in a superannuation fund, the trustee of the fund may deduct from the withdrawal an amount according to the formula in subsection (2).
The formula is— (2) where— tax rate income tax rate x income is the basic rate of income tax stated in schedule 1, part A, clause 4 is the superannuation fund’s income under section CS 1.

Compare: 1994 No 164 s NEA 1 Subpart NEB—Retirement scheme contribution withholding tax Subpart NEB: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
NEB 1 Retirement scheme contribution withholding tax imposed Retirement scheme contribution subject to withholding tax (1) A retirement scheme contribution made for a person to a re- tirement savings scheme is subject to retirement scheme con- tribution withholding tax at the retirement scheme withholding rate for the person.
2267 Part N s NEB 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (2) Amount of retirement scheme contribution For the purposes of the RSCWT rules, unless the context other- wise requires, the amount of a retirement scheme contribution is the total of— (a) the amount received as the retirement scheme contribu- tion by the retirement savings scheme and not deducted under section NEB 2 on behalf of the retirement scheme contributor; and the amount of retirement scheme contribution withhold- ing tax payable under the RSCWT rules on the retire- ment scheme contribution.
(b) Deﬁned in this Act: retirement savings scheme, retirement scheme contribution, retirement scheme contribution withholding tax, retirement scheme withholding rate, RSCWT rules Section NEB 1: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
NEB 2 Retirement scheme contribution withholding tax to be deducted Responsibility of retirement scheme contributor to deduct (1) A retirement scheme contributor who pays to a retirement sav- ings scheme an amount that represents a retirement scheme contribution for a person must, at the time of the payment, deduct from the amount an amount of retirement scheme con- tribution withholding tax determined under section NEB 1.
Appointment of retirement savings scheme as agent (2) A retirement scheme contributor who pays a retirement scheme contribution to a retirement savings scheme may appoint the retirement savings scheme as agent to make the deduction required by subsection (1).
Deﬁned in this Act: retirement savings scheme, retirement scheme contribution, retirement scheme contribution withholding tax, retirement scheme contributor Section NEB 2: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
2268 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NEB 4 NEB 3 Payment and notice of deductions Payment and notice (1) A retirement scheme contributor or retirement savings scheme who deducts retirement scheme contribution withholding tax from a retirement scheme contribution must, not later than the 20th of the month following the month in which the deduction is made,— (a) pay the amount of the deduction to the Commissioner; and give to the Commissioner, in a notice in a form accept- able to the Commissioner, a ﬁgure for the amount of retirement scheme contribution withholding tax being paid for the month of the deduction other than by the use of imputation credits and Maori authority credits.
(b) (2) Amalgamating company If an amalgamating company ceases to exist on an amalgam- ation, subsection (1) applies from the time of the amalgam- ation as if retirement scheme contribution withholding tax de- ductions payable by the amalgamating company in the year preceding the year in which the amalgamation takes place were payable by the amalgamated company.
Deﬁned in this Act: Commissioner, , imputation credit, , Maori authority credit, , notice, , retirement savings scheme, retirement scheme contribution, retire- ment scheme contribution withholding tax, retirement scheme contributor, tax ﬁle number Section NEB 3: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
NEB 4 Failure to deduct (1) Debt owing to Commissioner If a retirement scheme contributor or retirement savings scheme fails to deduct retirement scheme contribution with- holding tax from a retirement scheme contribution for a person as required by section NEB 1, an amount calculated using the formula in subsection (2) is a debt— (a) payable to the Commissioner by the retirement scheme contributor; and 2269 Part N s NEB 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) becoming due and payable on the 20th of the month following the month in which the retirement scheme contribution was made.
Formula for amount of debt The amount of the debt is calculated using the formula— (2) tax rate 1 – tax rate × contribution to scheme – tax already paid (3) (4) Deﬁnition of items in formula The items in the formula are deﬁned in subsections (4) to (6).

Tax rate Tax rate is the retirement scheme withholding rate for the per- son.
Contribution to scheme (5) Contribution to scheme is the amount of the retirement scheme contribution received by the retirement savings scheme, excluding the amount of retirement scheme contribu- tion withholding tax.

(6) Tax already paid Tax already paid is any amount of retirement scheme con- tribution withholding tax for the contribution that has already been paid.
Deﬁned in this Act: Commissioner, retirement savings scheme, retirement scheme contribution, retirement scheme contribution withholding tax, retire- ment scheme contributor, retirement scheme withholding rate Section NEB 4: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
NEB 5 Retirement savings schemes Eligibility to be retirement savings scheme (1) An entity is eligible to be a retirement savings scheme for a person if— (a) (b) the entity is a portfolio investment entity; and under the rules (the distribution rules) governing the dis- tribution by the entity of funds in which the person has an interest, the availability of distributions to the person 2270 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NEB 6 (c) is restricted before the person reaches an age of retire- ment speciﬁed in the rules; and under the distribution rules, the person is not permitted to make a withdrawal before the age of retirement other than a withdrawal— (i) for the repayment of a student loan as deﬁned in the Students Loan Scheme Act 1992: for the payment of fees and expenses relating to tertiary education: for the purchase of housing, if the person does not own a home: that the person would be permitted to make if the scheme were a KiwiSaver scheme under the KiwiSaver Act 2006: in circumstances speciﬁed in the rules as ap- proved under paragraph (e); and (ii) (iii) (iv) (v) (d) (e) under the distribution rules, the entity may require the person to provide information for the purpose of ensur- ing that the requirements relating to a withdrawal are met; and the Commissioner approves the distribution rules as be- ing fair and reasonable.
Retirement savings scheme for person (2) An entity is a retirement savings scheme for a person for an income year if, in the income year,— (a) the entity is eligible to be a retirement savings scheme for the person under subsection (1); and the entity holds funds from a retirement scheme contri- bution for the person.
(b) Deﬁned in this Act: Commissioner, , income year, , portfolio investment entity, retirement savings scheme, retirement scheme contribution, retirement-scheme contributor Section NEB 5: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
NEB 6 Retirement scheme contributors Eligibility to be retirement scheme contributor (1) An entity is eligible to be a retirement scheme contributor for a person if— 2271 Part N s NEB 7 Income Tax Act 2004 Reprinted as at 29 August 2011 (a) (b) the entity is— (i) the trustee of a widely-held trust that is a unit trust: a company other than a close company: a Maori authority; and (ii) (iii) the person is a unit holder, shareholder, or member, of the entity.
Retirement scheme contributor for person (2) An entity may choose to become a retirement scheme contribu- tor for a person for an income year if,— (a) in the income year, the entity is eligible to be a retire- ment scheme contributor under subsection (1); and in or before the income year, the entity makes a payment intended to be a retirement scheme contribution for the person.
(b) Deﬁned in this Act: close company, , company, , income year, , Maori authority, , retirement savings scheme, retirement scheme contribution, retirement scheme contributor, shareholder, , trustee, , unit holder, , unit trust, , widely-held trust Section NEB 6: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section NEB 6(2): amended (with effect on 1 April 2007), on 6 October 2009, by section 841(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
NEB 7 Application of other provisions to retirement scheme contribution withholding tax Section GC 20 and sections 170(2), 171, and 172 of the Tax Administration Act 1994 For the purposes of the RSCWT rules, section GC 20 (Agree- ments not to make resident withholding tax deductions to be void) and sections 170(2), 171, and 172 of the Tax Adminis- tration Act 1994, as far as they are applicable and with any necessary modiﬁcations, apply as if— (a) a reference to a resident withholding tax deduction were a reference to a deduction of retirement scheme contri- bution withholding tax: a reference to the RWT rules were a reference to the RSCWT rules.
(1) (b) 2272 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NEB 7 (2) (3) Other provisions, except for RSCWT rules The provisions of this Act and of the Tax Administration Act 1994 other than the provisions affected by subsection (1), as far as they are applicable and with any necessary modiﬁca- tions, apply as if retirement scheme contribution withholding tax were income tax levied under section BB 1 (Imposition of income tax).
Relationship with other RSCWT rules Subsections (1) and (2) are subject to the other RSCWT rules.

Deﬁned in this Act: income tax, , resident withholding tax deduction, retirement scheme contribution withholding tax, RSCWT rules, RWT rules Section NEB 7: inserted (with effect from 1 April 2007), on 19 December 2007, by section 178 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Subpart NF—Resident withholding tax Contents Application NF 1 Application of RWT rules Liability to pay resident withholding tax Liability to pay resident withholding tax NF 2 NF 2AA Election to be RWT proxy NF 2A Election to apply higher rate of deduction NF 2B Companies to notify interest payer NF 2C Transitional rule: notiﬁcations by companies between 1 April 2001 and 31 May 2001 (both dates inclusive) NF 2D Election rates of deduction for companies NF 2E Amounts withheld from distributions to holders of FIF attributing interests NF 3 Requirements for agents or trustees to make resident withholding tax deductions on receipt of payments Payment of resident withholding tax NF 4 Payment of deductions of resident withholding tax to Commissioner Page 2274 2277 2290 2291 2292 2292 2293 2293 2294 2295 NF 5 Non-resident withholding tax deducted in substitution for 2298 resident withholding tax 2273 Part N s NF 1 Income Tax Act 2004 Reprinted as at 29 August 2011 NF 6 Resident withholding tax deductions varied to correct Miscellaneous provisions errors NF 7 Refunds of deductions NF 8 Resident withholding tax deductions from dividends deemed to be dividend withholding payment credits 2299 2301 2302 NF 8A Resident withholding tax deductions from distributions 2304 treated as Maori authority credits NF 8B Resident withholding tax deductions from replacement 2304 payments treated as imputation credits NF 9 Certiﬁcates of exemption NF 10 Unincorporated bodies NF 11 Cancellation of certiﬁcates of exemption NF 12 Amount of resident withholding tax deduction deemed to have been received NF 13 Application of other provisions in relation to resident 2305 2310 2312 2315 2315 withholding tax Application NF 1 Application of RWT rules (1) The RWT rules apply notwithstanding any other provision of this Act.
The RWT rules apply to any amount paid (referred to as resi- dent withholding income) that consists of— (a) interest, not being interest that is— (i) (ii) exempt interest; or interest derived by a person who holds a valid certiﬁcate of exemption; or interest which constitutes non-resident withhold- ing income; or interest derived from outside New Zealand by a person not resident in New Zealand; or interest that is exempt income by virtue of the application of section CW 22B (Certain income derived by transitional resident); or interest paid by a company and derived by an- other company where both companies are, at the (iii) (iv) (ivb) (v) (2) 2274 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 1 (vii) (ix) (x) (xi) time of payment, members of the same group of companies; or interest payable by a taxpayer in accordance with Part 7 of the Tax Administration Act 1994: interest paid to an intermediary by a client of the intermediary in the operation of a tax pooling account: interest paid under section MBA 5(5) to an inter- mediary by the Commissioner: interest payable on overpaid tax in accordance with section 120D of the Tax Administration Act 1994: (b) dividends, not being— (i) (ii) (iii) (iv) (v) (vi) dividends that are exempt income by virtue of the application of any of sections CW 9 to CW 11; or any amount that is deemed to be a dividend under section GD 3 or GD 5 or the proviso to section HF 1(5); or attributed repatriation; or dividends derived by a person who holds a valid certiﬁcate of exemption; or dividends that constitute non-resident withhold- ing income; or dividends, other than dividends derived from New Zealand, derived by a person not resident in New Zealand; or (vii) dividends paid by a company and derived by an- other company where both companies are, at the time of payment, members of the same group of companies; or (viii) dividends that are exempt income under section (ix) (x) CW 50; or dividends that are exempt income by virtue of the application of section CW 22B; or dividends
 that are excluded income by virtue of the application of section CX 44D (Portfolio in- vestor allocated income and distributions of in- come by portfolio tax rate entities): 2275 Part N s NF 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (xi) dividends that are excluded income by virtue of the application of section CX 42B or would be excluded income under that section in the ab- sence of section CX 42B(2)(a) and (b): [Repealed] (xii) taxable Maori authority distributions not being retire- ment scheme contributions: a replacement payment, paid to a person under a share- lending arrangement: (c) (d) provided that, for the purposes of each of the subparagraphs of paragraphs (a) to (d), where any amount is derived by a person (in this proviso referred to as the trustee) in that person’s cap- acity as trustee for any other person or persons and that amount is beneﬁciary income, that amount is deemed not to be derived by the trustee.
For the purposes of the RWT rules, dividends paid by any building society to its members in relation to withdrawable shares in that building society are deemed to be interest and not dividends.

For the purposes of the RWT rules, dividends paid by any friendly society in relation to shares in that friendly society to its members are deemed to be interest and not dividends.
Compare: 1994 No 164 s NF 1 Subsection (2)(a)(ivb) was inserted, as from 1 October 2005, by section 147(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.

Subsection (2)(a)(xi) was inserted, as from 1 April 2005, by section 258(1) Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Subsection (2)(b)(viii) was amended, as from 1 October 2005, by section 147(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “CW 50; or” for “CW 50:” with application as from the 2005–06 income year.

Section NF 1(2)(b)(ix): amended, on 1 October 2007, by section 147(3) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Subsection (2)(b)(ix) was inserted, as from 1 October 2005, by section 147(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.

(3) (3A) (4) (5) 2276 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2 Section NF 1(2)(b)(x): added, on 1 October 2007, by section 147(3) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Section NF 1(2)(b)(xi): added (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 179(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section NF 1(2)(b)(xii): repealed (with effect on 1 October 2007), on 6 October 2009, by section 842 of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section NF 1(2)(b)(xii): added (with effect from 1 October 2007), on 19 Decem- ber 2007, by section 179(2) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section NF 1(2)(c): substituted (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 179(3) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Subsection (2)(d) was inserted, as from 1 July 2006, by section 179(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Subsection (2) proviso was amended, as from 1 July 2006, by section 179(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “paragraphs (a) to (d)” for the words “paragraphs (a), (b) and (c)”.
Subsection (3) was repealed, as from 1 April 2005, by section 258(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (3A) was repealed, as from 1 April 2005, by section 258(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Liability to pay resident withholding tax This heading was substituted, as from 1 October 2005, by section 81(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.

The heading previously read “Deduction of resident withholding tax”.
NF 2 Liability to pay resident withholding tax (1A) A person is liable to pay to the Commissioner, in relation to a payment that is or includes resident withholding income, a tax (called resident withholding tax) of an amount given by subsection (1) or (1B) if— (a) the person makes the payment and is required to make a deduction of resident withholding tax from the pay- ment: the person is an RWT proxy for the payer of the resident withholding income, the recipient of the resident with- holding income, and the resident withholding income.
(b) 2277 Part N s NF 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (1) (1AB) A person who makes a payment that is or includes resident withholding income must deduct resident withholding tax from the payment if the person is not excluded by the rest of this section from liability to make the deduction.
If a person makes a payment that is or includes resident with- holding income and is required to deduct resident withholding tax from the payment, the person must make a deduction— (a) to the extent to which that payment consists of interest, of an amount calculated in accordance with the follow- ing formula: (a x (b + c)) – c where— a is the appropriate rate of resident withhold- ing tax, expressed as a percentage, speciﬁed in schedule 14, clause 1 or 1C b c is the amount of interest paid (before the deduc- tion of resident withholding tax) is the amount of foreign withholding tax paid or payable in respect of that amount of interest paid; and (b) to the extent to which that payment consists of dividends (not being non-cash dividends), of an amount calculated in accordance with the following formula: (a x (b + c)) – c where— a is the rate of resident withholding tax, expressed as a percentage, speciﬁed in schedule 14, clause 2 b c is the amount of dividend paid (before the de- duction of resident withholding tax) is the total of the following amounts: (i) (ii) if the dividend is paid in relation to shares issued by an imputation credit account company, the amount of any imputation credit attached to the dividend: if the dividend is paid in relation to shares issued by a company not resident in New Zealand, the amount of foreign withhold- 2278 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2 (iii) ing tax paid or payable in respect of the amount of the dividend: if the dividend is paid in relation to shares issued by a company resident in New Zealand, the amount of any dividend with- holding payment credit attached to the dividend; and (c) to the extent to which the payment consists of non-cash dividends other than a bonus issue in lieu, of an amount calculated in accordance with the following formula: where— a is the rate of resident withholding tax, expressed as a percentage, speciﬁed in schedule 14, clause 2 b c is the amount of the dividend paid (disregarding any deduction of resident
 withholding tax) is the total of the following amounts: (i) (ii) (iii) if the dividend is paid in relation to shares issued by an imputation credit account company, the amount of any imputation credit attached to the dividend: if the dividend is paid in relation to shares issued by a company not resident in New Zealand, the amount of foreign withhold- ing tax paid or payable in respect of the amount of the dividend: if the dividend is paid in relation to shares issued by a company resident in New Zealand, the amount of any dividend with- holding payment credit attached to the dividend; and (d) to the extent to which that payment consists of dividends being a bonus issue in lieu, the amount calculated in accordance with the following formula: (a x (b + c)) – c 2279 Part N s NF 2 Income Tax Act 2004 Reprinted as at 29 August 2011 where— a is the rate of resident withholding tax, expressed as a percentage, speciﬁed in schedule 14, clause 2 b c is the amount of the money or money’s worth offered as an alternative to the bonus issue (be- fore the deduction of resident withholding tax) is the total of the following amounts: (i) (ii) (iii) if the dividend is paid in relation to shares issued by an imputation credit account company, the amount of any imputation credit attached to the dividend: if the dividend is paid in relation to shares issued by a company not resident in New Zealand, the amount of foreign withhold- ing tax paid or payable in respect of the amount of the dividend: if the dividend is paid in relation to shares issued by a company resident in New Zealand, the amount of any dividend with- holding payment credit attached to the dividend; and (e) to the extent that the payment is a taxable Maori author- ity distribution in the form of a sum of money or a credit of an amount of money to the balance of an account with the Maori authority, of an amount calculated according to the formula— (a x (b + c)) – c where— a is the rate of resident withholding tax, expressed
 as a percentage, speciﬁed in schedule 14, clause 3 b c is the amount of the distribution (before the de- duction of resident withholding tax) is the amount of the Maori authority credit at- tached to the distribution; and (f) to the extent that the payment is a taxable Maori author- ity distribution to which paragraph (e) does not apply, of an amount calculated according to the formula— 2280 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2 where— a is the rate of resident withholding tax, expressed as a percentage, speciﬁed in schedule 14, clause 3 b c is the amount of the distribution (disregarding any deduction of resident withholding tax) c is the amount of the Maori authority credit attached to the distribution: provided that in no case may the amount of resident withholding tax to be deducted be less than zero; and (g) to the extent that the payment is a replacement payment paid to a person under a share-lending arrangement, of an amount calculated according to the formula— where a b c d is the rate of resident withholding tax, expressed as a percentage, speciﬁed in schedule 14, clause 2: is the amount of the replacement payment, not including imputation credits attached under sec- tion ME 6B: is the amount of imputation credits attached to the replacement payment under section ME 6B: is the amount of imputation credits shown in a credit transfer notice that relates to the replace- ment payment: e is the amount of dividend withholding payment credit shown in a credit transfer notice that relates to the replacement payment.
(1B) A person who is an RWT proxy for a payer of resident with- holding income and a payment of resident withholding income in the form of a dividend must pay to the Commissioner the amount of resident withholding tax given by the following for- mula: 2281 Part N s NF 2 Income Tax Act 2004 Reprinted as at 29 August 2011 where— a is the appropriate rate of resident withholding tax, ex- pressed as a percentage, speciﬁed in schedule 14, clause 1: is the amount paid to the recipient of the dividend.
b (2) Where any company in any month pays in respect of its shares resident withholding income, being dividends that are non- cash dividends from which resident withholding income that company is required, in accordance with the RWT rules, to deduct resident withholding tax, that company may not make any deduction of resident withholding tax from the dividends in accordance with subsection (1), but is liable to pay to the Commissioner an amount (which is treated as a deduction of resident withholding tax made from those dividends for the purposes of this Act and the Tax Administration Act 1994) equal to the resident withholding tax that, but for this subsec- tion, would have been required to be deducted and to pay that amount in the same manner in all respects as if it were the resi- dent withholding tax that, but for this subsection, would have been required to be deducted.
If a Maori authority pays resident withholding income, being taxable distributions of property, from which the Maori author- ity is required to deduct resident withholding tax, the Maori authority— (a) must not deduct resident withholding tax from the dis- tribution in accordance with subsection (1); and is liable to pay an amount that would be equal to the resident withholding tax that, but for this subsection, would have had to have been deducted, as if the amount were resident withholding tax.
(2A) (b) (2B) For the purposes of this Act and the Tax Administration Act 1994, an amount paid in accordance with subsection (2A) is treated as a deduction of resident withholding tax from the distribution.
(3) Where any resident withholding tax deduction is required to be made by any person (in this subsection called the ﬁrst person) in accordance with the RWT rules in relation to any payment 2282 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2 of resident withholding income, which resident withholding income is in a currency other than New Zealand currency, that resident withholding tax deduction may be made in that for- eign currency and, if so,— (a) for the purposes of this Act, in calculating in relation to the person deriving the resident withholding income (in this subsection called the second person) the amount of resident withholding tax deduction to be credited against income tax assessed or treated as a dividend withholding payment in accordance with the RWT rules, the resident withholding tax deduction must be converted into New Zealand currency at the option of the second person either at— (i) the close of trading spot exchange rate on the day on which the resident withholding tax deduction was made; or such exchange rate as the Commissioner may specify for this purpose in relation to the month in which the resident withholding tax deduction was made; and (ii) (b) for the purposes of this Act and the Tax Administration Act 1994, in calculating in relation to the ﬁrst person the amount of resident withholding tax deduction required to be paid to the Commissioner, the amount of resident withholding tax deduction made by the ﬁrst person is converted into New Zealand currency at— (i) the close of trading spot exchange rate on the ﬁrst working day of the month succeeding the month in which the resident withholding tax deduction is made, unless subparagraph (ii) applies; or the conversion rate applicable under section ME 1B to the resident withholding income, if the resi- dent withholding income is a dividend and the ﬁrst person is an Australian imputation credit ac- count company that chooses to use the rate re- ferred to in that section.
(ii) (4) A person is liable to deduct resident withholding tax from any payment of resident withholding income only if— (a) that person is, at the time of the payment, either— 2283 Part N s NF 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) resident in New Zealand for the purposes of this Act; or not resident in New Zealand for the purposes of this Act but— (A) carrying on a taxable activity in New Zealand through a ﬁxed establishment in New Zealand; and not prevented by subsection (4B) from sat- isfying this paragraph; and (B) (b) [Repealed] either— (i) that person holds at the time of payment a valid certiﬁcate of exemption issued to that person; or that payment is made wholly or partly in the course of or furtherance of a taxable activity, whether that person is acting in the capacity of agent or trustee for any other person or persons, or otherwise; or that payment is a payment by a company of divi- dends in relation to shares issued by that com- pany; or that payment is a taxable Maori authority distri- bution; or that payment is a replacement payment paid under a share-lending arrangement.
(ii) (iii) (iv) (v) (4B) A person (payer) who is not resident in New Zealand for the purposes of this Act and is carrying on a taxable activity in New Zealand through a ﬁxed establishment in New Zealand is treated as not satisfying subsection (4)(a) in relation to a payment if,— (a) in the case of a payment of interest or of dividends payable in respect of shares issued by another person, the payer satisﬁes the Commissioner that— (i) the payment is attributable to or effectively con- nected with a ﬁxed establishment of the payer outside New Zealand; and the amounts payable in relation to the money lent or shares to which the payment relates are (ii) 2284 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2 payable in a currency other than New Zealand currency: (b) in the case of a payment of dividends payable in re- spect of shares issued by the payer, the payer satisﬁes the Commissioner that the payer is not required by gen- erally accepted accounting practice to express its ﬁnan- cial statements in New Zealand currency.
(5) Notwithstanding subsection (4)(b), any person who makes a payment of resident withholding income, being interest, and— (a) is either— (i) (ii) a person who does not hold at the time of pay- ment a valid certiﬁcate of exemption; or a person who holds at the time of payment a cer- tiﬁcate of exemption issued in accordance with section NF 9(1)(i) or (j) or (12); and (b) (c) has made payments of resident withholding income, be- ing interest, totalling less than $5,000 in the tax year im- mediately preceding the tax year during which the time of payment falls; and is a person who, but for the application of this subsec- tion, would be liable to deduct resident withholding tax from that payment,— is liable to deduct resident withholding tax from that payment only if that payment exceeds (when aggregated with earlier payments of resident withholding income, being interest, paid by that person in the tax year in which the time of payment falls) a total of $5,000.
(6) Where any person (in this subsection referred to as the ﬁrst per- son) makes or receives a payment which consists in whole or in part of resident withholding income and resident withhold- ing tax has already been deducted by any person in accordance with the RWT rules from that resident withholding income, the ﬁrst person is not required to deduct resident withholding tax from the payment to the extent to which resident withholding tax has already been deducted.
(7) Where any person (in this subsection referred to as the ﬁrst person) in relation to any other person (in this subsection re- ferred to as the second person)— (a) makes a payment to the second person; or 2285 Part N s NF 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) receives a payment as agent or bare trustee for that sec- ond person,— for the purpose only of determining the ﬁrst person’s liabil- ity to make a deduction of resident withholding tax from that payment in accordance with the RWT rules, that payment is deemed not to constitute resident withholding income if, in the case of a payment of interest or dividends or a taxable Maori authority distribution,— (c) either— (i) the ﬁrst person has taken reasonable steps to con- ﬁrm that the second person is a person to whom at the time of payment any of section NF 9(1)(a) to (d) applies; or except in any case where the second person is a person to whom either section NF 9(1)(i) or (j) applies or a person holding a certiﬁcate of exemp- tion issued in accordance with section NF 9(12), the ﬁrst person has been provided with the second person’s tax ﬁle number and has been notiﬁed by the second person that the second person holds a certiﬁcate of exemption; or the ﬁrst person has sighted a certiﬁcate of exemp- tion issued to the second person and has taken reasonable steps to conﬁrm that the second per- son is the person named in that certiﬁcate; and (ii) (iii) (d) (e) there has been no notice of cancellation of a certiﬁcate of exemption held by the second person published in any issue of the Gazette, in the case of a payment of in- terest, more than 5 working days before the time when the money was lent or, in the case of a payment of divi- dends or a taxable Maori authority distribution, more than 5 working days before the day on which the pay- ment is made or, if such notice of cancellation has been so published, either the ﬁrst person has sighted a cer- tiﬁcate of exemption issued, on a date subsequent to the date of the issue of the Gazette including
 the notice of cancellation, to the second person; and in the case of a payment of interest, no notice of cancel- lation of a certiﬁcate of exemption held by the second 2286 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2 person has been published in any issue of the Gazette more than 5 working days before the day on which the payment is made or, if such notice of cancellation has been so published, either— (i) there has been published in any issue of the Gazette subsequent to the publication of the notice of cancellation and more than 5 working days before the day on which payment is made, notice of issue of a further certiﬁcate of exemp- tion to the second person; or the ﬁrst person has sighted a certiﬁcate of exemp- tion issued, on a date subsequent to the date of the issue of the Gazette including the notice of can- cellation, to the second person; and (ii) (f) (g) (h) the ﬁrst person has not been advised by the Commis- sioner or the second person of cancellation of a cer- tiﬁcate of exemption issued to the second person more than 5 working days before the day on which payment is made or, if the ﬁrst person has been so advised, either— there has been published in any issue of the (i) Gazette, subsequent to the date of that advice being received and more than 5 working days before the day on which payment is made, notice of issue of a further certiﬁcate of exemption to the second person; or the ﬁrst person has sighted a certiﬁcate of exemp- tion issued, on a date subsequent to the date of that advice being received, to the second person; and (ii) the ﬁrst person does not have any other grounds for be- lieving that the second person is a person not eligible to be issued with a certiﬁcate of exemption; and in any case where the second person is a person to whom any of section NF 9(1)(a) to (c) applies and the payment is not interest, dividends, or a taxable Maori author- ity distribution derived by the second person as trustee holding an asset on
 behalf of some third person, the ﬁrst person does not have any grounds for believing that the interest, dividends, or taxable Maori authority distribu- 2287 Part N s NF 2 Income Tax Act 2004 Reprinted as at 29 August 2011 tion is income derived by any person other than the sec- ond person.
(7B) A person (the ﬁrst person) who receives as agent or bare trustee for another person (the second person) a payment that is or includes resident withholding income is not liable to make a deduction of resident withholding tax from the payment if— the ﬁrst person receives notice from the second person (a) that— (i) (ii) the second person is a transitional resident for a period (the transitional period); and payments during the transitional period from a source or sources (the speciﬁed sources) are ex- empt income of the second person under section CW 22B (Certain income derived by transitional resident); and (b) (c) (d) the ﬁrst person receives the payment during the transi- tional period; and the payment is from a speciﬁed source; and the ﬁrst person does not have reasonable grounds for believing that the payment is not exempt income of the second person under section CW 22B.
(8) Where any person (in this subsection referred to as the ﬁrst person), being a person to whom any of section NF 9(1)(a) to (c) applies, in relation to any other person (in this subsection referred to as the second person),— (a) receives a payment from that second person; or (b) makes a payment at the request of that second person,— for the purpose only of determining the ﬁrst person’s liability to make a deduction of resident withholding tax from that pay- ment in accordance with the RWT rules and without affecting the liability of the second person or any other person to make a deduction of resident withholding tax from that payment in accordance with the RWT rules, that payment is deemed not to constitute resident withholding income if and to the extent that— (c) the ﬁrst person could not reasonably be expected to be aware that the payment constituted resident withholding income; or 2288 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2 (d) in any case of a payment to the extent to which it is a redemption payment, the ﬁrst person could not reason- ably be expected to be aware of the extent to which the payment constituted resident withholding income.
Compare: 1994 No 164 s NF 2 The heading to section NF 2 was substituted, as from 1 October 2005, by sec- tion 81(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year with applica- tion as from the 2005–06 income year.

Subsections (1A) and (1AB) were inserted, as from 1 October 2005, by sec- tion 81(3) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
Subsection (1) was amended, as from 1 October 2005, by section 81(4) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting the words “If a person makes a payment that is or includes resident withholding income and is required to deduct resident withholding tax from the payment, the person must make a deduction—” for the words “Subject to this section, where a person makes a payment which consists in whole or in part of resident withholding income, that person must, at the time of making the payment, make a deduction of tax (in this Act referred to as resident withhold- ing tax) from the resident withholding income—” with application as from the 2005–06 income year.
Subsection (1)(b) item c was substituted by section 180(1) Taxation (Depreci- ation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Subsection (1)(c) item c was substituted, as from 1 April 2005, by section 180(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Subsection (1)(d) item c was substituted, as from 1 April 2005, by section 180(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Subsection (1)(f) was amended, as from 3 April 2006, by section 180(4) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Pro- visions) Act 2006 (2006 No 3) by substituting the words “zero; and” for the expression “zero.”.
Subsection (1)(g) was inserted, as from 3 April 2006, by section 180(4) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Subsection (1B) was inserted, as from 1 October 2005, by section 81(5) Taxa- tion (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
Subsection (4)(a) proviso was repealed, as from 3 April 2006, by section 180(5) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Subsection (4)(a)(ii) was substituted, as from 3 April 2006, by section 180(5) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
2289 Part N s NF 2AA Income Tax Act 2004 Reprinted as at 29 August 2011 Subsection (4)(b)(iv) was amended, as from 1 July 2006, by section 180(6) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Pro- visions) Act 2006 (2006 No 3) by substituting the words “distribution; or” for the expression “distribution.”.
Subsection (4)(b)(v) was inserted, as from 1 July 2006, by section 180(6) Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3).

Subsection (4B) was inserted, as from 1 April 2007, by section 180(7) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Subsection (7B) was inserted, as from 1 October 2005, by section 148(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
NF 2AA Election to be RWT proxy (1) A person is an RWT proxy for a payer of resident withholding income and a payment that is or includes the resident withhold- ing income if— (a) the person gives to the Commissioner a notice of elec- tion under subsection (2); and the payer is a unit trust who is a non-resident; and the recipient is a natural person or a trustee of a quali- fying trust; and the recipient has requested the person to act as an RWT proxy in relation to the payer and the resident withhold- ing income; and the person has agreed to act as an RWT proxy in relation to the recipient; and the resident withholding income is a dividend; and the payment is made while the election in the notice is effective.
(b) (c) (d) (db) (e) (f) (2) A notice of election must be in writing and contain— (a) (b) (c) an election by the person to be an RWT proxy for divi- dends distributed by the payer; and the name and postal address of the payer; and the date from which the election is effective.
(3) An election by a person to be an RWT proxy is effective from the date nominated in the notice of election until the later of the following: 2290 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2A (a) (b) the date nominated in a written notice of cancellation of the election that the Commissioner receives from the person: the date on which the Commissioner receives from the person a written notice of cancellation of the election.
Section NF 2AA was inserted, as from 1 October 2005, by section 82 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
NF 2A Election to apply higher rate of deduction (1) A person entitled to receive a payment to which section NF 2(1), other than section NF 2(1)(g) or (1B) relates may elect, in the manner required by the payer or RWT proxy, that the payment be subject to resident withholding tax at a rate speci- ﬁed in schedule 14, clause 1(a), (b), or (c).

(2) An election under subsection (1) may be made for each source of payment that is subject to resident withholding tax on or after 1 April 1999.
(3) A notice of election under this section applies to each deduc- tion or payment under section NF 2(1B) of resident withhold- ing tax required to be made on or after the date on which the notice is furnished to the person required to make the deduc- tion or payment.

Compare: 1994 No 164 s NF 2A Subsection (1) was substituted, as from 1 October 2005, by section 83(1) Taxa- tion (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
Subsection (1) was amended, as from 1 July 2006, by section 181 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “section NF 2(1), other than section NF 2(1)(g),” for the words “section NF 2(1)”.
Subsection (3) was amended, as from 1 October 2005, by section 83(2)(a) Taxa- tion (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting the words “each deduction or payment under section NF 2(1B)” for the words “each deduction” with application as from the 2005–06 income year.
Subsection (3) was amended, as from 1 October 2005, by section 83(2)(b) Taxa- tion (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting the words “the deduction or payment” for the words “the de- duction” with application as from the 2005–06 income year.
2291 Part N s NF 2B Income Tax Act 2004 Reprinted as at 29 August 2011 NF 2B Companies to notify interest payer (1) A company, other than a company that is a trustee or a Maori authority, that becomes entitled to receive a payment to which section NF 2(1), other than section NF 2(1)(g), applies on or after 1 April 2001, must notify the interest payer that they are a company on becoming entitled to receive the payment.
(2) An interest payer who receives a notice from a company must deduct resident withholding tax at the appropriate rate speci- ﬁed in schedule 14, clause 1C, from payments made on and after the date on which the notice is received.

(3) An interest payer who does not receive a notice from a com- pany must treat the company as a person to whom section NF 2A applies.
Compare: 1994 No 164 s NF 2B Subsection (1) was amended, as from 1 July 2006, by section 182 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “section NF 2(1), other than section NF 2(1)(g),” for the words “section NF 2(1)”.
NF 2C Transitional rule: notiﬁcations by companies between 1 April 2001 and 31 May 2001 (both dates inclusive) (1) A company, other than a company that is a trustee, that has an entitlement on 31 March 2001 to receive a payment to which section NF 2(1) applies, must notify the interest payer, be- tween 1 April 2001 and 31 May 2001 (both dates inclusive), that they are a company to which this section applies.
(2) An interest payer who receives a notice from a company during the period 1 April 2001 to 31 May 2001 (both dates inclusive) must deduct resident withholding tax at the appropriate rate speciﬁed in schedule 14, clause 1C, from payments made on and after the end of 1 month after the date on which the notice is received.
(3) Despite the 1 month time period in subsection (2), an interest payer may make deductions of resident withholding tax at the rates speciﬁed in schedule 14, clause 1 or 1C, from payments made during the period starting on the date on which the notice is received and ending on the last day of the 1 month period.
Compare: 1994 No 164 s NF 2C 2292 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 2E NF 2D Election rates of deduction for companies (1) A company entitled to receive a payment to which section NF 2(1), other than section NF 2(1)(g), applies may elect, in the manner prescribed by the interest payer, to make the payment subject to the deduction of resident withholding tax at the rate speciﬁed in schedule 14, clause 1C(a) or (b).
(2) An election may be made for each source of payment that is subject to resident withholding tax on or after 1 April 2001.

(3) A notice of election applies to each deduction of resident with- holding tax required to be made on or after the date on which notice is given to the interest payer.
Compare: 1994 No 164 s NF 2D Subsection (1) was amended, as from 1 July 2006, by section 183 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “section NF 2(1), other than section NF 2(1)(g),” for the words “section NF 2(1)”.
NF 2E Amounts withheld from distributions to holders of FIF (1) (2) (3) (4) attributing interests This section applies when— (a) (b) (c) (b) a distribution is made to a holder of an attributing inter- est in a FIF; and section CD 26 or EX 47(2) applies to the distribution; and an amount is deducted from the distribution because the payer has treated the distribution as resident withhold- ing income subject to the RWT rules.
The amount deducted is treated as— (a) RWT for the purposes of this subpart and subpart MD and section LD 3; and tax paid in excess for the purposes of Part 10B of the Tax Administration Act 1994.

The distribution is treated as resident withholding income for the purposes of the provisions listed in subsection (2).
Subsection (2) does not apply if the person making the distri- bution or the holder of the interest applies under section NF 7 for a refund in relation to the amount withheld before the next 31 March after the date on which the amount of tax was with- held.

2293 Part N s NF 3 Income Tax Act 2004 Reprinted as at 29 August 2011 Section NF 2E: inserted (with effect on 1 April 2005), on 7 December 2009, by section 161(1) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
NF 3 Requirements for agents or trustees to make resident withholding tax deductions on receipt of payments (1) Where— (a) (b) (c) (d) a payment which consists in whole or in part of resident withholding income has been made; and the recipient of the payment either— (i) holds at the time of that payment a valid certiﬁ- cate of exemption issued to the recipient; or receives that payment wholly or partly in the course of or furtherance of a taxable activity car- ried on by that recipient; and (ii) resident withholding tax was not deducted from that payment or was not deducted in full in accordance with the RWT rules; and the recipient of that payment is, in relation to that pay- ment, an agent or a trustee for another person or per- sons,— the recipient of that payment must (subject to this section and section NF 2, with the exception of section NF 2(4)(b)) at the time of receiving that payment make a deduction from that payment of the amount of the resident withholding tax or, as the case may be, the amount of the deﬁciency in that tax, and must pay to the Commissioner the amount of that deduction no later than the 20th of the month following the month in which the payment is received.
Subsection (1) does not apply to require a recipient of a pay- ment of resident withholding income to make a deduction of resident withholding tax if— the recipient— (a) (i) holds at the time of payment a valid certiﬁcate of exemption; and receives the payment as trustee of a trust that is not a bare trust: (ii) (b) the payment is a replacement payment under a share- lending arrangement.
(2) 2294 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 4 (3) Where any person is required in accordance with this section to make a deduction of resident withholding tax from a divi- dend (not being a speciﬁed dividend), that resident withhold- ing tax deduction is for the purposes of the RWT rules (in- cluding in particular but without limiting the generality of sec- tions LD 3, NF 6, and NF 8, and sections 25 and 51 of the Tax Administration Act 1994) treated as being a resident withhold- ing tax deduction made in respect of a speciﬁed dividend.
(4) Where any person is required in accordance with this section to make a deduction of resident withholding tax from resident withholding income, being dividends which are non-cash divi- dends, that person may not make a deduction of resident with- holding tax from that resident withholding income but is liable to pay to the Commissioner an amount (which is treated as a deduction of resident withholding tax for the purposes of this Act and the Tax Administration Act 1994) equal to the resident withholding tax that, but for this subsection, would have been required to be deducted, and to pay that amount in the same manner in all respects as if it were the resident withholding tax that, but for this subsection, would have been required to be deducted.
Subject to section NF 2(6), the provisions of this section do not restrict the application of section NF 2 to require any person to make a deduction of resident withholding tax when making a payment, whether acting in the capacity of agent or trustee for another person or persons or otherwise.

Compare: 1994 No 164 s NF 3 (5) Subsection (2) was substituted, as from 1 July 2006, by section 184 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Payment of resident withholding tax NF 4 Payment of deductions of resident withholding tax to Commissioner (1) All persons who estimate in relation to any tax year that they will be required by the RWT rules to make resident withhold- ing tax deductions of $500 or more in aggregate in relation to payments of interest during each month of that tax year must pay to the Commissioner the amount of all resident withhold- 2295 Part N s NF 4 Income Tax Act 2004 Reprinted as at 29 August 2011 (2) (b) ing tax deductions made during that tax year in accordance with the RWT rules on a monthly basis, with the deductions made during any month being paid to the Commissioner no later than the 20th of the following month.
Subject to subsections (3) and (5) to (8), all persons who esti- mate in relation to any tax year that they will not be required by the RWT rules to make resident withholding tax deductions of more than $500 in aggregate in accordance with the RWT rules in relation to payments of interest during each month of that tax year must pay to the Commissioner the amount of all resident withholding tax deductions made during that tax year in accordance with the RWT rules in 2 instalments as follows: the ﬁrst instalment is due and payable on 20 October in (a) that tax year, and on that date all resident withholding tax deductions made in relation to payments of interest made during the period beginning on 1 April in that tax year and ending on 30 September in that year must be paid to the Commissioner; and the second instalment is due and payable on 20 April in the following tax year, and on that date all resident with- holding tax deductions made in relation to payments of interest made during the period beginning on 1 October in that tax year and ending on 31 March in that follow- ing tax year must be paid to the Commissioner.
If, as at the end of any month (in this subsection referred to as the speciﬁed month) in any tax year, any person has made resident withholding tax deductions, in relation to payments of interest, of more than $500 in aggregate since the begin- ning of the last month (in this subsection referred to as the month of prior payment) during which that person was re- quired in accordance with this section to pay to the Commis- sioner an amount of resident withholding tax deductions made in relation to payments of interest, that person must pay to the Commissioner all resident withholding tax deductions made in relation to payments of interest since the beginning of the month of prior payment until the end of the speciﬁed month no later than the 20th of the month following the speciﬁed month.
(4) All persons who make resident withholding tax deductions in accordance with the RWT rules in relation to payments of (3) 2296 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 4 dividends, replacement payments, or taxable Maori author- ity distributions must pay all such deductions to the Commis- sioner on a monthly basis, with the deductions made during any month being paid to the Commissioner no later than the 20th of the following month.
(5) Where any person (not being a person who continues to hold a valid certiﬁcate of exemption issued to that person, notwith- standing the cessation in carrying on a taxable activity) in any month— (a) ceases to carry on any taxable activity in respect of which that person has been required to make any resi- dent withholding tax deductions; or ceases to carry on any such taxable activity in New Zealand,— (b) that person must pay to the Commissioner all resident with- holding tax deductions made by that person with respect to that taxable activity and not earlier paid to the Commissioner no later than the 20th of the following month.
(6) Where any person in any month ceases to be a person holding a valid certiﬁcate of exemption issued to that person (not being a person who continues to be required to make resident with- holding tax deductions by virtue of making payments in the course of or furtherance of a taxable activity notwithstanding that cessation in holding a valid certiﬁcate of exemption), that person must pay to the Commissioner all resident withholding tax deductions made by that person and not earlier paid to the Commissioner no later than the 20th of the following month.
(6B) An emigrating company who is treated under section FCB 2 as paying a distribution to shareholders must, on or before the date that is 3 months after the date of the emigration time, pay to the Commissioner all resident withholding tax deductions made by the company from the distribution.
Every person who is required by section 51(1), (4), or (5) of the Tax Administration Act 1994 to provide information to the Commissioner in respect of deductions or payments of resi- dent withholding tax, that are made or should be made from resident withholding income paid or derived in a tax year or part year, must pay to the Commissioner, not later than— (7) 2297 Part N s NF 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (8) (9) (a) (b) 20 April following the end of the tax year (in the case of information provided under section 51(1) of that Act); and the last date by which the information is to be provided (in the case of information provided under section 51(4) or (5) of that Act),— an amount equal to all unpaid deductions and payments for the tax year or part year that are identiﬁed as discrepancies in the information.
Subsection (7) does not apply to any unpaid deductions or payments of resident withholding tax that the Commissioner assesses as due and payable in respect of a particular return period.

For the purposes of this section, an RWT proxy who is required to pay resident withholding tax in relation to a payment of resident withholding income is treated as having deducted the resident withholding tax from the payment at the time of the payment.
Compare: 1994 No 164 s NF 4 Subsection (4) was amended, as from 1 July 2006, by section 185(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “dividends, replacement pay- ments,” for the word “dividends”.
Subsection (6B) was inserted, as from 3 April 2006, by section 185(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
Subsection (6B) was amended, as from 3 April 2006, by section 149(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “date of the emigration time” for “emigration date” with application as from the 2005–06 income year.

Subsection (9) was inserted, as from 1 October 2005, by section 84 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
NF 5 Non-resident withholding tax deducted in substitution for resident withholding tax (1) No person is liable to pay any amount to the Commissioner by virtue of any of the provisions of the RWT rules where, in relation to any payment or (in any case where that person is acting as agent or trustee for another person) receipt, that person— 2298 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 6 (a) (b) on reasonable grounds and having made all reasonable inquiries, concluded that that payment or receipt con- stituted non-resident withholding income as being an amount derived by a person not resident in New Zealand and was for that reason not resident withholding in- come; and complied with all the obligations on the part of that per- son which would have been applicable under this Act or the Tax Administration Act 1994 had that payment or receipt constituted non-resident withholding income.
(2) Where any person has, by virtue of the application of this sec- tion, been relieved from liability under the RWT rules, for the purpose only of determining any liability of that person under the RWT rules, the payment or (in any case where that person is acting in relation to that receipt as agent or trustee for any other person) receipt in question is deemed to be derived by a person not resident in New Zealand.
Compare: 1994 No 164 s NF 5 Miscellaneous provisions NF 6 Resident withholding tax deductions varied to correct errors interest; or speciﬁed dividends— (1) Where any person (in this subsection referred to as the ﬁrst person) required to make a deduction of resident withholding tax from any payment of— (a) (b) to any person (in this subsection referred to as the second per- son) has failed to make such a deduction or has failed to make it in full, the ﬁrst person may (except to the extent to which a deduction of resident withholding tax has already been made by any other person to correct the deﬁciency) either— (c) deduct a sufﬁcient amount or amounts to correct the de- ﬁciency from any subsequent payment of such interest or dividends to the second person in the same year in which the ﬁrst payment was made; or otherwise recover from the second person a sufﬁcient amount or amounts to correct the deﬁciency.
(d) 2299 Part N s NF 6 Income Tax Act 2004 Reprinted as at 29 August 2011 (2) Where a person deducts from any payment an amount on account of resident withholding tax that is in excess of the amount of resident withholding tax required to be deducted under the RWT rules due to an error on the part of that person, the person may pay the excess to the recipient of the payment at any time on or before 31 March in the tax year in which the deduction was made if, at that time,— (a) in the case of an excess deduction from a payment of interest or speciﬁed dividends, either— (i) a resident withholding tax deduction certiﬁcate including that excess deduction has not been is- sued; or any resident withholding tax deduction certiﬁcate including that excess deduction has been returned and cancelled: (ii) (b) (c) in the case of an excess deduction from a payment of dividends other than speciﬁed dividends, either— (i) a shareholder dividend statement including the excess deduction has not been issued for the pur- poses of section 29 of the Tax Administration Act 1994; or any such shareholder dividend statement includ- ing the excess deduction has been returned and cancelled: (ii) in the case of an excess deduction from a taxable Maori authority distribution, either— (i) a notice including the excess deduction has not been given to a member in accordance with sec- tion 31 of the Tax Administration Act 1994; or a notice including the excess deduction has been returned and cancelled.
(ii) (3) Where a person refunds an excess amount to a recipient in accordance with subsection (2),— (a) that excess amount ceases for the purposes of this Act and the Tax Administration Act 1994 to be a resident withholding tax deduction; and the person must, if any previously issued resident with- holding tax deduction certiﬁcate or shareholder divi- dend statement that includes the excess deduction has (b) 2300 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 7 (c) been returned and cancelled, give to the recipient an amended certiﬁcate or statement; and the person may, where the excess deduction has been paid to the Commissioner, either— (i) offset the amount of the refunded excess against any tax deductions subsequently payable to the Commissioner in accordance with section NF 4 (which offset must be noted in the statement re- quired by section 50 of the Tax Administration Act 1994); or apply for a refund of the excess under section NF 7.
(ii) (4) Where a person deducts from any payment on account of resi- dent withholding tax an amount in excess of the amount of resident withholding tax required to be deducted in accord- ance with the RWT rules due to an act or omission on the part of the recipient of that payment, the person must pay the full amount of the resident withholding tax deducted to the Com- missioner in accordance with section NF 4, and is, upon such payment, not liable to refund the amount of that excess to the recipient of that payment or any other person.
Compare: 1994 No 164 s NF 6 NF 7 Refunds of deductions (1) Where— (a) (b) (c) any deduction is made by any person in accordance with the procedure set out in the RWT rules; and the amount so deducted is paid to the Commissioner; and the amount so deducted exceeds the resident withhold- ing tax deduction (if any) required in accordance with the RWT rules,— the Commissioner must, subject to this section, pay by way of refund an amount equal to that excess.
(2) Any refund under subsection (1) must be paid to— (a) (b) the person deriving the amount from which the deduc- tion was made; or the person who made the excess deduction, if that per- son has, in accordance with section NF 6(2), paid the 2301 Part N s NF 8 Income Tax Act 2004 Reprinted as at 29 August 2011 excess to the person deriving the amount from which the deduction was made and has not offset that amount under section NF 6(3)(c).
(5) (4) (3) Any person who becomes entitled to a refund under this sec- tion may make an application for the refund in such form as may be approved by the Commissioner.

The Commissioner may not pay a refund under this section un- less the Commissioner receives such evidence as the Commis- sioner considers necessary that the requirements of subsection (1) (and, where appropriate, section NF 6(2)) have been met.
If, but for this subsection, a person would be entitled to an amount as a refund under this section, the Commissioner may apply the amount, in accordance with a request under section 173T of the Tax Administration Act 1994 or in the absence of such a request in such order or manner as the Commissioner may determine, in payment of— (a) (b) an amount that is payable by the person under this Act: an amount that is payable by the person under the Tax Administration Act 1994.
Compare: 1994 No 164 s NF 7 NF 8 Resident withholding tax deductions from dividends deemed to be dividend withholding payment credits (1) Where any resident withholding tax deduction is made by a company in accordance with the RWT rules from a dividend (not being a speciﬁed dividend) paid in relation to shares is- sued by that company, that deduction is deemed to be a divi- dend withholding payment credit attached to that dividend by the company and that company is deemed to be a dividend withholding payment account company for the purposes of the following provisions: (a) (b) sections LB 1 and LD 9: section 185 of the Tax Administration Act 1994.
(2) Where any resident withholding tax deduction is in any tax year made by a company in accordance with the RWT rules from a dividend (not being a speciﬁed dividend) in relation to shares issued by that company, that company must provide to the Commissioner such information as the Commissioner may 2302 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 8 require in relation to that deduction, and such information must be provided,— (a) in the case of any company required to furnish an annual dividend withholding payment account return, in that return: in the case of any company (not being a company to which in relation to that tax year paragraph (a) applies) required to furnish an annual imputation return, in that return.
(b) (3) Where any company pays in any tax year any dividend (not being a speciﬁed dividend) in relation to its shares from which dividend any resident withholding tax is deducted in accord- ance with the RWT rules, the company must at the time of paying that dividend complete such information in relation to that dividend as the Commissioner may require, and such in- formation must,— (a) (b) if the company is an imputation credit account company in that year, be included in the company dividend state- ment prepared in accordance with section 67 of the Tax Administration Act 1994; and in any other case, be included in such form as the Com- missioner may approve, containing also the informa- tion set out in section 67(a) to (c) and (f) of the Tax Administration Act 1994, and be furnished to the Com- missioner not later than the 31 May that follows the end of that tax year.
(4) In this section,— dividend withholding payment account return means an annual dividend withholding payment account return required to be furnished in accordance with section 71 of the Tax Administration Act 1994 imputation return means an annual imputation return re- quired to be furnished in accordance with section 69 of the Tax Administration Act 1994.
Compare: 1994 No 164 s NF 8 Section NF 8(1)(a): amended (with effect on 1 October 2007), on 6 October 2009, by section 843 of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

2303 Part N s NF 8A Income Tax Act 2004 Reprinted as at 29 August 2011 Section NF 8(1)(a): amended (with effect from 1 October 2007), on 19 Decem- ber 2007, by section 180(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
NF 8A Resident withholding tax deductions from distributions (1) (2) (3) treated as Maori authority credits If a Maori authority deducts resident withholding tax in ac- cordance with the RWT rules from a taxable Maori authority distribution, the deduction is treated as a Maori authority credit attached to the distribution by the Maori authority for the pur- poses of sections LB 1, LD 3A, and MK 7.
If a Maori authority deducts resident withholding tax in ac- cordance with the RWT rules from a taxable Maori authority distribution, the Maori authority must provide to the Commis- sioner such information as the Commissioner may require in relation to the deduction in the annual Maori authority credit account return.
If a Maori authority deducts resident withholding tax in ac- cordance with the RWT rules from a taxable Maori authority distribution in any year, the Maori authority must, at the time it makes the distribution, complete such information in rela- tion to the distribution as the Commissioner may require, and include it in the distribution statement prepared in accordance with section 68B of the Tax Administration Act 1994.
Compare: 1994 No 164 s NF 8B NF 8B Resident withholding tax deductions from replacement payments treated as imputation credits If a share user under a share-lending arrangement deducts resi- dent withholding tax in accordance with the RWT rules from a replacement payment, the deduction— (a) is treated for the share supplier as an imputation credit attached to the replacement payment in addition to any imputation credit that the share user attaches to the re- placement payment under section ME 6B; and does not give rise under section LD 3 to a credit of tax or refund for the share supplier.
(b) Section NF 8B was inserted, as from 1 July 2006, by section 186 Taxation (De- preciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
2304 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 9 NF 9 Certiﬁcates of exemption (1) Any of the following persons may apply to the Commissioner to be issued with a certiﬁcate of exemption: (a) (b) (c) (d) (e) any registered bank as deﬁned in section 2 of the Reserve Bank of New Zealand Act 1989: any building society: any portfolio investment entity: any of Public Trust or any company that would be a member of the same wholly-owned group of companies as Public Trust were Public Trust a company for the purposes of this Act or the Maori Trustee or a trustee company: any person whose principal form of business is— (i) the borrowing of money or accepting of deposits, whether on demand or for a ﬁxed term, or the receiving of credit or the selling of any credit instrument; and the lending of money or granting of credit or buy- ing or discounting of any credit instrument: (ii) or any person which is— (iii) is subject a nominee company that to prac- tice rules made by the Council of the New Zealand Law Society pursuant to section 96 of the Lawyers and Conveyancers Act 2006 and is operated by a barrister and solicitor or an incorporated law ﬁrm; or a broker’s nominee company to which the Securities Act (Contributory Mortgage) Regulations 1988 apply: (iv) (f) (g) any practitioner (within the meaning of the Lawyers and Conveyancers Act 2006) or incorporated ﬁrm (within the meaning of that Act) in relation to the operation of that practitioner’s or incorporated ﬁrm’s trust account, being a trust account maintained in accordance with section 112 of that Act: any person who has furnished all returns of income that that person is required to furnish under the Income Tax Act 1976, the Income Tax Act 1994, or the Tax Administration Act 1994 within the time period pre- 2305 Part N s NF 9 Income Tax Act 2004 Reprinted as at 29 August 2011 scribed in the relevant Act (or within such further time as the Commissioner has allowed), and who has for the tax year to which that person’s most recently furnished income tax
 return relates annual gross income in excess of $2,000,000: any person in any accounting year who has reasonable grounds for believing that the annual gross income of that person for the next accounting year of that person will exceed $2,000,000: any person who derives in any tax year amounts that are exempt income under any of sections CW 31(2) (and, for this purpose, the Reserve Bank of New Zealand is not a public authority), CW 32(2), and CW 33 to CW 44 and CW 50 in relation to the activities of that person in the capacity in which that person derived that exempt income: any person to whom section DV 8 applies and who would, but for that section, have net income, in that per- son’s most recently completed accounting year, of an amount less than the amount for the time being speci- ﬁed in that section.
(h) (i) (j) (2) Any application under subsection (1) must be made in writ- ing in the form prescribed by the Commissioner, and must state which paragraph of subsection (1) applies to the appli- cant (the requirements of the paragraph speciﬁed in the appli- cation being referred to in this section and in section NF 11 as the basis of exemption), and must be accompanied by a declar- ation made by the applicant or any duly authorised ofﬁcer of the applicant stating that the applicant comes within the basis of exemption.
(3) An applicant for a certiﬁcate of exemption must provide such further information as the Commissioner may require in rela- tion to the application, including any books of account or other accounting information or records of or relating to the appli- cant.
(4) Where the Commissioner has received an application under subsection (1), and any further information that may be re- quired under subsection (3) in relation to that application, and the Commissioner is satisﬁed that the applicant is a person to 2306 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 9 (b) whom subsection (1) applies, the Commissioner must issue a certiﬁcate of exemption to the applicant for such period as the Commissioner determines (if any), which certiﬁcate must— (a) be a valid certiﬁcate of exemption from the date that the Commissioner determines and states in the certiﬁcate; and bear the date of issue of the certiﬁcate and the date of termination of the certiﬁcate (if any); and bear that applicant’s tax ﬁle number.
(c) In the event that any certiﬁcate of exemption issued is lost or destroyed, on receipt of satisfactory evidence of that fact the Commissioner may issue a replacement certiﬁcate of exemp- tion.
(5) (7) (6) Any person to whom is issued a certiﬁcate of exemption on the basis that subsection (1)(h) applies to that person must, within 3 months after the end of the accounting year last referred to in that paragraph, furnish to the Commissioner evidence, to the satisfaction of the Commissioner, of that person’s annual gross income for the relevant accounting year, and must pro- vide such supporting information or further evidence as the Commissioner may require for the purposes of this section and section NF 11.
In the event that any person to whom subsection (6) applies has during the relevant 12 month period less than $2,000,000 of annual income, that person (in this subsection referred to as the ﬁrst person) is liable for late payment penalties in relation to amounts received or derived by the ﬁrst person that would, had the ﬁrst person not held that certiﬁcate of exemption, have been deducted under the RWT rules from payments made by any other person, and section 139B of the Tax Administration Act 1994 must apply to the ﬁrst person as if the ﬁrst person had failed to make a deduction under the RWT rules, and as if that default had occurred on each day that the ﬁrst person received or derived a payment from which a deduction would otherwise have been made under the RWT rules.
(8) When calculating the annual gross income of any company for the purposes of subsection (1)(g), being a company that was for the relevant tax year under section IG 1 a member of a group of companies, the annual gross income of that company 2307 Part N s NF 9 Income Tax Act 2004 Reprinted as at 29 August 2011 is deemed to include all of the annual gross income in that tax year of any other members of that group.
(9) When calculating the estimated annual gross income of any company for the purposes of subsections (1)(h), (6), and (7), being a company which anticipates that it will be a member of a group of companies under section IG 1 for the relevant 12 month period, the estimated annual gross income in that period of that company is deemed to include the estimated annual gross income of all other companies in that group.
(10) For the purposes of subsections (1)(g) and (h) and (6) to (9), when calculating the annual gross income of any company, there is excluded from the annual gross income calculations any assessable income derived by that company (or derived by another company in the same group of companies) from any transaction or series of related or connected transactions with another company in the same group of companies.
(11) The Commissioner may— (a) (b) (c) issue a certiﬁcate of exemption; or permit the retention of a certiﬁcate of exemption; or remit the whole or any part of any late payment penalty payable by virtue of subsection (7),— notwithstanding the failure of the applicant for the certiﬁcate or the holder of the certiﬁcate to satisfy the basis of exemption in subsection (1)(h) or to derive during the relevant 12 month period referred to in subsection (7) annual gross income of at least $2,000,000, where the Commissioner is satisﬁed that the failure is solely as a consequence of extraordinary circum- stances that are— (d) beyond the reasonable control of the applicant or holder of the certiﬁcate of exemption; and not likely to be repeated in subsequent tax years; and in the case of any remission of any late payment penalty payable by virtue of subsection (7), circumstances which the applicant for the certiﬁcate of exemption could not reasonably have been expected to foresee at the time of application.
(e) (f) (12) Notwithstanding any other provision of this section, the Com- missioner may at any time issue to a person, being a person to whom at that time subsection (1) does not apply, a certiﬁ- 2308 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 9 (b) cate of exemption which is valid until the date of termination (if any) speciﬁed in the certiﬁcate where the Commissioner is satisﬁed that in the period of validity of any certiﬁcate of ex- emption issued to that person either— (a) the person will or is likely to have an annual total deduc- tion in accordance with this Act not less than the annual gross income of that person; or the person would, but for the application of this subsec- tion, in each tax year any part of which tax year falls within the period of validity of the certiﬁcate of exemp- tion, be or be likely to be entitled to claim aggregate resident withholding tax credits in accordance with sec- tion LD 3 exceeding the income tax liability of that per- son for such tax year by an amount not less than $500: provided that the Commissioner may not issue to any person a certiﬁcate of exemption in accordance with this subsection un- less the Commissioner has received from that person an appli- cation in writing in the form prescribed by the Commissioner, which application must be accompanied by— (c) a set of budgeted accounts detailing the projected annual gross income, annual total deduction, resident with- holding tax credits, and income tax liability of the per- son for the proposed period of validity of the certiﬁcate of exemption; and such further information in relation to the person or the budgeted accounts as the Commissioner may require.
(d) (13) Where any certiﬁcate of exemption issued in accordance with subsection (12) ceases to be a valid certiﬁcate of exemption at the date of termination speciﬁed in the certiﬁcate and is not im- mediately replaced by a valid certiﬁcate of exemption in sub- stitution, the provisions of section NF 11 apply as if the certiﬁ- cate were on the date of termination cancelled in accordance with that section, and such cancellation on that date notiﬁed by the Commissioner to the holder of the certiﬁcate.
(14) No person (in this subsection referred to as the ﬁrst person) issued with a certiﬁcate of exemption in accordance with sub- section (12) may notify any other person that the ﬁrst person 2309 Part N s NF 10 Income Tax Act 2004 Reprinted as at 29 August 2011 holds that certiﬁcate of exemption without providing the other person with a copy of that certiﬁcate of exemption.
Compare: 1994 No 164 s NF 9 Section NF 9(1)(c): inserted, on 1 October 2007, by section 150 of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section NF 9(1)(e)(iii): substituted, on 1 August 2008, by section 348 of the Lawyers and Conveyancers Act 2006 (2006 No 1).

Section NF 9(1)(f): substituted, on 1 August 2008, by section 348 of the Lawyers and Conveyancers Act 2006 (2006 No 1).
Subsection (1)(i) was amended, as from 1 October 2005, by section 85 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting the expression “CW 44” for the expression “CW 43” with appli- cation as from the 2005–06 income year.
NF 10 Unincorporated bodies (1) Where any body that carries on any taxable activity is issued with a certiﬁcate of exemption in relation to the carrying on of that taxable activity,— (a) the members of that body are not themselves issued with a certiﬁcate of exemption in relation to the carrying on of that taxable activity; and any payments made in the course of carrying on that taxable activity are deemed for the purposes of the RWT rules to be made by that body, and are deemed not to be made by any member of that body; and any payments to any member of that body acting in the capacity as a member of that body and in the course of carrying on that taxable activity are deemed for the purposes of the RWT rules to be payments to that body, and are deemed not to be payments to that member; and that certiﬁcate of exemption is in the name of the body or, where that body is the trustee of a trust, in the name of the trust; and subject to subsection (2), any change of members of that body has no effect for the purposes of the RWT rules.
(b) (c) (d) (e) (2) Notwithstanding anything in this section, every member is li- able jointly and severally with any other members for all resi- dent withholding tax payable by the body while that member remains a member of that body, and, where that member is an individual, after that member’s death, that member’s estate is 2310 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 10 severally liable in due course of administration for such resi- dent withholding tax payable as far as it remains unpaid: provided that, where any such body is a partnership, joint ven- ture, or the trustees of a trust, a member does not cease to be a member for the purposes of this section until the date on which any change of membership of that body is notiﬁed to the Com- missioner.
For the purposes of the RWT rules, any notice served in ac- cordance with the RWT rules which is addressed to a body by the name in which it is issued with a certiﬁcate of exemption registered under this Act is deemed to be served on that body and on all members of that body.
Subject to subsection (5), where anything is required to be done under the RWT rules by or on behalf of any body, it is the joint and several liability of all members to do any such thing: provided that any such thing done by 1 member is sufﬁcient compliance with any such requirement.
(3) (4) (5) Notwithstanding anything in this section, but subject to sub- section (2), where anything is required to be done under the RWT rules by or on behalf of any body, not being a partner- ship, joint venture, or trustees of a trust, the affairs of which are managed by its members or a committee or committees of its members, it is the joint and several responsibility of— (a) every member holding ofﬁce as president, chairperson, treasurer, secretary, or any similar ofﬁce; or in default of any such member, every member holding ofﬁce as a member of a committee: provided that if it is done by any ofﬁcial or committee member referred to in paragraph (a) or (b), that is sufﬁcient compliance with any such requirement.
(b) (6) In this section,— body means an unincorporated body of persons, and in- cludes— (a) (b) (c) member means a partner, a joint venturer, a trustee, or a mem- ber of any body a partnership: a joint venture: the trustees of a trust 2311 Part N s NF 11 Income Tax Act 2004 Reprinted as at 29 August 2011 partnership and partner have the same meanings as in the Partnership Act 1908.
Compare: 1994 No 164 s NF 10 NF 11 Cancellation of certiﬁcates of exemption (1) Where any person who holds a certiﬁcate of exemption ceases to be a person who comes within the basis of exemption that was speciﬁed in that person’s application for that certiﬁcate, that person must, within 5 working days after the ﬁrst day upon which that person became aware of that fact,— (a) (b) give notice to the Commissioner of that fact; and deliver to the Commissioner any certiﬁcate of exemp- tion held by that person; and if requested by the Commissioner and within 5 working days after that request, provide the Commissioner with the full names and last known addresses of all persons to whom that person has shown the certiﬁcate of exemp- tion for the purpose of obtaining an exemption from the deduction of resident withholding tax under the RWT rules.
(c) The Commissioner may cancel any person’s certiﬁcate of ex- emption at any time in the following circumstances: (a) (b) (c) if the Commissioner has reason to believe that the per- son no longer satisﬁes the basis of exemption that was speciﬁed in the application made for that certiﬁcate of exemption; or if that person is not within the basis of exemption speci- ﬁed in the application made by that person for that cer- tiﬁcate of exemption and obtained that certiﬁcate of ex- emption on the basis of misleading information or other- wise should not have been issued with a certiﬁcate of exemption; or where the basis of exemption for that certiﬁcate of ex- emption was section NF 9(1)(h), if— (i) the evidence required to be furnished by that per- son under section NF 9(6) shows that that person did not derive annual gross income in excess of $2,000,000 in the relevant accounting year; or (2) 2312 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 11 (ii) (iii) that person fails to furnish satisfactory evidence of annual gross income as required under section NF 9(6); or the Commissioner has reason to believe the evi- dence furnished by that person under section NF 9(6) is incorrect in any material respect or is mis- leading; or (d) if that person has not made payment of any income tax which is payable by that person under this Act by the due date for payment of that tax,— and in each such event the Commissioner must notify the per- son of the fact that that person’s certiﬁcate of exemption has been cancelled and that person must, within 5 working days of receiving the notiﬁcation, deliver up that person’s certiﬁcate of exemption to the Commissioner, if not delivered up previously, and must, if requested by the Commissioner, provide the Com- missioner with the full names and last known addresses of all persons to whom that person has shown the certiﬁcate of ex- emption for the purpose of obtaining an exemption under the RWT rules: provided that, except in the circumstance speci- ﬁed in paragraph (d), in
 any case where the Commissioner is satisﬁed that the person is a person to whom section NF 9(6) applies in relation to a further basis of exemption other than that speciﬁed in the application made for the certiﬁcate of ex- emption, the Commissioner may not cancel the certiﬁcate of exemption except to issue with immediate effect a certiﬁcate of exemption in substitution for that certiﬁcate.
The Commissioner may give notice to any persons of the fact of cancellation of any certiﬁcate of exemption at any time.
(3) (4) Any person who receives notiﬁcation from the Commissioner that that person’s certiﬁcate of exemption has been cancelled must, within 5 working days of receipt of that notiﬁcation, give notice to all persons to whom that person has shown that cer- tiﬁcate of exemption for the purpose of obtaining an exemp- tion under the RWT rules and from whom that person expects to receive further payments of resident withholding income of the cancellation of that certiﬁcate.
The Commissioner must publish in the Gazette, whether or not that information has been published under subsection (9),— (5) 2313 Part N s NF 11 Income Tax Act 2004 Reprinted as at 29 August 2011 (a) on or before 30 June in each tax year,— (i) (ii) a list of all certiﬁcates of exemption that were cancelled during the immediately preceding tax year (not including any such certiﬁcates of ex- emption held prior to cancellation by a person to whom a further certiﬁcate of exemption was is- sued subsequently in that tax year); and a list of all certiﬁcates of exemption that were issued during the immediately preceding tax year to persons who had previously held a certiﬁcate of exemption (not including any such certiﬁcates of exemption that were issued to a person who previously in that tax year held a certiﬁcate of exemption which was cancelled); and (b) (ii) in April, July, October, and January (in this subsection referred to respectively as the month of publication),— a list of all certiﬁcates of exemption that were (i) cancelled during the 3 month period ending with the last day of the month immediately preceding the relevant month of publication (not including any such certiﬁcates of exemption held prior to cancellation by a person to whom a further cer- tiﬁcate of exemption was issued subsequently in that 3 month period); and a list of all certiﬁcates of exemption that were is- sued during the 3 month period ending with the last day of the month immediately preceding the relevant month of publication to a person who had previously held a certiﬁcate of exemption (not including any such certiﬁcates of exemption that were issued to a person who previously in that 3 month period held a certiﬁcate of exemp- tion which was cancelled).
(6) Where any person is required to deliver up a certiﬁcate of ex- emption held by that person, that person must deliver up all original copies of that certiﬁcate of exemption issued to that person by the Commissioner.
(7) A certiﬁcate of exemption ceases to be a valid certiﬁcate of exemption on the 5th working day after the date of publication 2314 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NF 13 of the cancellation of that certiﬁcate in the Gazette, and, in re- lation to persons who are notiﬁed by the Commissioner or the previous holder of that certiﬁcate that a certiﬁcate of exemp- tion has been cancelled, a certiﬁcate of exemption ceases to be a valid certiﬁcate of exemption as from the day which is 5 working days after the date the person is so notiﬁed.
The Commissioner may, at any time after publication of the lists of certiﬁcates required to be published under subsection (5), publish those lists of certiﬁcates by electronic means.

Subsection (8) applies to lists of certiﬁcates the issue or can- cellation of which was required to be published in the Gazette before the commencement of this subsection.
Compare: 1994 No 164 s NF 11 (8) (9) NF 12 Amount of resident withholding tax deduction deemed to have been received Where any amount has been deducted by way of resident with- holding tax deduction under the RWT rules from any payment other than a replacement payment under a share-lending ar- rangement, the amount so deducted,— (a) as between the payer and the recipient, is deemed to have been received by the recipient at the time of re- ceiving the payment from which the tax deduction was made; and for the purposes of this Act, is deemed to have been derived at the same time and in the same way as the payment from which the tax deduction was made.
(b) Compare: 1994 No 164 s NF 12 Section NF 12 was amended, as from 1 July 2006, by section 151 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “under the RWT rules from any payment other than a replacement payment under a share-lending arrangement” for “under the RWT rules from any payment”.
NF 13 Application of other provisions in relation to resident withholding tax Subject to the RWT rules, the other provisions of this Act and of the Tax Administration Act 1994 apply with respect to every amount that any person is liable to account for or pay to the 2315 Income Tax Act 2004 Reprinted as at 29 August 2011 Commissioner under those rules as if the amount were income tax.
Compare: 1994 No 164 s NF 13 Subpart NG—Non-resident withholding tax Contents General NG 1 Application of NRWT rules NG 2 Non-resident withholding tax imposed NG 3 Non-resident withholding tax to be ﬁnal tax in certain cases NG 4 Non-resident withholding tax to be minimum tax in certain cases NG 5 Persons who may apply for approval NG 6 Approval of person as approved issuer NG 7 Revocation of approval Deduction of non-resident withholding tax NG 8 Deduction of non-resident withholding tax NG 9 Non-resident withholding tax on dividends not paid in money NG 10 Power of Commissioner to grant relief from or vary amount of deductions Page 2317 2318 2321 2322 2322 2323 2323 2324 2325 2327 Payment of non-resident withholding tax NG 11 Payment of deductions of non-resident withholding tax to 2328 Commissioner NG 12 Person deriving non-resident withholding income to pay non-resident withholding tax to Commissioner NG 13 Failure to make deductions of non-resident withholding 2330 2331 tax or to make payments to Commissioner Miscellaneous provisions NG 14 Non-resident withholding tax on dividends paid to 2332 company under control of non-resident NG 15 Deductions of non-resident withholding tax deemed to be 2333 received by person entitled to payment NG 16 Non-resident withholding tax deducted in error NG 16A Variation in non-resident withholding tax deductions 2333 2335 to correct errors 2316 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 1 NG 16B Person withholding amount as retirement scheme 2336 contribution withholding tax when liable for non-resident withholding tax NG 17 Application of other provisions to non-resident 2336 withholding tax General NG 1 Application of NRWT rules (1) (2) The NRWT rules apply notwithstanding anything in any other provision of this Act or of the Tax Administration Act 1994.
The NRWT rules apply to income (in this Act referred to as non-resident withholding income) deemed under this Act to be derived from New Zealand and that consists of— (a) dividends (other than investment society dividends ) or royalties that are derived by a person who is not resident in New Zealand; or interest or investment society dividends, being interest or investment society dividends that are derived by a person who is not resident in New Zealand, not being a person who is engaged in business in New Zealand through a ﬁxed establishment in New Zealand,— (b) not being income that is— (c) income calculated under the ﬁnancial arrangements rules; or income to which section FC 21 applies; or exempt income; or income that is excluded income under section CX 44D(2) or (3).
(d) (e) (f) (3) (4) For the purposes of the NRWT rules, an amount of interest is treated as being paid by an approved issuer in respect of a registered security only where that amount is treated as being so paid under section 86I of the Stamp and Cheque Duties Act 1971.
In the case of interest payable by the Commissioner under Part 7 of the Tax Administration Act 1994,— (a) all non-resident withholding tax deductions made by the Commissioner from that interest are deemed to have 2317 Part N s NG 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) been paid to the Commissioner on the date on which they are made; and the provisions of sections 50, 55, and 100, and Part 9 of the Tax Administration Act 1994 do not apply in rela- tion to the Commissioner and any such interest; and the other provisions of the non-resident withholding tax rules apply in respect of the Commissioner and any such interest so far as applicable and with all necessary modi- ﬁcations.
Compare: 1994 No 164 s NG 1 Subsection (2) was amended, as from 1 April 2005, by section 187(1) Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) by substituting “apply to assessable income” for “apply to income” with application as from the income year corresponding to the 2005–06 tax year.
Subsection (2) was amended, as from 1 April 2005, by section 152(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “income” for “assessable income” with application as from the 2005–06 income year.

Section NG 1(2)(a): amended, on 1 October 2007, by section 48(1) of the Taxa- tion (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section NG 1(2)(a): amended, on 1 October 2007, by section 152(2) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Subsection (2)(d) was amended, as from 1 April 2005, by section 152(3) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “applies; or” for “applies.” with application as from the 2005–06 income year.
Subsection (2)(e) and (f) was inserted, as from 1 April 2005, by section 152(3) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.

Section NG 1(2)(f): amended, on 1 October 2007, by section 48(2) of the Taxa- tion (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
NG 2 Non-resident withholding tax imposed (1) Every person who derives non-resident withholding income is liable to pay non-resident withholding tax upon that income— at the rate of 30% on non-resident withholding income (a) that is dividends, but not to the extent that those divi- dends are— (i) (ii) investment society dividends; or supplementary dividends payable as a result of subpart LE; or 2318 Reprinted as at 29 August 2011 (iii) Income Tax Act 2004 Part N s NG 2 conduit tax relief additional dividends payable as a result of subpart LG; or fully imputed; or fully dividend withholding payment credited; or fully conduit tax relief credited: (iv) (v) (vi) if it is interest that is derived by 2 or more persons jointly and at least 1 of those persons is a New Zealand resident, at the rate of resident withholding tax that applies under section NF 2(1)(a) as if the non-resident withholding income were resident withholding income from which the payer must deduct resident withholding tax and the other rules in section NF 2 do not apply: at the rate of zero % of so much of that non-resident withholding income as consists of— (i) interest, other than interest to which paragraph (ab) applies, paid by an approved issuer in respect of a registered security and derived by a person who is not an associated person of the approved issuer; or interest, other than interest to which paragraph (ab) applies, that is paid by a transitional resident in respect of money borrowed by the transitional resident when the transitional resident was a non- resident, and not in relation to a business carried on by the transitional resident through a ﬁxed establishment in New Zealand, and is derived by a person who is not an associated person of the transitional resident; or non-cash dividends to the extent fully imputed; or non-resident withholding income derived by a life insurer from a company resident in New Zealand deemed to exist as a result of the life insurer making an election under section EY 48: at the rate of 15% of so much of
 that non-resident with- holding income as consists of non-resident withholding income to which none of paragraph (a), (ab), or (b) ap- plies.
(iii) (ib) (ii) (ab) (b) (c) 2319 Part N s NG 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (2) (3) Every person liable under the NRWT rules to pay or deduct an amount of non-resident withholding tax in respect of any non-resident withholding income consisting of dividends is deemed to have paid or deducted (as the case may be) the non- resident withholding tax to the extent of any dividend with- holding payment credit that is included within the non-resident withholding income.
For the purposes of this section, the extent to which any divi- dends are fully imputed must be calculated under the following formula: where— IC is the amount of imputation credits attached to the divi- dends SD is the amount of supplementary dividends payable as T a result of subpart LE in respect of the dividends is the basic rate of income tax for companies, ex- pressed as a percentage, stated in schedule 1, part A, clause 5, and applying in respect of the tax year that is concurrent with the imputation year in which the divi- dends are paid.
(4) For the purposes of this section, the extent to which any divi- dends are fully dividend withholding payment credited must be calculated under the following formula: where— DWPC is the amount of dividend withholding payment T credits attached to the dividends is the rate of resident companies’ tax, expressed as a percentage, stated in schedule 1, part A, clause 5, and applying in respect of the tax year that is concur- rent with the imputation year in which the dividends are paid.
Compare: 1994 No 164 s NG 2 Subsection (1)(b)(ib) was inserted, as from 1 October 2005, by section 188(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous 2320 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 3 Provisions) Act 2006 (2006 No 3) with application for: a person who becomes a transitional resident as from 1 April 2006; and as from the income year cor- responding to the 2005–06 tax year.
See section 188(2) and (3) of that Act as to the application of this amendment.
NG 3 Non-resident withholding tax to be ﬁnal tax in certain cases (1) Notwithstanding anything in this Act, where a person derives in any tax year non-resident withholding income that consists of— (a) (b) (ba) (c) a dividend (other than an investment society dividend); or a royalty that is for the use, production, or reproduction of, or for the privilege of using, producing, or repro- ducing, a literary, dramatic, musical, or artistic work in which copyright subsists; or interest or royalties derived by a life insurer from a com- pany resident in New Zealand deemed to exist as a result of the life insurer making an election under section EY 48; or interest or an investment society dividend, in any case where the person by whom that interest or that invest- ment society dividend is derived and the person by whom that interest or that investment society dividend is paid are not associated persons,— the income tax liability of that person for that year is the sum of— (d) the total amounts of non-resident withholding tax for which that person is liable in respect of that non-resident withholding income under section NG 2; and the amount that would be that person’s income tax li- ability for that tax year if that person had not derived that non-resident withholding income in that tax year.
(e) (2) If a taxpayer derives a dividend to which subsection (1) ap- plies, the taxpayer is not entitled to a credit of tax under sec- tion LB 2 for any imputation credit attached to the dividend.
Compare: 1994 No 164 s NG 3 2321 Part N s NG 4 Income Tax Act 2004 Reprinted as at 29 August 2011 NG 4 Non-resident withholding tax to be minimum tax in certain cases Where a person derives in any tax year non-resident withhold- ing income that consists of interest, or of an investment society dividend (other than interest or an investment society dividend referred to in section NG 3(1)(c)), or of a royalty (not being a royalty referred to in section NG 3(1)(b)), the income tax li- ability of that person for that tax year is the greater of— (a) the sum of— (i) the total amount of non-resident withholding tax for which that person is liable in accordance with section NG 2 in respect of all non-resident with- holding income; and the amount that would be that person’s income tax liability for that tax year if that person had not derived any non-resident withholding income in that tax year: (ii) (b) the amount that would, but for the application of this section and calculated under section NG 3 if applicable, be the income tax liability of that person for that tax year: provided that where, in the case of a company, the aggregate of the amount of that non-resident withhold- ing income and any other assessable income derived by the company in that tax year does not exceed $1,000, the income tax liability of the company under this Act in respect of that tax year, is an amount ascertained in accordance with paragraph (a).
Compare: 1994 No 164 s NG 4 NG 5 Persons who may apply for approval Any person to whom money is, has been, or may in future be lent may apply to the Commissioner, in writing and in such form as the Commissioner may approve, for approval of that person as an approved issuer for the purposes of the NRWT rules.
Compare: 1994 No 164 s NG 5 2322 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 7 NG 6 Approval of person as approved issuer (1) Where the Commissioner has received from any person any duly completed application for approval in accordance with section NG 5, that person is deemed to be approved as an ap- proved issuer for the purposes of the NRWT rules from the date upon which the Commissioner received the application, unless the Commissioner gives notice to that person under sub- section (2).
(2) Where the Commissioner considers that any person who has made an application for approval under section NG 5 has, within the 2 year period ending with the date of application, been responsible for serious default or neglect in complying with that person’s obligations under the Inland Revenue Acts, the Commissioner may, by giving notice to the person within 20 working days after the date of receipt of the application, decline the application for approval.
Compare: 1994 No 164 s NG 6 NG 7 Revocation of approval (1) The Commissioner may, at any time, on being satisﬁed that an approved issuer has, within the 2 year period ending with that time, been responsible for serious default or neglect in com- plying with the approved issuer’s obligations under the Inland Revenue Acts, revoke the approval given to the approved is- suer under section NG 6, and notify the issuer accordingly.
The Commissioner must, on receipt of a written request in that behalf by an approved issuer, revoke the approval given to that approved issuer under section NG 6, and notify the issuer accordingly.
(2) (3) Notwithstanding any provision of the NRWT rules, where the Commissioner revokes under subsection (1) or (2) the approval given to an approved issuer, that approved issuer is deemed to remain an approved issuer for the purposes of the NRWT rules and for the purposes of Part 6B of the Stamp and Cheque Duties Act 1971 in relation to any payments of interest made after the date of the revocation in respect of money that was lent to the person under a registered security— (a) before the date of the revocation; and 2323 Part N s NG 8 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) while the person was an approved issuer.
Compare: 1994 No 164 s NG 7 Deduction of non-resident withholding tax NG 8 Deduction of non-resident withholding tax (1) Where a person makes a payment consisting of non-resident withholding income, the person must, at the time of making the payment, make a deduction of non-resident withholding tax from that payment of an amount determined in accordance with section NG 2.
(2) Where— (a) (b) (b) a payment consisting of non-resident withholding in- come has been made to an agent or other person in New Zealand for or on behalf of the person entitled to the payment; and the non-resident withholding tax payable in respect of that non-resident withholding income has not been de- ducted, or has not been deducted in full, under subsec- tion (1),— that agent or other person must, at the time of receiving the payment, make a deduction from that payment of the amount of the non-resident withholding tax or, as the case may be, of the amount of the deﬁciency in that tax.
(3) Where— (a) a person makes a deduction of non-resident withholding tax under subsection (1) from a payment consisting of non-resident withholding income; and the payment of that non-resident withholding income is made by the person to an agent or other person in New Zealand for or on behalf of the person entitled to the payment,— that ﬁrst-mentioned person must, at the time of making the payment, give notice to that agent or other person of the amount of the deduction made by the person from the pay- ment.
Compare: 1994 No 164 s NG 8 2324 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 9 NG 9 Non-resident withholding tax on dividends not paid in money (1) Notwithstanding any provision of the NRWT rules, but sub- ject to this section, where a person is required under the NRWT rules to make a deduction of non-resident withholding tax from a payment of non-resident withholding income which consists of non-cash dividends (to the extent not fully imputed, as de- scribed in section NG 2(3)), the amount required to be de- ducted is equal— (a) to the extent to which the payment consists of dividends not being a taxable bonus issue, to an amount calculated in accordance with the following formula: where— a is,— (i) (ii) in the case of conduit tax relief additional dividends paid as a result of subpart LG or dividends to the extent fully conduit tax relief credited, the rate of non-resident withholding tax, expressed as a percent- age, speciﬁed in section NG 2(1)(c); and in any other case, the rate of non-resident withholding tax, expressed as a percent- age, speciﬁed in section NG 2(1)(a) b is the amount of the dividends paid— (i) (ii) to the extent neither fully imputed nor fully dividend withholding payment cred- ited (as described in section NG 2(3) and (4)); and disregarding any deduction of non-resi- dent withholding tax c d is the rate of non-resident withholding tax, ex- pressed as a percentage, speciﬁed in section NG 2(1)(c) is the amount of the dividends paid— 2325 Part N s NG 9 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) to the extent fully dividend withholding payment credited (as described in section NG 2(4)); and disregarding any deduction of non-resi- dent withholding tax; and (b) to the extent to which the payment consists of a taxable bonus issue, to an amount calculated according to the formula— (a x e) + (c x (f + g)) where— a is the rate of non-resident withholding tax, ex- pressed as a percentage, speciﬁed in section NG 2(1)(a) is the amount of the dividends, other than
 divi- dends referred to in item “g”, calculated under section CD 6(2) or CD 7(3)— (i) to the extent neither fully imputed nor fully dividend withholding payment cred- ited (as described in section NG 2(3) and (4)); and before any deduction of non-resident with- holding tax (ii) is the rate of non-resident withholding tax, ex- pressed as a percentage, speciﬁed in section NG 2(1)(c) is the amount of the dividends calculated under section CD 6(2) or CD 7(3) together with the amount of any dividend withholding payment credit attached to the dividends— (i) to the extent fully dividend withholding payment credited (as described in section NG 2(4)); and before any deduction of non-resident with- holding tax (ii) is the amount of the dividends, to the extent fully conduit tax relief credited plus the conduit tax relief additional dividends paid in respect of the taxable bonus issue as a result of subpart LG.
e c f g 2326 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 10 (1A) For the purposes of subsection (1), in determining the extent to which the dividend is fully conduit tax relief credited, and section MI 8, an amount that must be deducted from a non-cash dividend to the extent fully conduit tax relief credited is treated as being part of the non-cash dividend.
(2) Notwithstanding any provision of the NRWT rules, where any person is required under this Act to make a deduction of non- resident withholding tax from a payment of non-resident with- holding income consisting of non-cash dividends, that person may not make any deduction from that payment in accordance with the NRWT rules, but is liable to pay to the Commissioner an amount (which is treated as a deduction of non-resident withholding tax made from those dividends for the purposes of this Act and the Tax Administration Act 1994) equal to the non-resident withholding tax that, but for this subsection, would have been required to be deducted, and is liable to pay that amount in the same manner in all respects as if it were the non-resident withholding tax that, but for this subsection, would have been required to be deducted.
Compare: 1994 No 164 s NG 9 NG 10 Power of Commissioner to grant relief from or vary (1) amount of deductions The Commissioner may, for the purpose of meeting the special circumstances of any case or class of cases and to such extent as the Commissioner thinks ﬁt, and upon or subject to such terms and conditions as the Commissioner may require,— (a) relieve any person from an obligation to make a deduc- tion of non-resident withholding tax imposed upon that person by section NG 8, or from an obligation to com- ply with section NG 9; or vary the amount to be deducted under section NG 8 by any person from any payments consisting of non-resi- dent withholding income or from any class or classes of such payments.
(b) (1A) Subsection (1)(b) does not apply to non-resident withholding (2) income to which section NG 2(1)(ab) applies.

In every such case the NRWT rules apply as if they had been amended in accordance with the decisions or requirements of 2327 Part N s NG 11 Income Tax Act 2004 Reprinted as at 29 August 2011 the Commissioner for the time being in force under this sec- tion.
Compare: 1994 No 164 s NG 10 Payment of non-resident withholding tax NG 11 Payment of deductions of non-resident withholding tax (1) (2) to Commissioner Except as otherwise provided in this section, every person who makes deductions of non-resident withholding tax from payments consisting of non-resident withholding income must pay the deductions to the Commissioner on a monthly basis, with the deductions made during any month being paid to the Commissioner not later than the 20th of the following month.
Subject to subsections (3) and (4), a person who estimates in relation to any tax year that the person will not be required by the NRWT rules to make non-resident withholding tax deduc- tions of $500 or more in aggregate may pay the deductions to the Commissioner in 2 instalments as follows: (a) the ﬁrst instalment is due and payable on 20 October in that tax year, and consists of the amount of all de- ductions required by the NRWT rules to be made from payments of non-resident withholding income made by the person during the period 1 April to 30 September (both dates inclusive) in the tax year: the second instalment is due and payable on 20 April in the following tax year, and consists of the amount of all deductions required by the NRWT rules to be made from payments of non-resident withholding in- come made by the person during the period 1 October to 31 March (both dates inclusive) in the tax year.
(b) (3) Where the $500 aggregate referred to in subsection (2) is reached at any time during a tax year,— (a) the person must pay to the Commissioner, not later than the 20th of the month following that in which the $500 aggregate is reached, all non-resident withholding tax deductions made by the person between the beginning of the tax year and the end of the month in which the aggregate is reached; and 2328 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 11 (b) the person must for the remainder of the tax year pay all non-resident withholding tax deductions to the Com- missioner on a monthly basis in accordance with sub- section (1).
(4) Where in any month a person— (a) (b) ceases to carry on a taxable activity in respect of which the person has been required to make any non-resident withholding tax deductions; or ceases to carry on any such taxable activity in New Zealand,— the person must pay to the Commissioner, not later than the 20th of the following month, all non-resident withholding tax deductions made by the person with respect to the taxable ac- tivity and not earlier paid to the Commissioner.
(5) (4B) An emigrating company who is treated under section FCB 2 (Emigrating company treated as paying distribution to share- holders) as paying a distribution to shareholders must, on or before the date that is 3 months after the date of the emigra- tion time, pay to the Commissioner all non-resident withhold- ing tax deductions made by the company from the distribution.
The Commissioner may extend the time for payment of any amount of non-resident withholding tax in such cases and to such extent as the Commissioner thinks ﬁt.
Every person who is required by section 49(1) or (2) of the Tax Administration Act 1994 to provide information to the Commissioner in respect of deductions or payments of non- resident withholding tax, that are made or should be made from non-resident withholding income paid or derived in a tax year or part year, must pay to the Commissioner, not later than— (a) (6) 20 April following the end of the tax year (in the case of information provided under section 49(1) of that Act); and the last day by which the information is to be provided, (in the case of information provided under section 49(2) of that Act),— (b) an amount equal to all unpaid deductions and payments for the tax year or part year that are identiﬁed as discrepancies in the information.
2329 Part N s NG 12 Income Tax Act 2004 Reprinted as at 29 August 2011 (7) Subsection (6) does not apply to any unpaid deductions or pay- ments of non-resident withholding tax that the Commissioner assesses as due and payable in respect of a particular return period.
Compare: 1994 No 164 s NG 11 Subsection (4B) was inserted, as from 3 April 2006, by section 189(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
Subsection (4B) was amended, as from 3 April 2006, by section 153(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “date of the emigration time” for “emigration date” with application as from the 2005–06 income year.
NG 12 Person deriving non-resident withholding income to pay non-resident withholding tax to Commissioner Where for any reason— (a) (b) (c) a deduction of non-resident withholding tax is not made or is not made in full in accordance with the NRWT rules from any payment consisting of non-resident with- holding income; or a payment that is required to be made to the Commis- sioner, in accordance with section NG 9, of an amount equal to the non-resident withholding tax in relation to a dividend has, in contravention of that section, not been made or not been made in full to the Commissioner; or a deduction of non-resident withholding tax in respect of non-resident withholding income consisting of divi- dends is not made, or is not made in full, because al- lowance for a dividend withholding payment credit in- cluded in the non-resident withholding income is in ex- cess of the proper amount of the dividend withholding payment credit,— the person who derives the non-resident withholding income must pay to the Commissioner an amount equal to the amount of the deduction or, as the case may be, the payment that should have been made and was not made, and that amount is due and payable to the Commissioner on the 20th of the month following the month in which the deduction was required to be made, or, as the case may be, the dividend was paid, or, in 2330 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 13 either case, on such later date as the Commissioner may in any case allow.
Compare: 1994 No 164 s NG 12 NG 13 Failure to make deductions of non-resident withholding tax or to make payments to Commissioner (1) Where a person fails to make any deduction of non-resident withholding tax from any payment consisting of non-resident withholding income in accordance with that person’s obliga- tions under section NG 8, the amount in respect of which de- fault has been made constitutes a debt payable by that person to the Commissioner, and is deemed to have become due and payable to the Commissioner in accordance with section NG 11 as if the person had made the deduction.
(2) Where a person has, in contravention of section NG 9, paid non-resident withholding income consisting of a dividend without payment to the Commissioner of an amount equal to the non-resident withholding tax in relation to the dividend, that amount, or so much of that amount as has not been paid to the Commissioner, constitutes a debt payable by that person to the Commissioner, and is deemed to have become due and payable to the Commissioner in accordance with section NG 11 as if the person had made a deduction of the relevant amount from that non-resident withholding income consisting of a dividend.
The right of the Commissioner to recover the amount in re- spect of which default has been made in the manner referred to in subsection (1) or (2) from a person who has made de- fault is in addition to any right of the Commissioner to recover that amount from the person chargeable with the non-resident withholding tax to which that amount relates; and nothing in the NRWT rules should be construed as preventing the Com- missioner from taking such steps as the Commissioner thinks ﬁt to recover that amount from both of those persons concur- rently, or from recovering that amount wholly from 1 of those persons, or partly from 1 and partly from the other of those persons.
(3) (4) Where any amount recoverable in accordance with the NRWT rules from the person chargeable with the non-resident with- 2331 Part N s NG 14 Income Tax Act 2004 Reprinted as at 29 August 2011 holding tax to which that amount relates is in fact paid by an- other person, the amount so paid may be recovered by that other person from that ﬁrst-mentioned person.
Compare: 1994 No 164 s NG 13 Miscellaneous provisions NG 14 Non-resident withholding tax on dividends paid to company under control of non-resident Where— (a) shares in a company that is resident in New Zealand were formerly held by a person not resident in New Zealand and while those shares were so held the com- pany was under the control of that person or was deemed under this Act to be under the control of persons of whom that person was one; and that person has sold or otherwise disposed of those shares to another company that is resident in New Zealand and is under the control of that person or is deemed under this Act to be under the control of persons of whom that person is one; and any part of the price at which that other company ac- quired those shares remained unpaid after the acquisi- tion by that other company of those shares or after the acquisition remained owing in any way directly or in- directly to that person and whether or not secured by mortgage or otherwise,— (b) (b) any dividends paid in respect of those shares to that other com- pany while any part of that price remains unpaid or owing are, to the extent to which that price is unpaid or owing at the time when the dividends are paid to that other company, deemed to have been paid to that person and to have been derived as dividends by that person at that time, and this Act applies ac- cordingly.
Compare: 1994 No 164 s NG 14 2332 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 16 NG 15 Deductions of non-resident withholding tax deemed to be received by person entitled to payment Where any non-resident withholding tax has been deducted from a payment consisting of non-resident withholding in- come, the amount so deducted,— (a) as between the person by whom the deduction was made and the person entitled to the payment consisting of the non-resident withholding income from which the de- duction was made, is deemed to have been received by the person entitled to that payment,— (i) (ii) in any case where the deduction was made under section NG 8(1), at the time at which the pay- ment consisting of the non-resident withholding income was made: in any case where the deduction was made under section NG 8(2), at the time at which the pay- ment consisting of the non-resident withholding income was received, for or on behalf of the per- son entitled to that payment, by an agent or other person in New Zealand: (b) for the purposes of this Act (including the NRWT rules), is deemed to have been derived by the person entitled to the payment consisting of the non-resident withholding income at the same time and in the same manner as the residue of that payment.
Compare: 1994 No 164 s NG 15 NG 16 Non-resident withholding tax deducted in error (1) Where— (a) (b) (c) any deduction is made by a person in accordance with the procedure set out in the NRWT rules; and the amount deducted is paid to the Commissioner; and the amount deducted exceeds the non-resident with- holding tax deduction (if any) required in accordance with the NRWT rules,— the Commissioner must, subject to this section, pay by way of refund an amount equal to that excess.
(1A) Any refund under subsection (1) must be paid to— 2333 Part N s NG 16 Income Tax Act 2004 Reprinted as at 29 August 2011 (a) (b) the person deriving the amount from which the deduc- tion was made; or the person who made the excess deduction, if that person has paid the excess to the person deriving the amount from which the deduction was made and has not offset that amount under section NG 16A(2).
(3) (2) Any person who becomes entitled to a refund under this sec- tion may make an application for the refund in such form as may be approved by the Commissioner.

The Commissioner may not pay a refund under this section unless the Commissioner receives such evidence as the Com- missioner considers necessary that the requirements of sub- section (1) (and, where appropriate, subsection (1A)(b)) have been met.
If, but for this subsection, a person would be entitled to an amount as a refund under this section, the Commissioner may apply the amount, in accordance with a request under section 173T of the Tax Administration Act 1994 or in the absence of such a request in such order or manner as the Commissioner may determine, in payment of— (a) (b) an amount that is payable by the person under this Act: an amount that is payable by the person under the Tax Administration Act 1994.
(4) (5) Where the Commissioner is satisﬁed that any amount refunded to a person under this section is in excess of the amount prop- erly refundable, the Commissioner may recover the amount of the excess in the same manner, with any necessary modiﬁca- tions, as if it were income tax payable by that person due,— (a) in any case where the person by wilful default or neglect led the Commissioner to pay the refund, on the date upon which the refund was paid; or in any other case, on the 5th working day of the month following the month in which the person is notiﬁed that the excess is payable.
(b) Compare: 1994 No 164 s NG 16 2334 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 16A NG 16A Variation in non-resident withholding tax deductions to correct errors (1) Where a person required to make a deduction of non-resident withholding tax from any payment of non-resident withhold- ing income has failed to make the deduction, or has failed to make it in full, the person may (except to the extent to which a deduction of non-resident withholding tax has already been made by any other person to correct the deﬁciency) either— (a) deduct a sufﬁcient amount to correct the deﬁciency from any subsequent payment of non-resident withholding income to the same person in the same year in which the ﬁrst payment was made; or otherwise recover from that person a sufﬁcient amount to correct the deﬁciency.
(b) (2) Where— (a) a person deducts from a payment of non-resident with- holding income an amount on account of non-resident withholding tax that is in excess of the amount required to be deducted by the NRWT rules, and pays that excess deduction to the Commissioner; and the excess deduction is due to an error on the part of the person making the deduction; and the person has subsequently refunded the excess to the recipient of the non-resident withholding income,— the person may either offset the amount of that excess against any tax deductions subsequently payable to the Commissioner under section NG 11 or apply for a refund of the excess under section NG 16.
(3) Where— (a) a person deducts from a payment of non-resident with- holding income an amount on account of non-resident withholding tax that is in excess of the amount required to be deducted by the NRWT rules; and the excess deduction is due to an act or omission on the part of the recipient of the payment,— the person must pay the full amount deducted to the Commis- sioner in accordance with section NG 11, and upon such pay- 2335 (b) (c) (b) Part N s NG 16B Income Tax Act 2004 Reprinted as at 29 August 2011 ment is not liable to refund the amount of the excess to the recipient of the payment or any other person.
Compare: 1994 No 164 s NG 16A NG 16B Person withholding amount as retirement scheme (1) (2) (3) contribution withholding tax when liable for non-resident withholding tax This section applies for a retirement scheme contributor who— (a) makes a retirement scheme contribution for a non-resi- (b) dent; and pays to the Commissioner an amount as retirement scheme contribution withholding tax relating to the retirement scheme contribution.
The retirement scheme contributor is treated as having with- held from the retirement scheme contribution and paid to the Commissioner an amount of non-resident withholding tax equal to the lesser of— (i) the amount paid as retirement scheme contribution withholding tax in relation to the retirement scheme contribution: the non-resident withholding tax payable in relation to the retirement scheme contribution.
(ii) Section LD 12 applies to any balance of the amount paid as retirement scheme contribution withholding tax.

Section NG 16B: inserted (with effect from 1 April 2007), on 19 December 2007, by section 181 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
NG 17 Application of other provisions to non-resident withholding tax Subject to the NRWT rules, section GC 18 and sections 167 and 169 of the Tax Administration Act 1994, as far as they are applicable and with any necessary modiﬁcations, for the purposes of the NRWT rules, apply as if— (a) every reference in those sections to a tax deduction were a reference to a deduction of non-resident withholding tax: (1) 2336 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NG 17 (2) (b) (c) every reference in those sections to an employer were a reference to a person by whom a deduction of non- resident withholding tax has been or, as the case may be, is required to be made: every reference in those sections to the PAYE rules were a reference to the NRWT rules.
Subject to the NRWT rules, the other provisions of this Act (other than section GC 18) and of the Tax Administration Act 1994 (other than sections 167 and 169), as far as they are ap- plicable and with any necessary modiﬁcations, apply with re- spect to non-resident withholding tax as if it were income tax levied under section BB 1, but nothing in the NRWT rules should be construed so as to include non-resident withholding tax in the terms “income tax” or “tax” for the purposes of sec- tions 120KB to 120KE of the Tax Administration Act 1994.
Compare: 1994 No 164 s NG 17 Section NG 17(2): amended, on 1 October 2007, by section 190(1) of the Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3).
Subpart NH—Dividend withholding payments Contents NH 1 Liability to make deduction in respect of foreign withholding payment dividend NH 2 Amount of dividend withholding payment to be deducted NH 3 Payment and recovery of dividend withholding payment NH 4 Refund for overpayment and to company in loss Page 2338 2339 2341 2344 Consolidated groups NH 5 Dividend withholding payments and consolidated groups NH 6 Application of speciﬁc dividend withholding payment 2348 2352 provisions to consolidated groups Conduit tax relief NH 7 Reduction in liability under conduit tax relief 2354 2337 Part N s NH 1 Income Tax Act 2004 Reprinted as at 29 August 2011 NH 1 Liability to make deduction in respect of foreign withholding payment dividend Every company resident in New Zealand that is not a port- folio tax rate entity and is paid a dividend to which this section applies must deduct from that dividend an amount by way of dividend withholding payment calculated in accordance with section NH 2.
This section applies to the following dividends: (a) (ii) a dividend that is paid by a foreign company and that— is derived by a company that is resident in New (i) Zealand; and is exempt income under section CW 9 or CW 11 for the company that is resident in New Zealand; and is not exempt income under 1 or more of sections CW 29 to CW 33 and CW 35 to CW 40 for the company that is resident in New Zealand: dividends paid by a company resident in New Zealand, where and to the extent that— (i) (iii) (b) (ii) (iii) the company previously was not resident in New Zealand; and the amount of the dividend is less than the amount the company had available, immediately before becoming resident in New Zealand, for distribu- tion by way of dividend (calculated after deduc- tion from that available amount of the amount of any previous dividend paid by the company to which this paragraph applied); and the dividend is exempt income in accordance with sections CW 9 to CW 11 upon derivation by the company resident in New Zealand.
Compare: 1994 No 164 s NH 1 Section NH 1(1): amended, on 1 October 2007, by section 154 of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Subsection (2)(a) was substituted, as from 1 April 2005, by section 259(1) Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (3) was repealed, as from 1 April 2005, by section 259(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
(1) (2) (3) 2338 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NH 2 NH 2 Amount of dividend withholding payment to be deducted The amount by way of dividend withholding payment to be de- (1) ducted from any foreign withholding payment dividend under section NH 1 is, subject to the provisions of this section, the greater of nil and the amount calculated in accordance with the following formula: ((a + b + c) x d) – b – c where— a b c is the amount of the dividend paid (after deduction of foreign withholding tax paid in respect of the dividend) is the amount of any foreign withholding tax (not being foreign withholding tax paid in a country or territory speciﬁed in schedule 6) paid in respect of the dividend is the amount of— (a) (b) underlying foreign tax credit calculated with re- spect to the dividend under section LF 2, if that credit is not zero: any imputation credit attached to the dividend, otherwise d is the basic rate of income tax, expressed as a percent- age, stated in— (a) schedule 1, part A, clause 5 if the company is not a Maori authority; or schedule 1, part A, clause 2 if the company is a Maori authority.
(b) (2) Where— (a) (b) a foreign withholding payment dividend is paid to a company in respect of an income interest in a controlled foreign company; and the company or another company which is, at the time the dividend is paid, in the same group of companies as the company is, at the time the dividend is paid, a branch equivalent tax account company,— the amount to be deducted by the company under subsection (1) is reduced by such amount of the credit balance in the com- pany’s or such other company’s branch equivalent tax account, being a credit balance that exists at the time the foreign divi- dend is paid, as the company or such other company elects under section MF 5(1) to use for the purpose.
2339 Part N s NH 2 Income Tax Act 2004 Reprinted as at 29 August 2011 (3) For the purposes of subsection (2)(a), a foreign withholding payment dividend paid to a company is deemed to have been paid in respect of an income interest in a controlled foreign company where the company held the income interest in the controlled foreign company— (a) at any time during the period commencing with the start of the income year of the company in which the divi- dend was paid and ending with the date of payment of the dividend; or at any time during the income year of the company im- mediately preceding the income year of the company in which the dividend was paid.
(b) (4) Where the amount of any dividend withholding payment de- duction is reducible under this section by the amount of any foreign withholding tax paid in respect of the dividend, no such reduction may be made unless the Commissioner is furnished, within such time as the Commissioner may allow in any case or class of cases having regard to the period stated in section LC 13, with all information necessary for determining the amount of the foreign withholding tax.
(5) Where any dividend withholding payment deduction is required to be made in accordance with the dividend with- holding payment rules in relation to any amount of foreign withholding payment dividend and that foreign withholding payment dividend is in a currency other than New Zealand currency, for the purpose of calculating the amount of dividend withholding payment required to be deducted and paid to the Commissioner in accordance with the dividend withholding payment rules, that foreign withholding payment dividend must be converted into New Zealand currency either at— (a) the close of trading spot exchange rate on the day upon which the dividend withholding payment deduction is required to be made or, where the company required to make the dividend withholding payment deduction so elects, on the next succeeding day; or (b) where the foreign withholding payment dividend has been converted for the purposes of payment into New Zealand currency at an exchange rate which is a market 2340 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NH 3 rate for transactions entered into at arm’s length, that exchange rate.
Compare: 1994 No 164 s NH 2 NH 3 Payment and recovery of dividend withholding payment (1) A company that during any quarter is paid foreign dividends in respect of which it is required by section NH 1 to make dividend withholding payment deductions must, not later than 20 days after the end of that quarter, pay the amount of the deductions to the Commissioner.
(2) Where, in relation to a company that is liable to pay dividend withholding payment in respect of any foreign dividend paid to the company during any quarter, the company— (a) (b) has a net loss that may be carried forward and offset in accordance with sections IE 1 and IF 1 against the net income of the company for the income year in which the foreign dividend is paid to the company; or believes on reasonable grounds that, in respect of the income year in which the foreign dividend is paid to the company, the company will have a net loss that may be carried forward and offset in accordance with sections IE 1 and IF 1 against the net income of the company for the succeeding income year,— the company may by notice to the Commissioner elect, within the period for payment speciﬁed in subsection (1) (or by such later date as the Commissioner may allow), that payment of all or part of the dividend withholding payment is satisﬁed by re- ducing any such net loss, in so far as the balance of the net loss extends, by an amount not exceeding an amount calculated in accordance with the following formula: where— a is the amount of the dividend withholding payment payable under section NH 2 b is the basic rate of income tax for companies, ex- pressed as a percentage, stated in schedule 1, part A, clause 5, and applying in respect of the income year 2341 Part N s NH 3 Income Tax Act 2004 Reprinted as at 29 August 2011 that is concurrent with the imputation year in which the quarter for which the liability arose occurred.
(3) Where, in relation to a company (in this subsection referred to as the ﬁrst company) that is liable to pay dividend with- holding payment in respect of any foreign dividend paid to the company during the quarter, any other company (in this sub- section referred to as the loss company)— (a) has, in any income year prior to the income year during which the foreign dividend is paid to the ﬁrst company, a net loss that may, in accordance with section IG 2, be offset against the net income of the ﬁrst company for the income year in which the foreign dividend is paid to the ﬁrst company; or believes on reasonable grounds that it will, in respect of the income year in which the foreign dividend is paid to the ﬁrst company, have a net loss that may in accordance with section IG 2 be offset against the net income of the ﬁrst company for the income year in which the foreign dividend is paid to the ﬁrst company,— (b) the loss company may by notice to the Commissioner elect, within the period for payment speciﬁed in subsection (1) (or by such later date as the Commissioner may allow), that payment of all or part of the dividend withholding payment payable by the ﬁrst company is satisﬁed by reducing any such net loss, so far as the balance of the net loss extends, by an amount not exceeding an amount calculated in accordance with the formula speciﬁed in subsection (2).
(4) Where a company elects under subsection (2) or (3) to satisfy a liability to pay all or part of any dividend withholding pay- ment by way of a reduction of net loss, and the company does not in fact have a net loss or does not have a net loss sufﬁcient to justify the full amount of the reduction of net loss under the relevant subsection, or, in the case of an election under sub- section (3), the 2 companies are members of the same group of companies for part only of a relevant income year and the net loss referred to in that subsection could be offset against the net income of the company deriving the dividend by virtue only of section IG 2(4) or (5),— 2342 Reprinted as at 29 August 2011 (a) Income Tax Act 2004 Part N s NH 3 the Commissioner may disallow the election in respect of so much of the amount of the dividend withhold- ing payment as the Commissioner considers appropri- ate, having regard to— (i) the amount of the actual net loss of the electing company; and (ii) where appropriate, the amount or proportion, or likely amount or proportion, of the net loss of the electing company that could under section IG 2(4) or (5) be offset against the net income of the company deriving the dividend; and (b) the company with the initial liability to pay the dividend withholding payment is liable to pay the amount of divi- dend withholding payment the subject of that disallow- ance, and any late payment penalty under section 139B of the Tax Administration Act 1994, as if the company had failed to pay that amount within the time for pay- ment provided for in subsection (1) in respect of the ini- tial liability to pay the dividend withholding payment.
(5) Where a company fails to deduct any amount that it is liable to pay to the Commissioner by way of dividend withholding pay- ment, the amount in respect of which default has been made— constitutes a debt payable by the company to the Com- (a) missioner; and is deemed to have become payable within 20 days of the end of the quarter in respect of which the initial liability arose.
(b) (6) Where the amount of any dividend withholding payment is re- duced by any amount claimed in respect of foreign withhold- ing tax, but the information referred to in section NH 2(4) has not been furnished to the Commissioner in accordance with that provision, the Commissioner may recover an amount equal to the amount of the claimed foreign withholding tax as if it were income tax payable by the company.
Subject to the dividend withholding payment rules, the other provisions of this Act and of the Tax Administration Act 1994, as far as they are applicable and with any necessary modiﬁ- cations, apply with respect to dividend withholding payment and further dividend withholding payment and late payment (7) 2343 Part N s NH 4 Income Tax Act 2004 Reprinted as at 29 August 2011 penalty for late payment of dividend withholding payment as if it were income tax payable by the company.
Compare: 1994 No 164 s NH 3 Subsection (4)(b) was amended, as from 1 October 2005, by section 86 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting the words “late payment penalty under section 139B” for the words “penalty under section 150” with application as from the 2005–06 income year.
NH 4 Refund for overpayment and to company in loss (1) Where the Commissioner is satisﬁed that the amount of divi- dend withholding payment paid by a company is in excess of the amount properly payable, the company is, except as other- wise provided by this section, entitled to a refund of the excess.
(2) Where during an imputation year a company becomes entitled to a refund of dividend withholding payment under this sec- tion in relation to dividend withholding payment paid by the company during a previous imputation year,— (a) (ii) the refund to be paid to the company may not exceed,— in the case of a company that is a dividend with- (i) holding payment account company, the credit balance (if any) of the company’s dividend withholding payment account at the end of the imputation year preceding that in which the entitlement to the refund arises; or in the case of a company that is an imputation credit account company but is not a dividend the withholding payment account company, credit balance (if any) of the company’s imput- ation credit account at the end of the imputation year preceding that in which the entitlement to the refund arises; or in the case of a company that has ceased to be resident in New Zealand, the credit balance (if any) of the company’s dividend withholding pay- ment account that arose as a debit to the account under section MG 5(1)(j) immediately before the company ceased to be so resident, or, where the company was an imputation credit account com- pany but not a dividend withholding payment ac- count company, the credit balance (if any) of the (iii) 2344 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NH 4 (b) company’s imputation credit account that arose as a debit under section ME 5(1)(k) immediately before the company ceased to be so resident; but any amount of dividend withholding payment that is not refunded because it exceeds that credit balance is credited in payment of a dividend withholding payment payable by the company for any imputation year.
For the purposes of subsection (2), any credit balance referred to in that subsection is deemed to be reduced by any earlier refund paid to the company during the same imputation year, being a refund of dividend withholding payment or a refund of income tax that may not, under this section or section MD 2, exceed that credit balance.
(3) (4) Where any company is entitled to a refund of dividend with- holding payment under section CD 39(10) to (13),— (a) for the purpose of applying subsections (1) and (2)(a) with respect to the refund, the amount of the credit bal- ance referred to in subsection (2)(a)(i) or (ii) or (iii) is deemed to be increased by an amount equal to any debit in the company’s dividend withholding payment account or imputation credit account which arose under section ME 5(1)(i) or MG 5(1)(i), as the case may be, after the date of payment of the dividend withholding payment and before the date upon which the credit bal- ance is to be determined under subsection (2)(a)(i) or (ii) or (iii); and the amount of dividend withholding payment not re- funded by reason of subsection (2)(a)(i) or (ii) or (iii)— is credited in payment of any income tax, pro- (i) visional tax, or dividend withholding payment payable by the company after the entitlement to a refund arose: to the extent to which it cannot be credited under subparagraph (i), whether by reason of the com- pany being liquidated or for any other reason, is retained by the Commissioner.
(5) Where, and to the extent that, in respect of any income year (referred to in this subsection as the current year) of a com- pany (referred to in this subsection as the ﬁrst company) dur- (ii) (b) 2345 Part N s NH 4 Income Tax Act 2004 Reprinted as at 29 August 2011 ing which the ﬁrst company has paid a dividend withholding payment— (a) either— (i) (ii) the company has in the current or any earlier in- come year, a net loss that may be carried forward and offset in accordance with sections IE 1 and IF 1 against the net income of the company for the income year succeeding the current year; or another company (in this subsection referred to as the group company) has, in the current or any earlier income year, a net loss that may, in ac- cordance with section IG 2, be offset against the net income of the ﬁrst company for the current year, which net loss the group company wishes to apply in enabling the ﬁrst company to obtain a refund of dividend withholding payment; and (b) (c) the ﬁrst company has— (i) (ii) in any case to which paragraph (a)(i) applies, furnished a return under section 33 of the Tax Administration Act 1994 for the income year in respect of which the net loss arose; and furnished a return under section 33 of the Tax Administration Act 1994 for the current year; and applied in writing to the Commissioner for a re- fund of the dividend withholding payment; and in any case to which paragraph (a)(ii) applies, the group company has— (i) (iii) furnished a return under section 33 of the Tax Administration Act 1994 for the income year in respect of which the net loss arose; and elected by notice to the Commissioner that pay- ment of all or part of the dividend withholding payment is satisﬁed by reducing its relevant net loss,— (ii) the ﬁrst company is entitled to a refund of dividend withhold- ing payment of an amount that is equal to the least of— (d) the amount of dividend withholding payment paid by the ﬁrst company during the current year; or 2346 Reprinted as at 29 August 2011 Income Tax Act 2004
 Part N s NH 4 (e) (f) the amount of the net loss of the ﬁrst company or the group company (as the case may be) referred to in para- graph (a), multiplied by the basic rate of income tax for companies referred to in item “b” of the formula stated in subsection (6); or the credit balance of the ﬁrst company’s dividend with- holding payment account at the end of the most recently ending imputation year,— and to a refund of any late payment penalty imposed under section 139B of the Tax Administration Act 1994 with respect to failure to pay the amount refunded.
(6) Where a company is paid a refund under subsection (5), the amount of the net loss referred to in that subsection is reduced by an amount calculated in accordance with the following for- mula: where— a is the amount of the refund paid to the company under subsection (5) b is the basic rate of income tax for companies, ex- pressed as a percentage, stated in schedule 1, part A, clause 5, and applying in respect of the income year that is concurrent with the imputation year referred to in subsection (5)(f).
(8) Where an amalgamating company ceases to exist upon a quali- fying amalgamation, this section applies with effect from the time of the amalgamation, with any necessary modiﬁcations, in respect of any tax paid by the amalgamating company as if it and the amalgamated company were a single company.
(9) Where a consolidated group ceases to exist on a qualifying amalgamation which involves all members of the consolidated group amalgamating (whether or not also amalgamating with any company outside the group), this section applies with ef- fect from the time of the amalgamation, with any necessary modiﬁcations, in respect of any tax paid by the consolidated 2347 Part N s NH 5 Income Tax Act 2004 Reprinted as at 29 August 2011 group as if it and the amalgamated company were a single company.
Compare: 1994 No 164 s NH 4 Consolidated groups NH 5 Dividend withholding payments and consolidated groups (1) Where— (a) a foreign withholding payment dividend is, within the meaning of section NH 2(3), paid to a company in con- trolled foreign company; and that company is at the time of payment a member of a consolidated group; and that consolidated group, at the time of payment, main- tains a branch equivalent tax account under section MF 7,— (b) (c) the amount to be deducted by the company under section NH 2(1) is reduced by such amount of the credit balance in the group’s branch equivalent tax account, being a credit balance that exists at the time the foreign dividend is paid, as the nom- inated company for the group elects under section MF 10(1) to use for the purpose, and section NH 2(2) does not apply in the case of such a dividend.
For the purposes of subpart LF and section NH 2 with respect to determining whether any person has at any relevant time a sufﬁcient interest in a company, a consolidated group is treated as if it were a single company.
(2) (3) Where— (a) a company is liable to pay dividend withholding pay- ment in respect of a foreign dividend paid to the com- pany during a quarter; and the company is at the time of payment of the dividend a member of a consolidated group,— (b) all companies which are at the time members of the consoli- dated group are jointly and severally liable for the dividend withholding payment and the Commissioner may make an as- sessment under section 102 of the Tax Administration Act 1994 accordingly.
(4) Where— 2348 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NH 5 (a) (b) a company is liable to pay dividend withholding pay- ment in respect of a foreign dividend paid to the com- pany during a quarter; and the company is at the time of payment of the dividend a member of a consolidated group,— (d) section NH 3(2) does not apply, but where— (c) the group has a net loss that may be carried forward and offset under sections IE 1, IF 1, and IG 6 against the net income of the group for the income year in which the foreign dividend is paid to the company; or the nominated company for the consolidated group has reasonable grounds to believe that, in respect of the in- come year in which the foreign dividend is paid to the company, the group will have a net loss that may be car- ried forward and offset under sections IE 1, IF 1, and IG 6 against the net income of the group for the succeeding income year,— the nominated company may by notice to the Commissioner elect, within the period for payment speciﬁed in section NH 3(1), that payment of all or part of the dividend withholding payment is satisﬁed by reducing any such net loss, so far as the balance of the net loss extends, by an amount not exceeding an amount calculated in accordance with the following formula: where— a is the amount of the dividend withholding payment payable under section NH 2 b is the basic rate of income tax for companies, ex- pressed as a percentage, stated in schedule 1, part A, clause 5, and applying in respect of the income year that is concurrent with the imputation year in which the quarter for which the liability occurred,— and section NH 3(4) applies with any necessary modiﬁcations to such an election as if the group were a single company.
(5) Where during an imputation year a company becomes entitled to a refund of dividend withholding payment under section NH 4(1) in relation to dividend withholding payment that was paid 2349 Part N s NH 5 Income Tax Act 2004 Reprinted as at 29 August 2011 by the company during a previous imputation year in respect of a dividend or dividends paid to the company at a time when the company was a member of a consolidated group, section NH 4(2) does not apply, and— (a) the refund to be paid to the company must not exceed,— in any case where the consolidated group, at the (i) time when the entitlement to refund arises, has the a dividend withholding payment account, credit balance (if any) of the group’s dividend withholding payment account at the end of the imputation year preceding that in which the entitlement to the refund arises; or in any case where the consolidated group, at the time at which the entitlement to the refund arises, has no dividend withholding payment account, the credit balance (if any) of the group’s imput- ation credit account at the end of the imputation year preceding that in which the entitlement to the refund arises; but (ii) (6) (b) any amount of dividend withholding payment that is not refunded because it exceeds that credit balance is credited in payment of a dividend withholding payment payable by the company for any imputation year in which the company was a member of the consolidated group.
For the purposes of subsection (5), the credit balance referred to in that subsection is deemed to be reduced by any earlier refund paid during the imputation year— (a) (b) to the company; or to any other company which was, at the time of payment of the dividend giving rise to the liability to pay the re- funded dividend withholding payment or in respect of the income year in relation to which the refunded in- come tax was paid, a member of the same consolidated group,— being a refund of dividend withholding payment or a refund of income tax that may not, under this section or section MD 2, exceed that credit balance.
(7) Where— 2350 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NH 5 (a) (b) a company has paid dividend withholding payment dur- ing an income year; and at the time of payment of the dividend giving rise to the liability to make that dividend withholding payment the company was a member of a consolidated group,— section NH 4(5) does not apply, and where— (c) the consolidated group has a net loss for that income year that may under sections IE 1, IF 1, and IG 6 be carried forward and offset against the net income of the group for a succeeding income year; and the consolidated group has furnished a single return under section HB 1 for the income year in respect of which the net loss arose,— (d) the company is, upon application in writing to the Commis- sioner, entitled to a refund of dividend withholding payment of an amount that is the smallest of— (e) the amount of dividend withholding payment paid dur- ing that income year; or the amount of the net loss referred to in paragraph (c), multiplied by the basic rate of income tax for compan- ies referred to in item “b” of the formula stated in this subsection; or the credit balance of the group’s dividend withholding payment account at the end of the most recently ending imputation year,— (f) (g) and the amount of the loss is reduced by an amount calculated in accordance with the following formula: where— a b is the amount of the refund paid to the company is the basic rate of income tax for companies, ex- pressed as a percentage, stated in schedule 1, part A, clause 5, and applying in respect of the income year that is concurrent with the imputation year referred to in paragraph (g).
(8) Section NH 4(2) does not apply to limit a refund of dividend withholding payment to a company which is a member of a 2351 Part N s NH 6 Income Tax Act 2004 Reprinted as at 29 August 2011 (9) consolidated group to the extent that, if that refund had been of a dividend withholding payment paid in respect of a divi- dend paid to the company at a time when the company was a member of the consolidated group, subsection (5) would not have limited the refund.
Section LD 8(4) applies, in any case where the company re- ferred to is a member of a consolidated group, as if the ref- erence to dividend withholding payment or further dividend withholding payment paid by the company were a reference to such amounts paid by any company which was, at the time of payment, a member of the consolidated group.
Compare: 1994 No 164 s NH 5 NH 6 Application of speciﬁc dividend withholding payment (1) provisions to consolidated groups Section MG 6 applies as if the reference to a dividend with- holding payment account company included a reference to any company where at the time of payment of the dividend,— (a) (b) the company is a member of a consolidated group; and the consolidated group maintains a dividend withhold- ing payment account.
(2) Where a consolidated group has a policyholder credit account and a dividend withholding payment account,— (a) the nominated company for that consolidated group may elect that all or any part of the credit balance (if any) in the group’s dividend withholding payment account at the time of election is a credit to the group’s policyholder credit account and a debit to the group’s dividend withholding payment account, which election is made by recording the debit and credit in the respect- ive accounts; and section MG 7(3) and (4) applies in the case of a consoli- dated group with a non-standard balance date with any necessary modiﬁcations as if— (i) each reference in those subsections to a company were a reference to the group; and each reference to provisions of this Act applic- able to an individual company were a reference to the equivalent provision of this section or of (b) (ii) 2352 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NH 6 sections MG 13 to MG 16 and NH 5 applicable to consolidated groups.
(3) (4) (5) (6) (7) Sections 30 and 68 of the Tax Administration Act 1994 apply with any necessary modiﬁcations in the case of a consolidated group as if each reference to a dividend withholding payment account company were a reference to a company which is a member of a consolidated group that maintains a dividend withholding payment account.
If at the end of an imputation year there is a credit balance in the dividend withholding payment account of a consolidated group, the nominated company for the consolidated group may— (a) make an election that all or part of the credit balance be— (i) a credit to the imputation credit account of the consolidated group, or of the imputation group to which the members of the consolidated group belong; and a debit to the dividend withholding payment ac- count of the consolidated group; and (b) make the election by recording the debit in the divi- dend withholding payment account of the consolidated group.
(ii) Sections MG 9 and MG 12, and sections 103, 104, 139B, 140C, and 140D, and 181 of the Tax Administration Act 1994, apply, with any necessary modiﬁcations, to a consolidated group and its dividend withholding payment account as if— (a) (b) the group were a single company; and each reference to a provision of this Act were a refer- ence to the equivalent provision applicable to consoli- dated groups; and each reference to liability of a company for further divi- dend withholding payment, dividend withholding pay- ment penalty tax, and late payment penalty were (sub- ject to the application of section HB 1(2) to (5)) a ref- erence to joint and several liability for such tax of each company which is a member of the group at the time the (c) 2353 Part N s NH 7 Income Tax Act 2004 Reprinted as at 29 August 2011 further dividend withholding payment, dividend with- holding payment penalty tax, or late payment penalty becomes payable.
Compare: 1994 No 164 s NH 6 Subsections (3) and (4) were repealed, as from 1 April 2005, by section 260(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Subsection (6)(a)(ii) was amended, as from 1 April 2005, by section 260(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the word “payment” after the words “dividend withholding”.
Conduit tax relief NH 7 Reduction in liability under conduit tax relief (1) A company that is a conduit tax relief company at the time it is required to pay the Commissioner a dividend withholding payment may reduce the dividend withholding payment by the following amount: NR x DWP where— NR is the percentage of the company’s shareholders not resident in New Zealand as calculated under subsections (2) and (4) DWP is the dividend withholding payment that would need to be deducted but for this section, calculated after any loss offsets claimed under section NH 3.
The percentage of shareholders not resident in New Zealand is calculated at the most recent of— (a) the last date prior to the receipt on which the company paid a dividend to all shareholders; or the end of the second tax year before the year of receipt; or for a company incorporated after the second tax year before the year of receipt, the last day of the quarter in which the dividend was received.
(b) (c) If a company to which subsection (2) applies is a listed com- pany, the company may use— (a) the record date (the date on which entitlement to a divi- dend is determined) for a dividend instead of the date on which the dividend is paid; or (2) (3) 2354 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NH 7 (b) any date in the tax year on which the company, for what- ever commercial reason, calculates the percentage of non-resident shareholders.
(3A) If there is a conduit tax relief group member in respect of a company (referred to in this section as the ﬁrst company), subsection (2) (as modiﬁed, if applicable, by subsection (3)) applies as if the company referred to in that subsection were the company— (a) in which 1 or more non-residents have a direct voting interest; and that has a 100% voting interest (calculated as if section OD 3(3)(d) did not apply to deem the company’s inter- ests to be held by others) in the ﬁrst company.
(b) (3B) Subsection (3A) does not apply if the date that would be de- termined for measuring non-resident shareholders under that subsection is before the date of incorporation of the ﬁrst com- pany.
The percentage is the lowest of— (a) (4) (c) (b) the percentage of direct voting interests held in the com- pany by non-residents at the relevant time; and the percentage of direct market value interests (if a di- rect market value circumstance exists) held in the com- pany by non-residents at the relevant time; and the percentage of total dividends payable by a company (if the shares in the company are not all shares of the same class) that would be derived by non-residents, if the company were liquidated at the relevant time.
For the purposes of subsection (2)(a), a company with more than 1 class of shares that pays a dividend to all shareholders of each class of shares in a tax year is treated as if a dividend had been paid to all shareholders on the latest date on which it paid a dividend to all holders of shares of 1 of the classes.
For the purposes of determining direct voting interests under subsection (4)(a) or direct market value interests under sub- section (4)(b),— (a) the relevant time is the date on which the company is treated as having paid a dividend to all shareholders under subsection (5); and (5) (6) 2355 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) in relation to each class of shares, the company is treated as having the same shareholders on the relevant date in relation to that class that it had on the last date in the tax year on which a dividend was paid to all shareholders of that class.
(7) (8) For the purposes of this section, treasury stock is to be disre- garded.

The rules for determining residence in sections OE 7 and OE 8 apply in this section.
Compare: 1994 No 164 s NH 7 Subpart NZ—Terminating provisions Contents NZ 1 Adjustment of dividends payable to preference shareholders Page 2356 NZ 1 Adjustment of dividends payable to preference shareholders Any company that was entitled, under the section for which section 142A of the Land and Income Tax Act 1954 was substi- tuted by section 3(1) of the Land and Income Tax Amendment Act (No 3) 1968, to reduce the amount of dividends payable to any shareholder by the amount speciﬁed in the section for which that section was so substituted may, notwithstanding anything in any contract with any shareholder or in the terms on which any of its shares were issued, reduce the amount of dividends payable to any shareholder by an amount calculated on the amount of the dividends at the rate of 7.5%.
Compare: 1994 No 164 s NZ 1 2356 Reprinted as at 29 August 2011 Income Tax Act 2004 Part N s NZ 1 Part O Deﬁnitions and related matters Contents Subpart OB—General deﬁnitions OB 1 Deﬁnitions OB 2 Meaning of source deduction payment OB 3 Meaning of qualifying company OB 3A Extended meaning of charitable purpose OB 6 Meaning of income tax Subpart OC—Special entities subject to tax OC 1 Airport operators OC 3 OC 4 Co-operative marketing companies: regulations Statutory producer boards Page 2358 2648 2650 2653 2653 2657 2660 2660 Subpart OD—Control interests, associated parties, and nominees OD 1 Deﬁning when company is under control of persons 2662 Measurement of control and ownership interests OD 2 Purpose of provisions governing measurement of voting 2663 and market value interests OD 3 Voting interests OD 4 Market value interests OD 5 Modiﬁcations to measurement of voting and market value interests in case of continuity provisions OD 5AA Modiﬁcations to voting and market value interests for application of continuity provisions to reverse takeover OD 5A Modiﬁcations to measurement of voting and market value interests in cases of continuity provisions and demutualisation of insurers 2663 2665 2667 2675 2677 OD 5B Modiﬁcations to measurement of voting and market value 2680 interests in cases of continuity provisions and legislative conversion of companies of proprietors OD 6 Modiﬁcations to measurement of voting and market value 2681 interests in case of credit account continuity provisions Associated persons OD 7 Deﬁning when 2 persons are associated persons OD 8 Further deﬁnitions of associated persons 2681 2682 2357 Income Tax Act 2004 Reprinted as at 29 August 2011 OD 9 Nominees are transparent Nominees Subpart OE—Source of income and residence OE 1 Determination of residence of person other than company OE 2 Determination of residence of company OE 4 Classes of income treated as having source in New Zealand OE 5 Commission agency contracts performed out of New Zealand OE 7 Conduit tax relief holding companies
 and group members OE 8 Residence of conduit tax relief company shareholders Subpart OF—References to balance dates and years OF 1 References to balance dates and years generally OF 2 References to years in particular provisions Subpart OB—General deﬁnitions Contents OB 1 Deﬁnitions OB 2 Meaning of source deduction payment OB 3 Meaning of qualifying company OB 3A Extended meaning of charitable purpose OB 6 Meaning of income tax OB 1 Deﬁnitions 2689 2690 2691 2692 2695 2695 2697 2698 2699 Page 2358 2648 2650 2653 2653 For the purposes of this Act, unless the context other- wise requires,— absentee— (a) means a person other than a person who is resi- dent in New Zealand during any part of the tax year: in subpart HK (Agency), means— (i) a person, other than a company, who is for the time being out of New Zealand: (b) 2358 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) (iii) an overseas company, unless it has a ﬁxed and permanent place of business in New Zealand at which it carries on business in its own name: an overseas company that the Commis- sioner declares to be an absentee for the purposes of this Act by giving notice to the company or its agent or attorney in New Zealand, so long as the declaration remains unrevoked absolute value means the value irrespective of whether the value’s sign is positive or negative ACC levy or premium is deﬁned in section EF 3(5) (ACC levies and premiums) for the purposes of that sec- tion accident compensation payment is deﬁned in section CF 1(2) (Beneﬁts, pensions, compensation, and govern- ment grants) for the purposes of that section accident insurance contract is deﬁned in section CW 28(2) (Compensation payments) for the purposes of that section accommodation is deﬁned in section CE 1(2) (Amounts derived in connection with employment) for the purposes of that section and section CX 24 (Accommodation) account advantage — (a) is deﬁned in section GC 22(9) (Imputation: ar- rangement to obtain tax
 advantage) for the pur- poses of that section: is deﬁned in section GC 27A(10) (Arrangement to obtain tax advantage with respect to Maori au- thority credit account provisions (subpart MK)) for the purposes of that section (b) accounting period, for a foreign company, means— (a) (b) its accounting year; or the relevant period of other than 12 months, if a person’s attributed CFC income or loss or FIF income or loss from the foreign company is al- 2359 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 lowed or required to be calculated on the basis of a period other than 12 months because of— (i) the formation or liquidation of the foreign company (or similar circumstances); or a change of residence of the foreign com- pany; or the adoption of a new accounting year under section EX 26 (Change of CFC’s balance date) or EX 57 (Change of FIF’s balance date) (ii) (iii) accounting proﬁts method means the method of cal- culating FIF income or FIF loss in section EX 42 (Ac- counting proﬁts method) accounting year,— (a) (b) (ii) for any person, means a tax year or another 12 month period— (i) that ends with the date of the annual bal- ance of the person’s accounts; and for which the person is required by this Act to ﬁle a return of income, except in subpart LF (Underlying foreign tax credits) and in the deﬁnitions of accounting period, after-income tax earnings, commence- ment date, and eligible accounting year: for a company, in subpart LF (Underlying foreign tax credits), and in the deﬁnitions of after-in- come tax earnings, commencement date, and eligible accounting year, includes— (i) a period, shorter than 12 months, that is the period for which accounts are prepared because of the formation of the company or the termination of the company’s exis- tence; and a period, shorter or longer than 12 months, that is the period for which accounts are prepared because of the company adopting a new accounting balance date (ii) 2360 Reprinted as at 29 August 2011
 Income Tax Act 2004 Part O s OB 1 (e) accrual accounting method is deﬁned in section EG 2(4) (Adjustment for changes to accounting practice) for the purposes of that section accrual expenditure means an amount of expenditure that a person incurs on or after 1 August 1986 and that is allowed as a deduction under this Act or an earlier Act, other than expenditure incurred— (a) (b) (c) (d) in the purchase of trading stock; or under a ﬁnancial arrangement; or for a speciﬁed lease; or for a lease to which section EJ 9 (Personal prop- erty lease payments) applies; or under a binding contract entered into before 8.30 pm New Zealand Standard Time on 31 July 1986 accrued entitlement, for a party to a ﬁnancial arrange- ment at any time, means the party’s rights under the ar- rangement at the time accrued obligation, for a party to a ﬁnancial arrange- ment at any time, means the party’s obligations under the arrangement at the time acquire, for depreciable property, includes— (a) make: (b) (c) be granted, for a patent or plant variety rights: lodge, for a patent application or a plant variety rights application acquire: this deﬁnition was substituted, as from 1 October 2005, by section 155(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
acquisition is deﬁned in section GD 13(13) (Cross-bor- der arrangements between associated persons) for the purposes of that section acquisition of control or income interests is deﬁned in section GC 9(7) (Variations in control or income inter- ests in foreign companies) for the purposes of that sec- tion acquisition price is deﬁned in section EZ 45 (Deﬁni- tions) for the purposes of the old ﬁnancial arrangements rules 2361 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 active service area is deﬁned in section CW 20(2) (De- ferred military pay for active service) for the purposes of that section activities as an airport operator is deﬁned in section OC 1(6) (Airport operators) for the purposes of that sec- tion actuarial reserves is deﬁned in section EY 3 (Meaning of actuarial reserves) actuarially determined, for an amount, means a re- quirement that is met when an actuary has calculated the amount using relevant actuarial standards and a proper and reasonable calculation methodology actuary means a person who is— (a) a Fellow of the New Zealand Society of Actuar- ies; or a Fellow of the Institute of Actuaries of Australia; or a Fellow of the Institute of Actuaries (of Lon- don); or the holder of an equivalent professional qualiﬁca- tion approved by the Commissioner for the pur- poses of this deﬁnition (b) (c) (d) additional capital is deﬁned in section HC 1(12) (Spe- cial partnerships) for the purposes of that section additional income tax means tax arising under sec- tion ME 9B (Imputation credit account company leav- ing wholly-owned group) or ME 9C (Imputation credit account company joining wholly-owned group) additional income tax: this deﬁnition was inserted, as from 1 October 2005, by section 87(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
additional transport costs is deﬁned in section CW 14(3) (Allowance for additional transport costs) for the purposes of that section adequate rent is deﬁned in section GD 10(4) (Leases for inadequate rent) for the purposes of that section adjusted income tax liability means an adjusted in- come tax liability for a tax year calculated under section BC 6(3) (Income tax liability of ﬁling taxpayer) 2362 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 adjusted tax value — (a) (b) (c) is deﬁned in sections EE 46 to EE 51 (which relate to depreciation): for software acquired before 1 April 1993, is de- ﬁned in section EZ 19 (Adjusted tax value for software acquired before 1 April 1993): in section FE 6 (Acquisition of property by amal- gamated company on qualifying amalgamation), is deﬁned in paragraphs (a) and (b) and sections EE 21 to EE 24 (which relate to depreciation) adverse event deposit is deﬁned in section EH 64 (Other deﬁnitions) adverse event income equalisation account is deﬁned in section EH 64 (Other deﬁnitions) adverse event income equalisation scheme means the scheme referred to in section EH 1(2)(b) (Income equal- isation schemes) adverse event maximum deposit is deﬁned in section EH 62 (Meaning of adverse event maximum deposit) affected associate is deﬁned in section GC 30(1) (De- ﬁned terms for sections GC 29 to GC 31) for the pur- poses of sections GC 29 to GC 31 (which relate to ar- rangements involving money not at risk) after-income tax earnings means the after-tax net ac- counting proﬁts of a company for an accounting year, including extraordinary items and having regard to ac- counting provisions for tax and not statutory liabilities for tax, and dealt with in 1 of the following paragraphs after-tax net accounting proﬁts calculated under (a) generally accepted accounting practice and de- tailed in ﬁnancial statements, audited by a char- tered accountant (or an accountant of an equiva- lent professional standard in the country or terri- tory in which the company is resident),—
 (i) on which the accountant has given a stand- ard audit opinion, without qualiﬁcations; or 2363 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) (iii) on which the accountant has given a standard audit opinion containing quali- ﬁcations, but only relating to accounting treatments that, in the opinion of the Com- missioner, do not materially affect the calculation of amounts of underlying for- eign tax credit; or adjusted, in a manner satisfactory to the Commissioner, to eliminate any material effects of accounting treatments about which the accountant has qualiﬁed a stand- ard audit opinion; or (b) if there are no ﬁnancial statements as described in paragraph (a), after-tax net accounting proﬁts calculated under the generally accepted account- ing practice (or an equivalent standard for the reporting of net proﬁts in a consistent and non- distorting manner) of the country or territory in which the company is resident and detailed in ﬁnancial statements, audited by a chartered ac- countant (or an accountant of an equivalent pro- fessional standard in the country or territory in which the company is resident),— (i) on which the accountant has given a stand- ard audit opinion, without qualiﬁcations, to the effect that the ﬁnancial statements represent the income and ﬁnancial position of the company to the degree of validity normally required in the country or terri- tory in which the company is resident; or on which the accountant has given a standard audit opinion containing quali- ﬁcations, but only relating to accounting treatments that, in the opinion of the Com- missioner, do not materially affect the calculation of amounts of underlying for- eign tax credit; or adjusted, in a manner satisfactory to the Commissioner, to eliminate any material (ii) (iii) 2364 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 effects of accounting treatments about which the accountant has qualiﬁed a stand- ard audit opinion; or (c) (d) if there
 are no ﬁnancial statements as described in paragraph (a) and if paragraph (b) does not apply, after-tax net accounting proﬁts detailed in ﬁnancial statements— (i) that are used by the company for the pur- poses of reporting, other than reporting for income tax purposes, to any central or state government or any of such a government’s agencies or instruments as has a regulatory function; and that, if audited, are not the subject of a qualiﬁed audit opinion; or (ii) if there are no ﬁnancial statements as described in paragraph (a) and if paragraph (b) does not apply, after-tax net accounting proﬁts detailed in ﬁnancial statements— (i) that are used by the company for the pur- poses of reporting, other than reporting for income tax purposes, to creditors of the company who are not persons associated with the company; and that, if audited, are not the subject of a qualiﬁed audit opinion (ii) after-income tax loss has a meaning corresponding to the meaning of after-income tax earnings agent means a person declared by this Act to be an agent for the purposes of income tax agreement for the sale and purchase of property is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules agreement for the sale and purchase of property or services — (a) means a ﬁnancial arrangement that is a condi- tional or unconditional agreement to— acquire or dispose of property; or (i) obtain or supply services; and (ii) 2365 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) does not include a forward contract, a futures contract, an option, or a speciﬁed option air transport from New Zealand is deﬁned in section CW 45(3) (Non-resident aircraft operators) for the pur- poses of that section airport is deﬁned in section OC 1(6) (Airport operators) for the purposes of that section airport asset is deﬁned in section OC 1(6) (Airport op- erators) for the purposes of that section airport authority is deﬁned in section 2 of the Airport
 Authorities Act 1966 airport operator means the Crown, acting by and through the Minister of Transport, and any local au- thority that is an airport authority, in their respective capacities as joint venturers under a joint venture agree- ment allocation debit means an amount arising as an alloca- tion debit under section ME 8(4) (Allocation rules for imputation credits) allocation deﬁcit debit means an amount arising as an allocation deﬁcit debit under section MG 8(4) or MG 8B (Allocation rules for dividend withholding payment credits) allocation deﬁcit debit: this deﬁnition was amended, as from 1 October 2005, by section 261(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting “or MG 8B” for “or (5)”.
allowable rebates— (a) means the total of the rebates and credits of tax that a person is allowed in a tax year under Part K (Rebates), excluding rebates or credits allowed under— (i) section KC 4 (Rebate in certain cases for housekeeper): section KC 5 (Rebate in respect of gifts of money): subpart KI (Rebates for portfolio tax rate entities): (ii) (iii) 2366 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (iv) subpart KJ (KiwiSaver scheme and com- plying superannuation fund tax credits); and includes a rebate of tax a person is allowed under section EH 30 (When person entitled to rebate of income tax) or EH 79 (Sections of main income equalisation scheme that apply to thinning oper- ations income equalisation scheme) allowance is deﬁned in section HC 1(12) (Special part- nerships) for the purposes of that section amalgamated company means the 1 company that re- sults from and continues after an amalgamation and that may be 1 of the amalgamating companies or a new com- pany amalgamating company means a company that amal- gamates with 1 or more other companies under an amal- gamation amalgamation means an amalgamation to which both the following apply (a) it— (i) (ii) (iii) the occurs under Part 13 or 15 of Companies Act 1993; or occurred under section 24A of the Co-op- erative Dairy Companies Act 1949; or occurs or occurred under a foreign law that has the same effect as, or a similar effect to, the provisions referred to in subpara- graphs (i) and (ii); and (b) it causes 2 or more companies to amalgamate and continue as 1 company amalgamation provisions is deﬁned in section FE 1(2) (Amalgamation of companies: purpose) for the pur- poses of that section amount — (a) (b) includes an amount in money’s worth: in sections CB 22 (Disposal of timber or right to take timber), CB 23 (Disposal of land with stand- 2367 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 ing timber), and CB 25 (Disposal of minerals), includes the amount treated as— (i) the price paid or realised under
 section FB 4 (Income derived from disposal of trading stock together with other assets of busi- ness): the consideration under section FF 7 (Dis- posal of timber under matrimonial agree- ment): the price realised under section GD 1 (Sale of trading stock for inadequate consider- ation): the price realised under section GD 2 (Dis- tribution of trading stock to shareholders of company): (ii) (iii) (iv) (f) (c) (e) (d) is deﬁned in section EH 35(2) (Meaning of main maximum deposit) for the purposes of that sec- tion: is deﬁned in section EH 80(3) (Meaning of thin- ning operations maximum deposit) for the pur- poses of that section: is deﬁned in section GD 13(13) (Cross-border ar- rangements between associated persons) for the purposes of that section: is deﬁned in section ND 1C(4) (Subsidised trans- port: value of beneﬁt) for the purposes of that section: is deﬁned in section ND 1H(2) (Contributions to superannuation schemes: value of beneﬁt) for the purposes of that section: is deﬁned in section ND 1K(2) (Services: value of beneﬁt) for the purposes of that section amount of all consideration is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules amount of the debenture is deﬁned in section FC 2(5) (Interest on debentures issued in substitution for shares) for the purposes of that section (g) (h) 2368 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 annual gross income is deﬁned in section BC 2 (An- nual gross income) annual imputation return means the return to be ﬁled with the Commissioner by a company under section 69 of the Tax Administration Act 1994 annual income tax balance date is deﬁned in section EG 1(10) (Election to use balance date used in foreign country) for the purposes of that section annual rate is deﬁned in section EE 52 (Meaning of annual rate) annual rates means the rates of income tax ﬁxed for a tax year by the annual taxing Act for that year annual taxing Act means the provisions of any
 Act by which the rates of income tax are ﬁxed for a tax year annual total deduction is deﬁned in section BC 3 (An- nual total deduction) applicable basic tax rate means,— (a) for a person other than a person to whom section 39 of the Tax Administration Act 1994 applies and for a tax year, the basic rate of income tax under schedule 1 (Basic rates of income tax and speciﬁed superannuation contribution withhold- ing tax) that is applicable to the person’s taxable income for the tax year; or for a person and for a tax year for which the per- son is ﬁling a return under section 39 of the Tax Administration Act 1994 for a period that is less than or greater than 12 months, the basic rate of income tax under schedule 1 that would apply if the person’s taxable income for the tax year were an amount calculated using the formula— (b) where— a is the number of days in the period for which the person is ﬁling a return b is the person’s taxable income for the period 2369 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 approved issuer means a person for whom an approval under section NG 6 (Approval of person as approved issuer) is in force arrangement means an agreement, contract, plan, or understanding (whether enforceable or unenforceable), including all steps and transactions by which it is carried into effect arrangement for assistance entered into by the government of New Zealand is deﬁned in section CW 18(3) (Amounts derived by overseas experts and trainees in New Zealand by government arrangement) for the purposes of that section assessable income is deﬁned in section BD 1(5) (In- come, exempt income, excluded income, non-residents’ foreign-sourced income, and assessable income) assessment is deﬁned in section 3(1) of the Tax Administration Act 1994 asset — (a) is deﬁned in section CU 11 (Meaning of asset for sections CU 3 to CU 10) for the purposes of sections CU 3 to CU 10 (which relate to income from mining): is deﬁned in section DU 8 (Meaning of asset
 for sections DU 1 to DU 7) for the purposes of sec- tions DU 1 to DU 7 (which relate to deductions for mining) (b) associated mining operations is deﬁned in section CU 29 (Other deﬁnitions) associated person, and other expressions about the as- sociation of persons with each other, are deﬁned in sec- tions OD 7 (Deﬁning when 2 persons are associated per- sons) and OD 8 (Further deﬁnitions of associated per- sons) association is deﬁned in section HF 1(9) (Proﬁts of mu- tual associations in respect of transactions with mem- bers) for the purposes of that section at all relevant times is deﬁned in section OD 5(6C) (Modiﬁcations to measurement of voting and market 2370 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 value interests in case of continuity provisions) for the purposes of section OD 5(6A)(c)(ii) attributed CFC income is deﬁned in section CQ 2 (When attributed CFC income arises) attributed CFC loss is deﬁned in section DN 2 (When attributed CFC loss arises) attributed CFC net loss, for a person and for an in- come year in which they have an attributed CFC loss, means the part of the loss that the person is denied as a deduction because of section DN 4 (Ring-fencing cap on deduction), but must instead deal with under Part I (Treatment of net losses) attributed repatriation is deﬁned in section CD 34 (When does a person have attributed repatriation from a CFC?)
attributing interest means an attributing interest in a foreign investment fund as deﬁned in sections EX 30 to EX 37 (which relate to attributing interests in FIFs) attribution company means a company described as an attribution company in section GC 14EB(1) (Treatment of dividends as if from qualifying company) Australian approved deposit fund is an approved de- posit fund as deﬁned in section 10 of the Superannu- ation Industry (Supervision) Act 1993 (Aust) Australian approved deposit fund: this deﬁnition was inserted, as from 1 April 2005, by section 155(3) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81).
Australian exempt public sector superannuation scheme is an exempt public sector superannuation scheme as deﬁned in section 10 of the Superannuation Industry (Supervision) Act 1993 (Aust) Australian exempt public sector superannuation scheme: this deﬁnition was in- serted, as from 1 April 2005, by section 155(3) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
2371 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Australian ﬁnancial year is deﬁned in section CV 4 (Regulations: Australian wine producer rebate) for the purposes of that section Australian ﬁnancial year: this deﬁnition was inserted, as from 21 December 2005, by section 191(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Australian imputation credit account company means a company that is required by section ME 1A (Companies electing to maintain imputation credit account) to maintain an imputation credit account Australian regulated superannuation fund is a regu- lated superannuation fund as deﬁned in section 19 of the Superannuation Industry (Supervision) Act 1993 (Aust) Australian regulated superannuation fund: this deﬁnition was inserted, as from 1 April 2005, by section 155(4) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Australian retirement savings account is a retirement savings account as deﬁned in section 8 of the Retirement Savings Accounts Act 1997 (Aust) Australian retirement savings account: this deﬁnition was inserted, as from 1 April 2005, by section 155(4) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Australian wine producer rebate means a producer rebate (under A New Tax System (Wine Equalisation Tax) Act 1999 (Aust), as amended from time to time, and regulations made under that Act) that relates to wine exported from New Zealand on or after 1 July 2005 Australian wine producer rebate: this deﬁnition was inserted, as from 21 De- cember 2005, by section 6 Taxation (Urgent Measures) Act 2005 (2005 No 121).
author is deﬁned in section EI 3(6) (Assigning or grant- ing copyright) for the purposes of that section authorised savings institution means an authorised savings institution as deﬁned in the Farm Ownership Savings Act 1974, the Home Ownership Savings Act 1974, or the Fishing Vessel Ownership Savings Act 1977 available capital distribution amount means the amount calculated for a share in a company under section CD 33 (Available capital distribution amount) 2372 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 available net loss means an amount a person is entitled to offset against net income under Part I (Treatment of net losses) available subscribed capital means the amount calcu- lated for a share in a company under section CD 32 (Available subscribed capital amount) balance date is deﬁned in schedule 13 (Months for pay- ment of provisional tax and terminal tax) for the pur- poses of subpart MB and that schedule balance date: this deﬁnition was amended, as from 3 April 2006, by section 191(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3) by inserting the words “subpart MB and” after the words “purposes of”.
balloted loan right is deﬁned in section DV 10(3) (Building societies) for the purposes of that section banking company means a person carrying on in New Zealand the business of banking base amount is deﬁned in section MB 7(2) (GST ratio method) for the purposes of that section base premium for the 1998-99 premium year is de- ﬁned in section EZ 28(3) (Base premium for 1998-99 premium year under Accident Insurance Act 1998) for the purposes of that section base ratio, for a taxable Maori authority distribution, means an amount calculated using the formula— where— Maori authority credit is the amount of the Maori authority credit attached to the distribution; if a Maori authority credit is not attached, the amount is zero distribution is the amount of the distribution by the Maori authority, excluding any Maori authority credit 2373 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 basic rates means the rates of income tax speciﬁed in schedule 1 (Basic rates of income tax and speciﬁed superannuation contribution withholding tax) basic tax deductions means the amounts of tax deduc- tions speciﬁed in schedule 19 (Basic tax deductions) basis of exemption is deﬁned in section NF 9(2) (Cer- tiﬁcates of exemption) for the purposes of sections NF 11 (Cancellation of certiﬁcates of exemption) and NF 9 benchmark distribution, for a Maori authority and an imputation year, means the ﬁrst taxable Maori authority distribution by the Maori authority in the imputation year benchmark dividend means the ﬁrst dividend paid by a company in an imputation year that is not 1 of the following kinds (a) a distribution of a co-operative company for which the company has made a determination under section ME 35 (Co-operative company may make annual determination to attach imput- ation credit to certain distributions): a dividend to which the company is not allowed by section ME 6 (Company may attach imput- ation credit to dividend) to attach an imputation credit (b) benchmark dividend: this deﬁnition was substituted, as from
 21 July 2005, by section 191(5) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
beneﬁciary is deﬁned in section DX 1(5) (Testamentary annuities) for the purposes of that section beneﬁciary income, for a person who is a beneﬁciary of a trust, other than a unit trust, and for an income year,— (a) means— (i) income derived in the income year by a trustee of the trust to the extent to which it vests, in the income year, absolutely in interest in the beneﬁciary; or income derived in the income year by a trustee of the trust to the extent to which the trustee pays or applies it to or for the (ii) 2374 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iii) (iv) beneﬁt of the beneﬁciary in, or within 6 months after the end of, the income year; or a foreign-sourced amount derived in the income year by a trustee of a trust that would have been income of the trustee had any settlor of the trust been resident in New Zealand at any time in the income year, to the extent to which it vests, in the income year, absolutely in interest in the beneﬁciary; or a foreign-sourced amount derived in the income year by a trustee of a trust that would have been income of the trustee had any settlor of the trust been resident in New Zealand at any time in the income year, to the extent to which the trustee pays or applies it to or for the beneﬁt of the beneﬁciary in, or within 6 months after the end of, the income year; and (b) does not include— (i) income derived by a trustee in an income year in which the trust is a superannuation fund; or income of a trustee to which section CC 3(2) (Financial arrangements) applies (ii) beneﬁciary income: paragraph (b)(ii) of this deﬁnition was amended by sec- tion 87(3) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting the expression “section CC 3(2)” for the expres- sion “section CC 3” with application as from the 2005–06 income year.
beneﬁt is deﬁned in section DB 36(5) (Bribes paid to public ofﬁcials) for the purposes of that section binding ruling is deﬁned in section 3 of the Tax Administration Act 1994 bloodstock — (a) means a horse that is a member of the standard- bred or thoroughbred breed of horses; and includes a share or interest in such a horse (b) body is deﬁned in section NF 10(6) (Unincorporated bodies) for the purposes of that section 2375 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 bonus issue— (a) means the issue of shares in a company, or the giving of credit for some or all of the amount unpaid on any shares in a company, or the for- giveness of some or all of the amount unpaid on any shares in a company, if the company receives no consideration for the issue, crediting, or for- giveness other than consideration by way of the shareholder’s electing not to receive money or money’s worth as an alternative to the issue; and for any issue or crediting on or before 20 August 1985, does not include any extent to which the issue or crediting was excluded, at the time it occurred, from the meaning of bonus issue under section 3(3) or (4) of the Income Tax Act 1976 (b) bonus issue in lieu means a bonus issue made, on or after 1 October 1988, under an arrangement conferring on shareholders of a company an election whether to receive— (a) (b) money; or (c) money’s worth, other than money’s worth that is a bonus issue; or a bonus issue branch equivalent company means, at any time for any person, a company that is at the time— (a) (b) a controlled foreign company; or a company from which the person is deriving FIF income or incurring FIF loss that they calculate using the branch equivalent method (including income or loss under section EX 43(6) (Branch equivalent method)) branch equivalent income, for a foreign company and for an accounting period, means the amount of income for the accounting period calculated under section EX 21 (Branch equivalent income or loss: calculation rules) branch equivalent loss, for a
 foreign company and for an accounting period, means the amount of loss for the accounting period calculated under section EX 21 (Branch equivalent income or loss: calculation rules) 2376 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 branch equivalent method means the method of calcu- lating FIF income or FIF loss in section EX 43 (Branch equivalent method) branch equivalent tax account means the account maintained by a branch equivalent tax account com- pany under section MF 1(3) (Company may elect to maintain branch equivalent tax account) or a branch equivalent tax account person under section MF 11(3) (Person may elect to maintain branch equivalent tax account) branch equivalent tax account company means a company that, having made an election under section MF 1(1) (Company may elect to maintain branch equivalent tax account), is required by section MF 1(3) to maintain a branch equivalent tax account branch equivalent tax account person means a person who is not a company and who, having made an election under section MF 11(1) (Person may elect to maintain branch equivalent tax account), is required by section MF 11(3) to maintain a branch equivalent tax account bribe is deﬁned in section DB 36(5) (Bribes paid to public ofﬁcials) for the purposes of that section broodmare means a broodmare that is bloodstock building society is deﬁned in section 2 of the Building Societies Act 1965 business — (a) includes any profession, trade, manufacture, or undertaking carried on for pecuniary proﬁt: is further deﬁned in section DD 11 (Some deﬁni- tions) for the purposes of subpart DD (Entertain- ment expenditure) (b) business contacts is deﬁned in section DD 11 (Some deﬁnitions) for the purposes of subpart DD (Entertain- ment expenditure) business premises is deﬁned in section DD 11 (Some deﬁnitions) for the purposes of subpart DD (Entertain- ment expenditure) 2377 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 business purposes has the
 same meaning as business use business tool means an item that is used by an employee in the performance of their work duties and in the ab- sence of section CX 18B (Business tools) would give rise to an unclassiﬁed beneﬁt business tool: this deﬁnition was inserted, as from 1 April 2006, by section 191(6) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellan- eous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006. business use, for a motor vehicle and for a person, means travel undertaken by the vehicle wholly in de- riving the person’s income calculation method, for the calculation of FIF income or FIF loss, means any of the accounting proﬁts method, the branch equivalent method, the comparative value method, the deemed rate of return method, the fair divi- dend rate method, and the cost method calculation method: this deﬁnition was substituted, as from 1 April 2007, by section 155(5) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
See section 155(49) of that Act as to the application of this amendment for income years beginning on or after 1 April 2007. cancellation, for a company and for a share, means the acquisition, redemption, or other cancellation of the whole share by the company, including on the liquid- ation of a company, and when a stapled debt security ceases to be a share capital limitation is deﬁned in section DA 2(1) (Gen- eral limitations) capital property is deﬁned in section CD 33(18) (Available capital distribution amount) for the purposes of that section cash accounting method is deﬁned in section EG 2(4) (Adjustment for changes to accounting practice) for the purposes of that section cash basis person is deﬁned in section EW 54 (Mean- ing of cash basis person) casual agricultural employee means— a casual agricultural worker: (a) a shearer: (b) 2378 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 a shearing shed hand (c) casual agricultural worker means a person engaged on a day to day basis for a period of no more than 3 months as a casual seasonal worker for the exclusive purpose of doing seasonal agricultural, horticultural, market gardening, nursery, orchard, or tobacco farming work, or other seasonal work that, in the opinion of the Commissioner, is work of a like nature to those classes of work category A income, for a group investment fund that is not a designated group investment fund, means so much of the income derived from the investments and funds of the group investment fund in a tax year as is calculated using the formula— where— a b is the speciﬁed value is the current value of all the investments and funds of the group investment fund c is the income derived from all the investments and funds of the group investment fund in the tax year category B income, for a group investment fund that is not a designated group investment fund, means so much of the income derived from the investments and funds of the group investment fund in a tax year as is not category A income certiﬁcate of
 entitlement means a certiﬁcate issued under section KD 5 (Credit of tax by instalments) certiﬁcate of exemption means a certiﬁcate issued under section NF 9 (Certiﬁcates of exemption) CFC has the same meaning as controlled foreign com- pany charitable organisation— (a) means, for a quarter or an income year, an asso- ciation, fund, institution, organisation, society, or 2379 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 trust to which section KC 5(1) (Rebate in respect of gifts of money) applies— in the quarter; or (i) in the income year, if fringe beneﬁt tax (ii) is payable on an income year basis under section ND 14 (Payment of fringe beneﬁt tax on income year basis for shareholder- employees); and does not include a local authority, a public au- thority, or a university (b) charitable purpose includes every charitable purpose, whether it relates to the relief of poverty, the advance- ment of education or religion, or any other matter bene- ﬁcial to the community charitable trust is deﬁned in section HH 1(5) (Inter- pretation) for the purposes of the trust rules and section HH 1 chief executive of the department currently respon- sible for administering the Social Security Act 1964 — (a) means the chief executive of that department ap- (b) pointed under the State Sector Act 1988; and includes any person for the time being authorised to exercise or perform any of the powers or func- tions of the chief executive, whether by delega- tion by the chief executive or otherwise child — (a) (b) is deﬁned in section KC 4(2) (Rebate in certain cases for housekeeper) for the purposes of that section: in subpart KD (Tax credits for families), and in the deﬁnition of dependent child, means a per- son who is not in a marriage, civil union, or de facto relationship, and who— (i) (ii) is aged 15 years or less; or is aged 16 or 17 years and is not ﬁnancially independent; or is aged 18 years and is a person for whom a credit of tax is allowed under section KD 2
 (iii) 2380 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (Calculation of subpart KD credit) or both sections KD 2 and KD 3 (Calculation of minimum family tax credit) child tax credit, means the component of the subpart KD credit calculated under section KD 2(4) (Calcula- tion of subpart KD credit).
child tax credit: this deﬁnition was substituted, as from 1 April 2005, by section 11(2) Taxation (Working for Families) Act 2004 (2004 No 52).

civil penalty is deﬁned in section 3(1) of the Tax Administration Act 1994 civil penalty: this deﬁnition was inserted, as from 1 October 2005, by sec- tion 87(4) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
civil union partner, in sections KC 3 (Transitional tax allowance) and subpart KD (Tax credits for families), and in the deﬁnitions of eligible period, full-time earner, fully employed person, and separated person (paragraph (b))), does not include a separated person claim, in the life insurance rules, is deﬁned in section EY 7 (Meaning of claim) claim of right means a belief that an act is lawful, al- though the belief may be based on ignorance, or mis- take, of— (a) (b) fact; or any matter of law other than the enactment against which the offence is alleged to have been committed class, in subpart EC (Valuation of livestock), and in the deﬁnition of national average market value,— (a) means a category of livestock listed in schedule 8, column 2 (Types and classes of livestock); and (b) when used of a particular type of livestock, means any of the categories listed for that par- ticular type close company — (a) means, at any time, a company to which 1 of the following applies: (i) at the time there are 5 or fewer natural persons the total of whose voting interests 2381 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) in the company is more than 50% (treating all natural persons associated at the time as 1 natural person); or at the time a market value circumstance exists for the company and there are 5 or fewer natural persons the total of whose market value interests in the company is more than 50% (treating all natural per- sons associated at the time as 1 natural per- son); and (b) in section OB 2(2) (Meaning of source deduction payment: shareholder-employees of close com- panies), includes a company with 25 or fewer shareholders; and (c) does not include a special corporate entity close of trading spot exchange rate, for any foreign currency on any day, means— (a) the rate of a spot contract for the purchase of New Zealand dollars using the foreign currency at any time on that day on a market approved, with the rate ascertained from the sources of information approved, by the
 Commissioner in determination G6D made under section 64E of the Income Tax Act 1976 (or a determination issued in substitu- tion for that determination) and, if such a rate cannot be ascertained for that day, then the rate on the next day on which it can be ascertained and that is no later than 5 working days after the ﬁrst day; or if, for any foreign currency, no such rate of a spot contract can be so ascertained, the cross rate determined as at 3.00 pm New Zealand time on that day by applying the method outlined in para- graph 6(3)(c) of determination G6D made under section 64E of the Income Tax Act 1976 (or in the corresponding paragraph of a determination issued in substitution for that determination); or if, for any foreign currency, paragraphs (a) and (b) do not apply, the rate determined by apply- (b) (c) 2382 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 ing the method speciﬁed in paragraph 6(2) of de- termination G9A made under section 64E of the Income Tax Act 1976 (or in the corresponding paragraph of a determination issued in substitu- tion for that determination) (b) (ii) closely-held company means, at any time, a company to which 1 of the following applies (a) at the time there are 5 or fewer persons the total of whose direct voting interests in the company is more than 50% (treating all persons associated at the time as 1 person); or at the time,— (i) a market value circumstance exists for the company; and there are 5 or fewer persons the total of whose direct market value interests in the company is more than 50% (treating all persons associated at the time as 1 person) closing stock, for a person and for an income year, means trading stock of the person at the end of the in- come year combined imputation and dividend withholding payment ratio, for a dividend with both an imput- ation credit and a dividend withholding payment credit attached, means an amount calculated using the for- mula— where— a b is the amount of the total of
 the imputation credit and the dividend withholding payment credit is the amount of the dividend paid (exclusive of the imputation credit and the dividend withhold- ing payment credit) combined tax and earner levy deduction has the same meaning as combined tax and earner premium deduc- tion 2383 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 combined tax and earner premium deduction means, for a source deduction payment, the total of— (a) the tax deduction required to be made from the source deduction payment under the PAYE rules; and the deduction required to be made from the source deduction payment under— (i) (b) section 115 of the Accident Rehabilitation and Compensation Insurance Act 1992, on account of the earner’s premium payable by employees under the Act; or section 285 of the Accident Insurance Act 1998, on account of the earner’s premium payable by employees under the Act; or section 221 of the Injury Prevention, Rehabilitation, and Compensation Act 2001, on account of the earner’s levy payable by employees under the Act (ii) (iii) commencement date, in subpart LF (Underlying for- eign tax credits), and in the deﬁnition of eligible ac- counting year, means, for a company, the ﬁrst day of the company’s accounting year in which 28 September 1993 falls commencement of this Act, in sections YA 3 (Transi- tional provisions), YA 4 (Saving of binding rulings), YA 5 (Saving of accrual determinations), and YA 6 (Com- parative tables of old and new provisions), means com- mencement under section A 2(2) (Commencement) commercial bill— (a) includes— (i) a document creating or securing a legal or equitable security over goods (as deﬁned in section 16 of the Personal Property Securities Act 1999) for the payment of money owing or to become owing, whether or not the document is registered under an Act; and a bill of exchange (as deﬁned in section 3 of the Bills of Exchange Act 1908); and (ii) 2384 Reprinted as at 29 August 2011 Income Tax Act 2004 Part
 O s OB 1 (iii) (iv) (v) (vi) a promissory note (as deﬁned in section 84 of the Bills of Exchange Act 1908), other than a banknote; and a Treasury Bill; and a document or agreement that has substan- tially the same purpose or effect as an item referred to in any of subparagraphs (i) to (iv); and a share or interest in an item referred to in any of subparagraphs (i) to (v); and (b) does not include— (i) (ii) a debenture or bond for the payment of a security issued by a body corporate; or a security, whether legal or equitable, over an estate or interest in land commercial production means the production of pet- roleum— (a) in a state suitable for delivery to a buyer, con- sumer, processor, reﬁnery, or user; and in commercial quantities; and on a continuing basis (b) (c) commission agency contract is deﬁned in section OE 5(2) (Commission agency contracts performed out of New Zealand) for the purposes of that section commission agent is deﬁned in section OE 5(2) (Commission agency contracts performed out of New Zealand) for the purposes of that section Commissioner means the Commissioner of Inland Revenue as deﬁned in the Tax Administration Act 1994 common interests is deﬁned in section OD 5(6D) (Modiﬁcations to measurement of voting and market value interests in case of continuity provisions) for the purposes of section OD 5(6B) common market value interest— (a) is deﬁned in section IG 1(5) (Companies in- cluded in group of companies) for the purposes of that section: 2385 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) is deﬁned in section OD 5(6E) (Modiﬁcations to measurement of voting and market value inter- ests in case of continuity provisions) for the pur- poses of section OD 5(6D) common voting interest— (a) (b) is deﬁned in section IG 1(5) (Companies in- cluded in group of companies) for the purposes of that section: is deﬁned in section OD 5(6E) (Modiﬁcations to measurement of voting and market value inter- ests in case of continuity
 provisions) for the pur- poses of section OD 5(6D) Commonwealth— (a) means the British Commonwealth of Nations; (b) and includes every territory for whose international relations the Government of any country of the Commonwealth is responsible communal home is deﬁned in section KC 4(2) (Rebate in certain cases for housekeeper) for the purposes of that section community trust Community Trusts Act 1999 is deﬁned in section 4 of the community trust: this deﬁnition was amended, as from 1 April 2005, by sec- tion 261(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting “section 4” for “section 2”.
(b) (c) company — (a) means a body corporate or other entity that has a legal existence separate from that of its mem- bers, whether it is incorporated or created in New Zealand or elsewhere: includes a unit trust: includes a group investment fund that is not a designated group investment fund, but only to the extent to which the fund results from investments made into it that are— (i) not from a designated source, as deﬁned in section HE 2(3) (Group investment funds); and 2386 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) not made before 23 June 1983, including an amount treated as invested at that date under paragraph (c) or (d) of the deﬁnition of protected amount in section HE 2(3) (Group investment funds): (d) (e) (f) (g) (h) (i) (j) a the under registered includes an airport operator: includes a statutory producer board: society includes Incorporated Societies Act 1908: includes a society registered under the Industrial and Provident Societies Act 1908: includes a friendly society: includes a building society: is further deﬁned in section EX 31(7) (Direct in- come interests in FIFs) for the purposes of that section company dividend statement means a statement re- quired by section 67 of the Tax Administration Act 1994 to be completed and retained by a company for a divi- dend comparative value method means the method of cal- culating FIF income or FIF loss in section EX 44 (Com- parative value method) completed, for a ﬁlm, means the completion of the ﬁlm to— (a) the stage of production at which the ﬁlm has been completely edited, shot by shot, to its ﬁnal length; or a production stage equivalent to that described in paragraph (a) (b) complying fund calculation period is deﬁned in sec- tion NE 3B(4) (Calculation amounts in relation to a cur- rent speciﬁed superannuation contribution for comply- ing superannuation fund) for the purposes of that sec- tion complying fund calculation period: this deﬁnition was inserted, as from 18 De- cember 2006, by section 155(6) Taxation (Savings
 Investment and Miscellan- eous Provisions) Act 2006 (2006 No 81).
2387 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 complying fund rules, for a superannuation fund, and for an employee’s superannuation accumulation, means rules that— (a) are the same as the rules for KiwiSaver schemes in schedule 1, clauses 2, 4(1) to (4), 7, 9, and 17 of the KiwiSaver Act 2006 (with necessary modiﬁcations); and allow withdrawals in some or all of the circum- stances described in regulations made under section 229(1) of the KiwiSaver Act 2006 and the rules for KiwiSaver schemes in schedule 1, clauses 8 and 10 to 14 of the KiwiSaver Act 2006 (with necessary modiﬁcations), or in none of those circumstances; and do not allow withdrawals under any other circum- stances except those described in paragraphs (a) and (b); and require that an employee’s superannuation accu- mulation is used to fund beneﬁts that are calcu- lated only by reference to the amount of that ac- cumulation; and require the trustees, at the member’s request, to pay any withdrawal that is allowed under the rules in paragraphs (a) to (c) as a lump sum, as if the withdrawal were a permitted withdrawal to which schedule 1, clause 5 of the KiwiSaver Act 2006 applied (with necessary modiﬁcations); and require a transfer of all or part of an employee’s superannuation accumulation to another com- plying superannuation fund, or to a KiwiSaver scheme, if the employee requests such a transfer and, in the case of a transfer to a KiwiSaver scheme, the requirements of the KiwiSaver Act 2006 are met; and require that an employee’s superannuation accu- mulation is subject to complying fund rules, if it is transferred to another complying superannu- ation fund in accordance with paragraph (d); and (b) (c) (cb) (cc) (d) (e) 2388 Reprinted as at 29 August 2011 (eb) Income Tax Act 2004 Part O s OB 1 require that, for a transfer to another comply- ing superannuation fund in accordance with para- graph (d), the new fund provider is given notice of— (i) any written evidence provided to the old fund provider by the member under sec-
 tion KJ 2(f) (Person’s requirements); and the amounts of tax credits received by the old fund provider under subpart KJ (Kiwi- Saver scheme and complying superannu- ation fund tax credits); and any information held by the old fund provider that would be relevant to the new fund provider making a claim under section 68C of the Tax Administration Act 1994, including information as to the periods for which claims have already been made; and (ii) (iii) (f) (g) require a transfer of an employee’s superannu- ation accumulation to a KiwiSaver scheme, if the employee does not request a transfer in accord- ance with paragraphs (d) and (e), and the em- ployee— (i) ceases to be eligible to be a member of their complying superannuation fund: (ii) may not remain a member for any rea- son except a transfer in accordance with paragraphs (d), (e), and (g), or a with- drawal of all or part of an employee’s superannuation accumulation in accord- ance with complying fund rules; and require a transfer of an employee’s superannu- ation accumulation to a KiwiSaver scheme, if the Government Actuary revokes approval of the superannuation fund as a complying superannu- ation fund and the accumulation is not transferred to another complying superannuation fund and is not subject to complying fund rules; and 2389 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (h) (i) (j) (k) (l) (m) (n) require that the Commissioner is notiﬁed that the employee’s superannuation accumulation must be transferred in accordance with paragraphs (f) and (g), and the notice must include the name, address, and tax ﬁle number of the employee, the name and address of their employer, and the name and tax ﬁle number of the employee’s com- plying superannuation fund; and require, as a minimum, the same contributions to be deducted for an employee as those provided by section 66 or 66A of the KiwiSaver Act 2006 ignoring the 8% contribution rate; and prevent a person over the New Zealand super-
 annuation qualiﬁcation age from joining; and [Repealed] are the same as the rules in sections 101G and 196 of the KiwiSaver Act 2006 for KiwiSaver schemes (with necessary modiﬁcations); and commit an employee to continue to be a member unless otherwise provided by rules described in paragraphs (a) to (l); and do not derogate from rules described in para- graphs (a) to (m) complying superannuation fund means a superannu- ation fund that is approved as a complying superannu- ation fund by the Government Actuary under section 35 of the Superannuation Schemes Act 1989 complying superannuation fund: this deﬁnition was inserted, as from 18 De- cember 2006, by section 155(6) Taxation (Savings Investment and Miscellan- eous Provisions) Act 2006 (2006 No 81).
compulsory employer contribution has the same meaning as in the KiwiSaver Act 2006. conduct, in sections FF 18 (Land used in speciﬁed ac- tivity) and IE 2 (Speciﬁed activity net losses), and in the deﬁnitions of existing farmer and speciﬁed activ- ity, means carry on or engage in or hold an interest in a speciﬁed activity, whether— (a) alone; or 2390 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) in association with any other person or persons as— (i) (ii) (iii) (iv) a member of a partnership; or a member of a special partnership; or a joint venturer; or a co-owner conduit tax relief account means the account a conduit tax relief company must maintain under section MI 2 (Company may elect to be conduit tax relief company and maintain conduit tax relief account) conduit tax relief additional dividend means a divi- dend paid under section LG 1 (Conduit tax relief addi- tional dividends) conduit tax relief company means— (a) a company that has made an election under sec- tion MI 2 (Company may elect to be conduit tax relief company and maintain conduit tax relief account), until the revocation of that election is effective: a company that is a conduit tax relief company under section MI 16 (Consolidated group mem- ber is conduit tax relief company) (b) conduit tax relief credit means the credit attached to the dividend under section MI 7 (Attachment of conduit tax relief credit to dividend) conduit tax relief group member is deﬁned in sec- tion OE 7(3) (Conduit tax relief holding companies and group members) conduit tax relief holding company is deﬁned in sec- tion OE 7(1) (Conduit tax relief holding companies and group members) consideration,— (aa) in section CD 32 (Available subscribed capital amount), includes the amount owing under a sta- pled debt security when the security ceases to be a share: in sections CT 1, CT 2, CX 36, DT 2 to DT 4, and DT 8 (which relate to petroleum mining), (a) 2391 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 and in the deﬁnitions of farm-out
 arrangement and petroleum miner, includes money received or receivable and the market value of property, other than money, received or receivable: for the purposes of section EE 37 (Application of sections EE 41 to EE 44), is deﬁned in section EE 38 (Consideration for purposes of section EE 37): (b) (c) means an amount determined under the ﬁnancial arrangements rules in— (i) (ii) the ﬁnancial arrangements rules: section EX 21(11) (Branch equivalent in- come or loss: calculation rules): section FC 10(8)(a) (Taxation of hire pur- chase agreements): section FD 10(4A)(b)(i) (Special provi- sions relating to dispositions of property): section FE 6(6)(b)(i) (Acquisition of prop- erty by amalgamated company on qualify- ing amalgamation): section FE 7(2)(b)(i) (Succession of obli- gations of amalgamating company under ﬁnancial arrangement on amalgamation): section FE 10(6) (Treatment of ﬁnan- cial arrangements between amalgamating companies): (iii) (iv) (v) (vi) (vii) (viii) section HH 5(b) (Existing trusts becoming (ix) subject to tax): the deﬁnitions of lessee’s acquisition cost and lessor’s disposition value consolidated group means, at any time, a consolidated group formed under section FD 4 (Formation of con- solidated group) as it is constituted at that time consolidated imputation group means— (a) (b) (c) an imputation group: a resident imputation subgroup: a consolidated group, no member of which is a member of an imputation group 2392 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 consolidation rules means— (a) the following provisions: (i) (ii) subpart FD (Consolidation of companies): section GC 24 (Application of speciﬁc to consolidated imputation provisions groups): subpart HB (Consolidated groups of com- panies): section IG 6 (Loss carry forward and grouping by consolidated group and con- solidated group members): section IG 7 (Attributed CFC net losses and FIF net losses of consolidated group members): section LC 16 (Foreign tax credits of
 con- solidated group members): sections MB 29 to MB 32 (relating to pro- visional tax of consolidated group mem- bers): (iii) (iv) (v) (vi) (vii) (viii) sections ME 10 to ME 14 (which relate to (ix) (x) (xi) (xii) consolidated groups): sections ME 25 to ME 28 (which relate to policyholder credit accounts and consoli- dated groups): section ME 40 (Determinations by Com- missioner as to credits and debits arising to imputation credit account): sections MF 7 to MF 10 (which relate to consolidated groups): sections MG 13 to MG 16A (which relate to consolidated groups): (xiii) section NB 1 (Withholding tax obligations of consolidated group members): (xiv) section NH 5 (Dividend withholding pay- (xv) ments and consolidated groups): section NH 6 (Application of speciﬁc divi- dend withholding payment provisions to consolidated groups); and 2393 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) sections 73 and 74 of the Tax Administration Act 1994 contaminant means a contaminant as deﬁned in section 2(1) of the Resource Management Act 1991 contaminant: this deﬁnition was inserted, as from 1 October 2005, by section 87(5) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
continental shelf is deﬁned in the Continental Shelf Act 1964 continuity provisions — (a) means— (i) section GC 2 (Arrangements to defeat ap- plication of net loss carry forward provi- sions); and section GC 4 (Arrangement to defeat ap- plication of net loss offset provisions); and section IE 1 (Net losses may be offset against future net income); and section IF 1 (Net losses may be offset against future net income); and section IG 2(1) and (2)(e) (Net loss offset between group companies); and section LE 2(7) (Credits in respect of divi- dends to non-resident investors); and section ME 5(1)(i) (Debits arising to im- putation credit account); and (ii) (iii) (iv) (v) (vi) (vii) (ix) (viii) section MF 4(1)(e) and (3)(d) (Credits and debits arising to branch equivalent tax ac- count of company); and section MG 5(1)(i) (Debits arising to divi- dend withholding payment account): for a Maori authority that is a company, means— section GC 2 (Arrangements to defeat ap- (i) plication of net loss carry forward provi- sions); and section GC 4 (Arrangement to defeat ap- plication of net loss offset provisions); and section IE 1 (Net losses may be offset against future net income); and (iii) (ii) (b) 2394 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (v) (iv) (vi) section IF 1 (Net losses may be offset against future net income); and section IG 2(1) and (2)(e) (Net loss offset between group companies); and section MF 4(1)(e) and (3)(d) (Credits and debits arising to branch equivalent tax ac- count of company); and section MG 5(1)(i) (Debits arising to divi- dend withholding payment account); and (viii) section MK 5(1)(f) (Debits arising to (vii) Maori authority credit account) contract of service is deﬁned in section DC 4(5) (Pay- ments to working partners) for the purposes of that sec- tion contribution, in the FBT rules, means a contribu- tion made— (a) (b) directly; or indirectly by reimbursement through another per- son control, for a company, is deﬁned in section OD 1 (Deﬁning when company is under
 control of persons) control interest, for a foreign company, is deﬁned in sections EX 2 (Four categories for calculating control interests) and EX 7 (Indirect control interests) control interest category means 1 of the categories of control interest listed in section EX 2(2) (Four categor- ies for calculating control interests) controlled foreign company is deﬁned in section EX 1 (Meaning of CFC) controlled foreign company tax credit means a tax credit available for crediting under section LC 4(1) (For- eign tax credits: CFCs) controlled petroleum mining company means a com- pany that is a petroleum miner if— (a) 90% or more in value of its outstanding shares are held, directly or indirectly, by or for 5 or fewer persons; and the market value of a petroleum permit, includ- ing an asset of the kind described in section CT (b) 2395 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 7(1)(b) or (c) (Meaning of petroleum mining as- set) attributable to the permit, held by the com- pany is at least 75% of the value of its assets minus its liabilities, as shown in the company’s audited ﬁnancial statement or accounts prepared under generally accepted accounting practice (b) controlled petroleum mining entity means— (a) (b) a controlled petroleum mining company; or a controlled petroleum mining holding company; or (c) a controlled petroleum mining trust; or a controlled petroleum mining holding trust (d) controlled petroleum mining holding company means a company if— (a) 90% or more in value of its outstanding shares are held, directly or indirectly, by or for 5 or fewer persons; and the total market value of the following shares and trust interests held by the company is at least 75% of the value of its assets minus its liabilities, as speciﬁed in the company’s audited ﬁnancial statement or accounts prepared according to gen- erally accepted accounting practice: (i) (ii) shares in petroleum mining companies: shares in petroleum mining holding com- panies:
 trust interests in petroleum miners that are trusts: trust interests in petroleum mining holding trusts (iii) (iv) controlled petroleum mining holding trust means a trust that is a petroleum miner if— (a) 90% or more in value of the trust is owned, di- rectly or indirectly, by or for 5 or fewer persons; and the total market value of the following shares and trust interests held by the trust is at least 75% of the value of its assets minus its liabilities, as spe- (b) 2396 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 ciﬁed in the trust’s accounts prepared according to generally accepted accounting practice: (i) trust interests in petroleum miners that are trusts: trust interests in other petroleum mining holding trusts: shares in petroleum miners that are com- panies: shares in petroleum mining holding com- panies (ii) (iii) (iv) (b) controlled petroleum mining trust means a trust that is a petroleum miner if— (a) 90% or more in value of the trust is owned, di- rectly or indirectly, by or for 5 or fewer persons; and the market value of a petroleum permit, includ- ing an asset of the kind described in section CT 7(1)(b) or (c) (Meaning of petroleum mining as- set) attributable to the permit, held by the trust is at least 75% of the value of its assets minus its liabilities, as shown in the trust’s accounts pre- pared under generally accepted accounting prac- tice controlling shareholder is deﬁned in section HK 11(10) (Liability for tax payable by company left with insufﬁcient assets) for the purposes of that section convert, for a New Zealand unit, is deﬁned in section 4(1) of the Climate Change Response Act 2002 convertible credit means a credit that a person is al- lowed under Part L (Credits)— (a) (b) as an imputation credit; or for a dividend withholding payment, if the per- son is not entitled to a refund of the credit under Part N (Withholding taxes and taxes on income of others) convertible note means a bond, certiﬁcate, debenture,
 document, note, or writing that— (a) is issued or given by a company; and 2397 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) (d) is contained in 1 document that complies, or in 2 or more documents that together comply, with paragraphs (c) and (d); and acknowledges, creates, evidences, or relates to a loan to the company or any money subscribed to the company or any other liability of the com- pany, whether or not there is a charge over the undertaking or any of the assets of the company securing some or all of the amount for which the company has issued or given the convertible note; and provides, under a trust deed or otherwise, and whether exclusively or not,— (i) for the holder to have a right to subscribe for shares or stock in the capital of the company or in the capital of any other company; or for the amount or any part of the amount, with or without interest and whether at par or otherwise, to be converted into, or to be redeemed or paid by the issue of, shares or stock in the capital of the com- pany, whether the conversion, redemption, or payment by the issue of shares or stock is mandatory or is at the option of the com- pany or of the holder of the convertible note (ii) co-operative company does not include a statutory pro- ducer board co-operative marketing company is deﬁned in section OC 4(3) (Co-operative marketing companies: regula- tions) for the purposes of that section copyright in a sound recording means the copyright in the version of the recording of which copies have been sold or offered for sale to the public core acquisition price is deﬁned in section EZ 45 (Def- initions) for the purposes of the old ﬁnancial arrange- ments rules 2398 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) (b) corporation is deﬁned in section KE 1(3) (Rebate for interest on home vendor mortgages) for the purposes of that section corpus, for a trust other than a unit trust,— (a) means an amount equal to the market value of a
 settlement of property on the trust at the date of settlement: does not include an amount equal to the market value of a settlement of any of the kinds described in paragraphs (c) to (f), whether made directly or indirectly and whether by 1 transaction or a series of transactions: for the purposes of paragraph (b), a settlement that is not included is a settlement of property by a trustee of another trust to the extent to which, if the property were distributed at that time to a per- son and the person were at that time a beneﬁciary resident in New Zealand of the other trust, the distribution would have constituted beneﬁciary income of the beneﬁciary or a taxable distribu- tion to the beneﬁciary: for the purposes of paragraph (b), a settlement that is not included is a settlement of property that, but for the settlement,— (i) would have constituted income of the set- tlor; or (d) (e) (ii) would have constituted income of the set- tlor if at the time of the settlement the set- tlor had been a person resident in New Zealand subject to the provisions of this Act: for the purposes of paragraph (b), a settlement that is not included is a settlement of property that, but for the settlement, would have consti- tuted a dividend— (i) for which the settlor would have been li- able to deduct an amount by way of divi- dend withholding payment under section NH 1 (Liability to make deduction in re- 2399 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) spect of foreign withholding payment divi- dend); or for which the settlor would, if the settlor were at the time of the settlement a per- son resident in New Zealand subject to the provisions of this Act, have been liable to deduct an amount by way of dividend withholding payment under section NH 1 (Liability to make deduction in respect of foreign withholding payment dividend): (f) for the purposes of paragraph (b), a settlement that is not included is a settlement of property for which the settlor claims a
 deduction corresponding income year, for a tax year, means an income year that ends in the period starting on 1 October in the tax year and ending on 30 September immediately after the tax year cost,— (a) in subpart EB (Valuation of trading stock (includ- ing dealer’s livestock)), for trading stock, means costs incurred in the ordinary course of business to bring trading stock to its present location and condition, including purchase costs and costs of production, calculated under sections EB 6 to EB 8 (which relate to costs for standard valu- ations), EB 15 to EB 18 (which relate to costs for low-turnover traders), and EB 22 (Valuing clos- ing stock consistently for low-turnover traders): is deﬁned in section ND 1J(3) (Goods: value of beneﬁt) for the purposes of that section: is deﬁned in section ND 1P (Deﬁnitions for sec- tions ND 1N and ND 1O) for the purposes of sec- tions ND 1N (Goods at staff discount) and ND 1O (Goods on special with staff discount) (b) (c) cost method means the method of calculating FIF in- come or FIF loss under section EX 45B (Cost method) cost method: this deﬁnition was inserted, as from 1 April 2007, by section 155(7) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
See section 155(49) of that Act as to the application of this amendment for income years beginning on or after 1 April 2007.
2400 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 cost of timber, in sections DP 10, EJ 1, EW 2, and EZ 41 (which relate to the disposal of timber)— (a) means the amount of expenditure incurred by a (b) (c) (b) (ii) person in relation to timber— (i) before harvest, for a disposal of harvested timber: before the disposal of the timber or the relevant right, for a disposal of standing timber or a disposal of a right to take tim- ber, or another right referred to in section DP 10(4) (Cost of timber); and includes, for section DP 10,— (i) expenditure on planning, planting, and growing the timber: expenditure incurred in relation to the rights listed in section DP 10(4); and (ii) excludes— (i) expenditure for which a deduction is al- lowed under a provision of this Act other than section DP 10: expenditure to which section DB 37 (Avoiding, remedying, or mitigating ef- fects of discharge of contaminant) applies: an amount allowed as a deduction under section DQ 4 (Environmental restoration accounts scheme) (ii) (iii) in subpart EC (Valuation of livestock), does not include any amount of input tax in relation to the supply of livestock or trading stock to a person; and in section FC 6 (Effect of speciﬁed lease on lessor and lessee), and in the deﬁnition of speciﬁed lease, and for a personal property lease asset, means the amount of expenditure of a capital na- ture that is incurred, in acquiring and installing the asset,— (i) by the lessor; or 2401 cost price,— (a) Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) (d) (e) (ii) if the lessor under a lease acquires the as- set as lessee under any other lease, by the person who is the lessor in the other lease; and as a qualiﬁcation on paragraph (b), if, in carrying on a business in the income year in which the as- set is acquired, the lessor acquires, manufactures, or assembles as trading stock, and distributes or sells, an asset of the same kind as the asset, the cost price for the asset is an amount equal to the normal price for
 which, at the start of the lease period, the lessor would have sold an asset of the same kind as the asset to the lessee; and as another qualiﬁcation on paragraph (b), if the lessor has used the asset in deriving income be- fore the lease is entered into, the cost price of the asset is equal to the capital expenditure incurred by the lessor in acquiring the asset, reduced by the total of the amounts of depreciation loss for which the lessor has been allowed deductions for the asset; and as another qualiﬁcation on paragraph (b), if, for an asset and a lease entered into on or after 29 October 1983, an amount cannot be determined under any of paragraphs (b) to (d), the cost price for the asset is an amount equal to the market price of the asset at the start of the term of the lease or, if there is no such market price or there are 2 or more, is an amount equal to the amount that, in the circumstances of the case, is reason- able, having regard to the nature of the asset and to the tenor of this deﬁnition council is deﬁned in section GE 1(2) (New Zealand Raspberry Marketing Council) for the purposes of that section council-controlled organisation means— (a) an organisation that— (i) is a council-controlled trading organisa- tion; and 2402 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) (d) (e) (f) is not a company: (ii) a company that is a council-controlled organisa- tion, under paragraph (a)(i) of the deﬁnition of council-controlled organisation in section 6(1) of the Local Government Act 2002: an organisation that is a council-controlled or- ganisation, under paragraph (b) of the deﬁnition of council-controlled organisation in section 6(1) of the Local Government Act 2002, and that has, in an organisation of a kind described in paragraph (a) or (b),— (i) control of at least 50% of the votes at any meeting of the members or the controlling body of the organisation; or the right to appoint at least 50% of the directors, managers, or trustees
 of the or- ganisation (however the positions are de- scribed): (ii) an organisation that would be a council-con- trolled organisation of a kind described in paragraph (a) or (b) or (c) if it did not have an exemption granted under section 6(4)(i) of the Local Government Act 2002: the New Zealand Local Government Association Incorporated: a company or organisation, as deﬁned in section 6(2) of the Local Government Act 2002, that is subject to the control, directly or indirectly, of the New Zealand Local Government Association Incorporated: (g) New Zealand Local Government Insurance Cor- poration and any subsidiaries it has: (h) Watercare Services Limited and any subsidiaries it has;— but does not include the Auckland Regional Transport Authority (as established by section 7 of the Local Government (Auckland) Amendment Act 2004) or Auckland Regional Holdings (as established by section 2403 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 18 of the Local Government (Auckland) Amendment Act 2004) council-controlled organisation: paragraph (h) was substituted by section 47 Local Government (Auckland) Amendment Act 2004 (2004 No 57), with ap- plication as from 1 April 2005. council-controlled trading organisation is deﬁned in section 6 of the Local Government Act 2002 counted associate is deﬁned in section CD 14(9) (Re- turns of capital: off-market share cancellations) for the purposes of that section credit account continuity provisions means— (a) section ME 5(1)(i) (Debits arising to imputation credit account); and section MF 4(1)(e) and (3)(d) (Credits and debits arising to branch equivalent tax account of com- pany); and section MG 5(1)(i) (Debits arising to dividend withholding payment account) (b) (c) credit of tax is deﬁned in section GB 1(2C) (Agree- ments purporting to alter incidence of tax to be void) for the purposes of that section credit transfer notice means a credit transfer notice issued under section 30C of the Tax Administration Act
 1994 credit transfer notice: this deﬁnition was inserted, as from 1 July 2006, by sec- tion 191(8) Taxation (Depreciation, Payment Dates Alignment, FBT, and Mis- cellaneous Provisions) Act 2006 (2006 No 3).
creditable membership— (a) means, for a person, membership in a KiwiSaver scheme or a complying superannuation fund; and includes, for a person,— (i) (ii) (b) the period described in paragraph (c): the days in the month in which securities are ﬁrst allotted by the KiwiSaver scheme or complying superannuation fund in rela- tion to the person: for the period beginning on 1 July 2007 and ending on the day on which securities are ﬁrst allotted by the KiwiSaver scheme (iii) 2404 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 for the person, the days in the month that the KiwiSaver scheme receives a valid ap- plication for membership from the person and any remaining days in that period, if the person makes contributions in relation to the KiwiSaver scheme before 1 Novem- ber 2007: (c) the period referred to in paragraph (b)(i) is the period ending on the day on which securities are ﬁrst allotted by the KiwiSaver scheme for the person and beginning on the earliest of— (i) (ii) (iii) the ﬁrst day of the month in which contri- butions are ﬁrst received by the Commis- sioner for the person: the ﬁrst day of the month in which Kiwi- Saver contributions are ﬁrst deducted for the person: the day that the Commissioner nominates following a request by the person when, due to matters beyond the control of the person, the ﬁrst deduction of KiwiSaver contributions was delayed Crown Research Institute is deﬁned in section 2 of the Crown Research Institutes Act 1992 Crown Research Institute: this deﬁnition was amended, as from 1 April 2005, by section 191(9) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “section 2” for the expression “section 12” with application as from the income year corresponding to the 2005–06 tax year.
current grower is deﬁned in section GE 1(2) (New Zealand Raspberry Marketing Council) for the purposes of that section current value, for a group investment fund and for any day in any tax year, means the capital value to which all the following apply (a) it is deﬁned in the Trustee Companies Act 1967 or the Public Trust Act 2001; and it is the capital value of the investments and funds of the group investment fund; and it is the capital value— (b) (c) 2405 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) last determined before that day under sec- tion 31 of the Trustee Companies Act 1967 or section 66 of the Public Trust Act 2001; or determined on that day, if that is the day on which the capital value is so determined date of transfer, in subpart FF (Transfers under rela- tionship agreements), and in the deﬁnitions of income year of transfer and tax year of transfer, for property transferred under a relationship agreement, means the date on which the property was transferred date of transfer: this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “(Trans- fers under relationship agreements)” for “(Matrimonial transfers)”.
date of transfer: this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “relation- ship agreement” for “matrimonial agreement”.
date the deposit ends— (a) is deﬁned in section EH 37 (Other deﬁnitions) for the purposes of the main income equalisation scheme: is deﬁned in section EH 64 (Other deﬁnitions) for the purposes of the adverse event income equal- isation scheme: is deﬁned in section EH 81 (Other deﬁnitions) for the purposes of the thinning operations income equalisation scheme (b) (c) de facto partner[Repealed] de facto partner: this deﬁnition was inserted, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11).
de facto partner: this deﬁnition was repealed, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11).

[Repealed] de facto relationship[Repealed] de facto relationship: this deﬁnition was inserted, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11).

de facto relationship: this deﬁnition was repealed, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11).
[Repealed] 2406 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 debenture holder includes the owner of debenture stock debentures includes debenture stock debt security is deﬁned in section FC 2B(4) (Stapled debt securities) deduction, for a person, means a deduction of the per- son under section BD 2 (Deductions) deemed rate of return method means the method of calculating FIF income or FIF loss in section EX 45 (Deemed rate of return method) deferred military pay is deﬁned in section CW 20(2) (Deferred military pay for active service) for the pur- poses of that section deﬁned beneﬁt fund means a superannuation scheme, registered under the Superannuation Schemes Act 1989, that must comply with section 15(1)(a) of that Act dependent child, for a child and for a person, means a child— (a) whose care is primarily the responsibility of the person; and (b) who is being maintained as a member of the per- son’s family; and (c) who is ﬁnancially dependent on the person; and (d) who is not a child for whom payments are being made under section 363 of the Children, Young Persons, and Their Families Act 1989; and (da) despite paragraph (d), who is a child or a young person (as deﬁned in section 2(1) of the Children, Young Persons, and Their Families Act 1989)— of whom the person is a parent within the (i) meaning of that Act; and to whom section 361 of that Act applies; and (ii) (iii) who, under section 362 of that Act, is (e) placed in the charge of the person; and who is not a child for whom a beneﬁt is being paid under section 28 or 29 of the Social Security Act 1964 2407 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 deposit— (a) is deﬁned in section EH 37 (Other deﬁnitions) for the purposes of the main income equalisation scheme: is deﬁned in section EH 64 (Other deﬁnitions) for the purposes of the adverse event income equal- isation scheme: is deﬁned in section EH 81 (Other deﬁnitions) for the purposes of the thinning operations income equalisation scheme (b) (c) depreciable
 intangible property is deﬁned in section EE 53 (Meaning of depreciable intangible property) depreciable property is deﬁned in sections EE 6 (What is depreciable property?)
and EE 7 (What is not depre- ciable property?)
depreciating property means property for which a per- son— (a) is allowed a deduction for an amount of depreci- ation loss; or (b) may make a deduction on account of amortisation of expenditure under section EZ 5 (Buying patent rights before 1 April 1993), EZ 6 (Premium paid on land leased before 1 April 1993), or any other amortisation provision depreciation loss— (a) means a loss that a person has in the circum- stances set out in section EE 1(2) (What this sub- part does); and includes a deduction for depreciation that a per- son was allowed under an earlier Act depreci- ation method is deﬁned in section EE 58 (Other deﬁnitions) (b) depreciation percentage means a percentage set by the Commissioner under section EC 33 (Determining de- preciation percentages) 2408 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 depreciation recovery income— (a) means income that a person has in the circum- stances set out in section EE 1(3) (What this sub- part does); and includes income that a person had under the cor- responding provision of an earlier Act (b) derivative instrument means a derivative as deﬁned in NZIAS 39 derived from New Zealand means having a source in New Zealand described in section OE 4 (Classes of in- come treated as having source in New Zealand) designated group investment fund means— (a) a group investment fund whose investments and funds— (i) are invested wholly in investments author- ised by section 4(1)(a) to (j) of the Trustee Act 1956 (which is interpreted as if the Trustee Amendment Act 1988 had not been enacted); and are not investments authorised solely by the instrument (if any) creating the trust under which the group investment fund is established; or (ii) (b) a group investment fund whose investments and funds are invested wholly in and for the purposes of the carrying on of a forestry business on land in New Zealand, to the extent to which the invest- ments and funds are invested in the land that the group investment fund owned or otherwise held on 22 June 1983 for the
 purposes of the forestry business designated sources is deﬁned in section HE 2(3) (Group investment funds) for the purposes of that section development is deﬁned in section DB 27 (Some deﬁnitions) for the purposes of sections DB 26 (Research or development), DB 27, EE 1 (What this subpart does), EJ 20 (Deductions for market develop- ment—product of research, development), and EJ 21 2409 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (Allocation of deductions for research, development, resulting market development) development: this deﬁnition was amended, as from 1 October 2005, by section 191(10) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3) by substituting “, DB 27, EE 1 (What this subpart does), EJ 20 (Deductions for market development-product of re- search, development), and EJ 21 (Allocation of deductions for research, devel- opment, resulting market development)” for the expression “and DB 27” with application as from the income year corresponding to the 2005–06 tax year.
diminished value, for an income year, means the amount calculated using the formula— a + b – c where— a (b) is the amount of expenditure— (a) on an improvement described in section DO 4 (Improvements to farm land), DO 4B (Expenditure on land: planting of listed horticultural plants), DO 6 (Im- provements to aquacultural business), or DP 3 (Improvements to forestry land); or of a type described in section DB 37 (Avoiding, remedying, or mitigating ef- fects of discharge of contaminant): is the total amount of income derived under sec- tion CB 24B(8) (Environmental restoration ac- counts) in relation to the expenditure: is the total of every amount allowed as a deduc- tion for the expenditure to any person— (a) in any earlier income year under this Act or an earlier Act: in the income year under this Act, except an amount allowed in the income year under section DB 37 (Avoiding, remedy- ing, or mitigating effects of discharge of contaminant), section DO 4 (Improve- ments to farm land), DO 4B (Expenditure on land: planting of listed horticultural plants), DO 4C (Expenditure on land: horticultural replacement planting), DO 6 (Improvements to aquacultural business), or DP 3 (Improvements to forestry land) (b) b c 2410 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 diminished value: this deﬁnition was amended, as from 1 April 2005, by section 261(5)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the words “DO 4B (Expenditure on land: plant- ing of listed horticultural plants), DO 4C (Expenditure on land: horticultural replacement planting),” before the expression “DO 6”.
diminished value: paragraph (b) of this deﬁnition was amended, as from 1 April 2005, by section 261(5)(b) Taxation (Venture Capital and Miscellaneous Pro- visions) Act 2004 (2004 No 111) by inserting the words “DO 4B (Expenditure on land: planting of listed horticultural plants), DO 4C (Expenditure on land: horticultural replacement planting),” before the expression “DO 6”.
diminished value: this deﬁnition was substituted, as from 1 October 2005, by section 87(6) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.

diminished value: item a paragraph (a) of this deﬁnition was substituted, as from 18 December 2006, by section 155(8)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
diminished value: item c paragraph (b) of this deﬁnition was substituted, as from 18 December 2006, by section 155(8)(b) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
diminishing value equivalent is deﬁned in section EC 34(4) (General rule) for the purposes of that section diminishing value method, for depreciation, is deﬁned in section EE 58 (Other deﬁnitions) diminishing value rate is deﬁned in section EE 58 (Other deﬁnitions) direct control interest is deﬁned in section EX 5 (Di- rect control interests) direct income interest is deﬁned in section EX 9 (Di- rect income interests) direct market value circumstance means a market value circumstance for a company other than a market value circumstance described in paragraph (g) of the deﬁnition of market value circumstance direct market value interest means a market value in- terest of a person in a company other than a market value interest of the person in the company to the ex- tent to which it is treated as arising only under section OD 4(3)(d) (Market value interests) direct voting interest means a voting interest of a per- son in a company other than a voting interest of the per- son in the company to the extent to which it is treated as arising only under section OD 3(3)(d) (Voting interests) 2411 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 director— (a) means— (i) (ii) (iii) (iv) a person occupying the position of dir- ector, whatever title is used: a person in accordance with whose direc- tions or instructions the persons occupying the position of directors of a company are accustomed to act: a person treated as being a director by any other provision of this Act: in the case of an entity that does not have directors and that is treated as, or assumed to be, a company by a provision of this Act, any trustee, manager, or other person who acts in relation to the entity in the same way as a director would act, or in a similar way to that in which a director would act, were the entity a company incorporated in New Zealand under the Companies Act 1993: (b) is deﬁned in section HK 11(10) (Liability for tax payable by company left with insufﬁcient assets) for the purposes of that section director election
 means an election made by the dir- ectors of a company under section HG 3 (Director elec- tions, and revocation of director elections) disabled workshop payment is deﬁned in section CW 27(2) (Allowances and beneﬁts) for the purposes of that section discontinuance proﬁt means the amount calculated by a life insurer following the steps in section EY 35 (Dis- continuance proﬁt for income year) discontinuance proﬁt formula means the formula in section EY 36 (Discontinuance proﬁt formula (existing policies)) or the formula in section EY 37 (Discontinu- ance proﬁt formula (new policies)) discount payment date is deﬁned in section EZ 28(3) (Base premium for 1998-99 premium year under Acci- 2412 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 dent Insurance Act 1998) for the purposes of that sec- tion disposal of control or income interests is deﬁned in section GC 9(7) (Variations in control or income inter- ests in foreign companies) for the purposes of that sec- tion dispose,— (a) in sections CB 5 to CB 14, CB 16, CB 17, CB 19, and CB 20 (which relate to the disposal of land), for land, includes— (i) (ii) compulsory acquisition under any Act by the Crown, a local authority, or a public authority: if there is a mortgage secured on the land, a disposal by or for the mortgagee as a result of the mortgagor’s defaulting under the mortgage: (b) (c) in sections CB 22 (Disposal of timber or right to take timber), CB 23 (Disposal of land with stand- ing timber), DP 9 (Cost of acquiring timber or right to take timber: other cases), DP 10 (Cost of timber), and GD 15 (Disposal of timber, or right to take timber, or standing timber to associated person), includes— (i) (ii) (iii) (iv) to grant a licence or easement: to grant a right to take timber: to create a right to take timber: to create a forestry right, as deﬁned in the Forestry Rights Registration Act 1983, other than a right in favour of the propri- etor: for a company, to carry out a distribution of timber or
 a right to take timber that is treated by section GD 2 (Distribution of trading stock to shareholders of company) as if it were a sale of the timber or the right: in sections CB 25 (Disposal of minerals) and DB 22 (Cost of non-speciﬁed mineral), includes— (i) to grant a licence or easement: (v) 2413 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (cb) (d) (e) to grant a right to take minerals from land: (ii) is deﬁned in section CE 2 for the purposes of that section: in sections CT 1, CX 36, DT 2 to DT 4, DT 8 to DT 11, DT 13, DT 19, DZ 6, EJ 13, EJ 14, EJ 15, EZ 3, and GC 12 (which relate to petroleum mining),— (i) means to sell or transfer an asset, voluntar- ily or involuntarily; and (ii) includes to lose or destroy an asset: for depreciable property, includes destroy, with- draw, or let lapse, but does not include the fol- lowing: (i) for a patent application, conclude the patent application because a patent is granted in relation to the patent applica- tion: for a geothermal well, have the well cease to be available for use because section EE 6(4) (What is depreciable property?)
ceases to apply: (ii) (f) in subpart FI (Effect of certain disposals and re- sulting acquisitions), means a disposal of prop- erty in the manner provided for in section FI 1 (Disposals and resulting acquisitions to which subpart FI applies) dispose: paragraph (cb) of this deﬁnition was inserted, as from 1 April 2006, by section 191(11) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006. dispose: paragraph (e) of this deﬁnition was amended, as from 1 October 2005, by section 87(7) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting the expression “destroy:” for “destroy” with application as from the 2005–06 income year.
dispose: paragraph (e) of this deﬁnition was substituted, as from 1 October 2005, by section 155(9) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.

dispose: paragraph (f) of this deﬁnition was inserted, as from 1 October 2005, by section 87(7) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
2414 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 disposition of property, in the trust rules, and in the deﬁnitions of settlor and superannuation contribu- tion, but not for a unit trust,— (a) means an assignment, conveyance, delivery, pay- ment, settlement, transfer, or other alienation of property, whether at law or in equity; and (b) without limiting the generality of paragraph (a), includes— (i) (ii) (iii) the issue of shares in a company: the creation of a trust: the grant or creation of a charge, lease, licence, mortgage, power, servitude, or other estate, interest, or right, in or over property: the abandonment, discharge, forfeiture, release, or surrender of a contract, debt, or thing in action, or of an estate, interest, power, or right in or over property; and for this purpose a debt, or any other estate, interest, or right, is treated as having been released or surrendered when it becomes irrecoverable or unenforceable by action or for any reason ceases to exist: the exercise of a general power of appoint- ment in favour of a person other than the holder of the power; and (iv) (v) (c) (d) (e) includes a disposition as deﬁned in paragraph (a) or (b) by will or intestacy; and does not include a disclaimer of an interest under a disposition made during life or by will; and does not include a disclaimer of an interest under an intestacy distinctive work clothing is deﬁned in section CX 26(2) (Distinctive work clothing) for the purposes of that section distribution, in sections CQ 2 (When attributed CFC income arises), EW 51 (Income when debt forgiven to trustee), EZ 36 (Forgiveness of debt), HH 1 (Interpret- ation), HZ 1 (Trust distributions), LC 1(2) (Credits in 2415 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 respect of tax paid in country or territory outside New Zealand), and LC 4(7) (Foreign tax credits: CFCs), in the trust rules, and in the deﬁnitions of corpus, foreign trust, non-qualifying trust, qualifying trust, and tax- able distribution, for a
 beneﬁciary and for a trust, other than for a unit trust,— (a) means any of the following, whether it occurs directly or indirectly and by 1 transaction or a series of transactions,— (i) the vesting absolutely in interest in the beneﬁciary of any property of the trust; or the payment to the beneﬁciary of any prop- erty of the trust; or the application for the beneﬁt of the bene- ﬁciary of any property of the trust; and (ii) (iii) (b) without limiting the generality of paragraph (a), includes— (i) the disposal or making available by the trustee to the beneﬁciary of any property of the trust for less than market value, to the extent to which either is done; and the provision of services by the trustee to the beneﬁciary for less than market value, to the extent to which this is done; and the disposal or making available by the beneﬁciary to the trustee of any property for greater than market value, to the extent to which either is done; and the provision of services by the beneﬁciary to the trustee for greater than market value, to the extent to which this is done; and a settlement by the trustee to or for the beneﬁt of or on the terms of another trust, to the extent to which, if the amounts, property, or sums constituting the settle- ment were distributed at that time to a per- son who was at that time a beneﬁciary resi- dent in New Zealand, the amounts, prop- erty, or sums would have constituted bene- (ii) (iii) (iv) (v) 2416 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (vi) ﬁciary income of the beneﬁciary or a tax- able distribution to the beneﬁciary; and in sections EW 51 (Income when debt for- given to trustee) and EZ 36 (Forgiveness of debt), a settlement by the trustee of a trust, to the extent to which the settlement is to or for the beneﬁt of or on the terms of another trust and the amounts, property, or sums constituting the settlement were from amounts forgiven and treated as paid in the cases described in section EW 46(1) or (2) (Consideration
 when debt forgiven for natural love and affection) or EZ 36(1) (Forgiveness of debt); and (c) for the purposes of paragraphs (a) and (b), the fact that the beneﬁciary is or will become a bene- ﬁciary under the terms of the trust does not con- stitute the giving or receiving of any value District Committee is deﬁned in section GE 1(2) (New Zealand Raspberry Marketing Council) for the purposes of that section dividend— (a) is deﬁned in sections CD 2 to CD 13 (which re- late to income from equity) for the purposes of this Act, except for the deﬁnition of investment society dividend: for the purposes of resident withholding income and in the RWT rules, does not include any divi- dend of the kind listed in section NF 1(2)(b)(i) to (viii) (Application of RWT rules), as subject to the proviso to that subsection: in the NRWT rules,— (i) includes a dividend withholding payment credit attached to the dividend; and includes an amount paid to a shareholder that is a company and a related person under section CD 33(15) to (17) (Avail- able capital distribution amount) of the company paying the amount, if the amount (ii) (b) (c) 2417 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 is excluded from dividend treatment gen- erally only as a result of sections CD 18(2)(b) (Capital distributions on liquid- ation) and CD 33; and does not include the amount of any imput- ation credit attached to the dividend: (iii) in subpart LE (Non-resident investors),— (i) (d) (e) 2418 includes an amount paid to a shareholder that is a company and a related person under section CD 33(15) to (17) (Avail- able capital distribution amount) of the company paying the amount, if the amount is excluded from dividend treatment gen- erally only as a result of sections CD 18(2)(b) (Capital distributions on liquid- ation) and CD 33; and does not include any non-cash dividend; and does not include any dividend derived by a life insurer from a company treated as resi- dent in New Zealand because of
 the Com- missioner granting an application under section EY 48 (Non-resident life insurer may become resident): (ii) (iii) in sections GC 24 (Application of speciﬁc im- putation provisions to consolidated groups) and ME 15 to ME 24 (which relate to policyholder credit accounts), subpart MF (Branch equivalent tax accounts), and sections MG 14 to MG 16 (which relate to consolidated groups) and NH 6 (Application of speciﬁc dividend withholding payment provisions to consolidated groups), in the dividend withholding payment rules and the imputation rules, and in the deﬁnitions of benchmark dividend, combined imputation and dividend withholding payment ratio, company dividend statement, dividend with- holding payment credit, dividend withholding payment ratio, excess credit amount, foreign Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) imputation withholding payment dividend, credit, imputation ratio, pay (paragraph (a)), shareholder dividend statement, and subse- quent dividend, does not include— (i) any dividend paid on a speciﬁed prefer- ence share to which section FZ 1 (Deduc- tion for dividends paid on certain prefer- ence shares) applies: any amount treated as a dividend under section GD 3 (Payment of excessive salary or wages, or allocation of excessive share of proﬁts or losses, to relative employed by or in partnership with taxpayer) or GD 5 (Excessive remuneration by close com- pany to shareholder, director, or relative) or the proviso to section HF 1(5) (Proﬁts of mutual associations in respect of trans- actions with members): (f) in subpart LF (Underlying foreign tax credits) and sections NH 1 to NH 3 (which relate to divi- dend withholding payments) and NH 5 (Dividend withholding payments and consolidated groups), and in the deﬁnitions of eligible accounting year and excess credit amount, includes any dividend paid on a speciﬁed preference share to which sec- tion FZ 1 (Deduction for dividends paid on cer- tain preference shares)
 applies dividend withholding payment means the amount payable by a company under section NH 2 (Amount of dividend withholding payment to be deducted) for foreign withholding payment dividends paid to the company during any quarter dividend withholding payment account means the account required to be maintained by a company that elects to maintain such an account under section MG 2 (Company may elect to maintain dividend withholding payment account) dividend withholding payment account company means a company that, having made an election under 2419 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 section MG 2(1) (Company may elect to maintain dividend withholding payment account), is required by section MG 2(3) to maintain a dividend withholding payment account dividend withholding payment account return is de- ﬁned in section NF 8(4) (Resident withholding tax de- ductions from dividends deemed to be dividend with- holding payment credits) for the purposes of that sec- tion dividend withholding payment credit means the amount attached to a dividend under section MG 6 (Company may attach dividend withholding payment credit to dividend) dividend withholding payment deduction means the deduction that section NH 1 (Liability to make deduc- tion in respect of foreign withholding payment divi- dend) requires to be made for a foreign withholding payment dividend paid to a company dividend withholding payment penalty tax means tax payable under section 140C of the Tax Administration Act 1994 dividend withholding payment ratio means an amount calculated using the formula— where— a is the amount of any dividend withholding pay- ment credit attached to a dividend (the amount is zero if no such credit is attached) b is the amount of the dividend paid (exclusive of any imputation credit or dividend withholding payment credit) dividend withholding payment rules means— (a) the following provisions: (i) section GC 25 (Avoidance of dividend withholding payments):
 2420 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (v) (ii) (iv) (iii) section GC 27 (Arrangement to defeat ap- plication of dividend withholding payment account provisions): section LD 8 (Credit of tax for dividend withholding payment credit in hands of shareholder): section LD 9 (Refund to non-resident or exempt shareholders): subpart LF (Underlying foreign tax credits): sections MG 1 to MG 12 (which relate to dividend withholding payment accounts): (vii) subpart MZ (Terminating provisions): (viii) sections NH 1 to NH 4 (which relate to dividend withholding payments): section OB 6(1)(d) and (e) (Meaning of income tax); and (vi) (ix) (b) sections 30, 68, 71, 72, and 102 to 104, Part 7, and sections 139B, 140C, 140D(1) and (3), 181, and 185 of the Tax Administration Act 1994 double tax agreement is deﬁned in section BH 1 (Dou- ble tax agreements) dual resident company is deﬁned in section IG 2(11) (Net loss offset between group companies) for the pur- poses of that section DWP reference period is deﬁned in section MG 8B(4) (Policyholder credit account companies and dividend withholding payment credits) for the purposes of that section DWP reference period: this deﬁnition was inserted, as from 1 April 2005, by section 261(6) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
early balance date is deﬁned in section OF 1(2) (Ref- erences to balance dates and years generally) early-payment discount is deﬁned in section MBB 4 (Some deﬁnitions) for the purpose of subpart MBB early-payment discount: this deﬁnition was inserted, as from 1 October 2005, by section 261(7) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
2421 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) economic rate is deﬁned in section EE 58 (Other deﬁ- nitions) education grant is deﬁned in section CF 1(2) (Beneﬁts, pensions, compensation, and government grants) for the purposes of that section effective date is deﬁned in section MBA 6(2) (Transfers from tax pooling account) for the purposes of subpart MBA (Pooling of provisional tax) effective interest, for a person or a company and for any time or any income year, means, subject to section HG 2 (Determination of effective interest in company),— (a) the person’s voting interest in the company at the time or for the income year; or if there is a market value circumstance for the company at the time or at any time during the income year, the average of— (i) the person’s voting interest in the company at the time or for the income year; and the person’s market value interest in the company at the time or for the income year elected period is deﬁned in section KD 5(1) (Credit of tax by instalments) for the purposes of subpart KD (Tax credits for families) election day worker means a person to whom all the following apply (a) the person is engaged as a Deputy Returning Of- ﬁcer, poll clerk, interpreter, or usher, or for any other purpose, for— (i) (ii) an election or poll held under the pro- visions of the Electoral Act 1993 or the Local Electoral Act 2001 or the Local Restoration Polls Act 1990; or an election or poll to which any of the provisions of the Electoral Act 1993 or the Local Electoral Act 2001 or the Local Restoration Polls Act 1990 applies; or an election or poll held simultaneously with and in the same premises as an elec- (ii) (iii) 2422 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) tion or poll referred to in subparagraph (i) or (ii); and the person is paid by the authority controlling the election or poll; and the person’s payment is exclusively for work done or services rendered immediately before, on, or immediately after the day on which the
 election or poll is held electronic format means the format and the electronic means by which a return or particulars that are ﬁled electronically are provided eligible accounting year means, for a person and for a dividend paid by a company, an accounting year of the company that is— (a) an accounting year in which the person has at all times in the accounting year a sufﬁcient interest in the company and that is— (i) the accounting year in which the dividend is paid: the accounting year immediately before the accounting year in which the dividend is paid: the accounting year immediately before an eligible accounting year: (ii) (iii) (c) (b) if the company is a low tax jurisdiction company at any time during the accounting year,— (i) an accounting year ending on or after 28 September 1993; or an accounting year ending on or after 1 April 1988, in which the company is at all times a controlled foreign company; or if section LF 6(3) an accounting year, to underlying (Procedures with respect foreign tax credit) applies for the company and the accounting year: (ii) (iii) (d) if an accounting year starts before the commence- ment date, an accounting year for which the per- son has ﬁled details under section LF 6(1) (Pro- 2423 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 cedures with respect to underlying foreign tax credit) eligible accounting year: paragraph (a) of this deﬁnition was substituted, as from 1 April 2005, by section 191(12) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
eligible accounting year: paragraph (b) of this deﬁnition was repealed, as from 1 April 2005, by section 191(12) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with applica- tion as from the income year corresponding to the 2005–06 tax year.
eligible company means, at any time, a company that, at the time,— (a) (b) (c) (d) is resident in New Zealand; and is not a foreign company; and is not a loss attributing qualifying company; and is not a company that only derives exempt in- come, except exempt income under sections CW 9 to CW 11 (which relate to exempt income from equity); and if the company is not a grandparented consoli- dated company,— (i) (e) (ii) is incorporated in New Zealand or carrying on a business in New Zealand through a ﬁxed establishment; and is not, by the law of another country or ter- ritory, liable to income tax in that coun- try or territory by reason of domicile, resi- dence, or place of incorporation eligible company: this deﬁnition was substituted, as from 1 April 2005, by sec- tion 155(10) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
eligible period, for a person, means a period forming a part or the whole of a speciﬁed period, during which— the person is a qualifying person for each day; (a) and another person does not on any day start or cease to be— (i) (b) a spouse or civil union partner of the per- son: in a de facto relationship, between a man and a woman, with the person (ii) 2424 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) (d) (e) (f) the person does not start or cease to be the princi- pal caregiver of a dependent child other than on the ﬁrst or, as applicable, the last day; and a child for whom the person is the principal care- giver does not cease to be a dependent child other than on the ﬁrst or, as applicable, the last day; and the composition of a subpart KD credit does not change, other than on the ﬁrst, or as applicable, the last day; and the person does not start or cease to be a ring- fenced family tax credit recipient, other than on the ﬁrst or, as applicable, the last day emergency call is deﬁned in section CX 28 (Meaning of emergency call) emigrating company is deﬁned in section FCB 1(1) (Tax effects of company becoming non-resident to re- ﬂect tax effects of liquidation) emigrating company: this deﬁnition was inserted, as from 3 April 2006, by section 191(13) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
emigration time, for an emigrating company, is the time at which the emigrating company becomes a non- resident emigration time: this deﬁnition was inserted, as from 3 April 2006, by section 191(13) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
employee— (a) means a person who receives or is entitled to re- (b) ceive a source deduction payment: in sections CW 13, CW 13B, CW 13C, and CW 14 (which relate to expenditure, reimbursement, and allowances of employees),— (i) means a person who receives or is en- titled to receive a source deduction pay- ment; and includes a person to whom section OB 2(2) (Meaning of source deduction payment: (ii) 2425 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 shareholder-employees of close compan- ies) applies: (c) (d) (e) (f) (ii) in the FBT rules, and in the deﬁnition of share- holderemployee (paragraph (b)), means a person who (whether in the past, present, or future) re- ceives or is entitled to receive a source deduction payment, but this reference to a source deduction payment does not include— (i) a payment described in the deﬁnition of salary or wages in any of paragraph (b)(iii) or (ix) to (xvi); or speciﬁed in a withholding payment Part E of the Income Tax (Withholding Payments) Regulations 1979 for which the person is liable for income tax under section BB 1 (Imposition of income tax): is deﬁned in section DC 14 (Some deﬁnitions) for the purposes of sections DC 11 to DC 14 (which relate to share purchase schemes): in section OB 2(2) (Meaning of source deduc- tion payment: shareholder-employees of close companies), includes a director for the purposes of sections EA 3 (Prepayments), EA 4 (De- ferred payment of employment income), and EI 8 (Matching rule for employment income of shareholder-employee): for an employer, means an employee of the em- ployer employee share loan is deﬁned in section CX 29 (Meaning of employee share loan) employee’s superannuation accumulation means the total superannuation contributions, together with any return on them, that are subject to complying fund rules and are— (a) (ab) employer contributions: the amount of tax credit under section KJ 1 (Tax credits relating to KiwiSaver scheme and com- plying superannuation fund members) that is 2426 Reprinted as at 29 August
 2011 Income Tax Act 2004 Part O s OB 1 treated as a Crown contribution for an employee under section KJ 5(2) (Rules): deducted from the employee’s salary or wages (b) employer— (a) means a person who pays or is liable to pay a (b) source deduction payment: includes,— (i) (ii) (iii) (iv) (v) (vi) for an unincorporated body of persons other than a partnership, the manager or other principal ofﬁcer: for a partnership, each partner: for the estate of a deceased person, a trust, a company in liquidation, an assigned es- tate, or for any other property vested or controlled in a ﬁduciary capacity, each person in whom the property has become vested or to whom control of the property has passed: for payments of New Zealand superannu- ation and income-tested beneﬁts, the chief executive of the department currently re- sponsible for administering the Social Security Act 1964: for payments of veterans’ pensions, the Secretary for War Pensions, as deﬁned in section 67 of the War Pensions Act 1954, or the chief executive of the department currently responsible for administering the Social Security Act 1964: for parental leave payments paid under the Parental Leave and Part 7A of Employment Protection Act 1987, the chief executive of the department cur- rently responsible for administering the Act: (c) in the FBT rules, means a person who pays or is liable to pay (whether in the past, present, or future) a source deduction payment, but this ref- 2427 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 erence to a source deduction payment does not include— (i) a payment described in the deﬁnition of salary or wages in any of paragraph (b)(iii) or (ix) to (xvi); or a withholding payment speciﬁed in Part E of the Income Tax (Withholding Payments) Regulations 1979: (ii) (d) (e) (f) in the FBT rules, includes— (i) (ii) (iii) for an unincorporated body of persons other than a partnership, the manager or other principal ofﬁcer: for a partnership, each partner: for the
 estate of a deceased person, a trust, a company in liquidation, an assigned es- tate, or for any other property vested or controlled in a ﬁduciary capacity, each person in whom the property has become vested or to whom control of the property has passed: the Crown: (iv) is deﬁned in section ND 1Q(6) (Unclassiﬁed beneﬁts) for the purposes of that section: for an employee, means the employer of the em- ployee employer contribution has the same meaning as in the KiwiSaver Act 2006. employer monthly schedule means a form that an em- ployer must provide to the Commissioner in manual for- mat or in electronic format, or that a PAYE intermediary must provide to the Commissioner in electronic format, showing— (a) the name and tax ﬁle number of the employer; and the name of every person who was an employee of the employer at any time during the period to which the employer monthly schedule relates; and (b) 2428 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) (d) (e) (f) (fb) (fc) (g) (h) (i) (j) if supplied to the employer, the tax ﬁle number of each employee to whom paragraph (b) refers; and the tax code of each employee to whom a source deduction payment that is not an extra pay is made; and for each employee in the month to which the schedule relates, the amount of gross earnings, the total amount of tax deductions made, and the amount of earnings not liable to the earner pre- mium; and if applicable, particulars of child support and stu- dent loan deductions made; and for each employee in the month to which the schedule relates, if applicable, the amount of total KiwiSaver contribution deductions made under subpart 1 of Part 3 of the KiwiSaver Act 2006; and for each employee in the month to which the schedule relates, if applicable, the amount of em- ployer contributions made under the KiwiSaver Act 2006 (net of any speciﬁed superannuation contribution withholding tax payable under the SSCWT rules); and in the month in which an employee starts, the
 date on which they started to be an employee of the employer; and in the month in which an employee ceases, the date on which they ceased to be an employee of the employer; and the identity of each employee who received an extra pay at a rate less than the rate speciﬁed in schedule 19, clause 8(b) (Basic tax deductions); and other particulars required by the Commissioner for a class of employer employer monthly schedule: paragraphs (fb) and (fc) of this deﬁnition were inserted, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).
See section 232 of that Act as to the transitional provision requiring all 2429 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).
employer’s contributions to superannuation savings means— (a) speciﬁed superannuation contributions made on or after 1 April 2000 other than— (i) (ii) those that are treated as salary and wages under section NE 2A (Employee election that speciﬁed superannuation contribu- tions be treated as salary or wages); or those on which speciﬁed superannuation contribution withholding tax was paid at the rate speciﬁed in schedule 1, part A, clause 10(a) before that clause was re- placed by a new clause 10(a) on 1 April 2007; and (b) (c) any return on those speciﬁed superannuation con- tributions; and reserves, that is, speciﬁed superannuation contri- butions made on or after 1 April 2000 that do not vest in a member of the superannuation fund and any return on the speciﬁed superannuation con- tributions, as follows: (i) for a superannuation fund with 10 or more unassociated members, reserves that have been allocated to a member of the super- annuation fund, other than those allocated to an account of the member’s contribu- tions for smoothing investment returns; or for all other superannuation funds, re- serves (ii) employer’s contributions to superannuation savings: paragraph (a)(ii) of this deﬁnition was substituted, as from 1 April 2007, by section 155(13) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
employer’s premises is deﬁned in section CX 20(2) (Beneﬁts provided on premises) for the purposes of that section employer’s superannuation contribution means a superannuation contribution provided by an employer 2430 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) (d) for the beneﬁt of an employee or employees of the employer employing company is deﬁned in section DC 14 (Some deﬁnitions) for the purposes of sections DC 11 to DC 14 (which relate to share purchase schemes) employment,— (a) includes the activities associated with the ofﬁce of a member of Parliament that, when the mem- ber performs them, give rise to an entitlement to receive a source deduction payment for the of- ﬁce: includes the activities associated with the ofﬁce of a judicial ofﬁcer that, when the judicial ofﬁcer performs them, give rise to an entitlement to re- ceive a source deduction payment for the ofﬁce: in the FBT rules, means the activity that entitled, entitles, or will entitle a person performing it to receive a source deduction payment, but this ref- erence to a source deduction payment does not include— (i) a payment described in the deﬁnition of salary or wages in any of paragraph (b)(iii) or (ix) to (xvi); or a withholding payment speciﬁed in Part E of the Income Tax (Withholding Payments) Regulations 1979: (ii) in subpart KD (Tax credits for families), and in the deﬁnitions of full employment, full-time earner, and fully employed person,— (i) means the activity that entitles or will en- title a person performing it to receive a source deduction payment, but this refer- ence to a source deduction payment does not include a payment described in the deﬁnition of salary or wages in any of paragraph (b)(iii), (ix), and (xi) or a with- holding payment speciﬁed in Part E of the Income Tax (Withholding Payments) Regulations 1979; and 2431 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) (iii) includes non-activity on a day by a person who receives a source deduction payment for the day
 because the person is treated as having performed the activity on the day to an extent determined by the Com- missioner, having regard to the day, the pay period in which it occurs, the circum- stances giving rise to the source deduction payment, and any other circumstances that the Commissioner considers relevant; and includes activity on a day by a person who receives a source deduction payment for the day, even though their activity is less than the activity that would normally give rise to the source deduction payment, be- cause the person is treated as having per- formed the activity on the day to an extent determined by the Commissioner, having regard to the day, the pay period in which it occurs, the circumstances giving rise to the source deduction payment, and any other circumstances that the Commissioner con- siders relevant: (e) is deﬁned in section KD 3(1) (Calculation of min- imum family tax credit) for the purposes of that section and section KD 3A (Rules for minimum family tax credit) employment income means an amount that is income under section CE 1 (Amounts derived in connection with employment) employment limitation is deﬁned in section DA 2(4) (General limitations) employment-related loan means a loan that is a fringe beneﬁt entitlement period means the ﬁrst 56 days after the date of a dependent child’s birth 2432 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 environmental restoration account is deﬁned in sec- tion EK 23 (Other deﬁnitions) for the purposes of sub- part EK (Environmental restoration accounts) environmental restoration account: this deﬁnition was inserted, as from 1 Oc- tober 2005, by section 87(9) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 in- come year.
equity instrument is deﬁned in section EW 15B (IFRS taxpayer method) for the purposes of that section established activity is deﬁned in section IE 2(8) (Spe- ciﬁed activity net losses) for the purposes of that section estate, for land,— (a) means an estate in the land, whether legal or equitable, and whether vested or contingent, in possession, reversion, or remainder; and includes a right, whether direct or through a trustee or otherwise, to— (i) (ii) the possession of the land; or the receipt of the rents or proﬁts from the land; or the proceeds of the disposal of the land; and (iii) (b) does not include a mortgage (c) estimated residual market value,— (a) for an item of depreciable property, is deﬁned in section EE 58 (Other deﬁnitions): for high-priced livestock, means its market value at the end of its estimated useful life, estimated reasonably as at the date of acquisition and based upon an assumption of normal and reasonable maintenance over its estimated useful life estimated useful life,— (a) for an item of depreciable property, is deﬁned in section EE 54 (Meaning of estimated useful life): for high-priced livestock, means the period over which the livestock might reasonably be expected to be useful in deriving income or carrying on a business in New Zealand, taking into account— (b) (b) 2433 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) (d) (i) (ii) the passage of time, likely wear and tear, exhaustion, and obsolescence; and an assumption of normal and reasonable maintenance for a listed horticultural plant, means the period of time over which the listed horticultural plant might reasonably be expected to be useful to a person in deriving income or in carrying on a business in New Zealand, with the expectation based on an assumption of normal and reasonable maintenance for a type of pasture, means the period of time over which the pasture might reasonably be ex- pected to be useful to a person in deriving income or carrying on a farming or agricultural business on land in New
 Zealand estimated useful life: paragraph (c) of this deﬁnition was inserted, as from 1 October 2005, by section 261(9) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
estimated useful life: paragraph (d) of this deﬁnition was inserted, as from 3 April 2006, by section 191(14) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with applica- tion to expenditure incurred on and after 1 April 2005.
ETS unit means: (a) (b) a New Zealand unit: an approved overseas unit, as deﬁned in section 4(1) of the Climate Change Response Act 2002: a Kyoto unit (c) excepted ﬁnancial arrangement— (a) (b) is deﬁned in section EW 5 (What is an excepted ﬁnancial arrangement?)
for the purposes of this Act except the old ﬁnancial arrangements rules; and is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules excess credit amount means an amount calculated under section MG 10(2) (Dividend with both imput- ation credit and dividend withholding payment credit attached) for a dividend with a combined imputation 2434 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 and dividend withholding payment ratio exceeding the ratio stated in section MG 10(1) excess expenditure— (a) is deﬁned in section CZ 8(2) (Farm-out arrange- ments for petroleum mining before 16 December 1991) for the purposes of that section: is deﬁned in section DZ 5(6) (Farm-out arrange- ments for petroleum mining before 16 December 1991) for the purposes of that section (b) excess tax payment — (a) is deﬁned in section ME 9B(10) (Imputation credit account company leaving wholly-owned group) for the purposes of that section: is deﬁned in section ME 9C(l0) (Imputation credit account company joining wholly-owned group) for the purposes of that section (b) excess tax payment: this deﬁnition was inserted, as from 1 October 2005, by section 191(15) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
exchange variation is deﬁned in section CZ 3(5) (Ex- change variations on 8 August 1975) for the purposes of that section excluded depreciable property is deﬁned in section EE 55 (Meaning of excluded depreciable property) excluded income is deﬁned in section BD 1(3) (In- come, exempt income, excluded income, non-residents’ foreign-sourced income, and assessable income) excluded option means, for a company, an option to acquire or dispose of a share in the company if— (a) the directors of the company did not know and could not reasonably be expected to know that the option had been granted; or neither the grantor of the option nor any person associated with the grantor of the option at the time the option is granted holds a share in the company over which the option is granted at the time the option is granted, whether directly or indirectly, but this paragraph does not apply in (b) 2435 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) (d) a case in which the grantor of the option is the company; or the option is granted on arm’s length terms, with- out the grant having a purpose or effect of defeat- ing the intent and application of any provision of this Act whose application is dependent on the measurement of voting and market value inter- ests, and the holder of the option does not have, because of it, any right to vote or participate in any shareholder decision-making, except to the extent of any such right that— (i) arises only in circumstances in which the position of the holder of the option in re- lation to it may be altered to the holder’s detriment; and is granted to the holder of the option for the purpose of assisting the holder to prevent the alteration; and at the time of the issue of the option, is not expected to arise; or (ii) (iii) the price payable to acquire the share on the ex- ercise of the option is equal to or not materially different from the market value of the share at the date of exercise, and the holder of the option does not have, because of it, any right to vote
 or par- ticipate in any shareholder decisionmaking, ex- cept to the extent of any such right that— (i) arises only in circumstances in which the position of the holder of the option in re- lation to it may be altered to the holder’s detriment; and is granted to the holder of the option for the purpose of assisting the holder to prevent the alteration; and at the time of the issue of the option, is not expected to arise; or (ii) (iii) (e) the share is an excluded security, subject to sec- tion OD 6 (Modiﬁcations to measurement of vot- ing and market value interests in case of credit 2436 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (f) account continuity provisions) in the case of the credit amount continuity provisions; or the option— (i) relates to a pre-1991 budget security; and (ii) was itself granted before 8.00 pm New Zealand Standard Time on 30 July 1991 (speciﬁed time), or was granted under a binding contract entered into before the speciﬁed time no term of which is altered at any time after the speciﬁed time; and is not an option any term of which is al- tered at any time after the speciﬁed time (whether under a provision for roll-over or extension or under an option held at the speciﬁed time by the option holder or the grantor of the option, or both, or any other person, or otherwise), except when the term is altered under a binding contract entered into before the speciﬁed time no term of which is altered at any time after the speciﬁed time (iii) excluded security means a ﬁxed rate share issued by a company or a debenture issued by a company, if section FC 2 (Interest on debentures issued in substitution for shares) or FC 2B (Stapled debt securities) applies to the debenture and section FC 1 (Floating rate of interest on debentures) does not (or does only because of section FC 2(2)), when the holder of the share or debenture does not have, because of it, any right to vote or participate in any shareholder decision-making, except to the
 extent of any such right that— (a) arises only in circumstances in which the position of the holder of the share or debenture may be altered to the holder’s detriment; and is granted to the holder of the share or debenture for the purpose of assisting the holder to prevent the alteration; and at the time of the issue of the share or debenture, is not expected to arise (b) (c) 2437 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 exempt income is deﬁned in section BD 1(2) (Income, exempt income, excluded income, non-residents’ for- eign-sourced income, and assessable income) exempt income limitation is deﬁned in section DA 2(3) (General limitations) exempt interest means interest that is— (a) payable for a debt entered into under generally accepted commercial practice for the purchase of goods or services, if the purchase is made in the ordinary course of the purchaser’s taxable activ- ity; or payable under a hire purchase agreement, the def- inition of which applies, for this purpose, as if it did not contain paragraph (g); or exempt income under section CW 8 (Money lent to government of New Zealand) or CW 50 (Ex- emption under other Acts); or payable under a speciﬁed lease or a ﬁnance lease; or payable for bonus bonds or Post Ofﬁce bonus bonds (as each of those terms is deﬁned in section 2 of the Post Ofﬁce Bank Act 1987); or payable on an overpaid levy under section 173 of the Injury Prevention, Rehabilitation, and Compensation Act 2001; or payable by the Commissioner under section 84 of the KiwiSaver Act 2006 (b) (c) (d) (e) (f) (g) exempt interest: paragraph (f) of this deﬁnition was amended, as from 1 De- cember 2006, by section 231 KiwiSaver Act 2006 (2006 No 40) by inserting the expression “; or”.
See section 232 of that Act as to the transitional provi- sion requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

exempt interest: paragraph (g) of this deﬁnition was inserted, as from 1 Decem- ber 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).
See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).
2438 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 existing farmer means a person to whom both the fol- lowing apply (a) the person conducts in an income year 1 or more of the speciﬁed activities described in paragraphs (a) to (i) of the deﬁnition of speciﬁed activity; and the person’s livelihood and the person’s sole or principal source of income is constituted, throughout the conduct of the speciﬁed activity or the speciﬁed activities in the income year, by the conduct of the speciﬁed activity or the speciﬁed activities (b) expenditure— (a) is deﬁned in section DD 2(7) (Limitation rule) for the purposes of that section: is deﬁned in section DW 1(2) (Airport operators) for the purposes of that section (b) expenditure on account of an employee is deﬁned in section CE 5 (Meaning of expenditure on account of an employee) exploration and development activities is deﬁned in section CW 45B (Non-resident company involved in ex- ploration and development activities) for the purposes of that section exploration and development activities: this deﬁnition was inserted, as from 1 October 2005, by section 87(10) Taxation (Base Maintenance and Miscellan- eous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
exploration permit is deﬁned in section 2 of the Crown Minerals Act 1991 exploratory material means anything acquired with exploratory well expenditure or prospecting expend- iture exploratory well means a well in a permit area, drilled for the purpose of— (a) (b) locating petroleum; or conﬁrming the existence, non-existence, quan- tity, or composition of petroleum; or 2439 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) ascertaining whether petroleum is recoverable in commercial quantities exploratory well expenditure— (a) means expenditure incurred by a petroleum miner in planning, drilling, testing, completing, and abandoning an exploratory well; and does not include residual expenditure (b) extra pay— (a) means a payment that— (i) (ii) (iii) (iv) (v) (vi) is made to a person in connection with their employment; and is not one regularly included in the salary or wages payable to the person for a pay period; and is not overtime pay; and is made in a lump sum; and is made in 1 lump sum or in 2 or more instalments; and is made for a period of time or otherwise than for a period of time; and (b) includes a payment of the kind described in para- graph (a) made— (i) (ii) (iii) when the person retires from employment; as a bonus, gratuity, or share of proﬁts; or as a redundancy payment; or (iv) or by a retrospective increase in salary or wages, but the payment is included only to the extent to which the payment accrues from the start of the increase until the start of the ﬁrst pay period in which the increase is included in salary or wages, and to the extent to which, when a week ends with a Saturday, the total of the increase for the week, and of the salary or wages for the week excluding the increase, and of any other salary or wages that the person earns for the week, is more than $4; and 2440 Reprinted as at 29 August 2011 (c) Income Tax Act 2004 Part O s OB 1 includes income that a person derives under section CE 9 (Restrictive covenants) or CE 10 (Exit inducements) if the income was derived
 in connection with an employment relationship between the person and the person who paid the income; and does not include a payment of exempt income (d) fair dividend rate method means the method of calcu- lating income or FIF loss under section EX 44B (Fair dividend rate method) fair dividend rate method: this deﬁnition was inserted, as from 1 April 2007, by section 155(15) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
See section 155(49) of that Act as to the application of this amendment for income years beginning on or after 1 April 2007. fair value method means a method under section EW 15C (IFRS taxpayer method) of calculating income or expenditure for an income year that takes into account movements in fair value as determined under IFRSs family credit abatement, means the component of the subpart KD credit calculated under section KD 2(6) (Calculation of subpart KD credit).
family credit abatement: this deﬁnition was substituted, as from 1 April 2005, by section 11(5) Taxation (Working for Families) Act 2004 (2004 No 52).

family tax credit, means the component of the subpart KD credit calculated under section KD 2(3) (Calcula- tion of subpart KD credit).
farm ownership requirements means farm ownership requirements as deﬁned in the Farm Ownership Savings Act 1974 farmer is deﬁned in section EH 3(1)(a) (Persons to whom main income equalisation scheme applies) for the purposes of the main income equalisation scheme farm-in expenditure means expenditure that a farm-in party under a farm-out arrangement agrees that they will incur farm-out arrangement — (a) means an arrangement between a petroleum miner (farm-out party) and a person (farm-in party) under which the farm-in party agrees that 2441 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 they will incur expenditure in doing work or paying for work done in or for the permit area of the farm-out party’s petroleum permit, after the arrangement is made, and, in return, they— (i) (ii) (iii) (iv) (v) (vi) acquire an interest in the farm-out party’s petroleum permit; or receive a right or option to acquire an inter- est in the farm-out party’s petroleum per- mit; or become entitled in another way to acquire an interest in the farm-out party’s petrol- eum permit; or become entitled to a direct or indirect in- terest in petroleum from the permit area of the farm-out party’s petroleum permit; or become entitled to a direct or indirect in- terest in the proﬁts, however measured, from petroleum from the permit area of the farm-out party’s petroleum permit; or become entitled to a direct or indirect right to reimbursement from petroleum from the permit area of the farm-out party’s petrol- eum permit; or (vii) become entitled to a direct or indirect right to reimbursement from the proﬁts, how- ever measured, from petroleum from the permit area of the farm-out party’s petrol- eum permit; or (ix) (viii) become entitled to a rental, royalty, or other consideration of whatever nature cal- culated by reference to petroleum from the permit area of the farm-out party’s petrol- eum permit; or become entitled to a rental, royalty, or other consideration of whatever nature cal- culated by reference to the proﬁts, how-
 ever measured, from petroleum from the permit area of the farm-out party’s petrol- eum permit: 2442 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) is deﬁned in section CZ 8(2) (Farm-out arrange- ments for petroleum mining before 16 December 1991) for the purposes of that section: is deﬁned in section DZ 5(6) (Farm-out arrange- ments for petroleum mining before 16 December 1991) for the purposes of that section FBT rules has the same meaning as fringe beneﬁt tax rules feature ﬁlm means a ﬁlm that— (a) is produced mainly for exhibition in a cinema; and is exhibited in 35mm gauge; and has a continuous running time of no less than 75 minutes (b) (c) fee is deﬁned in section ND 1K(2) (Services: value of beneﬁt) for the purposes of that section FIF means a foreign investment fund as deﬁned in sec- tion EX 29 (Meaning of FIF) FIF income is deﬁned in section CQ 5 (When FIF in- come arises) FIF loss is deﬁned in section DN 6 (When FIF loss arises) FIF net loss, for a person and for an income year in which the person has a FIF loss, means the part of the FIF loss for which the person is denied a deduction be- cause of section DN 9 (Ring-fencing cap on deduction: branch equivalent method), but must instead deal with under Part I (Treatment of net losses) FIF net loss: this deﬁnition was amended, as from 1 April 2007, by section 155(16) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “section” for “sections DN 8 (Ringfencing cap on deduction: not branch equivalent method) and”.
See section 155(49) of that Act as to the application of this amendment for income years beginning on or after 1 April 2007.
FIF rules means sections EX 29 to EX 60 (which relate to foreign investment funds) ﬁfteen percent capital reduction is deﬁned in section CD 14(9) (Returns of capital: off-market share cancel- lations) for the purposes of that section 2443 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 ﬁfteen percent interest reduction is deﬁned in section CD 14(9) (Returns of capital: off-market share cancel- lations) for the purposes of that section ﬁling taxpayer means a person, other than— (a) a person who is a non-ﬁling taxpayer for the ap- plicable tax year: a person that is an unincorporated body of per- sons, if section 42 of the Tax Administration Act 1994 applies to require the members of the body to ﬁle separate returns of income for the applic- able tax year (b) ﬁlm, except in section CC 9 (Royalties),— (a) means a recording on any medium from which a moving image may by any means be produced; and includes a part of any such recording ﬁlm income means income of a person under section CC 10 (Films) (b) ﬁlm production expenditure— (a) means— (i) (ii) (iii) an expenditure or loss incurred in produc- ing a ﬁlm: an amount of depreciation loss on property used in producing the ﬁlm: an amount of depreciation loss from dis- posing of depreciable property used in pro- ducing the ﬁlm allowed under section EE 41 (Effect of disposal or event); and does not include an expenditure incurred— (i) in acquiring an asset for which a deduc- tion for an amount of depreciation loss is allowed: in acquiring a ﬁlm right after the ﬁlm is completed: directly in marketing or selling a ﬁlm ﬁlm reimbursement scheme is deﬁned in sec- tion DS 4 (Meaning of ﬁlm reimbursement scheme) (b) (ii) (iii) 2444 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 ﬁlm right means a right or interest, including a future or contingent right or interest, of any of the following kinds (a) (b) (c) (d) copyright in a ﬁlm; or a licence relating to the copyright in a ﬁlm; or an equitable right in the copyright in a ﬁlm; or an equitable
 right in a licence relating to the copy- right in a ﬁlm; or any other right existing in or attaching to a ﬁlm; or a right to income, or a share of income, from the rental, sale, use, or other exploitation of a ﬁlm (e) (f) ﬁnal instalment means the last instalment due in a tran- sitional year ﬁnance lease means a lease of a personal property lease asset entered by a person on or after 20 May 1999 that,— (a) when the person enters the lease, involves or is part of an arrangement that involves— (i) (ii) (iii) the transfer of the ownership of the asset to the lessee or an associate of the lessee during or at the end of the term of the lease: the lessee or an associate of the lessee hav- ing the option of acquiring the asset for an amount that is likely to be substantially lower than the asset’s market value on the date of acquisition: a right of an associate of the lessee to ac- quire the asset, or a right of the lessor to re- quire an associate of the lessee to acquire the asset, during the term of the lease under an arrangement that does not entitle the as- sociate to receive all of the personal prop- erty lease payments that may fall due after the acquisition: (b) when the person enters the lease or from a later time, involves a term of the lease that is more than 75% of the asset’s estimated useful life as 2445 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) deﬁned in section EE 54 (Meaning of estimated useful life): the person enters on or after 20 June 2007 and is, or is part of, an arrangement that, when the per- son enters the lease or when a change in the terms of the arrangement changes the allocation or size of the risks and rewards incidental to ownership of the lease asset,— (i) (ii) (iii) involves use of the asset outside New Zealand for all or most of the term of the lease; and involves income of any person who is not the lessor, arising from the use of the as- set by any person, that is exempt income, or excluded income, or
 non-residents’ for- eign-sourced income; and is a ﬁnance lease under NZIAS 17 for the lessor, or for a company that is in the same group of companies as the lessor and de- rives assessable income from the arrange- ment, or is an arrangement under which persons who do not include the lessor bear substantially all the risks and rewards in- cidental to ownership of the lease asset, determined as at the time the person en- ters the lease and taking into account later changes to the arrangement ﬁnance-related deductions means deductions allowed to a company that is a member of a consolidated group, calculated as if the company were not a member but nevertheless calculated in accordance with section HB 2(1) (Taxable income to be calculated generally as if group were single company), for— (a) an amount of interest incurred, other than an amount that arises only from movement in cur- rency exchange rates: an amount of expenditure under the ﬁnancial ar- rangement rules or the old ﬁnancial arrangements (b) 2446 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 rules, other than an amount that arises only from movement in currency exchange rates ﬁnance-related deductions: this deﬁnition was inserted, as from 1 April 2005, by section 155(17) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
ﬁnancial arrangement — (a) (b) is deﬁned in section EW 3 (What is a ﬁnancial arrangement?)
for the purposes of this Act except the old ﬁnancial arrangements rules; and is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules ﬁnancial arrangements rules is deﬁned in section EW 1(2) (What this subpart does) ﬁnancial statements, in subpart EB (Valuation of trad- ing stock (including dealer’s livestock)), subpart EW (Financial arrangements rules), section EG 3 (Alloca- tion of income and deductions by portfolio tax rate en- tity), and section ME 5 (Debits arising to imputation credit account), is deﬁned in section 8 of the Financial Reporting Act 1993, but the references in the deﬁnition to an entity and to a reporting entity are to be read as references to a taxpayer ﬁnancial value for the New Zealand banking group of a registered bank is deﬁned in section FG 8F (Financial value and regulatory value) for the purposes of subpart FG (Apportionment of interest costs) ﬁnancial value: this deﬁnition was inserted, as from 1 July 2005, by section 87(12) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
ﬁnancially independent means— in full employment; or (a) in receipt of a basic grant or an independent cir- (b) cumstances grant under the Student Allowances Regulations 1998 (SR 1998/277) or any regula- tions in substitution for those regulations; or in receipt of payments under a Government-as- sisted scheme that the chief executive of the de- partment currently responsible for administering the Social Security Act 1964 considers analogous (c) 2447 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (d) to a beneﬁt payable under Part 1 of the Social Security Act 1964; or in receipt of a beneﬁt, as deﬁned in section 3 of the Social Security Act 1964, payable under Part 1 of the Act ﬁrst business day means— (a) the ﬁrst day in a tax year on which a provisional taxpayer derives income or incurs expenditure as a result of carrying on a taxable activity, if the taxpayer is not a natural person; and the day following the last day in a tax year on which a provisional taxpayer derived income from employment, if the taxpayer is a natural person (b) ﬁrst PAYE period means the period starting on the 1st day of a month and ending with the 15th day of the month ﬁrst publication is deﬁned in section EI 3(6) (Assign- ing or granting copyright) for the purposes of that sec- tion ﬁsher is deﬁned in section EH 3(1)(b) (Persons to whom main income equalisation scheme applies) ﬁshing boat is deﬁned in section EJ 2(6) (Spreading forward of deductions for repairs to ﬁshing boats) for the purposes of that section ﬁshing business— (a) is deﬁned in section EH 37 (Other deﬁnitions) for the purposes of this Act except the provision to which paragraph (b) refers: is deﬁned in section EJ 2(6) (Spreading forward of deductions for repairs to ﬁshing boats) for the purposes of that section (b) ﬁshing business: paragraph (a) of this deﬁnition was substituted, as from 1 Oc- tober 2005, by section 191(17) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with applica- tion as
 from the income year corresponding to the 2005–06 tax year.
ﬁshing vessel ownership requirements means ﬁshing vessel ownership requirements as deﬁned in the Fishing Vessel Ownership Savings Act 1977 2448 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 ﬁxed establishment— (a) means a ﬁxed place of business in which substan- tial business is carried on by a person; and includes— (i) (b) (ii) (iii) (ii) a branch, factory, shop, or workshop in which, in each case, substantial business is carried on; and a mine, oil well, quarry, or other place of natural resources subject to exploitation; and an agricultural, forestry, or pastoral prop- erty; and the use of facilities solely for the purpose of the delivery, display, or storage of goods or merchandise belonging to a business; or the maintenance of a ﬁxed place of busi- ness solely for the purpose of purchasing goods or merchandise or for collecting in- formation or for advertising for business (c) does not include— (i) ﬁxed life intangible property is deﬁned in section EE 58 (Other deﬁnitions) ﬁxed principal ﬁnancial arrangement — (a) means a ﬁnancial arrangement other than a vari- (b) able principal debt instrument: is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules ﬁxed rate share,— (a) in sections CD 14 (Returns of capital: off-mar- ket share cancellations) and GD 13 (Cross-bor- der arrangements between associated persons), and in the deﬁnitions of excluded security and pre-1991 budget security, means a share issued by a company if the only dividend payable on the share (disregarding any dividend payable on the issue of the share and any imputation credits or dividend withholding payment credits attached to any dividend) is payable at a rate that— 2449 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) is described in paragraph (b) or (c) or (d); and is not set with a purpose and does not have an effect of defeating the intent and appli- cation of any provision of this Act whose application is dependent on the measure- ment of voting and
 market value interests: for the purposes of paragraph (a)(i), the rate is a speciﬁc ﬁxed percentage of the amount sub- scribed for the issue of the share: for the purposes of paragraph (a)(i), the rate is a percentage of the amount subscribed for the issue of the share that is determined by a ﬁxed rela- tionship to commodity, economic, ﬁnancial, or industrial indices, or to banking rates or general commercial rates of interest: for the purposes of paragraph (a)(i), the rate is a percentage that could be of a kind referred to in paragraph (b) or (c) but for any variation in the rate of dividend that may occur only— (i) by a ﬁxed relationship to a rate of income tax; or as may be necessary to compensate the shareholder for a default on the part of the paying company or expenditure or loss suffered by the shareholder, or a person associated with the shareholder, through holding the share; or by a combination of the factors in subpara- graphs (i) and (ii): (ii) (iii) in sections EX 40 (Limits on choice of cal- culation methods), FG 8G (New Zealand net equity of New Zealand banking group), and LF 2 (Granting of foreign underlying tax credit) has the meaning given in section LF 2(3): in section FC 2B (Stapled debt securities), and the deﬁnitions of proportional-stapling com- pany and stapled debt security, means— (i) a share described in paragraph (a): (b) (c) (d) (e) (f) 2450 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) (iii) a share that would be a share described in paragraph (a) but for a dividend or a vari- ation in the rate of dividend that may occur when the share is converted into another share (the other share) if the gain is at- tributable solely to a cause set out in para- graph (g): a share for which the dividend payable is the equivalent of the payment of interest for money lent, having regard to the factors set out in paragraph (h): (g) (h) (ii) for the purposes of paragraph (f)(ii), the causes are— (i) a change in value of the
 other share oc- curs in a period that starts no more than 30 days before the share is converted and ends when the share is converted, and the period was a term or condition of the share when the share was ﬁrst issued: a term or condition of the share that ex- isted when the share was ﬁrst issued, and the term or condition sets the gain at a ﬁxed percentage equal to 5% or a lesser percent- age of the amount subscribed for the share: for the purposes of paragraph (f)(iii), the factors are— (i) (ii) whether or not the share is redeemable: any security provided to the shareholder, including put or call options over the share or any amount payable determined by ref- erence to the amount of dividend payable: the variability or lack of variability of the dividend payable (iii) ﬂat-owning company is deﬁned in section CD 22(2) (Flatowning companies) for the purposes of that section foreign attributed income means a company’s income for the income year that is— attributed CFC income: (a) 2451 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) FIF income calculated under the accounting proﬁts method or the branch equivalent method foreign attributed loss offsets means all deductions or offsets a company is allowed in the income year that are— (a) (b) attributed CFC losses: FIF losses calculated under the accounting proﬁts method or the branch equivalent method: attributed CFC net losses: FIF net losses calculated under the accounting proﬁts method or the branch equivalent method (c) (d) foreign company means a company that— (a) (b) is not resident in New Zealand; or is treated under a double tax agreement as not being resident in New Zealand foreign company aggregates is deﬁned in section GC 9(7) (Variations in control or income interests in foreign companies) for the purposes of that section foreign country is deﬁned in section DB 36(5) (Bribes paid to public ofﬁcials) for the purposes of that section foreign dividend has the same meaning as foreign
 withholding payment dividend foreign exempt entity is deﬁned in section CW 11B(4) (Proceeds of share disposition by qualiﬁed foreign equity investor) for the purposes of that section foreign exempt entity: this deﬁnition was inserted, as from 1 October 2005, by section 261(11) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) with application as from the income year corresponding to the 2005–06 income year.
foreign exempt entity: this deﬁnition was amended, as from 1 October 2005, by section 191(18) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “section CW 11B(4)” for the expression “section CW 11B(3)” with application as from the income year corresponding to the 2005–06 tax year.
foreign exempt partnership is deﬁned in section CW 11B(4) (Proceeds of share disposition by qualiﬁed for- eign equity investor) for the purposes of that section foreign exempt partnership: this deﬁnition was inserted, as from 1 October 2005, by section 261(11) Taxation (Venture Capital and Miscellaneous Provi- sions) Act 2004 (2004 No 111) with application as from the income year cor- responding to the 2005–06 income year.
2452 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 foreign exempt partnership: this deﬁnition was amended, as from 1 October 2005, by section 191(19) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “section CW 11B(4)” for the expression “section CW 11B(3)” with application as from the income year corresponding to the 2005–06 tax year.
foreign exempt person is deﬁned in section CW 11B(4) (Proceeds of share disposition by qualiﬁed foreign equity investor) for the purposes of that section foreign exempt person: this deﬁnition was inserted, as from 1 October 2005, by section 261(11) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) with application as from the income year corresponding to the 2005–06 income year.
foreign exempt person: this deﬁnition was amended, as from 1 October 2005, by section 191(20) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “section CW 11B(4)” for the expression “section CW 11B(3)” with application as from the income year corresponding to the 2005–06 tax year.
foreign expenditure is deﬁned in section EG 1(10) (Election to use balance date used in foreign country) for the purposes of that section foreign investment fund is deﬁned in section EX 29 (Meaning of FIF) foreign investment vehicle means an entity that— (a) has become a foreign investment vehicle under section HL 5(1) (Foreign investment vehicles); and has not ceased to be a foreign investment vehicle under section HL 5(2) (b) not derived from New Zealand; and not dividends foreign non-dividend income means income that is— (a) (b) foreign public ofﬁcial is deﬁned in section DB 36(5) (Bribes paid to public ofﬁcials) for the purposes of that section foreign source income is deﬁned in section EG 1(10) (Election to use balance date used in foreign country) for the purposes of that section foreign-sourced amount means an amount that is not treated as derived from New Zealand under section OE 4 (Classes of income treated as having source in New Zealand) 2453 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 foreign superannuation scheme means a superannu- ation scheme constituted outside New Zealand foreign tax, in subpart LC (Foreign tax), means tax, other than New Zealand tax, that is the subject of a dou- ble tax agreement foreign trust, in the trust rules, and in the deﬁnitions of non-qualifying trust and taxable distribution, means a trust to which both the following apply (a) (b) it is not a unit trust; and on each date on which a distribution is made from it, no settlor of it has been resident in New Zealand at any time since the later of— 17 December 1987; and (i) the date on which a settlement was ﬁrst (ii) made under its terms foreign trust: paragraph (b) of this deﬁnition was amended, as from 1 April 2005, by section 191(21) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the word “settlor” for “settler” with application as from the income year corres- ponding to the 2005–06 tax year.
foreign withholding payment dividend means a divi- dend from which section NH 1 (Liability to make de- duction in respect of foreign withholding payment divi- dend) requires a dividend withholding payment deduc- tion to be made foreign withholding tax,— (a) except in the RWT rules, means a tax, other than a New Zealand tax, that— (i) is imposed in relation to a foreign with- holding payment dividend; and is of substantially the same nature as non- resident withholding tax: (ii) (b) in the RWT rules, means a tax, other than a New Zealand tax, that— (i) is deducted from an amount of resident withholding income; and is of substantially the same nature as non- resident withholding tax (ii) forest land unit means a pre-1990 forest land unit or a post-1989 forest land unit 2454 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 forester is deﬁned in section EH 3(1)(c) (Persons to whom main income equalisation scheme applies) forestry business includes the forestry activities carried on by a person who, as landowner, is subject to obliga- tions under a forest sink covenant referred to in section 67X of the Forests Act 1949 in relation to the land spe- ciﬁed in the covenant forestry company means a company that is incorpor- ated, under an agreement between the Crown, the Maori owners, and a holding company of the company, for the purposes of— (a) buying land partly from the Crown, partly from the Maori owners, and partly from a holding company of the company; and carrying on a forestry business on the land (b) forward contract,— (a) in the ﬁnancial arrangements rules, means— (i) an agreement that is a conditional or an unconditional agreement to acquire or dis- pose of property, or obtain or supply ser- vices, if the agreement can be settled with- out the property being delivered or the ser- vices being performed; or an agreement that is a conditional or an unconditional agreement to acquire or dis- pose of foreign exchange or a ﬁnancial ar- rangement: (ii) (b) in the old ﬁnancial arrangements rules, is
 deﬁned in section EZ 45 (Deﬁnitions) friendly society means a society or credit union or as- sociation of credit unions registered or treated as regis- tered under the Friendly Societies and Credit Unions Act 1982 fringe beneﬁt is deﬁned in section CX 2 (Meaning of fringe beneﬁt) fringe beneﬁt tax means fringe beneﬁt tax payable under section ND 1 (Employer’s liability for fringe beneﬁt tax) 2455 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 fringe beneﬁt tax rules means— (a) the following provisions: (i) (ii) sections CX 2 to CX 32 (which relate to fringe beneﬁts): sections GC 15 to GC 17B (which relate to fringe beneﬁt tax): subpart ND (Fringe beneﬁt tax): schedule 2 (Fringe beneﬁt values); and (iii) (iv) section 93, Part 7, and section 139B of the Tax Administration Act 1994 fringe beneﬁt tax rules: paragraph (a)(ii) of this deﬁnition was amended, as from 1 April 2006, by section 191(22) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by sub- stituting the expression “GC 17B” for the expression “GC 17” with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006. full employment means— (a) employment under a contract of service or ap- prenticeship that requires a person to work, whether on time or piece rates, no less than an average of 30 hours each week; or self-employment of a person in a business, manu- facture, profession, trade, or undertaking carried on for pecuniary proﬁt for not less than an aver- age of 30 hours each week; or employment for any number of hours that is re- garded as full-time employment for the purpose of an agreement, award, or contract relating to the employment (b) (b) (c) full reinsurance is deﬁned in section EY 11(2) (Mean- ing of life reinsurance) full-time earner— (a) means a person who, for any week,— (i) (ii) is engaged in employment for not less than 20 hours in the week and does not have a spouse,
 civil union partner, or de facto partner at any time in the week; or is engaged in employment for not less than 30 hours in the week and has a spouse, 2456 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iii) (iv) civil union partner, or de facto partner at any time in the week; or is a spouse, civil union partner, or de facto partner at any time in the week of another person who in the week is engaged in em- ployment for not less than 30 hours; or is engaged in employment in the week and is a spouse, civil union partner, or de facto partner at any time in the week of another person who in the week is engaged in em- ployment, if the total employment in the week of the spouses, civil union partners, or de facto partners is not less than 30 hours: (b) (c) (d) for the purposes of paragraph (a), if a person per- forms employment in a pay period of longer than 1 week, the person is treated as performing the employment to a uniform daily extent through- out the period: if a person described in paragraph (a) as being engaged in employment suffers an incapacity as described in paragraph (d), which has the conse- quence described in paragraph (e), paragraph (f) applies: for the purposes of paragraph (c), the incapacity is an incapacity due to personal injury by ac- cident as deﬁned in section 2 of the Accident Compensation Act 1982 or section 3 of the Acci- dent Rehabilitation and Compensation Insurance Act 1992 or section 29 of the Accident Insurance Act 1998 or section 26 of the Injury Prevention, Rehabilitation, and Compensation Act 2001 for which 1 of the following has been, is being, or will be paid: (i) earnings related compensation as deﬁned in section 2 of the Accident Compensation Act 1982: allowance rehabilitation vocational payable under section 25 of the Accident (ii) 2457 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (iii) (iv) Rehabilitation and Compensation Insur- ance Act 1992: compensation for loss of earnings payable
 under any of sections 38, 39, and 43 of the Accident Rehabilitation and Compen- sation Insurance Act 1992: compensation for loss of potential earning capacity payable under section 45 or 46 of the Accident Rehabilitation and Compen- sation Insurance Act 1992: (v) weekly compensation payable under any of sections 58, 59, and 60 of the Acci- dent Rehabilitation and Compensation In- surance Act 1992: continued compensation payable under section 138 of the Accident Rehabilitation and Compensation Insurance Act 1992: (vi) (vii) weekly compensation as deﬁned in section 13 of the Accident Insurance Act 1998: (viii) weekly compensation as deﬁned in section 6 of the Injury Prevention, Rehabilitation, and Compensation Act 2001: for the purposes of paragraph (c), the conse- quence is that the person is unable to be engaged in any week in the employment or employments in which, but for the incapacity, they would, the Commissioner is satisﬁed, have been engaged in in the week for the number of hours speciﬁed in paragraph (a)(i) or (ii) or (iii) or to the extent of the engagement speciﬁed in paragraph (a)(iv): for the purposes of paragraph (c), the person is treated as having been engaged in the week in the employment or employments for the number of hours speciﬁed in paragraph (a)(i) or (ii) or (iii) or to the extent of the engagement speciﬁed in paragraph (a)(iv): if a person described in paragraph (a) as being engaged in employment is unable to be engaged in employment in the week because they are on a (e) (f) (g) 2458 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 period of parental leave under the Parental Leave and Employment Protection Act 1987 for which a parental leave payment under Part 7A of the Act is payable, they are treated as having been engaged in the week in the employment for the number of hours in which, the Commissioner is satisﬁed, they would have been engaged but for the period of parental leave: is deﬁned in section KC 3(3) (Transitional
 tax allowance) for the purposes of that section (h) full-time earner: paragraph (a) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substi- tuting “spouse, civil union partner, or de facto partner” for “spouse” wherever it occurs.
full-time earner: paragraph (a) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by sub- stituting “employment in the week of the spouses, civil union partners, or de facto partners” for “of the spouses’ employment in the week”.
fully conduit tax relief credited means the part of a dividend calculated using the formula— where— CTRC is the amount of conduit tax relief credit at- T tached to the dividend is the rate of companies’ tax, expressed as a per- centage, stated in schedule 1, part A, clause 5 (Basic rates of income tax and speciﬁed super- annuation contribution withholding tax) that ap- plies to the income year in which the dividend is paid fully credited is deﬁned in section CD 32(25) (Avail- able subscribed capital amount) for the purposes of that section fully employed person means a person to whom both the following apply the person— (a) (i) is a qualifying person, is engaged in em- ployment for an average of not less than 2459 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) (iii) 30 hours a week, and has a spouse, civil union partner, or de facto partner; or is engaged in employment for an average of not less than 30 hours a week and has a spouse, civil union partner, or de facto partner who is a qualifying person; or is a qualifying person, is engaged in em- ployment for an average of not less than 20 hours a week, and does not have a spouse, civil union partner, or de facto partner; and the person’s employment is employment per- formed for the employer from whom the person derives primary employment earnings (b) fully employed person: paragraph (a) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “spouse, civil union partner, or de facto partner” for “spouse” wherever it occurs.
fund provider means, for a person, and for a complying superannuation fund or a KiwiSaver scheme of which they are a member, the trustees of the fund or scheme.

fund provider: this deﬁnition was inserted, as from 1 July 2007, by section 49(7) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
further dividend withholding payment means an amount that a company may be liable to pay under section MG 9 (Further dividend withholding payment payable by company) further income tax means an amount of tax by way of further income tax that a company may be liable to pay under section ME 9 (Further tax payable where end of year debit balance, or when company ceases to be imputation credit account company) futures contract means a forward contract traded on a recognised futures exchange gaming-machine gambling means class 4 gambling, as deﬁned in section 30 of the Gambling Act 2003, that utilises or involves a gaming machine gaming-machine gambling: this deﬁnition was inserted, as from 3 April 2006, by section 191(23) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
2460 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 gaming-machine operator’s licence means a class 4 operator’s licence as deﬁned in section 4 of the Gambling Act 2003 gaming-machine operator’s licence: this deﬁnition was inserted, as from 3 April 2006, by section 191(23) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
gaming-machine venue licence means a class 4 venue licence as deﬁned in section 4 of the Gambling Act 2003 gaming-machine venue licence: this deﬁnition was inserted, as from 3 April 2006, by section 191(23) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
general insurance means insurance that is not life in- surance general insurance contract has the meaning given in IFRS 4 general limitation means a rule described in any of section DA 2(1) to (6) (General limitations) general permission is deﬁned in section DA 1(1) (Gen- eral permission) general power of appointment— (a) includes a power or authority that— (i) (ii) (iii) is conferred by will or conferred by a settlement during life or created in any other manner; and is exercisable orally or by instrument made during life or by will or by any other means; and enables its holder, or would enable its holder if they were of full capacity, to ob- tain or appoint or dispose of any property, or to charge any sum or money on any property, as the holder thinks ﬁt for their own beneﬁt; and (b) does not include a power or authority— (i) exercisable by a person in a ﬁduciary capacity under a disposition not made by them; or exercisable as a mortgagee (ii) 2461 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 generally accepted accounting practice is deﬁned in section 3 of the Financial Reporting Act 1993 geothermal energy proving period means, for a per- son’s geothermal well that is not used to exploit geother- mal energy, a period— (a) starting with the completion or acquisition of the well; and excluding the case of the person disposing of the well to another person, ending when the well, for the foreseeable future, is not intended, and cannot reasonably be expected, to be used or available for use in— (i) (ii) deriving assessable income: carrying on a business for the purpose of deriving assessable income (b) geothermal energy proving period: this deﬁnition was inserted, as from 1 April 2005, by section 155(21) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
geothermal well means a bore or well solely for the pur- pose of investigating or exploiting geothermal energy in New Zealand geothermal well: this deﬁnition was inserted, as from 1 April 2005, by section 155(21) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
gift is deﬁned in section KC 5(4) (Rebate in respect of gifts of money) for the purposes of that section gifting settlor is deﬁned in section EX 40(10) (Limits on choice of calculation methods) goods, in sections CX 1 (GST), DB 2 (GST), and EA 3 (Prepayments), and in the deﬁnition of services, is deﬁned in section 2 of the Goods and Services Tax Act 1985 government stock is deﬁned in section DZ 11(3) (Film reimbursement scheme on or before 30 June 2001) for the purposes of that section Government Superannuation Fund means the fund the Government Superannuation established under Fund Act 1956 2462 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) grandparented consolidated company, for a company that is a member of a consolidated group and for an in- come year (the current income year), means a com- pany that before 17 May 2006 elected, by notice, to form or join the consolidated group, if— (a) income year is the 2005–06 or the current 2006–07 income year: the company carries on a business, and the total amount of the company’s ﬁnance-related deduc- tions allocated to the income year (the previous income year) before the current income year is— zero, because no deductions are allocated (i) to the previous income year; or less than 50% of the company’s total de- ductions allocated to the previous income year, calculated as if the company were not a member but nevertheless calculated in accordance with section HB 2(1) (Tax- able income to be calculated generally as if group were single company) (ii) grandparented consolidated company: this deﬁnition was inserted, as from 1 April 2005, by section 155(22) Taxation (Savings Investment and Miscellan- eous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
grant-related suspensory loan means a loan— (a) that— (i) (ii) (iii) is made by a public authority; and is not a loan of the kind described in sec- tion CF 2(1) (Remission of speciﬁed sus- pensory loans); and includes the term that the liability of the borrower may be wholly or partly remit- ted; or (b) (c) that is made by the Rural Banking and Finance Corporation of New Zealand as an irrigation sus- pensory loan and designated as such; or that is made by the Rural Banking and Finance Corporation of New Zealand as a West Coast drainage suspensory loan and designated as such 2463 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 grey list means the list of countries in schedule 3, part A (International tax rules: grey list countries) grey list company means a company that is resident in a country or territory speciﬁed in schedule 3, part A (International tax rules: grey list countries)— (a) for the purposes of the international tax rules other than those referred to in paragraph (b), under section OE 2 (Determination of residence of company): for the purposes of subparts CQ (Attributed income from foreign equity), DN (Attributed losses from foreign equity), EX (Controlled foreign company and foreign investment fund rules), and LF (Underlying foreign tax credits), under section EX 24 (Residence in grey list country) (b) grey list company: this deﬁnition was substituted, as from 3 April 2006, by section 191(24) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
grey list company: this deﬁnition was amended, as from 1 April 2006, by section 155(23) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “country or territory” for “company or territory”.
gross, for an amount, means without any deduction from the amount gross gambling proceeds means gross proceeds, as de- ﬁned in regulation 3(1) of the Gambling (Class 4 Net Proceeds) Regulations 2004, plus prizes gross gambling proceeds: this deﬁnition was inserted, as from 3 April 2006, by section 191(25) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
gross tax deductions,— (a) in section NC 15 (Payment of tax deductions to Commissioner), for an employer or a PAYE inter- mediary, means tax deductions payable by the employer or the PAYE intermediary under the PAYE rules in relation to source deduction pay- ments; and in sections ND 13 (Payment of fringe beneﬁt tax on annual basis for employees who are not shareholderemployees) and ND 14 (Payment of (b) 2464 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 fringe beneﬁt tax on income year basis for share- holder-employees), for an employer, means tax deductions payable by the employer under the PAYE rules in relation to source deduction pay- ments group funding debt is deﬁned in section FG 8B (Ad- justment of annual total deduction-reporting bank) for the purposes of subpart FG (Apportionment of interest costs) group funding debt: this deﬁnition was inserted, as from 1 July 2005, by section 87(14) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
Public Trust Act 2001; or Trustee Companies Act 1967; or Public Trust Ofﬁce Act 1957 group investment fund means a group investment fund established under the— (a) (b) (c) group of companies is deﬁned in section IG 1(2) and (2B) (Companies included in group of companies) group of persons includes 1 person group quarter day is deﬁned in section FG 8B(6) (Ad- justment of annual total deduction-reporting bank) for the purposes of that section group quarter day: this deﬁnition was inserted, as from 1 July 2005, by section 87(15) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
grower is deﬁned in section GE 1(2) (New Zealand Raspberry Marketing Council) for the purposes of that section GST means goods and services tax under the Goods and Services Tax Act 1985 GST charged means GST charged under section 8(1) of the Goods and Services Tax Act 1985 GST payable,— (a) in sections CX 1 (GST) and DB 2 (GST), has the same meaning as tax payable in section 2 of the Goods and Services Tax Act 1985 (but does not include interest payable under Part 7 of the Tax Administration Act 1994): 2465 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (b) is deﬁned in section DB 3(3) (Determining tax liabilities) for the purposes of that section GST ratio has the meaning given in section MB 7(2) (GST ratio method) guaranteed residual value means an amount to which both the following apply (a) it is equal to the value of a personal property lease asset as agreed in the lease by the lessor and the lessee; and its receipt by the lessor, on the expiry of the term of the lease, is assured or guaranteed by the lessee guardian is deﬁned in section HH 3F (Deﬁnitions of guardian, minor, and relative) for the purposes of sec- tions HH 3C (Source of beneﬁciary income), HH 3D (Treatment of various settlements), and HH 3F herd livestock means a type of speciﬁed livestock that a person— (a) (b) chooses to value under the herd scheme; and values for a tax year under sections EC 14 to EC 21 (which relate to the herd scheme) (b) herd scheme — (a) means the livestock valuation method described in sections EC 14 to EC 21 (which relate to the herd scheme); and includes the livestock valuation method speciﬁed in— (i) sections EL 5 and EL 6 of the Income Tax Act 1994; and section 86A of the Income Tax Act 1976 as in force before its repeal by section 21 of the Income Tax Amendment Act (No 2) 1993; and section 86D of the Income Tax Act 1976 herd value means, for an animal that is herd livestock and for an income year, the national average market value of the livestock declared for the income year (iii) (ii) 2466
 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 herd value ratio means— (a) the ratio calculated or recalculated under section EC 17 (Herd value ratio) or EC 18 (Inaccurate herd value ratio) for herd livestock other than livestock on the Chatham Islands: the adjustment set by the Commissioner under section EC 19 (Chatham Islands adjustment to herd value) for herd livestock on the Chatham Islands (b) high-priced livestock means an animal of a type set out in schedule 8, column 1 (Types and classes of livestock) to which both the following apply (a) a person buys it for a purchase price that is at least— (i) (ii) $500; and 5 times the national average market value, in the income year of purchase or in the previous income year, whichever is greater, for the class in schedule 8, column 2 (Types and classes of livestock) in which the livestock is able to be classiﬁed at the end of the income year of purchase; and (b) at the time the person buys it,— (i) (ii) it is capable of being used for breeding; or it is expected to be capable of being used for breeding when it reaches maturity hire purchase agreement — (a) means an agreement under which goods are let or hired with an option to purchase, however the agreement describes the payments, under which the person who agrees to purchase the goods is given possession of them before the total amount payable has been paid; and (b) means an agreement for the purchase of goods by instalment payments, however the agreement describes the payments, under which the person who agrees to purchase the goods is given pos- session of them before the total amount payable has been paid; and 2467 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) (d) (e) (f) (g) includes an agreement to sell goods at retail under which— (i) the buyer grants security over the goods to the seller for some or all of the purchase price; and the property in the goods passes to the buyer subject to the security, in which case the
 agreement is a hire purchase agreement made at the time the sale is made; and (ii) includes a sale and loan arrangement under which— (i) a person lends money on the security of goods that have been bought or are to be bought at retail if some or all of the pur- chase price is paid out of the proceeds of the loan; and the loan is made by the seller or by a third party, arranged by the seller, who is en- gaged in the business of lending money or who habitually lends money in the course of the third party’s business, in which case the arrangement is a hire purchase agree- ment made at the time the loan is made; and (ii) does not include an agreement under which prop- erty in the goods passes absolutely to the person who agrees to purchase them at the time of the agreement or on or at any time before delivery of the goods, unless the agreement is of a kind de- scribed in paragraph (a) or (b); and does not include an agreement made otherwise than at retail; and does not include an agreement to the extent to which the property the subject of the agreement is livestock or bloodstock hire purchase asset means the personal property that is the subject of a hire purchase agreement hire purchase payment means a payment made under a hire purchase agreement 2468 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 hire purchase term means the period from the start of a hire purchase agreement to the expiry date of the agree- ment holder is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules holding company,— (a) for a forestry company, means a company that has the forestry company under its control: for a mining company, is deﬁned in section CU 29 (Other deﬁnitions) (b) home is deﬁned in section KC 4(2) (Rebate in certain cases for housekeeper) for the purposes of that section home ownership requirements means home owner- ship requirements as deﬁned in the Home Ownership Savings Act 1974 home vendor mortgage is deﬁned in
 section KE 1(3) (Rebate for interest on home vendor mortgages) for the purposes of that section housekeeper is deﬁned in section KC 4(2) (Rebate in certain cases for housekeeper) for the purposes of that section identical goods is deﬁned in section ND 1M (Meaning of identical goods) for the purposes of the FBT rules identical share means a share that confers the same rights and imposes the same obligations on a holder as an original share identical share: this deﬁnition was inserted, as from 1 July 2006, by section 191(27) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
IFRS 4 means the IFRS, numbered 4, that relates to insurance contracts IFRS means a New Zealand Equivalent to International Financial Reporting Standard, approved by the Ac- counting Standards Review Board, and as amended from time to time or an equivalent standard issued in its place IFRS taxpayer method means the methods described in sections EW 15B to EW 15E (which relate to the IFRS method and alternative methods) 2469 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 impaired credit adjustment is deﬁned in section EW 15C(4) (IFRS method) for the purposes of that section implementation date is deﬁned in section EZ 45 (Def- initions) for the purposes of the old ﬁnancial arrange- ments rules improvement, for an item of depreciable property, is deﬁned in section EE 58 (Other deﬁnitions) land ac- improvements, in sections CB 6 (Disposal: quired for purposes of business relating to land) and CB 9 (Disposal within 10 years of improvement: building business), means improvements to land that— (a) (b) are not minor; and are made— (i) by a person erecting a building or other- wise; or by an associated person erecting a building or otherwise (ii) imputation credit — (a) means the amount attached to a dividend under section ME 6 (Company may attach imputation credit to dividend): is further deﬁned in section CD 10(4) (Certain dividends not increased by tax credits) for the purposes of that section is further deﬁned in section CD 10B(4) (Credit transfer notice) for the purposes of that section (b) (c) imputation credit: paragraph (c) of this deﬁnition was inserted, as from 1 July 2006, by section 191(28) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
imputation credit: paragraph (c) of this deﬁnition was amended, as from 1 July 2006, by section 155(24) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81) by substituting the expression “section CD 10B(4)” for the expression “section CD 10C(4)”.
imputation credit account means the account required to be maintained by a company under section ME 1 (Companies required to maintain imputation credit ac- count) or ME 1A (Companies electing to maintain im- putation credit account) imputation credit account company means a com- pany that is required by section ME 1 (Companies re- 2470 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 quired to maintain imputation credit account) or ME 1A (Companies electing to maintain imputation credit ac- count) to maintain an imputation credit account imputation group means, at any time, an imputation group formed under section FDA 2 (Formation, entry, and combination of imputation groups) as it is consti- tuted at that time imputation penalty tax means tax payable under sec- tion 140B of the Tax Administration Act 1994 imputation ratio means an amount calculated using the formula— where— a is the amount of the imputation credit attached to a dividend (the amount is zero if no such credit is attached) b is the amount of the dividend paid (exclusive of any imputation credit or dividend withholding payment credit) imputation return is deﬁned in section NF 8(4) (Resident withholding tax deductions from dividends deemed to be dividend withholding payment credits) for the purposes of that section imputation rules means— (a) the following provisions: (i) section CD 9 (Tax credits linked to divi- dends): subpart FDA (Imputation group of com- panies): sections GC 21 to GC 23 (which relate to imputation): section LB 1 (Determination of amount of credit in certain cases): section LB 2 (Credit of tax for imputation credit): section MD 2 (Limit on refunds and allo- cations of tax): (ii) (iii) (iv) (v) (vi) 2471 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (vii) sections ME 1 to ME 14 (which relate to imputation credit accounts generally): (viii) sections ME 30 to ME 40 (which relate to speciﬁc kinds of imputation credit ac- counts): subpart MZ (Terminating provisions): section OB 6(1)(d) (Meaning of
 income tax); and (ix) (x) sections 29, 64, 67, 69, 70, 97, 101, 139B, 140B, 140D(1) and (2), and 180 of the Tax Administration Act 1994 (b) imputation year means the period of 12 months start- ing on 1 April in a year and ending with the following 31 March income, for a person, means income of the person under section BD 1(1) (Income, exempt income, excluded in- come, non-residents’ foreign-sourced income, and as- sessable income) income derived from New Zealand means income that has a source in New Zealand described in section OE 4 (Classes of income treated as having source in New Zealand) income from employment — (a) means salary or wages or an extra pay: (b) in sections DA 2 (General limitations) and DE 1 (What this subpart does), means salary or wages or an extra pay, except for payments referred to in the deﬁnition of salary or wages in any of paragraph (b)(xii) to (xvi) to the extent to which those payments are made to 1 of the following: (i) under the Accident Compensation Act 1982, a self-employed person, as deﬁned in section 2 of the Act; or under the Accident Rehabilitation and Compensation Insurance Act 1992, an earner in relation to compensation for loss of earnings other than as an employee, as deﬁned under regulations made under section 167 of the Act; or (ii) 2472 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iii) (iv) under the Accident Insurance Act 1998, a self-employed person, as deﬁned in sec- tion 13 of the Act, for compensation paid under schedule 1, clause 7 of the Act; or Prevention, under Rehabilitation, and Compensation Act 2001, a self-employed person, as deﬁned in section 6 of the Act, for compensation paid under schedule 1, clause 32 of the Act: Injury the (c) in sections DA 2 (General limitations) and DE 1 (What this subpart does), also means salary, wages, or other income to which section OB 2(2) (Meaning of source deduction payment: share- holder-employees of close companies) applies income from forestry is deﬁned in
 section EH 34 (Meaning of income from forestry) income from mining is deﬁned in section CU 21 (Meaning of income from mining) income from personal exertion is deﬁned in section IE 2(8) (Speciﬁed activity net losses) for the purposes of that section income interest,— (a) for a foreign company, is deﬁned in sections EX 8 to EX 13 (which relate to the calculation of a person’s income interest): in subpart MF (Branch equivalent tax accounts), and in the dividend withholding payment rules and the imputation rules, means an income inter- est of 10% or greater under the rules in sections EX 8 to EX 17 (which relate to the 10% thresh- old and variations in the income interest level) (b) income statement means a statement issued by the Commissioner to a natural person that contains the information required by section 80E of the Tax Administration Act 1994 income tax has the meanings given to it by section OB 6 (Meaning of income tax) 2473 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 income tax liability — (a) means, for a person,— (i) (ii) an income tax liability for the person and a tax year calculated under subpart BC (Cal- culating and satisfying income tax liabil- ities), if subparagraph (ii) does not apply; or income tax for the person and a tax year calculated under subpart HL (Portfolio in- vestment entities), if the person is a port- folio tax rate entity; and (b) in sections EF 5 (Use of money interest payable by person) and EF 6 (Different tax years), in- cludes circumstances in which a person has no tax to pay or is entitled to a refund of tax income year means,— (a) for a person who has elected, under section 38 of the Tax Administration Act 1994 and with the Commissioner’s consent, to have a period not ending on 31 March, the elected period (which may be less than a year in some cases): for any other person, the tax year (b) income year of transfer, for a relationship agreement, means the income year in which the date of transfer falls income year
 of transfer: this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “relationship agreement” for “matrimonial agreement”.
income-tested beneﬁt — (c) (a) (b) does not include a supplement or beneﬁt paid or payable under any of sections 61DB, 61DC, 61DD, 61DE, 61EA, 61G, and 69C of the Social Security Act 1964 income-tested beneﬁt: paragraphs (a) and (b of this deﬁnition were repealed, as from 1 April 2005, by section 11(8) Taxation (Working for Families) Act 2004 (2004 No 52).
increase in savings is deﬁned in section KG 1(3) (Re- bate for savings in special farm, ﬁshing vessel, and 2474 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 home ownership accounts) for the purposes of that sec- tion indirect income interest is deﬁned in section EX 10 (Indirect income interests) initial period means the period— (a) (b) starting on the date of the start of a lease; and ending immediately before the start of the instal- ment period ﬁrst following the start of the lease initial treatment is deﬁned in section CU 29 (Other deﬁnitions) Inland Revenue Acts means the Acts speciﬁed in the schedule of the Tax Administration Act 1994 input tax — (a) is deﬁned in section 3A of the Goods and Services Tax Act 1985; and includes, for a supply, GST levied on goods en- tered for home consumption under the Customs and Excise Act 1996 (b) instalment, in sections FC 6 to FC 8 (which relate to leases), and in the deﬁnitions of instalment period and outstanding balance, means an amount payable by a lessee, under a lease, by way of— (a) repayment of some or all of a loan that a lessor is treated as having advanced under section FC 6(3) (Effect of speciﬁed lease on lessor and lessee); or payment of interest; or both (b) (c) instalment date means a date for payment of provi- sional tax for a tax year that is the day and month spe- ciﬁed for a provisional taxpayer in schedule 13 part A (Months for payment of provisional tax and terminal tax) instalment period, means the period— (a) starting on the day on which an instalment is payable; and ending with the day immediately before the day on which the next instalment is payable (b) 2475 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 institution is deﬁned in section KC 4(2) (Rebate in cer- tain cases for housekeeper) for the purposes of that sec- tion insurance is deﬁned in section FC 13(9) (Premiums derived by non-resident general insurers treated as be- ing derived from New Zealand) for the purposes of that section and sections FC 14 to
 FC 17 (which relate to non-resident general insurers) insurance contract includes a cover note and a renewal of an insurance contract insurance premium is deﬁned in section GD 13(13) (Crossborder arrangements between associated per- sons) for the purposes of that section insured person is deﬁned in section FC 13(9) (Pre- miums derived by non-resident general insurers treated as being derived from New Zealand) for the purposes of sections FC 13 to FC 17 (which relate to non-resident general insurers) insurer— (a) means a person who assumes liability under a (b) contract of insurance: is deﬁned in section FC 13(9) (Premiums derived by non-resident general insurers treated as being derived from New Zealand) for the purposes of sections FC 13 to FC 17 (which relate to non- resident general insurers) insurer: this deﬁnition was substituted, as from 1 October 2005, by section 261(12) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
interest,— (a) for a person’s income,— (i) means a payment made to the person by another person for money lent to any per- son, whether or not the payment is peri- odical and however it is described or com- puted; and does not include a redemption payment; and (ii) 2476 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iii) does not include a repayment of money lent: (b) (c) (d) for a person’s resident withholding income,— (i) means a payment made to the person by another person for money lent to any per- son, whether or not the payment is peri- odical and however it is described or com- puted; and includes a redemption payment; and does not include a repayment of money lent: (ii) (iii) for a person’s non-resident withholding in- come,— (i) means a payment made to the person by another person for money lent to any per- son, whether or not the payment is peri- odical and however it is described or com- puted; and includes a redemption payment; and does not include a repayment of money lent: (ii) (iii) in sections DB 6 (Interest: not capital expend- iture), DB 7 (Interest: most companies need no nexus with income), and DB 8 (Interest: money borrowed to acquire shares in group compan- ies),— (i) includes expenditure incurred under the ﬁ- nancial arrangements rules or the old ﬁ- nancial arrangements rules; and does not include interest to which section DB 1(1)(c) (Taxes, other than GST, and penalties) applies: (ii) (e) (f) in the deﬁnition of exempt interest, includes a redemption payment: for land, has the same meaning as estate interest: paragraph (d)(ii) of this deﬁnition was amended, as from 1 April 2005, by section 87(16) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting “(Taxes, other than GST, and penal- ties)” for “(Taxes, other than GST, and penalties)” with application as from the 2005–06 income year.
2477 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 interest instalment date means an instalment date (a) on which an instalment of provisional tax is due and payable under section MB 8 (Provisional tax payable in instalments); and after which, except in a case to which section 120KC(1) applies, an instalment amount that is overpaid or underpaid attracts use of money inter- est, a late payment penalty, or a shortfall penalty, as applicable (b) interim instalment means the weekly or fortnightly in- terim instalment elected in an application made in ac- cordance with section KD 5(2) (Credit of tax by instal- ments).
interim instalment: this deﬁnition was inserted, as from 1 April 2005, by section 11(9) Taxation (Working for Families) Act 2004 (2004 No 52).
intermediary is deﬁned in section MBA 2 (Function of intermediary and tax pooling account) for the purposes of subpart MBA (Pooling of provisional tax international aircraft is deﬁned in section EE 58 (Other deﬁnitions) international organisation is deﬁned in section CW 18(3) (Amounts derived by overseas experts and trainees in New Zealand by government arrangement) for the purposes of that section international tax rules means— (a) the following provisions: (i) section CD 13 (Attributed repatriations from controlled foreign companies): sections CD 34 to CD 41 (which relate to CFC attributed repatriation calculation rules): section CQ 2 (When attributed CFC in- come arises): section CQ 5 (When FIF income arises): section CZ 10 (Transitional relief for calculation of attributed repatriation divi- dends: 2 July 1992): section DN 2 (When attributed CFC loss arises): (ii) (iii) (iv) (v) (vi) 2478 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (x) (ix) section DN 6 (When FIF loss arises): (vii) (viii) subpart EX (Controlled foreign company and foreign investment fund rules): section EZ 7 (FIF interests held on 1 April 1993): section FD 11 (Application of national tax rules): sections GC 7 to GC 10 (which relate to avoidance): section GD 14 (Attributing interests in FIFs): inter- (xii) (xi) (xiii) section IE 3 (Attributed CFC net losses): (xiv) section IE 4 (FIF net losses): (xv) (xvi) section IG 4 (Group of companies at- section IF 3 (Attributed CFC net losses): tributed CFC net losses): (xvii) section IG 5 (Group of companies FIF net losses): (xviii) section LC 4 (Foreign tax credits: CFCs): (xix) section LC 5 (Group of companies CFC (xx) tax credits): section MF 15 (Extension of branch equivalent tax account provisions to cer- tain FIF income): (xxi) section OB 6(1)(c) (Meaning of income tax): (xxii) section OD 8(3) (Further deﬁnitions of as- sociated persons): (xxiii) section OD 9 (Nominees are transparent): (xxiv) section OE 2(2) to (6) (Determination of residence of company); and (b) sections 61
 and 183 of the Tax Administration Act 1994 investment society dividend means— (a) (b) a dividend declared by a friendly society; or a dividend declared by a registered society as de- ﬁned in section 2 of the Industrial and Provident Societies Act 1908; or for a building society,— (c) 2479 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) a dividend declared by the society; or some tangible or intangible beneﬁt that a member or a shareholder receives for dis- posing to the society of a share in the so- ciety; the beneﬁt may or may not be relief from an obligation and may or may not be convertible into money investor means,— (a) (b) for a group investment fund, a person who is en- titled, by reason of the terms of the trust under which the group investment fund is established, to the income from the money, investments, and other property of the group investment fund: for a portfolio investment entity is deﬁned in sec- tion HL 5B (Meaning of investor and portfolio investor class) [Repealed] (c) in-work tax credit means the component of the sub- part KD credit given by section KD 2AAA (In-work tax credit) issue, for a ﬁnancial arrangement, means the act of cre- ating the ﬁnancial arrangement issuer is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules joint venture agreement, for an airport operator,— (a) means an agreement made between an airport authority and the Crown acting by and through the Minister of Transport under section 94 of the Civil Aviation Act 1990; and includes any other agreement of a similar nature made between the Crown and an airport author- ity, whether or not the airport authority was, at the time the agreement was made, an airport author- ity, and whether or not the agreement was made before the commencement of the Civil Aviation Act 1990 (b) 2480 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 KiwiSaver calculation period is deﬁned in section NE 3(6) (Speciﬁed
 superannuation contribution withhold- ing tax to be deducted) for the purposes of that section KiwiSaver calculation period: this deﬁnition was inserted, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).
See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

KiwiSaver contributions means contributions required to be deducted under Part 3, subpart 1 of the KiwiSaver Act 2006 KiwiSaver contributions: this deﬁnition was inserted, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).
See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

KiwiSaver contributions: this deﬁnition was substituted, as from 1 July 2007, by section 155(26) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
KiwiSaver scheme means a KiwiSaver scheme, as de- ﬁned in section 4 of the KiwiSaver Act 2006 KiwiSaver scheme: this deﬁnition was inserted, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).

See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).
KiwiSaver scheme: this deﬁnition was substituted, as from 1 July 2007, by section 155(27) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Kyoto unit is deﬁned in section 4(1) of the Climate Change Response Act 2002 land,— (a) in sections CB 5 to CB 21 (Amount from land affected by change and not already in income),— (i) (ii) [Repealed] includes an estate or interest in land, whether legal or equitable, corporeal or incorporeal, or freehold or chattel; and includes an option to acquire an estate or interest in land; and includes an option to acquire land; and does not include a mortgage: (iii) (iv) (v) 2481 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) (d) (e) (ii) is deﬁned in section CB 17(3) (Business exclu- sion from sections CB 5 to CB 9) for the purposes of that section: in sections DC 3 (Pension payments to former partners) and DC 4 (Payments to working part- ners),— (i) includes an estate or interest in land, whether legal or equitable, corporeal or incorporeal, or freehold or chattel; and includes an option to acquire an estate or interest in land; and includes an option to acquire land: (iii) in sections EB 2(3)(a) (Meaning of trading stock), FE 6(3A) and (3B) (Acquisition of prop- erty by amalgamated company on qualifying amalgamation), FF 6 (Land), and GD 2 (Dis- tribution of trading stock to shareholders of company),— (i) in land, includes an estate or interest whether legal or equitable, corporeal or incorporeal, or freehold or chattel; and includes an option to acquire an estate or interest in land; and includes an option to acquire land; and does not include a mortgage: (iii) (iv) in sections FF 18 (Land used in speciﬁed activity) and IE 2 (Speciﬁed activity net losses), and in the deﬁnition of speciﬁed activity,— (i) (ii) includes an estate or interest in land, whether legal or equitable, corporeal or incorporeal, or freehold or chattel; and includes an option to acquire an estate or interest in land; and includes an option to acquire land; and includes a lease, or an interest under a lease, of a leased area as deﬁned in the Marine Farming Act 1971; and (ii) (iii) (iv) 2482 Reprinted as at 29 August 2011
 Income Tax Act 2004 Part O s OB 1 (f) (v) includes a licence, or an interest under a li- cence, relating to a licensed area as deﬁned in the Marine Farming Act 1971; and includes a lease improvement; and (vi) (vii) does not include a mortgage: in the deﬁnitions of permit area, petroleum mining asset, prospecting expenditure, and residual expenditure,— (i) means all land within the territorial limits of New Zealand; and includes land below the territorial sea of New Zealand or any other waters within the territorial limits of New Zealand; and includes the continental shelf; and includes the seabed and subsoil below any sea that is beyond the territorial sea of New Zealand but that, by New Zealand legisla- tion and under international law, has been or may be designated as an area in which the rights of New Zealand relating to nat- ural resources may be exercised (ii) (iii) (iv) land owned — (a) means an estate or interest owned in land; and (b) includes land treated by this Act as being so owned (b) (c) large budget screen production grant means a pay- ment that— (a) is in the nature of a large budget screen produc- tion grant; and is made in relation to a ﬁlm or television produc- tion; and is authorised by the New Zealand Film Commis- sion in relation to a company that— is resident in New Zealand; or (i) has a permanent establishment in New (ii) Zealand late balance date is deﬁned in section OF 1(2) (Refer- ences to balance dates and years generally) 2483 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 lease— (a) means a disposition that creates a leasehold es- instalment, tate: (ab) in sections DZ 9 (Premium paid on land leased before 1 April 1993) and EZ 6 (Premium paid on land leased before 1 April 1993),— (i) means a disposition by which a leasehold estate is created; and includes a licence: (ii) for the purposes of subpart EE (Depreciation), includes a licence to occupy: in sections EJ 9 (Personal property lease pay- ments), EX 21(30) and (31)
 (Branch equivalent income or loss: calculation rules), FC 6 to FC 8 (which relate to speciﬁed leases), and FC 8A to FC 8H (which relate to ﬁnance leases), and in the deﬁnitions of cost price (paragraphs (b) to (e)), ﬁnance lease, guaranteed residual value, initial period, lessee (paragraph (b)), lessor (paragraph (b)), operating lease, outstanding balance, personal property lease asset, speciﬁed lease, and term of the lease,— means an agreement under which a lessor (i) transfers to a lessee for the term of the lease a personal property lease asset or the right to possess a personal property lease asset in consideration for a personal prop- erty lease payment; and includes a sublease; and includes a licence to use intangible prop- erty; and includes a hire or bailment; and includes a lease that is 2 or more consecu- tive or successive leases treated as 1 lease because the same personal property lease asset had been leased to the same lessee or an associated person of the lessee under the consecutive or successive leases and (ii) (iib) (iii) (iv) (b) (c) (d) 2484 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 the Commissioner, having regard to the tenor of this paragraph, regards the con- secutive or successive leases as 1 lease; and does not include a hire purchase agree- ment, the deﬁnition of which applies, for this purpose, as if it did not contain para- graph (g); and does not include an assignment of a hire purchase agreement, the deﬁnition of which applies, for this purpose, as if it did not contain paragraph (g): (v) (vi) (e) (f) is deﬁned in section GD 10(4) (Leases for inad- equate rent) for the purposes of that section: in the ﬁnancial arrangements rules, means— a lease as described in paragraph (d): (i) an arrangement that would be a lease as de- (ii) scribed in paragraph (d) if the arrangement did not relate to real property, livestock, or bloodstock lease improvement means an improvement on or in relation to the leased area or the
 licensed area to which a lease or licence under the Marine Farming Act 1971 relates leasehold estate includes any estate, however created, other than a freehold estate legal defeasance means a defeasance in which the re- lease of a party to a ﬁnancial arrangement or an excepted ﬁnancial arrangement from the primary obligation of the ﬁnancial arrangement or the excepted ﬁnancial ar- rangement is— (a) (b) acknowledged formally by the creditor; or acknowledged formally by a duly appointed trustee or agent of the creditor; or established by legal judgment (c) legal life is deﬁned in section EE 58 (Other deﬁnitions) 2485 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) (d) (b) lessee,— (a) for a lease as described in paragraph (c) of the deﬁnition of lease, includes the holder of a li- cence to occupy: for a lease as described in paragraph (d) of the deﬁnition of lease,— (i) means a person who leases a personal property lease asset from a lessor; and includes a trustee or assignee of the per- son: (ii) for a hire purchase agreement, means the person who obtains the use of, or the right to use, the hire purchase asset under the agreement: is deﬁned in section GD 10(4) (Leases for inad- equate rent) for the purposes of that section lessee: paragraph (b)(i) of this deﬁnition was amended, as from 1 October 2005, by section 261(14) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by omitting the words “, hires, or bails”.
lessee’s acquisition cost — (a) for a ﬁnance lease asset, means the consideration provided to the lessee under the ﬁnance lease, as determined under the deﬁnition of consider- ation, plus any expenditure or loss incurred by the lessee in preparing and installing the ﬁnance lease asset for use, unless the lessee is allowed a deduction for the expenditure or loss, other than a deduction for an amount of depreciation loss: is deﬁned in section FC 10(8) (Taxation of hire purchase agreements) for the purposes of that section lessee’s acquisition cost: paragraph (a) of this deﬁnition was amended, as from 1 October 2005, by section 261(15) Taxation (Venture Capital and Miscellan- eous Provisions) Act 2004 (2004 No 111) by substituting “for a ﬁnance lease asset, means the consideration provided to the lessee under the ﬁnance lease, as determined under the deﬁnition of consideration,” for “means the consid- eration provided to the lessee for a ﬁnance lease asset (as determined under the deﬁnition of consideration)”.
lessee’s outstanding balance, for a hire purchase agreement, means the amount calculated using the formula— a – b + c 2486 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 where— a is the amount that, on the termination or expiry of the hire purchase agreement, is the net bal- ance due on the agreement, but the costs and ex- penses referred to in section 31(2)(c) and (d) of the Credit (Repossession) Act 1997 are excluded b is an amount that is— (i) (ii) (iii) paid by the lessee (or a person associated with the lessee) to the lessor (or a person associated with the lessor) under the hire purchase agreement; and paid consequentially on the termination or expiry of the hire purchase agreement; and required to be taken into account by the lessee either under the base price adjust- ment in section EW 31 (Base price adjust- ment formula) or in item “a” of the for- mula in section EZ 35(1) (Income and ex- penditure where ﬁnancial arrangement re- deemed or disposed of) c is an amount that is— (i) (ii) (iii) paid by the lessor (or a person associated with the lessor) to the lessee (or a person associated with the lessee) under the hire purchase agreement; and paid consequentially on the termination or expiry of the hire purchase agreement; and required to be taken into account by the lessee either under the base price adjust- ment in section EW 31 (Base price adjust- ment formula) or in item “b” or “c” of the formula in section EZ 35(1) (Income and expenditure where ﬁnancial arrangement redeemed or disposed of) lessee’s outstanding balance: the formula was substituted, as from 1 April 2005, by section 87(17) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
This amendment appears to be redundant as the new formula seems to be the same as the original one.
2487 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 for a lease as described in paragraph (c) of the deﬁnition of lease, includes the grantor of a li- cence to occupy: for a lease as described in paragraph (d) of the deﬁnition of lease,— (i) means a person who assembles, manufac- tures, purchases, or otherwise acquires a personal property lease asset and leases it to a lessee; and includes a trustee or assignee of the per- son: (ii) for a hire purchase agreement,— (i) means the person who grants to the lessee the use of, or the right to use, a hire pur- chase asset under the agreement; and includes an assignee of the person in rela- tion to the hire purchase agreement: is deﬁned in section GD 10(4) (Leases for inad- equate rent) for the purposes of that section (ii) lessor,— (a) (b) (c) (d) (b) lessor’s disposition value means,— (a) for a hire purchase asset, the consideration pro- vided by the lessor under the hire purchase agree- ment, as determined under the deﬁnition of con- sideration; or for a ﬁnance lease asset, the consideration pro- vided by the lessor under the ﬁnance lease, as de- termined under the deﬁnition of consideration lessor’s outstanding balance, for a hire purchase agreement, means the amount calculated using the formula— a – b + c where— a is the amount that, on the termination or expiry of the hire purchase agreement, is the net bal- ance due on the agreement, but the costs and ex- penses referred to in section 31(2)(c) and (d) of the Credit (Repossession) Act 1997 are excluded b b is an amount that is— 2488 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (i) (ii) (iii) paid by the lessee (or a person associated with the lessee) to the lessor (or a person associated with the lessor) under the hire purchase agreement; and paid consequentially on the termination or expiry of the hire purchase agreement; and required to be taken into account by the lessee under the base price adjustment in section EW 31 (Base price adjustment for- mula) or by the lessor in
 item “a” of the formula in section EZ 35(1) (Income and expenditure where ﬁnancial arrangement redeemed or disposed of) c is an amount that is— (i) (ii) (iii) paid by the lessor (or a person associated with the lessor) to the lessee (or a person associated with the lessee) under the hire purchase agreement; and paid consequentially on the termination or expiry of the hire purchase agreement; and required to be taken into account by the lessee under the base price adjustment in section EW 31 (Base price adjustment for- mula) or by the lessor in item “b” or “c” of the formula in section EZ 35(1) or (2) (In- come and expenditure where ﬁnancial ar- rangement redeemed or disposed of) lessor’s outstanding balance: the formula was substituted, as from 1 April 2005, by section 87(18) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
This amendment appears to be redundant as the new formula seems to be the same as the original one.
levy, for a statutory producer board, means a sum payable by a member of the board under a power of the board to require or request a member of the board to pay a sum by way of levy licence-speciﬁc assets is deﬁned in section DZ 5(6) (Farmout arrangements for petroleum mining before 16 December 1991) for the purposes of that section 2489 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 life insurance is deﬁned in sections EY 8 (Meaning of life insurance) and EY 13 (Life insurance and life reinsurance: how sections relate) Life Insurance Fund means a Life Insurance Fund as deﬁned in section 15 of the Life Insurance Act 1908 and, for a life insurer, means the life insurer’s Life Insurance Fund life insurance policy— (a) is deﬁned in sections EY 9 (Meaning of life in- surance policy) and EY 13 (Life insurance and life reinsurance: how sections relate); and (b) when referred to in relation to a life insurer, means a life insurance policy under which the life insurer is the insurer life insurance rules is deﬁned in section EY 1(2) (What this subpart does) life insured means— (a) a human being on whose death or survival the payment of a beneﬁt under a life insurance policy is contingent, including the payment of an annu- ity whose term is contingent on human life; and a human being to whom an annuity whose term is not contingent on human life is payable under a life insurance policy (b) life insurer — (a) is deﬁned in sections EY 10 (Meaning of life in- surer) and EY 13 (Life insurance and life reinsur- ance: how sections relate): is deﬁned in section CX 10(3) (Employment-re- lated loans: loans by life insurers) for the pur- poses of that section: in section OD 5A (Modiﬁcations to measurement of voting and market value interests in cases of continuity provisions and demutualisation of in- surers), and in the FBT rules, means a person carrying on a business of providing life insurance (b) (c) 2490 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 life reinsurance is deﬁned in sections EY
 11 (Meaning of life reinsurance) and EY 13 (Life insurance and life reinsurance: how sections relate) life reinsurance policy — (a) is deﬁned in sections EY 12 (Meaning of life reinsurance policy) and EY 13 (Life insurance and life reinsurance: how sections relate); and (b) when referred to in relation to a life reinsurer, means a life reinsurance policy under which the life reinsurer is the reinsurer life reinsurer is deﬁned in sections EY 11(4) (Meaning of life reinsurance) and EY 13 (Life insurance and life reinsurance: how sections relate) limitation rule is deﬁned in section DD 1(3) (Entertain- ment expenditure generally) limited attribution company is a company that is— (a) (b) a building society: a co-operative company registered under the Co-operative Companies Act 1956, Part 2 or 3 of the Co-operative Companies Act 1996, the Co-operative Dairy Companies Act 1949, the Co-operative Freezing Companies Act 1960, or the Co-operative Forestry Companies Act 1978: a listed company: a widely-held company: a foreign company that is not a closely-held com- pany (c) (d) (e) limited attribution company: this deﬁnition was substituted, as from 3 April 2006, by section 191(32) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
limited attribution foreign company[Repealed] limited attribution foreign company: this deﬁnition was repealed, as from 3 April 2006, by section 191(33) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
[Repealed] limited-recourse amount is deﬁned in section GC 30(2) (Deﬁned terms for sections GC 29 to GC 31) for the purposes of sections GC 29 to GC 31 (which relate to arrangements involving money not at risk) 2491 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 limited-recourse loan is deﬁned in section GC 30(3) (Deﬁned terms for sections GC 29 to GC 31) for the purposes of sections GC 29 to GC 31 (which relate to arrangements involving money not at risk) linked to a tax agent, for a return of income, means linked in that the Commissioner has been given notice that the return is to be ﬁled by a tax agent to whom an extension of time has been granted under section 37(4), and not been cancelled under section 37(4A), of the Tax Administration Act 1994 liquidation, for a company,— (a) includes— (i) removal of the company from the register of companies under the Companies Act 1993; and dissolution of the company under the Companies Act 1955; and termination of the company’s existence under any other procedure of New Zealand or foreign law; and (ii) (iii) (b) includes, in references in this Act to anything occurring on liquidation, anything occurring— (i) during the period that starts with a step that is legally necessary to achieve liquidation, including the appointment of a liquidator or a request of the kind referred to in sec- tion 318(1)(d) of the Companies Act 1993; and for the purpose of enabling liquidation (ii) listed company means, at any time, a company any shares in which are at that time quoted on an ofﬁcial list of a recognised exchange listed company: this deﬁnition was substituted, as from 3 April 2006, by section 191(34) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
listed horticultural plant, in sections DO 4B to DO 4E— (a) means a horticultural plant, tree, vine, bush, cane, or similar plant that is cultivated on land, that is 2492 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) of a type that is listed in a determination made by the Commissioner under section 91AAB of the Tax Administration Act 1994: does not include— (i) a tree planted mainly for the purpose of timber production: a tree or other similar plant planted mainly for the purpose of ornament: a vine planted mainly for the purpose of producing grapes for wine production (ii) (iii) listed horticultural plant: this deﬁnition was inserted, as from 1 October 2005, by section 261(16) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
listed PAYE intermediary means a person which the Commissioner may list under section NBB 2(1) (Ac- creditation of listed PAYE intermediary) listed PAYE intermediary: this deﬁnition was inserted, as from 3 April 2006, by section 191(35) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
listed PAYE intermediary claim form means a form that a listed PAYE intermediary must provide to the Commissioner in an electronic format prescribed by the Commissioner, showing— (a) the tax ﬁle number of the listed PAYE intermedi- ary; and the tax ﬁle number and name of each employer in respect of which a subsidy is claimed; and the tax ﬁle number and name of each employee of each employer in respect of which a subsidy is claimed under section NBB 3 (Obligations of listed PAYE intermediaries); and the period to which the form relates; and the number of source deduction payments made by the listed PAYE intermediary to each em- ployee in the period to which the form relates; and the amount of subsidy that the listed PAYE inter- mediary claims in respect of the period to which the form relates (b) (c) (d) (e) (f) 2493 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 listed PAYE intermediary claim form: this deﬁnition was inserted, as from 3 April 2006, by section 191(35) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
livestock on the Chatham Islands means livestock that are on hand on the Chatham Islands at the end of an income year living alone payment means a living alone payment under— (a) (b) section 74U of the War Pensions Act 1954; or section 18A of the Social Welfare (Transitional Provisions) Act 1990; or section 13 of the New Zealand Superannuation and Retirement Income Act 2001 living alone payment: paragraph (c) of this deﬁnition was amended, as from 21 April 2005, by section 9(1) New Zealand Superannuation and Retirement Income Amendment Act 2005 (2005 No 42) by substituting “New Zealand Superannuation and Retirement Income Act 2001” for “New Zealand Super- annuation Act 2001”.
(c) loan,— (a) in sections CD 19 (Property made available in- tragroup) and CD 28 (Calculation of amount of dividend when property made available) and sub- part LF (Underlying foreign tax credits), and in the FBT rules, includes— (i) an amount of money that a person lends in some way, such as by depositing it in an account: an amount of credit that a person gives, including by not enforcing a debt: an amount of money that a person lends, or credit that a person gives, under an obliga- tion or arrangement: an amount of money that a person gives in return for a promissory note: any other amount that a person advances or gives as principal under a ﬁnancial ar- rangement, but not an excepted ﬁnancial arrangement: (ii) (iii) (iv) (v) (b) for a holding company and a mining company, is deﬁned in section CU 29 (Other deﬁnitions): 2494 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) is deﬁned in section CZ 3(5) (Exchange vari- ations on 8 August 1975) for the purposes of that section local authority— (a) means a local authority as deﬁned in the Local (b) Government Act 2002: includes— (i) the administering body, as deﬁned in the Reserves Act 1977, of any reserve classi- ﬁed under the Act as a recreation reserve or a scenic reserve: an airport authority, other than an air- port company, as deﬁned in the Airport Authorities Act 1966: the Aotea Centre Board of Management established by the Auckland Aotea Centre Empowering Act 1985: the council of the Auckland Institute and Museum constituted under the Charitable Trusts Act 1957: the Canterbury Museum Trust Board con- tinued in existence by section 5(1) of the Canterbury Museum Trust Board Act 1993: the Otago Museum Trust Board continued in existence by section 5(1) of the Otago Museum Trust Board Act 1996: the Auckland Regional Transport Author- ity established by section 7 of the Local Government (Auckland) Amendment Act 2004: (ii) (iii) (iv) (v) (vi) (vii) (viii) other than for the purposes of section CW 32(4), Auckland Regional Holdings as established
 by section 18 of the Local Government (Auckland) Amendment Act 2004 local authority: paragraph (b)(vii) of this deﬁnition was substituted by section 47 Local Government (Auckland) Amendment Act 2004 (2004 No 57), with application as from 1 April 2005.
2495 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 local authority: paragraph (b)(viii) of this deﬁnition was inserted by section 47 Local Government (Auckland) Amendment Act 2004 (2004 No 57), with application as from 1 April 2005. local authority: paragraph (b)(viii) of this deﬁnition was amended, as from 1 April 2005, by section 261(17) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting “section CW 32(4) (Local authorities)” for “section CW 32(4)(c)”.
logbook term is deﬁned in section DE 8 (Logbook term) long-term bailment is deﬁned in section EC 27 (Some deﬁnitions) for the purposes of subpart EC (Valuation of livestock) loss — (a) includes an amount of depreciation loss, except when any of paragraphs (b) to (d) applies: (b) means an attributed CFC loss when used in the expression “attributed CFC income or loss”: (c) means a branch equivalent loss when used in the expression “branch equivalent income or loss”: (d) means a FIF loss when used in the expression “FIF income or loss” loss attributing qualifying company means a com- pany to which section HG 14 (Loss attributing quali- fying companies) applies low tax jurisdiction company means a company that is treated under section OE 2 (Determination of residence of company), for the purposes of the international tax rules, as being resident in a country or territory speci- ﬁed in schedule 5, part A (Low tax jurisdictions or ter- ritories) low-turnover trader is deﬁned in section EB 13(2) (Low-turnover valuation) for the purposes of subpart EB (Valuation of trading stock (including dealer’s live- stock)) lump sum payment is deﬁned in section EI 3(6) (As- signing or granting copyright) for the purposes of that section main deposit is deﬁned in section EH 37 (Other deﬁni- tions) 2496 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 main income equalisation account is deﬁned in sec- tion EH 37 (Other deﬁnitions) main income equalisation scheme means the scheme referred to in section EH 1(2)(a) (Income equalisation schemes) main maximum deposit is deﬁned in section EH 35 (Meaning of main maximum deposit) major shareholder, for a close company, means any person who— (a) owns or has in any way the power to control, whether directly or indirectly, or has the right to acquire, 10% or more of the ordinary shares of the company: owns, or has in any way the power to control, whether directly or indirectly, or has the right to acquire, 10% or more of the voting rights of the company: has, by any other means
 whatever, 10% or more of the control of the company (b) (c) Maori authority means a person who has made an ef- fective election under section HI 3 (Election to become Maori authority) Maori authority credit, for a distribution by a Maori authority, means— (a) the amount attached to the distribution under sec- tion MK 6 (Maori authority may attach Maori au- thority credit to distribution); or the amount treated as being attached to the distri- bution under section NF 8A (Resident withhold- ing tax deductions from distributions treated as Maori authority credits) (b) Maori authority credit account means the account that must be maintained by a Maori authority under sec- tion MK 1 (Maori authority to maintain Maori authority credit account) Maori authority credit account return means a re- turn that must be ﬁled under section 70B of the Tax Administration Act 1994 2497 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Maori authority distribution penalty tax means tax payable under section 140CB of the Tax Administration Act 1994 Maori authority rules means— the following provisions— (a) (i) section GC 27A (Arrangement to obtain tax advantage with respect to Maori au- thority credit account provisions (subpart MK)): subpart HI (Maori authorities): section LD 3A (Maori authority credit to be credited against income tax assessed): section MD 2B (Limits on refunds of tax in relation to Maori authorities): subpart MK (Maori authority credit ac- counts): schedule 1, Part A, clause 2 (Basic rates of income tax and speciﬁed superannuation contribution withholding tax); and sections 31, 57, 68B, 69B, 70B, 97B, 140CB, 140DB, and 181B of the Tax Administration Act 1994 (ii) (iii) (iv) (v) (vi) (b) Maori incorporation is deﬁned in section 4 of the Maori Land Act 1993 Maori investment company means a company that is incorporated for the purpose of acquiring shares or debentures issued by a forestry company for unpaid pur- chase money for Maori land bought by the
 forestry com- pany from the Maori owners Maori land means Maori freehold land as deﬁned in the Maori Land Act 1993 Maori owners — (a) means the persons who have a beneﬁcial interest in Maori land bought by a forestry company; and includes every trustee for a Maori owner, the Maori Trustee, and every Maori incorporation that has a beneﬁcial interest in the land (b) 2498 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 market interest is deﬁned in section ND 1DB(5) for the purposes of that section market interest: this deﬁnition was inserted, as from 3 April 2006, by section 191(36) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
market value,— (a) (b) (c) (d) (e) (f) in subpart EB (Valuation of trading stock (in- cluding dealer’s livestock)), does not include any GST that would be charged on the disposal by a person of their trading stock if the disposal would be a taxable supply by the person: is deﬁned in section EX 58 (Market value of life policy and superannuation entitlements) for cer- tain purposes of sections EX 29 to EX 60 (which relate to the FIF rules): is deﬁned in section ND 1J(3) (Goods: value of beneﬁt) for the purposes of that section: is deﬁned in section ND 1L(2) (When value of fringe beneﬁt cannot be ascertained) for the pur- poses of that section: in sections OD 4, OD 5, and OD 6 (which relate to the measurement of voting and market value interests), and in the deﬁnition of excluded op- tion, means, for a share or option quoted on the ofﬁcial list of a recognised exchange, at any time, an amount equal to the middle market quotation at the time for a share or option having the same terms as the share or option to be valued, unless the quotation is not a fair reﬂection of the mar- ket value at the time of the share or option to be valued, having regard at the time to the matters referred to in paragraph (e) of the deﬁnition of recognised exchange: in sections OD 4, OD 5, and OD 6 (which relate to the measurement of voting and market value interests), and in the deﬁnition of excluded op- tion, means, for a share or option to which para- graph (e) does not apply, at any time, the amount that a willing purchaser would pay to acquire the share or option in an arm’s length acquisition at 2499 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 the time and that is determined using a method that— (i) conforms with commercially acceptable practice; and (iii) (ii) may, in appropriate cases, have regard to the present value at the time of the com- pany’s anticipated income or cash ﬂows and the realisable value at the time of the company’s assets; and results in a valuation that is fair and rea- sonable having regard
 to the tenor of sec- tions FF 1 (Shares or options), GC 3 (Ef- fect on continuity provisions of change in beneﬁciaries of trust), and OD 3 to OD 6 (which relate to the measurement of con- trol and ownership interests) market value circumstance, for a company at any time,— (a) means an occasion or situation in which, at the (ii) time, the company has on issue a debenture— (i) that is not an excluded security or pre-1991 budget security; and to which section FC 1 (Floating rate of interest on debentures) or FC 2 (Interest on debentures issued in substitution for shares) or FC 2B (Stapled debt securities) applies: (b) also means an occasion or situation in which, at the time,— (i) the company has on issue a share that is not an excluded security or a pre-1991 budget security; and the payment of a dividend is guaranteed or secured to the holder by some person other than the company; and the directors of the company know or could reasonably be expected to know at the time that the payment of a dividend is so guaranteed or secured: (ii) (iii) 2500 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) (d) (e) (f) (g) also means an occasion or situation in which, at the time, an option exists that— (i) (ii) (iii) is not an excluded option; and is to acquire a share in the company; and is granted by the company or a person other than the company: also means an occasion or situation in which, at the time, an option exists that— (i) (ii) is not an excluded option; and is to require a person to acquire a share in the company: also means an occasion or situation in which, at the time, an arrangement or a series of related or connected arrangements exists that— (i) relates to shares or options over shares in the company issued by the company or any other person; and has a purpose or effect of defeating the intent and application of any provision of this Act whose application is dependent on the measurement of voting and market value interests: (ii) does not exist
 under any of paragraphs (a) to (e) if, at the time, no share in the company has a value higher than zero (except for an excluded security or a pre-1991 budget security) and no option over a share in the company has a value higher than zero (except for an excluded option): also means an occasion or situation in which, at the time,— (i) under any of paragraphs (a) to (e), a direct market value circumstance exists for an- other company (shareholder company); and the shareholder company is associated with the company; and under section OD 4(3)(d) (Market value interests), any fraction of any market value interest held (or treated under section OD (ii) (iii) 2501 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 4(3)(d) as held) by the shareholder com- pany in the company is treated as held by any other person market value interest,— (a) except in section OD 5(6E) (Modiﬁcations to measurement of voting and market value inter- ests in case of continuity provisions), means, for a person and a company and a time, the percent- age market value interest that the person is treated as holding in the company at the time under sec- tions OD 2 to OD 6 (which relate to the measure- ment of control and ownership interests): is further deﬁned in section HG 2 (Determination of effective interest in company) for the purposes of subpart HG (Qualifying companies) and the deﬁnition of effective interest: in section OD 5(6E) (Modiﬁcations to measure- ment of voting and market value interests in case of continuity provisions), means, for a person and a company and a time, the percentage market value interest that the person is treated as hold- ing in the company under section OD 4 (Market value interests), as modiﬁed by section OD 5(6F) (b) (c) master fund means— (a) a group investment fund that derives category A income; or a qualifying unit trust (b) matrimonial agreement[Repealed] matrimonial agreement: this deﬁnition was repealed, as from 26 April 2005, by section 3(1)
 Income Tax Amendment Act 2005 (2005 No 11).
[Repealed] maturity,— (a) in the ﬁnancial arrangements rules, means,— (i) for an agreement for the sale and purchase of property or services or an option, the date on which the agreement or option ends: 2502 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) for any other ﬁnancial arrangement, the date on which the last payment contingent on the arrangement is made: (b) in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) maximum account balance is deﬁned in section EK 23 (Other deﬁnitions) for the purposes of subpart EK (Environmental restoration accounts) maximum account balance: this deﬁnition was inserted, as from 1 October 2005, by section 87(19) Taxation (Base Maintenance and Miscellaneous Pro- visions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
maximum payment is deﬁned in section EK 22 (Mean- ing of maximum payment) for the purposes of subpart EK (Environmental restoration accounts) maximum payment: this deﬁnition was inserted, as from 1 October 2005, by section 87(19) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
maximum deﬁcit debit is deﬁned in section MG 8B(4) (Policyholder credit account companies and dividend withholding payment credits) for the purposes of that section maximum deﬁcit debit: this deﬁnition was inserted, as from 1 October 2005, by section 261(18) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
maximum pooling value is deﬁned in section EE 56 (Meaning of maximum pooling value) measurement day, for an income year of a reporting bank, means 1 of the measurement days for the income year deﬁned in section FG 8E (Measurement periods and measurement days) for the purposes of subpart FG (Apportionment of interest costs) measurement day: this deﬁnition was inserted, as from 1 July 2005, by section 87(20) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
measurement period, for an income year of a report- ing bank, means 1 of the measurement periods for the income year deﬁned in section FG 8E (Measurement 2503 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 periods and measurement days) for the purposes of sub- part FG (Apportionment of interest costs) measurement period: this deﬁnition was inserted, as from 1 July 2005, by sec- tion 87(20) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
member,— (a) in sections CD 24(1) (Payments corresponding to notional distributions of producer boards and co-operative companies) and ME 30 to ME 34 (which relate to imputation credit accounts of statutory producer boards), and in the deﬁnitions of levy and produce transactions, for a statutory producer board and for a year of determination, means a person who— (i) (ii) is resident in New Zealand; and carries on in the year a farming or agricul- tural or other business in relation to which the board has special statutory functions; and is liable to pay a levy to the board for the year or enters into produce transactions with the board during the year: (iii) (b) (c) (d) (e) (f) in subpart CS (Superannuation funds), and in the deﬁnition of withdrawal, is deﬁned in the Superannuation Schemes Act 1989: is deﬁned in section HF 1(9) (Proﬁts of mutual associations in respect of transactions with mem- bers) for the purposes of that section: is deﬁned in section LC 1(6) (Credits in respect of tax paid in country or territory outside New Zealand) for the purposes of that section: is deﬁned in section NF 10(6) (Unincorporated bodies) for the purposes of that section: in the Maori authority rules, means a person, or group of persons, who is— (i) a shareholder of a Maori authority that is a company: a beneﬁciary of a Maori authority that is the trustees of a trust (ii) 2504 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 member credit contributions means, for a person and a member credit year, the total of the following: (a) superannuation contributions to the person’s complying superannuation funds and KiwiSaver scheme to the extent to which the contributions are subject to KiwiSaver scheme rules or com- plying fund rules, but excluding the following: (i) speciﬁed superannuation contributions for the person: contributions withdrawn under a mortgage diversion facility provided for in regula- tions made under section 229 of the Kiwi- Saver Act 2006: (ii) (b) (iib) Crown contribution (as that term is deﬁned in
 the KiwiSaver Act 2006) for the person: any amounts that are accounted for under paragraph (b): (iii) amounts that have been received and held in re- spect of the person by the Commissioner and to which section 73, 74, or 75 of the KiwiSaver Act 2006 apply, but excluding speciﬁed superannu- ation contributions for the person and amounts that are never paid by the Commissioner to the provider of the person’s KiwiSaver scheme, un- less the amounts are never paid to the provider because of— (i) (ii) the person’s death: a refund under section 113 of the Kiwi- Saver Act 2006 member credit year means a year beginning on 1 July and ending on 30 June member credit year: this deﬁnition was inserted, as from 1 July 2007, by sec- tion 49(9) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
member’s contribution— (a) means a member’s contribution to a superannu- ation fund; and includes any return on the contribution (b) 2505 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 mineral— (a) means all minerals and metals; and (b) includes clay, coal, gravel, kauri gum, precious stones, sand, and stone minibus means a motor vehicle, designed wholly or mainly for the carriage of persons, the interior of which contains— (a) 3 seats, each of which— (i) is designed for the seating of 2 or more adult persons; and is permanently ﬁxed to the motor vehicle; and is neither collapsible nor capable of being folded down; or (ii) (iii) (b) more than 3 seats, of which not less than 3 are each— (i) (ii) (iii) designed for the seating of 2 or more adult persons; and permanently afﬁxed to the motor vehicle; and neither collapsible nor capable of being folded down minimum family tax credit means a credit allowed by section KD 3 (Calculation of minimum family tax credit) mining company is deﬁned in section CU 22 (Meaning of mining company) mining development expenditure is deﬁned in section CU 23 (Meaning of mining development expenditure) mining exploration expenditure is deﬁned in section CU 24 (Meaning of mining exploration expenditure) mining holding company is deﬁned in section CU 29 (Other deﬁnitions) mining licence is deﬁned in section 2 of the Petroleum Act 1937 mining operations is deﬁned in section CU 25 (Mean- ing of mining operations) 2506 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 mining or prospecting right is deﬁned in section CU 29 (Other deﬁnitions) mining outgoing excess is deﬁned in section DU 7(4) (Limit on deduction) mining prospecting information is deﬁned in section CU 29 (Other deﬁnitions) mining purposes is deﬁned in section CU 29 (Other deﬁnitions) mining share is deﬁned in section CU 29 (Other deﬁ- nitions) mining venture is deﬁned in section CU 26 (Meaning of mining venture) Minister means the Minister of Finance minor is deﬁned in section HH 3F (Deﬁnitions
 of guardian, minor, and relative) for the purposes of sec- tions HH 3A to HH 3E (which relate to the beneﬁciary income of minors), LB 1 (Determination of amount of credit in certain cases), and LB 1A (Treatment of imputation credits of beneﬁciary minor) money,— (a) in sections GC 29 to GC 31 (which relate to ar- rangements involving money not at risk), in the ﬁnancial arrangements rules, and in the deﬁnition of security payment, includes— (i) money’s worth, whether or not convertible into money: the right to money, including the deferral or cancellation of some or all of an obliga- tion to pay money: (ii) (b) in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) money lent means— (a) an amount of money that a person lends in some way, including by depositing it in an account, whether or not the lending is secured or evi- denced in writing: 2507 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) (d) an amount of credit that a person gives, including by not enforcing a debt, whether or not the giving is secured or evidenced in writing: an amount of money that a person lends, or credit that a person gives, under an obligation or ar- rangement, whether or not secured or evidenced in writing: an amount of money that goes from a person (person A) to another person (person B) in con- sideration for person B’s promise to pay person A an amount of money and that is less than the amount that person B promises to pay person A.
For the purposes of this paragraph,— (i) money goes from person A when it is paid, distributed, or credited to, or dealt with in the interest or on behalf of, person B: person B’s promise is not required to be secured or evidenced in writing: person B includes any other person with whom person B is an associated person (ii) (iii) monthly instalment plan is deﬁned in section EZ 28(3) (Base premium for 1998-99 premium year under Acci- dent Insurance Act 1998) for the purposes of that sec- tion monthly remittance certiﬁcate means a monthly re- mittance certiﬁcate under section NC 15 (Payment of tax deductions to Commissioner) mortality proﬁt means the amount calculated by a life insurer following the steps in section EY 25(2) (Mor- tality proﬁt: when life insurers providing life insurance at start of income year) or EY 26(2) (Mortality proﬁt: when life insurers not providing life insurance at start of income year), as applicable mortality proﬁt formula means the formula in section EY 27 (Mortality proﬁt formula) mortgage — (a) means a mortgage, charge, or other security, whether legal or equitable; for the purposes of this deﬁnition, all unpaid purchase money for an 2508 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 estate or interest in land is treated as having been charged on the land; and includes a rent charge or annuity (b) motor vehicle,— (a) in subpart DE (Motor vehicle expenditure), means a motor vehicle that— (i) is a road vehicle, whenever or however used; and is not a trailer; and is of the kind ordinarily used for the car- riage of persons or the transport or deliv- ery of goods or animals: (ii) (iii) (b) in the FBT rules, and in the deﬁnition of motor- car,— (i) is deﬁned in section 2(1) of the Land Transport Act 1998; and does not include a vehicle the gross laden weight of which is more than 3,500 kilo- grams (ii) motorcar,— (a) (ii) in section EZ 15 (Amount of depreciation loss for plant or machinery additional to section EZ 14 amount), and in the deﬁnition of qualifying asset,—
 (i) means a motor vehicle designed exclu- sively or mainly to carry up to 9 people, including the driver; and includes such a motor vehicle that has rear doors and collapsible rear seats; and does not include a moped or a motor cycle: (iii) in the FBT rules, and in the deﬁnition of work- related vehicle,— (i) means a motor vehicle designed exclu- sively or mainly to carry people: includes such a motor vehicle that has rear doors or collapsible rear seats: does not include a minibus, moped, motor cycle, or taxicab (ii) (iii) (b) 2509 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 national is deﬁned in section LC 1(6) (Credits in re- spect of tax paid in country or territory outside New Zealand) for the purposes of that section national average market value, for a class of livestock and for an income year, means the national average mar- ket value determined under section EC 15 (Determin- ing national average market values) for livestock of the class for the income year national standard cost scheme means the livestock valuation method speciﬁed in section EC 22 (National standard cost scheme) net balance due means the amount for the time being payable in terms of the hire purchase agreement to en- able the purchaser to acquire title to the goods after tak- ing into account the rebates allowed by the agreement for early completion net equity threshold for the New Zealand banking group of a registered bank is deﬁned in section FG 8H (Net equity threshold) for the purposes of subpart FG (Apportionment of interest costs) net equity threshold: this deﬁnition was inserted, as from 1 July 2005, by section 87(21) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
net gambling proceeds means net proceeds as deﬁned in section 4 of the Gambling Act 2003 net gambling proceeds: this deﬁnition was inserted, as from 3 April 2006, by section 191(37) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
net income means net income for a tax year calculated under section BC 4 (Net income and net loss) net loss— (a) means a net loss for a tax year calculated under section BC 4 (Net income and net loss) and reduced by the amount extinguished by the Commissioner under section 177C(5) of the Tax Administration Act 1994; and includes a loss incurred by a person before the 1997-98 tax year that the person would have been entitled to claim in the year or to carry forward to (b) 2510 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 a later tax year under section IE 1 (Net losses may be offset against future net income) or IF 1 (Net losses may be offset against future net income), if the Taxation (Core Provisions) Act 1996 had not been passed net loss: paragraph (a) of this deﬁnition was amended, as from 1 April 2005, by section 261(19) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting “section 177C(5)” for “section 177C(4)”.
net loss: this deﬁnition was amended, as from 1 April 2005, by section 87(22) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting “amount extinguished by the Commissioner under section 177C(5)” for “amount written off by the Commissioner under section 177C(4)” with application as from the 2005–06 income year.
net mining loss means the amount by which a mining company’s income from mining for an income year is less than the mining company’s deductions that are for expenditure incurred in deriving income from mining and are allocated to the income year net speciﬁed income, for a person and for a speciﬁed period, means the amount of the difference between— an amount calculated using the formula— (a) where— a is an amount equal to so much of the per- son’s net income for the tax year contain- ing the speciﬁed period as, in the Com- missioner’s opinion, is attributable to the weeks in which, in the speciﬁed period, the person is a full-time earner b is the number of weeks in which, in the speciﬁed period, the person is a full-time earner; and (b) an amount equal to the amount that would be the person’s income tax liability if— (i) the amount calculated under paragraph (a) were the person’s net income; and any rebate of tax allowed under section KC 1 (Low income rebate) were taken into account (ii) 2511 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 new asset is deﬁned in section EZ 22 (Meaning of new asset) new provisional taxpayer, for a tax year, means a pro- visional taxpayer who,— (a) in the case of a taxpayer who is not a natural person, or who is a natural person and a trustee of a trust,— (i) ﬁrst started to derive income from a tax- able activity in the tax year; and did not derive income from a taxable activ- ity in any of the 4 previous tax years; and in the case of a taxpayer who is a natural person and not a trustee of a trust,— (i) (ii) did not have residual income tax of more than $2,500 in any of the 4 previous tax years; and has residual income tax of $35,000 or more in the current tax year; and has, in the current tax year, both ceased to derive income from employment and, after so ceasing, started to derive income from a taxable activity (ii) (iii) (b) new reporting standard is deﬁned in section DB 27 (Some deﬁnitions) for the purposes of section DB 26 (Research or development) new start
 grant means a grant of money that is desig- nated by the Minister of Agriculture as a new start grant and is paid by the Government of New Zealand to a per- son in respect of— (a) (b) an adverse event: an event that is a qualifying event new start grant: this deﬁnition was inserted, as from 21 December 2004, by section 261(20) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
new tax rate person— (a) means a person who uses a 30% basic rate that applies for the 2008–09 and later income years: includes a portfolio tax rate entity (b) 2512 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 New Zealand includes— (a) (b) the continental shelf: the water and the air space above any part of the continental shelf that is beyond New Zealand’s territorial sea (as deﬁned in section 3 of the Territorial Sea, Contiguous Zone, and Exclusive Economic Zone Act 1977) if any exploration or exploitation in connection with or in relation to the part or any natural resource of the part is, or is to be, or may be, carried on, carried out, or undertaken, to the extent to which— (i) (ii) the exploration or exploitation involves or will involve, or includes or will include, any activity or operation on, or in, or in connection with, or in relation to the water or air space; and any act, matter, circumstance, or thing that is done or is to be done, or that arises or will arise, or that occurs or will occur in connection with, or in relation to, the ex- ploration or exploitation is, or will be, an act, or a matter, or a circumstance, or a thing that involves, or is connected with, or relates to the water or air space or any activity or operation on, or in, or in con- nection with, or in relation to the water or air space New Zealand banking group, for a registered bank, means the New Zealand banking group that is given for the registered bank by section FG 8C (New Zealand banking group of registered bank) for the purposes of subpart FG (Apportionment of interest costs) New Zealand banking group: this deﬁnition was inserted, as from 1 July 2005, by section 87(23) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
New Zealand business means the part of the business of a life insurer not resident in New Zealand that con- sists of the offering or being offered, or the entering into, in New Zealand, of life insurance policies or life rein- surance policies 2513 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 New Zealand company means a company incorporated in New Zealand New Zealand group debt percentage means, for a per- son and for an income year, the percentage calculated under section FG 4 (Rules for calculating New Zealand group debt percentage) New Zealand net equity, for a New Zealand banking group, is deﬁned in section FG 8G(1) (New Zealand net equity of New Zealand banking group) for the purposes of subpart FG (Apportionment of interest costs) New Zealand net equity: this deﬁnition was inserted, as from 1 July 2005, by section 87(24) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
New Zealand-new asset is deﬁned in section EZ 23 (Meaning of New Zealand-new asset) New Zealand repatriation amount is deﬁned in sec- tion CD 35 (New Zealand repatriation amount) New Zealand resident means a person resident in New Zealand under— (a) section EY 48 (Non-resident life insurer may be- come resident): section OE 1 (Determination of residence of per- son other than company): section OE 2 (Determination of residence of company) (b) (c) New Zealand superannuation— (a) means New Zealand superannuation paid or payable under— (i) Part 1 of the New Zealand Superannuation and Retirement Income Act 2001; or Part 1 of the Social Welfare (Transitional Provisions) Act 1990; and (ii) (b) includes— (i) a living alone payment paid or payable to a New Zealand superannuitant under section 13 of the New Zealand Superannuation and Retirement Income Act 2001; and a living alone payment paid or payable to a New Zealand superannuitant under section (ii) 2514 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iii) (iv) 18A of the Social Welfare (Transitional Provisions) Act 1990; and an amount paid under section 70(3)(b) of the Social Security Act 1964; and national superannuation paid or payable, before 1 April 1994, under Part 1 of the Social Welfare (Transitional Provisions) Act 1990; and (c) does not include— (i) (iii) portable New Zealand superannuation; or (ii) a supplement or beneﬁt paid or payable under any of sections 61DB, 61DC, 61DD, 61DE, 61EA, 61G, and 69C of the Social Security Act 1964 New Zealand superannuation: paragraphs (a)(i) and (b)(i) of this deﬁnition were amended, as from 21 April 2005, by section 9(1) New Zealand Superannuation and Retirement Income Amendment Act 2005 (2005 No 42) by substituting “New Zealand Superannuation and Retirement Income Act 2001” for “New Zealand Superannuation Act 2001”.
New Zealand superannuation: paragraph (c)(ii) was repealed, as from 15 April 2005, by section 16(3) Social Security (Social Assistance) Amendment Act 2005 (2005 No 30).
New Zealand superannuitant, for a tax year,— (a) means a person who receives New Zealand super- (b) annuation in the tax year; and does not include a person who receives New Zealand superannuation at a rate speciﬁed in— (i) schedule 1, clause 2 of the New Zealand Superannuation and Retirement Income Act 2001; or schedule 1, clause 2 of the Social Welfare (Transitional Provisions) Act 1990 (ii) New Zealand superannuitant: paragraph (b)(i) of this deﬁnition was amended, as from 21 April 2005, by section 9(1) New Zealand Superannuation and Re- tirement Income Amendment Act 2005 (2005 No 42) by substituting “New Zealand Superannuation and Retirement Income Act 2001” for “New Zealand Superannuation Act 2001”.
New Zealand tax means income tax imposed by this Act or any earlier Act 2515 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 New Zealand unit is deﬁned in section 4(1) of the Cli- mate Change Response Act 2002 nil period — (a) is deﬁned in section MZ 5(4) (Application of ex- cess tax to nil period) for the purposes of that sec- tion: is deﬁned in section MZ 6(3) (Application of ex- cess tax for 2001-02 tax year) for the purposes of that section (b) Niue International Trust Fund means the trust gov- erned by the Deed concerning the Niue International Trust Fund dated 25 October 2006 and signed by Her Majesty the Queen in right of New Zealand and the Governments of Niue and Australia nominated company, for a consolidated group, means the company for the time being nominated as agent of the group under section FD 4(2) (Formation of consoli- dated group) or FD 6 (Nominated companies) nominee is deﬁned in section OD 9(2) (Nominees are transparent) non-cash dividend means a dividend to the extent to which it does not consist of— (a) (b) an unconditional payment in money; or an unconditional credit in money to the balance of a shareholder’s current or other form of ac- count with the company non-concessionary rate of interest, for an employ- ment related loan made on or before 31 March 1985, means the rate of interest declared by regulations to be the non-concessionary rate of interest for the period of 12 consecutive months, ending on 31 March, in which the loan was made non-contingent fee means a fee that— (a) is for services provided for a person becoming a party to a ﬁnancial arrangement; and is payable whether or not the ﬁnancial arrange- ment proceeds (b) 2516 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 non-executive director is deﬁned in section CD 12(4) (Beneﬁts of shareholder-employees or directors) non-ﬁling taxpayer means— (a) a person to whom section 33A(1) of the Tax Administration Act 1994 applies and to whom 1 of the following applies: (i) (ii) (iii) they do not
 receive an income statement for a tax year; or the Commissioner is not required to send them an income statement for a tax year; or is prohibited from the Commissioner sending them an income statement for a tax year; or (b) (c) a person who chooses not to ﬁle a return for a tax year for speciﬁed payments derived in the person’s capacity as a non-resident entertainer; or a person who, in the relevant tax year, derives only non-resident withholding income to which section NG 3 (Non-resident withholding tax to be ﬁnal tax in certain cases) applies non-integral fee means a fee or transaction cost that, for the purposes of ﬁnancial reporting under IFRSs, is not an integral part of the effective interest rate of a ﬁnancial arrangement non-listed horticultural plant, in section DO 4 and schedule 7, part A, item 8— (a) means— (i) a horticultural plant, tree, vine, bush, cane, or similar plant that is cultivated on land, that is not a listed horticultural plant: a tree or other similar plant planted mainly for the purpose of ornament: (ii) (b) does not include a tree planted mainly for the purpose of timber production non-listed horticultural plant: this deﬁnition was inserted, as from 1 October 2005, by section 261(21) Taxation (Venture Capital and Miscellaneous Provi- sions) Act 2004 (2004 No 111).
2517 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 non-participating redeemable share is deﬁned in sec- tion CD 14(9) (Returns of capital: off-market share can- cellations) non-participating redeemable share: this deﬁnition was amended, as from 1 April 2007, by section 155(29) Taxation (Savings Investment and Miscellan- eous Provisions) Act 2006 (2006 No 81) by omitting “for the purposes of that section”.
See section 155(49) of that Act as to the application of this amend- ment for income years beginning on or after 1 April 2007. non-qualifying trust, for a trust and for a time at which a distribution is made from the trust, means a trust that is not— (a) (b) (c) non-refundable credit means— (a) a qualifying trust; or a foreign trust; or a unit trust a credit allowed to a person under Part L (Credits) for tax paid in a country or territory outside New Zealand: a credit allowed under section HL 27(7)(a) (Credits received by portfolio investment entity or portfolio investor proxy) to an investor who is allocated a credit under subpart LC (Foreign tax) received by a portfolio investment entity or portfolio investor proxy: an amount in a person’s branch equivalent tax account or policyholder credit account that the person elects, under Part M (Tax payments), to credit in payment of income tax (ab) (b) non-resident means a person who is not a New Zealand resident non-resident aircraft operator is deﬁned in section CW 45(3) (Non-resident aircraft operators) for the pur- poses of that section non-resident company is deﬁned in section OE 2 (De- termination of residence of company) non-resident crew member is deﬁned in section CW 17(2) (Amounts derived by visiting crew of pleasure craft) for the purposes of that section 2518 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 non-resident entertainer is deﬁned in section CW 16(4) (Amounts derived by visiting entertainers (in- cluding sportspersons)) for the purposes of that section non-resident mining operator is deﬁned in section CU 29 (Other deﬁnitions) non-resident person is deﬁned in section CW 18(3) (Amounts derived by overseas experts and trainees in New Zealand by government arrangement) for the pur- poses of that section non-resident petroleum mining operator means a person— (a) (b) who is not resident in New Zealand; and (c) who carries on 1 or more petroleum mining ven- tures; and who is not a company; and (d) who, in the Commissioner’s opinion,
 would be at an unfair disadvantage if the venture was, or the ventures were, carried on by a petroleum mining company under the control of the person; and whose sole source of mining income in New Zealand is from the venture or ventures (e) non-resident taxpayer is deﬁned in section HK 24(4) (Liability as agent of employer of non-resident taxpayer and employer’s agent) for the purposes of that section non-resident trader means a person who— (a) (b) is in New Zealand; and carries on business there without having a ﬁxed and permanent place of business or abode there non-resident withholding income is deﬁned in section NG 1(2) (Application of NRWT rules) non-resident withholding tax means non-resident withholding tax payable under section NG 2 (Non-resi- dent withholding tax imposed) non-residents’ foreign-sourced income is deﬁned in section BD 1(4) (Income, exempt income, excluded in- come, non-residents’ foreign-sourced income, and as- sessable income) 2519 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 non-residents’ foreign-sourced income limitation is deﬁned in section DA 2(6) (General limitations) non-speciﬁed livestock means livestock other than bloodstock, high-priced livestock, and speciﬁed live- stock non-standard accounting year is deﬁned in section OF 1(2) (References to balance dates and years generally) non-standard balance date is deﬁned in section OF 1(2) (References to balance dates and years generally) non-standard income year is deﬁned in section OF 1(2) (References to balance dates and years generally) non-taxable bonus issue means a bonus issue that is not a taxable bonus issue normal retiring age is deﬁned in section DC 14 (Some deﬁnitions) for the purposes of sections DC 11 to DC 14 (which relate to share purchase schemes) notice is deﬁned in section 3(1) of Administration Act 1994 notify means to give notice notional income tax liability is deﬁned in section LC 14(4) (Ascertainment of New Zealand income tax liabil- ity) for the
 purposes of that section notional offshore investment amount, for a reporting bank, is deﬁned in section FG 8G(4) (New Zealand net equity of New Zealand banking group) for the purposes of subpart FG (Apportionment of interest costs) notional offshore investment amount: this deﬁnition was inserted, as from 1 July 2005, by section 87(25) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 in- come year.
the Tax NRWT rules means— (a) the following provisions: (i) section LD 2 (Non-resident withholding tax: credit allowed): subpart NG (Non-resident withholding tax); and (ii) (b) sections 49 and 100, Part 9, and section 185 of the Tax Administration Act 1994 2520 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 NZIAS 2 means New Zealand Equivalent to Inter- national Accounting Standard 2, approved by the Accounting Standards Review Board and as amended from time to time, or an equivalent standard issued in its place NZIAS 8 means New Zealand Equivalent to Inter- national Accounting Standard 8, approved by the Accounting Standards Review Board and as amended from time to time, or an equivalent standard issued in its place NZIAS 17 means New Zealand Equivalent to Inter- national Accounting Standard 17, approved by the Ac- counting Standards Review Board and as amended from time to time, or an equivalent standard issued in its place NZIAS 23 means New Zealand Equivalent to Inter- national Accounting Standard 23, approved by the Ac- counting Standards Review Board and as amended from time to time, or an equivalent standard issued in its place NZIAS 32 means New Zealand Equivalent to Inter- national Accounting Standard 32, approved by the Ac- counting Standards Review Board and as amended from time to time, or an equivalent standard issued in its place NZIAS 39 means New Zealand Equivalent to Inter- national Accounting Standard 39, approved by the Ac- counting Standards Review Board and as amended from time to time, or an equivalent standard issued in its place NZIAS 41 is deﬁned in section EB 6(3) (Cost) for the purposes of that section offered or entered into in New Zealand, for an insur- ance contract, a reinsurance contract, and a life insur- ance policy, means a contract or policy offered or en- tered into in New Zealand, whether or not— (a) the contract or policy is executed in New Zealand; or the insurer under the contract or policy— is resident in New Zealand; or (i) has a ﬁxed establishment in
 New Zealand; (ii) or (b) 2521 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (iii) has an agent in New Zealand offered or was offered or entered into, in sections EY 11 (Meaning of life reinsurance) and EY 47 (Non-resi- dent life insurers with life insurance policies in New Zealand), has the same meaning as offered or entered into in New Zealand off-market cancellation means a share cancellation that is not an on-market cancellation offshore permit area is deﬁned in section CW 45B (Non-resident company involved in exploration and de- velopment activities) for the purposes of that section.
offshore permit area: this deﬁnition was inserted, as from 1 October 2005, by section 87(26) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
old company tax rate means a 33% basic rate that ap- plied before the 2008–09 income year old ﬁnancial arrangements rules means— (a) the following provisions: (i) (ii) (iii) sections EZ 30 to EZ 49 (which relate to the old ﬁnancial arrangements rules): section FF 2 (Financial arrangements), as that section was before the commence- ment of the Taxation (Accrual Rules and Other Remedial Matters) Act 1999: section NG 16A (Variation in non-resi- dent withholding tax deductions to correct errors); and following provisions Tax the of (b) the Administration Act 1994: (i) section 60 (as in force before the en- actment of section 70 of the Taxation (Accrual Rules and Other Remedial Matters) Act 1999): section 90 (ii) old reporting standard is deﬁned in section DB 27 (Some deﬁnitions) for the purposes of section DB 26 (Research or development) 2522 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 on-market cancellation means an acquisition by a company of a share in the company if— (a) the company acquires the share in a transaction occurring on a recognised exchange, through a broker or some other similar agent independent of the company; and before the transaction, no arrangement existed between the shareholder and the company for the company to acquire the share; and the acquisition is not a treasury stock acquisition to which section CD 17 (Treasury stock acquisi- tions) applies (but this paragraph does not limit the application of section CD 17(2) to (6)) (b) (c) is not a ﬁnance lease; and is entered into on or after 20 May 1999 operating lease means, except in section EW 15B(4)(b)(iib) (IFRS taxpayer method), a lease that— (a) (b) operational allowance is deﬁned in section CW 19(4) (Income for military service or police in operational area) for the purposes of that section operational allowance: this deﬁnition was inserted, as from 18 December 2006, by section 155(31) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
operational area is deﬁned in section CW 19(4) (In- come for military service in operational area) for the purposes of that section option, in sections FF 1 (Shares or options), GC 3 (Ef- fect on continuity provisions of change in beneﬁciaries of trust), and OD 3 to OD 5 (which relate to the measure- ment of control and ownership interests), and in the def- initions of excluded option, market value (paragraphs (e) and (f)), market value circumstance (paragraphs (c) to (f)), pre-1991 budget security, recognised ex- change, and shareholder decision-making rights, in- cludes an agreement for sale at a time when beneﬁ- cial ownership of the property sold has not completely passed to the purchaser 2523 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 ordering rule means the rule set out in section CD 15(1) (Ordering rule and slice rule) for calculating the amount of available subscribed capital per share original share means a share in a company that is de- scribed as the original share in the deﬁnition of return- ing share transfer original share: this deﬁnition was inserted, as from 1 July 2006, by section 191(38) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
outgoing is deﬁned in section HC 1(12) (Special part- nerships) for the purposes of that section output tax is deﬁned in section 2 of the Goods and Services Tax Act 1985 outstanding balance,— (a) in sections FC 6 (Effect of speciﬁed lease on lessor and lessee) and FC 7 (Income of lessor under speciﬁed lease), means the amount calcu- lated using the formula— (a + b) – c where— a is all loans advanced under the lease by the lessor for the period— (i) starting on the date that the lease started; and ending on the date immediately before the start of the instalment period (ii) b is every amount of interest payable for every such loan for the period— (i) starting on the date that the lease started; and ending on the date immediately before the start of the instalment period (ii) c is the total amount of all instalments paid by the lessee in the period— (i) starting on the date that the lease started; and 2524 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) ending on the date immediately before the start of the instalment period: (b) in section FC 8C (Termination of ﬁnance lease), includes principal, interest, and penalties that are owing by the lessee to the lessor on the date that the lease is terminated outstanding claims reserve means the amount of an insurer’s outstanding claims liability for general insur- ance contracts, excluding contracts having premiums to which section FC 14 (Non-resident general insurers’ in- come) applies, as that liability is measured under Ap- pendix D, paragraphs 5.1 to 5.2.12 of IFRS 4 for the insurer’s ﬁnancial statements less the amount of rein- surance and non-reinsurance recoveries receivable, as measured for the ﬁnancial statements overseas company means a company other than one incorporated in New Zealand overseas pension is deﬁned in section CW 23(2) (Pen- sions) for the purposes of that section overtime is deﬁned in section CW 13C(6) (Payments for overtime meals and certain other allowances) for the purposes of that section own,— (a) for land, means— (i)
 to have an estate or interest in the land, alone or jointly or in common with any other person; or to be treated by this Act as having an estate or interest in the land, alone or jointly or in common with any other person: (ii) (b) in sections DB 16 (Amounts paid for non-com- pliance and change in use) and EI 5 (Amount paid for non-compliance: when lessor ceases to own land),— (i) means to have a legal or equitable estate or interest in land; and does not include having an interest as a mortgagee: (ii) 2525 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) for the ownership of depreciable property, is de- ﬁned in sections EE 2 to EE 5 (which relate to depreciation) ownership interests is deﬁned in section OD 5AA(6) (Modiﬁcations to voting and market value interests for application of continuity provisions to reverse takeover) for the purposes of that section ownership interest: this deﬁnition was inserted, as from 3 April 2006, by section 191(39) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
ownership interests: this deﬁnition was amended, as from 3 April 2006, by sec- tion 155(32) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “ownership interests is deﬁned in section OD 5AA(6)” for “ownership interest is deﬁned in section OD 5AA(7)”.

parental tax credit, in subpart KD, means the compo- nent of the subpart KD credit calculated under section KD 2(5) (Calculation of subpart KD credit).
parental tax credit: this deﬁnition was substituted, as from 1 April 2005, by section 11(10) Taxation (Working for Families) Act 2004 (2004 No 52).
Part E timing rules means a set of provisions in Part E (Timing and quantifying rules) that allocates an amount of income or deduction to a tax year and may also quan- tify the amount partial reinsurance is deﬁned in section EY 11(3) (Meaning of life reinsurance) participating share is deﬁned in section CD 14(9) (Re- turns of capital: off-market share cancellations) for the purposes of that section partner is deﬁned in section NF 10(6) (Unincorporated bodies) for the purposes of that section partnership is deﬁned in section NF 10(6) (Unincor- porated bodies) for the purposes of that section partnership income is deﬁned in section HC 1(12) (Special partnerships) for the purposes of that section partnership loss is deﬁned in section HC 1(12) (Spe- cial partnerships) for the purposes of that section partnership net income is deﬁned in section HC 1(12) (Special partnerships) for the purposes of that section 2526 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 patent application date[Repealed] patent application date: this deﬁnition was inserted, as from 1 April 2005, by section 87(27) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
patent application date: this deﬁnition was repealed, as from 1 October 2005, by section 155(33) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
[Repealed] patent rights means the right to do or authorise the doing of anything that would, but for the right, be an infringement of a patent pay,— (a) in subpart CD (Income from equity), section GC 24 (Application of speciﬁc imputation provisions to consolidated groups), subpart HG (Qualify- ing companies), sections KH 2 (Calculation of percentage of shareholders not resident), MD 1 (Refund of excess tax), and MD 3 (Refund of income tax not to exceed amount of credit bal- ance), subparts ME (Imputation credit accounts) and MF (Branch equivalent tax accounts), and sections NH 7 (Reduction in liability under con- duit tax relief) and OB 6 (Meaning of income the dividend tax), withholding payment rules, and the imputation rules, and in the deﬁnitions of benchmark divi- dend, combined imputation and dividend withholding payment ratio, dividend (para- graph (e)), dividend withholding payment, dividend withholding payment deduction, dividend withholding payment ratio, imput- ation ratio, shareholder dividend statement, and subsequent dividend,— (i) in the consolidation rules, includes, for a person, to distribute or credit to them or deal with in their interest or on their behalf in some other way; and for a dividend that is a bonus issue, means to issue shares or to give credit for the shares comprising the bonus issue: (ii) 2527 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 in section EI 8 (Matching rule for employment income of shareholder-employee), includes, for a person,— (i) to accumulate, capitalise, credit in ac- count, or reinvest for them; or to carry to an insurance, reserve, or sinking fund for them; or to deal with in their interest or on their behalf in some other way: (ii) (iii) in section ND 1E(2) (Employment-related loans: repayment), in the RWT rules, and in the deﬁn- ition of speciﬁed dividends, for resident with- holding income, includes, for a person,— (i) (ii) (iii) (iv) to distribute to them; or to credit to them; or to apply on their account; or to deal with in their
 interest or on their behalf in some other way: in the NRWT rules, and in the deﬁnition of divi- dend (paragraph (c)), for non-resident withhold- ing income, includes, for a person,— to distribute to them; or (i) to credit to them; or (ii) to deal with in their interest or on their (iii) behalf in some other way: for interest or a redemption payment that is in- come or non-resident withholding income de- rived by a person from money lent by them, in- cludes— (i) (ii) (iii) to distribute to them; or to credit to them; or to deal with in their interest or on their behalf in some other way: in section OE 4 (Classes of income treated as having source in New Zealand), includes, for a person,— (i) (ii) to distribute to them; or to credit to them; or (b) (c) (d) (e) (f) 2528 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (g) (h) (iii) to deal with in their interest or on their behalf in some other way: for an insurance contract and a reinsurance con- tract and a life insurance policy and a life rein- surance policy, includes, for a person,— (i) (ii) (iii) to distribute to them; or to credit to them; or to deal with in their interest or on their behalf in some other way: for a replacement payment and share-lending col- lateral, includes, for a person,— (i) (ii) (iii) to distribute to them; or to credit to them; or to deal with in their interest or on their behalf in some other way pay: paragraph (g) of this deﬁnition was amended, as from 1 July 2006, by section 191(40) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “way:” for “way”.
pay: paragraph (h) of this deﬁnition was inserted, as from 1 July 2006, by sec- tion 191(40) Taxation (Depreciation, Payment Dates Alignment, FBT, and Mis- cellaneous Provisions) Act 2006 (2006 No 3).

pay and allowances[Repealed] pay and allowances: this deﬁnition was repealed, as from 18 December 2006, by section 155(34) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
[Repealed] pay period, for an employee receiving regular pay- ments of salary or wages, means the period for which any such payment is made or payable PAYE intermediary, for an employer, means— (a) a person who— (i) (ii) is accredited as a PAYE intermediary by the Commissioner under section NBA 2 (Accreditation requirements of PAYE intermediaries); and has entered an agreement with the em- ployer, applying to employees of the employer, that has been approved by the Commissioner under section NBA 3 (Ap- proval by Commissioner of employer 2529 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (iii) arrangements with PAYE intermediary); and a person who— (i) (ii) has ceased to satisfy paragraph (a); and has responsibilities under section NBA 8(3) (Termination of employer arrange- ments with PAYE intermediary) has entered agreements that have been ap- proved by the Commissioner under section NBA 3 (Approval by Commissioner of employer arrangements with PAYE inter- mediary) with not less than 10 employers: PAYE intermediary: paragraph (a)(ii) of this deﬁnition was amended, as from 1 April 2005, by section 261(22) Taxation (Venture Capital and Miscellan- eous Provisions) Act 2004 (2004 No 111) by substituting “PAYE intermediary); and” for “PAYE intermediary); or”.
PAYE intermediary: paragraph (a)(iii) of this deﬁnition was inserted, as from 1 April 2005, by section 261(22) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
PAYE period,— (a) for the purposes of subpart KJ (KiwiSaver scheme and complying superannuation fund tax credits) means the ﬁrst PAYE period, the second PAYE period, or the month in which a deduction of PAYE is made or to which a payment of tax under section NC 16 relates, as the case may be: is deﬁned in section NC 15(8) (Payment of tax deductions to Commissioner) for the purposes of that section (b) PAYE rules means— (a) the following provisions: (i) (ii) section BC 1 (Non-ﬁling and ﬁling taxpay- ers): section GC 18 (Agreements not to make tax deductions to be void): section LD 1 (Tax deductions to be cred- ited against tax assessed): (iv) subpart NBA (PAYE intermediaries): (ivb) subpart NBB (Subsidy payable to certain (iii) listed PAYE intermediaries): 2530 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) subpart NC (Withholding of PAYE); and (v) sections 24, 48, and 133, Part 9, and sections 167 to 169 of the Tax Administration Act 1994 PAYE rules: paragraph (a)(ivb) of this deﬁnition was inserted, as from 3 April 2006, by section 191(41) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
payer, in the RWT rules, means a person who makes a payment of resident withholding income payment, in the cases described in paragraphs (a) to (h) of the deﬁnition of pay, has a meaning corresponding to the relevant paragraph payment: this deﬁnition was amended, as from 1 July 2006, by section 191(42) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “(h)” for the expression “(g)”.
payment period means the period of 56 days beginning after the date on which an application is made to receive the parental tax credit.

payment period: this deﬁnition was substituted, as from 1 October 2005, by section 87(28) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
payment relating to incapacity for work is deﬁned in section CW 28(2) (Compensation payments) for the purposes of that section pension is deﬁned in section CF 1(2) (Beneﬁts, pen- sions, compensation, and government grants) for the purposes of that section period of restriction is deﬁned in section DC 14(2) to (4) (Some deﬁnitions) for the purposes of sections DC 11 to DC 14 (which relate to share purchase schemes) permit is deﬁned in section 2 of the Crown Minerals Act 1991 permit area means the area of land covered by a pet- roleum permit permit-speciﬁc asset is deﬁned in section DZ 5(6) (Farm-out arrangements for petroleum mining before 16 December 1991) for the purposes of that section 2531 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 permitted withdrawal means a withdrawal that is per- mitted under— (a) the KiwiSaver scheme rules, as deﬁned in section 4 of the KiwiSaver Act 2006: the complying fund rules, as deﬁned in this Act (b) permitted withdrawal: this deﬁnition was inserted, as from 1 July 2007, by section 49(11) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
person — (a) is deﬁned in section EH 3(2) (Persons to whom main income equalisation scheme applies) for the purposes of the main income equalisation scheme: is deﬁned in section EH 38(2) (Persons to whom adverse event income equalisation scheme ap- plies) for the purposes of the adverse event in- come equalisation scheme: is deﬁned in section EH 65(2) (Persons to whom thinning operations income equalisation scheme applies) for the purposes of the thinning oper- ations income equalisation scheme (b) (c) personal property, in sections CB 3 (Personal property acquired for purpose of disposal) and CB 4 (Business of dealing in personal property) does not include land or an interest in land personal property lease asset — (a) means any personal property subject to a lease; and does not include any livestock or bloodstock (b) personal property lease payment means a payment made by a lessee to a lessor, in money or money’s worth, in relation to, or in consideration for, a personal property lease asset personal service rehabilitation payment, for a person, means an amount paid for the beneﬁt of the person— (a) under section 81(3) of the Injury Prevention, Re- habilitation, and Compensation Act 2001; and 2532 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) by the Accident Compensation Corporation or an employer that is an accredited employer as deﬁned in section 181 of that Act; and in providing to the person a key aspect of social rehabilitation referred to in— (i) section 81(1)(b), (c), (e), or (g) (relating to attendant care, child care, home help, and training for independence) of that Act: section 81(1)(h) (relating to transport for independence) of that Act to the extent given by paragraph (a)(i) of the deﬁnition of transport for independence in sched- ule 1, clause 12 of that Act petroleum is deﬁned in section 2 of the Crown Minerals Act 1991 petroleum development expenditure — (a) means expenditure incurred by a petroleum (ii) (b) miner that— (i) (ii) directly concerns a permit area; and is
 for acquiring, constructing, or planning petroleum mining assets; and does not include— (i) (ii) (iii) residual expenditure; or petroleum exploration expenditure; or other expenditure allowed as a deduction under any provision of this Act, other than a provision in subpart DT (Petroleum min- ing expenditure) or DZ (Terminating pro- visions), and allocated to the income year in which the expenditure is incurred petroleum exploration expenditure — (a) means— (i) (ii) (iii) exploratory well expenditure; and prospecting expenditure; and expenditure to acquire a prospecting li- cence, a prospecting permit for petroleum, or an exploration permit for petroleum; and does not include— (b) 2533 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) residual expenditure; or expenditure that is required by section DT 6 (Expenditure on petroleum mining as- sets) to be treated as petroleum develop- ment expenditure petroleum miner is deﬁned in section CT 6 (Meaning of petroleum miner) petroleum mining asset is deﬁned in section CT 7 (Meaning of petroleum mining asset) petroleum mining company means a company to which section IH 2 (Companies engaged in exploring for, searching for, or mining petroleum) applies petroleum mining development is deﬁned in section EJ 18 (Meaning of petroleum mining development) for the purposes of sections EJ 11 and EJ 11B (which relate to petroleum development expenditure) petroleum mining development expenditure is de- ﬁned in section DZ 3(4) (Petroleum mining: develop- ment expenditure from 1 October 1990 to 15 December 1991) for the purposes of that section petroleum mining operations is deﬁned in section CT 6B (Meaning of petroleum mining operations) petroleum mining or prospecting information means geological, geophysical, or technical information— (a) that is about the presence, absence, extent, or volume of petroleum deposits in an area; or that is likely to assist in determining the presence, absence, extent, or volume of
 petroleum deposits in an area (b) petroleum mining or prospecting right — (a) means an authority, concession, easement, lease, licence, option, permit, privilege, right, or title to explore, search, or mine for, or carry on an operation to recover, petroleum; and includes a share or interest in any such authority, concession, easement, lease, licence, option, per- mit, privilege, right, or title (b) 2534 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 petroleum mining venture — (a) means a venture that— (i) (ii) is carried on, or is proposed to be carried on, in New Zealand, as a business; and consists, or is proposed to consist, solely of prescribed activities carried on, or pro- posed to be carried on, in New Zealand; and does not include, as a venture of a person and others, the carrying on of a prescribed activity by the person otherwise than jointly with the other person or persons with whom the prescribed ac- tivities are carried on or are proposed to be car- ried on (b) a permit that relates to petroleum; and a prospecting licence; and a mining licence petroleum permit means— (a) (b) (c) petroleum-related depreciable property is deﬁned in section EE 58 (Other deﬁnitions) physical cost of production is deﬁned in section DZ 11(3) (Film reimbursement scheme on or before 30 June 2001) for the purposes of that section plant variety rights means proprietary rights granted for a plant variety under the Plant Variety Rights Act 1987 or similar rights given similar protection under the laws of a country or territory other than New Zealand.
plant variety rights: this deﬁnition was inserted, as from 1 October 2005, by section 87(29) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.

planting is deﬁned in section DO 4E (Some deﬁnitions) for the purposes of sections DO 4B to DO 4E planting: this deﬁnition was inserted, as from 1 October 2005, by section 261(23) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
pleasure craft is deﬁned in section CW 17(2) (Amounts derived by visiting crew of pleasure craft) for the pur- poses of that section 2535 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 plot is deﬁned in section DO 4E (Some deﬁnitions) for the purposes of sections DO 4B to DO 4E plot: this deﬁnition was inserted, as from 1 October 2005, by section 261(24) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
policyholder base, for a life insurer and for an income year, means the beneﬁts accruing to policyholders by way of claims paid and payable and amounts included in the life insurer’s actuarial reserves policyholder base income tax liability means the schedular income tax liability for a tax year of a life insurer for the policyholder base, determined under section BC 7 (Income tax liability of person with schedular income) policyholder credit account means the account to be maintained by a policyholder credit account company or a policyholder credit account person under section ME 15 (Resident life insurance companies to maintain pol- icyholder credit account) or ME 21 (Person may elect to maintain policyholder credit account) policyholder credit account company means a com- pany that is required by section ME 15 (Resident life insurance companies to maintain policyholder credit ac- count) to maintain a policyholder credit account policyholder credit account person means a person who— (a) (b) is not a company resident in New Zealand; and has made an election under section ME 21(1) (Person may elect to maintain policyholder credit account); and is required by section ME 21(2) (Person may elect to maintain policyholder credit account) to maintain a policyholder credit account (c) policyholder DWP ratio is deﬁned in section MG 8B(4) (Policyholder credit account companies and 2536 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 dividend withholding payment credits) for the purposes of that section policyholder DWP ratio: this deﬁnition was inserted, as from 1 October 2005, by section 261(25) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
policyholder income means a positive result of the ap- plication of the policyholder income formula policyholder income formula means the formula in section EY 42 (Policyholder income formula) policyholder net loss means a negative result of the application of the policyholder income formula pool is deﬁned in section EE 58 (Other deﬁnitions) pool method is deﬁned in section EE 58 (Other deﬁni- tions) poolable property is deﬁned in section EE 57 (Mean- ing of poolable property) portable New Zealand superannuation means New Zealand superannuation paid or payable overseas under any of— (a) (b) sections 26 to 29 and 31 of the New Zealand Superannuation and Retirement Income Act 2001; or sections 17, 17BA, or 19 of the Social Welfare (Transitional Provisions) Act 1990 portable New Zealand superannuation: paragraph (a) of this deﬁnition was amended, as from 21 April 2005, by section 9(1) New Zealand Superannuation and Retirement Income Amendment Act 2005 (2005 No 42) by substituting “New Zealand Superannuation and Retirement Income Act 2001” for “New Zealand Superannuation Act 2001”.
portable veteran’s pension means a veteran’s pension paid or payable overseas under any of— (a) sections 74J to 74M and 74O of the War Pensions Act 1954: sections 17, 17BA, and 19 of the Social Welfare (Transitional Provisions) Act 1990 (b) portfolio allocation period, for a portfolio tax rate en- tity, means a period that meets the requirements of sec- tion HL 15 (Portfolio allocation period and portfolio calculation period) to which the entity allocates income 2537 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 portfolio calculation period, for a portfolio tax rate en- tity, means a period consisting of 1 or more portfolio al- location periods that meets the requirements of section HL 15 (Portfolio allocation period and portfolio calcu- lation period) for the calculation of portfolio investor allocated income and portfolio investor allocated loss portfolio class fraction, for a portfolio tax rate entity and a portfolio investor class, means the fraction of the proceeds from a portfolio entity investment to which the investors in the portfolio investor class are entitled as a group portfolio class investment value, for a portfolio tax rate entity, a portfolio investor class, and a portfolio en- tity investment, means the portfolio class fraction of the market value of the portfolio entity investment portfolio class net income is deﬁned in section HL 18 (Portfolio class net income and portfolio class net loss for portfolio allocation period) portfolio class net loss is deﬁned in section HL 18 (Portfolio class net income and portfolio class net loss for portfolio allocation period) portfolio class taxable income is deﬁned,— (a) for a tax year, in section HL 29 (Portfolio class taxable income and portfolio class taxable loss for tax year): for a portfolio allocation period, in section HL 19 (Portfolio class taxable income and portfolio class taxable loss for portfolio allocation period) (b) (b) portfolio class taxable loss is deﬁned,— (a) for a tax year, in section HL 29 (Portfolio class taxable
 income and portfolio class taxable loss for tax year): for a portfolio allocation period, in section HL 19 (Portfolio class taxable income and portfolio class taxable loss for portfolio allocation period) portfolio deﬁned beneﬁt fund means a deﬁned beneﬁt fund that— (a) does not allocate income to investors; and 2538 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) has become a portfolio investment entity under section HL 12 (Becoming portfolio investment entity); and has not ceased to be a portfolio investment entity under section HL 14 (Ceasing to be portfolio in- vestment entity) portfolio entity formation loss is deﬁned in section HL 28 (Portfolio entity formation loss) portfolio entity investment means an investment of an entity in an item of property of a type to which section HL 10(1) (Further eligibility requirements relating to investments) refers portfolio entity tax liability, for a portfolio tax rate entity for a period, is deﬁned in section HL 20 (Portfolio entity tax liability and rebates of portfolio tax rate entity for period) portfolio investment entity means— a portfolio tax rate entity: (a) a portfolio listed company: (b) a portfolio deﬁned beneﬁt fund: (c) (d) portfolio investment-linked life fund portfolio investment-linked life fund means a separate identiﬁable fund, forming part of a life insurer, that— (a) holds investments subject to life insurance poli- cies under which beneﬁts are directly linked to the value of the investments held in the fund; and has become a portfolio investment entity under section HL 12 (Becoming portfolio investment entity); and has not ceased to be a portfolio investment entity under section HL 14 (Ceasing to be portfolio in- vestment entity) (b) (c) portfolio investor allocated income is deﬁned in sec- tion HL 24 (Portfolio investor allocated income and portfolio investor allocated loss) portfolio investor allocated loss is deﬁned in section HL 24 (Portfolio investor allocated income and
 port- folio investor allocated loss) 2539 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 portfolio investor class is deﬁned in section HL 5B (Meaning of investor and portfolio investor class) portfolio investor exit period, for an investor in a port- folio investor class of a portfolio tax rate entity and a tax year, means,— (a) for an entity that makes payments of tax under section HL 21 (Payments of tax by portfolio tax rate entity making no election), a period— (i) (ii) (iii) beginning with the beginning of a portfolio calculation period and ending with the ﬁfth working day after the portfolio calculation period; and for which the amount of the entity’s port- folio tax liability under section HL 20 (Portfolio entity tax liability and rebates of portfolio tax rate entity for period) for the investor and the portfolio investor class and any other portfolio investor classes would, if the period were not a portfolio investor exit period for the investor, equal or exceed the value of the investor’s port- folio investor interest for the portfolio investor class and any other portfolio in- vestor classes at the end of the period; and the amount of the portfolio entity tax li- ability referred to in subparagraph (ii) is not paid under section HL 23B (Optional payments of tax by portfolio tax rate en- tities); or (b) for an entity that makes payments of tax under section HL 23 (Payments of tax by portfolio tax rate entity choosing to make payments when in- vestor leaves), a period— (i) beginning with the later of the beginning of the tax year and the day on which the in- vestor last became an investor in the port- folio investor class; and ending on a day in the tax year on which the amount of the entity’s portfolio tax li- (ii) 2540 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 ability under section HL 20, reduced by any tax credits allocated to the investor, for the investor for the period equals or ex- ceeds the value of the
 investor’s portfolio investor interest portfolio investor interest means an interest in a port- folio investment entity that gives the holder an entitle- ment to a distribution of proceeds from a portfolio entity investment of the entity portfolio investor interest fraction, for an investor in a portfolio investor class of a portfolio investment entity, means the fraction to which the investor is entitled of the amount of a distribution by the entity to the investors in the portfolio investor class portfolio investor proxy is deﬁned in section HL 31 (Portfolio investor proxies) portfolio investor rate, at a time for an investor in a portfolio tax rate entity and for a portfolio allocation period, means— (a) 30%, if the investor has provided their tax ﬁle number to the Commissioner and paragraphs (b) and (c) do not apply; or the rate, if paragraph (c) does not apply, that the investor notiﬁes— (i) to the entity as the prescribed investor rate for the investor and the period; and in the latest notice before the time; or (b) (c) (ii) 0%, if— (i) the entity makes payments of tax under section HL 21 (Payments of tax by port- folio tax rate entity making no election); and the portfolio investor rate at the time for the investor for the portfolio calculation period would, in the absence of this para- graph, be more than 0%; and the portfolio calculation period includes part of a portfolio investor exit period for the investor (ii) (iii) 2541 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 portfolio land company means, for a tax year, a com- pany that— (a) is not a portfolio investment entity in the tax year; and on 80% or more of the days in the correspond- ing income year on which the company has prop- erty with a market value equal to or more than $100,000, owns property that— (i) (b) consists of interests in land or shares in a portfolio land company that does not own, directly or indirectly, shares in the com- pany; and has a market value equal to or
 more than 90% of the market value of all the property of the company; and (ii) (c) meets the requirements of section HL 10(2) (Fur- ther eligibility requirements relating to invest- ments) for the tax year (c) (b) portfolio listed company means a company that— (a) is listed on a recognised exchange in New Zealand or meets the requirements of section HL 11B (Unlisted company may choose to become portfolio listed company); and has become a portfolio investment entity under section HL 12 (Becoming portfolio investment entity); and has not ceased to be a portfolio listed company under section HL 11B; and has not ceased to be a portfolio investment entity under section HL 14 (Ceasing to be portfolio in- vestment entity); and (e) is not a portfolio investment-linked life fund portfolio tax rate entity means a company, superannu- ation fund, or group investment fund that— (a) has become a portfolio tax rate entity under sec- tion HL 12 (Becoming portfolio investment en- tity); and (d) 2542 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) (b) has not ceased to be a portfolio tax rate entity under section HL 14 (Ceasing to be portfolio in- vestment entity); and is not a company listed on a recognised exchange in New Zealand; and is not a portfolio deﬁned beneﬁt fund; and (d) (e) is not a portfolio investment-linked life fund possession includes a use that is in fact or effect sub- stantially exclusive, whether by virtue of a right of ex- clusive occupation or not post-1989 forest land is deﬁned in section 4(1) of the Climate Change Response Act 2002 post-1989 forest land unit, for a person, means a unit— issued to the person under section 64 of the Cli- (a) mate Change Response Act 2002 for removals for post-1989 forest land; and held continuously by the person since the issue (b) pre-1983 mortgage repayment insurance policy means a single premium non-proﬁt life insurance policy issued on or before 31 March 1983, under which the amount assured is
 related to the amount outstanding on a mortgage of land pre-1990 forest land is deﬁned in section 4(1) of the Climate Change Response Act 2002 pre-1990 forest land unit, for a person, means a unit— issued to the person under an allocation plan (a) under section 73 of the Climate Change Re- sponse Act 2002; and held continuously by the person since the issue (b) pre-1991 budget security means a ﬁxed rate share, or a debenture to which section FC 1 (Floating rate of in- terest on debentures) or FC 2 (Interest on debentures issued in substitution for shares) applies, that— (a) was itself issued by the company before 8.00 pm New Zealand Standard Time on 30 July 1991 (speciﬁed time), or was issued under a binding contract entered into before the speciﬁed time no 2543 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) term of which is altered at any time after the spe- ciﬁed time; and is not a share or debenture any term of which is al- tered at any time after the speciﬁed time (whether under a provision for roll-over or extension or under an option held at the speciﬁed time by the shareholder or debenture holder or the company or both or by any other person or otherwise), ex- cept when the term is altered under a binding contract entered into before the speciﬁed time no term of which is altered at any time after the spe- ciﬁed time preceding year is deﬁned in section ND 14(9) (Pay- ment of fringe beneﬁt tax on income year basis for shareholder-employees) for the purposes of that section premium,— (a) for life insurance,— (i) means any consideration, however de- scribed, payable under a life insurance policy to a life insurer; and does not include interest on an unpaid pre- mium: (ii) (b) (c) in sections DZ 9 (Premium paid on land leased before 1 April 1993) and EZ 6 (Premium paid on land leased before 1 April 1993),— (i) includes a payment in the nature of a ﬁne, a payment for goodwill attaching to the land, and a payment in consideration of the
 grant, transfer, or renewal of the lease; and does not include rent: (ii) is deﬁned in section FC 13(9) (Premiums derived by non-resident general insurers treated as being derived from New Zealand) for the purposes of sections FC 13 to FC 17 (which relate to non- resident general insurers) premium loading means the amount calculated by a life insurer following the steps in section EY 15(2) (Pre- mium loading: when life insurers providing life insur- ance at start of income year) or EY 16(2) (Premium 2544 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 loading: when life insurers not providing life insurance at start of income year), as applicable premium loading formula means the formula in sec- tion EY 17(1) or the formula in section EY 17(2) (Pre- mium loading formulas) prescribed means— (a) (b) prescribed amount is deﬁned in section DU 9(4) (Ap- plication of sections to resident mining operators) prescribed interest is deﬁned in section ND 1G (Mean- ing of prescribed interest) for the purposes of sections ND 1D (Employment-related loans: value of beneﬁt) and ND 1F (Employment-related loans: regulations) prescribed by regulations under this Act; or prescribed by the Commissioner this deﬁnition was amended, as from 1 April 2005, by prescribed interest: section 155(36) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “sections ND 1D (Employment-related loans: value of beneﬁt)” for “sections ND 1E (Employment-related loans: re- payment)”.
prescribed investor rate, for a person who is an in- vestor in a portfolio tax rate entity and a portfolio allo- cation period in a tax year, means— (a) 30%, if— (i) (ii) none of paragraphs (b) and (c) applies to the person: the person is a resident who derives in- come as a trustee of a trust other than a trust referred to in paragraph (c)(i) and who chooses to be subject to this para- graph for the tax year; or (b) 19.5%, unless paragraph (c) applies to the person, if the person is a resident who had, in either of the 2 income years immediately before the tax year,— (i) (ii) $38,000 or less in taxable income; and a total amount of $60,000 or less in taxable income and portfolio investor allocated in- come after subtraction of portfolio investor allocated loss; or (c) 0%, if the person is a resident who— 2545 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) (iii) (iv) (v) (vi) is an organisation or trust with income that is exempt income under section CW 34 (Charities: non-business income) or CW 35 (Charities: business income): is a portfolio investment entity other than a person to whom paragraph (a)(ii) applies: is a company: is a superannuation fund other than a per- son to whom paragraph (a)(ii) applies: derives income as a trustee and does not choose to be subject to paragraph (a) for the tax year: is a portfolio investor proxy for the port- folio allocation period prescribed period is deﬁned in section CU 29 (Other deﬁnitions) prescribed proportion is deﬁned in section CU 29 (Other deﬁnitions) prescribed rate of interest means the rate of interest declared by regulations made under section ND 1F (Em- ployment-related loans: regulations) to be the rate ap- plying to employment-related loans price— (a) is deﬁned in section ND 1J(3) (Goods: value of beneﬁt) for the purposes of that section: is deﬁned in section ND 1K(2) (Services: value of beneﬁt) for the purposes of that section: is deﬁned in section ND 1P (Deﬁnitions for sec- tions ND 1N and ND 1O) for the purposes of sec- tions ND
 1N (Goods at staff discount) and ND 1O (Goods on special with staff discount) (b) (c) primary employment earnings, for an employee and for a pay period, means a source deduction payment that is not a withholding payment or an extra pay and that is selected as follows (a) if the employee derives the payment in the pay period from 1 employer, the payment: 2546 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) if the employee derives payments in the pay period from 2 or more employers, the larger or largest payment: if the employee derives payments in the pay period from 2 or more employers and 2 or more of the payments are of the same amount, the payment that is the same amount as another payment that the employee chooses primary producer co-operative company is deﬁned in section CZ 7(4) (Primary producer co-operative com- panies: 1987-88 income year) for the purposes of that section principal caregiver, for a dependent child,— (a) means the person, whether or not a parent of the child, who, in the opinion of the Commissioner, has the primary responsibility for the day to day care of the child, other than on a temporary basis; and the person is not a spouse, civil union partner, or de facto partner of a person who is eligible to be a transitional resident and who has not made an election under section FC 24(3) (Transitional resident); and does not include a body of persons, whether in- corporated or unincorporated; and does not include a person who is the proprietor of, or employed in,— (i) (ab) (b) (c) a residence established under the Children, Young Persons, and Their Families Act 1989; or a residential disability care institution as deﬁned in section 58(4) of the Health and Disability Services (Safety) Act 2001; or any other institution in which the child is being cared for (ii) (iii) principal caregiver: paragraph (ab) of this deﬁnition was inserted, as from 1 Oc- tober 2005, by section 191(43) Taxation (Depreciation, Payment Dates Align-
 ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
2547 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 principal caregiver: paragraph (ab) of this deﬁnition was substituted, as from 18 December 2006, by section 155(38) Taxation (Savings Investment and Mis- cellaneous Provisions) Act 2006 (2006 No 81).
private domestic worker means a person employed by any other person if— (a) the employer is the occupier, or 1 of the occu- piers, of a dwellinghouse or other premises used exclusively for residential purposes; and the employment is for the performance of work in or about the dwellinghouse or premises or the garden or grounds belonging to the dwelling- house or premises; and the employment is not for a business carried on by the employer or an occupation or calling of the employer; and the employment is not regular full-time employ- ment (b) (c) (d) private limitation is deﬁned in section DA 2(2) (Gen- eral limitations) private or domestic agreement for the sale and pur- chase of property is deﬁned in section EZ 45 (Deﬁni- tions) for the purposes of the old ﬁnancial arrangements rules private use is deﬁned in section CX 30 (Meaning of private use) pro rata cancellation, for shares of the same class in a company, means the cancellation of— (a) (b) all the shares in the class; or part only of the shares in the class if the cancella- tion does not alter any person’s voting interest (or market value interest, if a market value circum- stance exists at the time in relation to the com- pany) in the company, determined as if no other class of shares existed; or part only of the shares in the class if the cancel- lation results from an offer from the company to all shareholders in the class and the resulting can- cellation would have met paragraph (b) if each (c) 2548 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 shareholder who received the offer accepted it in full produce transactions,— (a) in sections CD 24 (Payments corresponding to notional distributions of producer boards and co-operative companies), HF 1 (Proﬁts of mu- tual associations in respect of transactions with members), and ME 30 to ME 32 (which relate to imputation credit accounts of statutory producer boards), and in the deﬁnition of member (para- graph (a)), means transactions that— (i) are between a statutory producer board and its
 members; and involve the acceptance by the board from its members, in terms of the board’s pri- mary statutory functions, of produce that is trading stock or goods that are trading stock: (ii) (b) in sections CD 24 (Payments corresponding to notional distributions of producer boards and co-operative companies) and ME 35 to ME 37 (which relate to imputation credit accounts of co-operative companies), and in the deﬁnition of shareholder (paragraph (d)), means transactions that— (i) are between a co-operative company and its shareholders; and involve the acceptance of produce that is trading stock or goods that are trading stock; and are purchases or other acquisitions of the produce or goods by the company from its shareholders, if a principal activity of the company involves the acceptance of such produce or goods from its shareholders: (ii) (iii) (c) in sections CD 24 (Payments corresponding to notional distributions of producer boards and co-operative companies) and ME 35 to ME 37 (which relate to imputation credit accounts of 2549 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 co-operative companies), and in the deﬁnition of shareholder (paragraph (d)), also means trans- actions that— (i) are between a co-operative company and its shareholders; and involve the supply of produce that is trad- ing stock or goods that are trading stock; and are sales or other disposals of the produce or goods by the company to its sharehold- ers, if a principal activity of the company involves the supply of such produce or goods to its shareholders (ii) (iii) producer board has the same meaning as statutory producer board proﬁt is deﬁned in section DB 21(6) (Amount from land affected by change and not already in income) for the purposes of that section proﬁt-sharing arrangement means an arrangement under which— (a) a person (person A) makes speciﬁed livestock available, without specifying a fee for doing so, to another person (person B) who carries on a business in
 which the livestock are used; and any return or compensation that person A re- ceives for making the livestock available depends on the proﬁts of the business; and person A participates in the proﬁts and losses of the business; and if a partnership between person A and person B arises, person A is bound by the requirements of the Partnership Act 1908 for third parties (b) (c) (d) property,— (a) in sections CB 28 (Property obtained by theft) and DB 35 (Restitution of stolen property), in- cludes money and money’s worth: in subpart EE (Depreciation), includes consents granted in or after the 1996-97 tax year under the Resource Management Act 1991: (b) 2550 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) (d) in the life insurance rules, includes any real or personal property: in the ﬁnancial arrangements rules, and in the deﬁnitions of agreement for the sale and pur- chase of property or services, forward con- tract, right, short-term agreement for the sale and purchase of property or services, short- term option, and speciﬁed option,— (i) means any property, whether real or per- sonal, legal or equitable, or tangible or in- tangible; and does not include a ﬁnancial arrangement or foreign exchange: (ii) (e) in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) (b) proportional-stapling company means a company if— (a) each share in the company that is not a ﬁxed- rate share (a participating share) is stapled to a stapled debt security; and for each participating share in the company, the amount payable for the issue of its stapled debt security is the same proportion of the available subscribed capital calculated under the slice rule of the participating share as it is for each other participating share (b) prospecting expenditure— (a) means expenditure to identify land likely to contain exploitable petroleum deposits or occur- rences; and includes prospecting for petroleum by electrical, geochemical, gravimetric, magnetic,
 radioactive, seismic, or other geological methods; and does not include residual expenditure (c) prospecting licence is deﬁned in section 2 of the Pet- roleum Act 1937 prospecting permit is deﬁned in section 2 of the Crown Minerals Act 1991 2551 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 protected amount is deﬁned in section HE 2(3) (Group investment funds) for the purposes of that section protective right is deﬁned in section CD 14(9) (Returns of capital: off-market share cancellations) for the pur- poses of that section provisional rate is deﬁned in section EE 58 (Other def- initions) provisional tax means an amount payable as provi- sional tax under the provisional tax rules provisional tax rules means— the following provisions: (a) (i) (ii) (iii) (iv) section LD 6 (Allowance for provisional tax paid by agent): section LD 7 (Provisional tax to be cred- ited against income tax liability): sections MB 1 to MB 28 (which relate to provisional tax): sections MB 33, and MB 35 to 38 (which relate to provisional tax): [Repealed] (b) (v) sections 119 and 139B of the Tax Administration Act 1994 (b) provisional taxpayer has the meaning given in section MB 2 (Who pays provisional tax?)
public authority— (a) means Public Trust, the Maori Trustee, and every other department or instrument of the Executive Government of New Zealand; and includes the Christmas Island Phosphate Com- mission, incorporated in Australia by the Christ- mas Island Agreement Act 1949 of the Parlia- ment of Australia; and is further deﬁned in section CW 31(6) (Public authorities) for the purposes of that section public entertainer is deﬁned in section CW 15(3) (Amounts derived during short-term visits) for the purposes of that section (c) 2552 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 public ofﬁcial is deﬁned in section DB 36(5) (Bribes paid to public ofﬁcials) for the purposes of that section qualifying amalgamation means an amalgamation in which— (a) each of the amalgamating companies and the amalgamated company, at the time of the amal- gamation,— (i) (ii) is resident in New Zealand; and is not a company that, under a double tax agreement, is treated as not being resident in New Zealand for the purposes of the agreement; and is not a company that derives only ex- empt income; “a company that derives only exempt income” includes a local au- thority that is not a council-controlled or- ganisation and does not include a company whose income is exempt under sections CW 9 to CW 11 (which relate to income from equity); and (iii) (b) (c) (d) each of the amalgamating companies is a quali- fying company if the amalgamated company is, immediately after the amalgamation, a qualify- ing company; and each of the amalgamating companies is a loss at- tributing qualifying company if the amalgamated company is, immediately after the amalgamation, a loss attributing qualifying company; and the amalgamating companies and the amalga- mated company have not chosen that the amal- gamation will not be a qualifying amalgamation by giving notice to the Commissioner, signed for or on behalf of each company, as part of the notice referred to in section 75 of the Tax Administration Act 1994 qualifying asset is deﬁned in
 section EZ 26 (Meaning of qualifying asset) qualifying capital value is deﬁned in section EZ 24 (Meaning of qualifying capital value) 2553 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 qualifying company is deﬁned in section OB 3(1) (Meaning of qualifying company) qualifying company election tax is deﬁned in sections HG 11 (Taxation on election to become qualifying com- pany) and HG 12 (Payment of qualifying company elec- tion tax) qualifying debenture means— (a) a debenture issued by a forestry company for unpaid purchase money for land bought by the forestry company from the Crown or the Maori owners or a holding company of the forestry company; or a debenture issued by a forestry company for capitalised interest derived from a debenture de- scribed in paragraph (a); or a debenture issued by a forestry company for money lent to the forestry company by a hold- ing company for any of the following purposes: ﬁnancing expenditure by the forestry com- (i) pany on planting or maintaining trees; or (ii) meeting administrative overheads, rates, insurance premiums, or other ex- rent, penses of the same kind; or paying interest on money borrowed for the purposes of the forestry business and em- ployed as capital in the business; or a debenture issued by a forestry company for capitalised interest derived from a debenture de- scribed in paragraph (c); or a debenture issued by a forestry company for capitalised interest derived from a debenture de- scribed in paragraph (b) or (d); or a debenture issued by a Maori investment com- pany to a shareholder of the company or a trustee for a shareholder (iii) (b) (c) (d) (e) (f) qualifying event means— (a) the extreme climatic conditions that occurred during the month of February 2004 in New Zealand: 2554 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) the storm event that occurred during the month of July 2004 in the Bay of Plenty area: any naturally-occurring event that occurs in a subsequent
 year and— (i) for which a state of emergency is de- clared under the Civil Defence Act 1983 or Part 4 of the Civil Defence Emergency Management Act 2002; and that the Governor-General by Order in Council declares to be a qualifying event qualifying event: this deﬁnition was inserted, as from 1 April 2005, by sec- tion 261(26) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
(ii) qualifying foreign equity investor is deﬁned in section CW 11B(4) (Proceeds of share disposition by qualiﬁed foreign equity investor) for the purposes of that section qualifying foreign equity investor: this deﬁnition was inserted, as from 1 April 2005, by section 261(26) Taxation (Venture Capital and Miscellaneous Provi- sions) Act 2004 (2004 No 111) with application as from the income year cor- responding to the 2005–06 income year.
qualifying foreign equity investor: this deﬁnition was amended, as from 1 Oc- tober 2005, by section 191(46) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “section CW 11B(4)” for the expression “section CW 11B(3)”.
qualifying improvement is deﬁned in section EZ 25 (Meaning of qualifying improvement) qualifying payments is deﬁned in section KC 4(2) (Re- bate in certain cases for housekeeper) for the purposes of that section qualifying person— (a) means a person to whom all the following apply: (i) (ii) (iib) the person is aged 16 years or over; and the person is the principal caregiver for 1 or more dependent children; and the person is not a spouse, civil union part- ner, or de facto partner of a person who is eligible to be a transitional resident and who has not made an election under sec- tion FC 24(3) (Transitional resident); and (iic) 2555 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (iii) (iv) either the person has been both resident and present in New Zealand for a continu- ous period of 12 months at any time, and is tax resident and resident in New Zealand on the date on which a credit of tax is claimed under section KD 2 (Calculation of subpart KD credit) or KD 3 (Calculation of minimum family tax credit), or each of the dependent children for whom the per- son is the principal caregiver is both resi- dent and present in New Zealand; and the person does not receive a war widows mother’s allowance: (b) (c) is deﬁned in section KC 3(3) (Transitional tax allowance) for the purposes of that section: is deﬁned in section KD 3(1) (Calculation of min- imum family tax credit) for the purposes of that section and section KD 3A (Rules for minimum family tax credit) qualifying resident foreign trustee is deﬁned in sec- tion 3(1) of the Tax Administration Act 1994 qualifying resident foreign trustee: this deﬁnition was inserted, as from 1 Oc- tober 2006, by section 191(48) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
qualifying share premium is deﬁned in section CD 32(27) (Available subscribed capital amount) for the purposes of that section qualifying superannuation scheme is deﬁned in sec- tion GD 8(4) (Superannuation schemes) for the pur- poses of that section qualifying trust— (a) for a trust that is not a superannuation fund, and for a distribution that is made by the trustee of the trust, and for a time, means a trust if, in the tax years in the period starting with the tax year in which a settlement was ﬁrst made to, for the beneﬁt of, or on the terms of, the trust and ending with the tax year in which the distribu- tion is made, all the trustee’s obligations for the 2556 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) trustee’s income tax liability for the tax years have been satisﬁed at the time and— (i) no amount of trustee income was only non- resident withholding income; or neither section BD 1(4) (Income, exempt income, excluded income, non-residents’ foreign-sourced income, and assessable income) nor HH 4(3B) (Trustee income) has applied to the trustee of the trust to exclude from income an amount derived from outside New Zealand; and (b) includes a superannuation fund qualifying trust: paragraph (a)(ii) of this deﬁnition was amended, as from 1 April 2005, by section 191(49) Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “section BD 1(4)” for the expression “section BD 1(2)” with ap- plication as from the income year corresponding to the 2005–06 tax year.
qualifying unit trust means— (a) (ii) (iii) a unit trust that offers securities to the public under the Securities Act 1978 and that has 100 or more unit holders (treating all associated per- sons as 1 person) who are— (i) unit trust managers who hold units in the ordinary course of their activities in rela- tion to the unit trust; or persons with an interest of 25% or less in the unit trust (treating all associated per- sons as 1 person); or persons with an interest of 25% or more in the unit trust (treating all associated per- sons as 1 person), if their interest is 25% or more because of unusual or temporary circumstances, such as the recent estab- lishment or forthcoming termination of the unit trust, and if the unit trust would satisfy any of paragraphs (b), (c), (d), and (e); or a unit trust whose unit holders are any 1 or more of the following: (i) a qualifying unit trust as described in para- graph (a) or this paragraph: 2557 (b) Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) (iii) (iv) (v) (vi) a group investment fund: a life insurance company: a superannuation fund: a unit trust manager, a trustee, or a person nominated by the manager or the trustee who holds units in the ordinary course of management activities in relation to the unit trust: a person with an interest of 25% or less in the unit trust (treating all associated per- sons as 1 person), if the unit trust offers securities to the public under the Securities Act 1978: (vii) a person with an interest of 25% or more in the unit trust (treating all associated per- sons as 1 person), if their interest is 25% or more because of unusual or temporary circumstances, such as the recent estab- lishment or forthcoming termination of the unit trust, and if the unit trust would satisfy any of paragraphs (a), (c), (d), and (e), and if the unit trust offers securities to the pub- lic under the Securities Act 1978; or a unit trust that has less than 100 unit holders if it could reasonably be regarded as a widely- held investment vehicle
 for direct investment by members of the public despite its number of unit holders or investors; or a unit trust that has less than 100 unit holders if it has less than 100 unit holders or investors because of unusual or temporary circumstances, such as its recent establishment or forthcoming termination, and if it would otherwise satisfy any of paragraphs (a), (b), (c), and (e); or a unit trust that has less than 100 unit holders if it could reasonably be regarded as a vehicle mainly for investment by widely-held vehicles for direct investment that are 1 or more of the following: (i) unit trusts; or (c) (d) (e) 2558 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (ii) (iii) (iv) group investment funds; or life insurance companies; or superannuation funds (b) quarter means a period of 3 consecutive calendar months that ends with the last day of March, June, September, or December ratio instalment date means an instalment date of a taxpayer who uses a GST ratio for a tax year, and is an instalment date for a payment in relation to which no amount of use of money interest or penalties apply other than a late payment penalty or a shortfall penalty rebate is deﬁned in section HF 1(9) (Proﬁts of mutual associations in respect of transactions with members) for the purposes of that section recognised exchange, at any time,— (a) means a recognised exchange market in New Zealand or anywhere else in the world that at the time has the features described in paragraphs (c) to (e); and includes a recognised exchange market that at the time is approved for the purposes of this deﬁn- ition by the Commissioner, having had regard to the features described in paragraphs (c) to (e); and for the purposes of paragraphs (a) and (b), the ﬁrst feature is that the exchange market brings together buyers and sellers of shares or options over shares; and for the purposes of paragraphs (a) and (b), the second feature is that the exchange market in- volves the listing of prices,
 whether by electronic media or other means, at which persons are will- ing to buy or sell shares or options; and for the purposes of paragraphs (a) and (b), the third feature is that the exchange market provides a medium for the determination of arm’s length prices likely to prove fair and reasonable, having regard to— (d) (c) (e) 2559 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) (iii) (iv) (v) (vi) the number of participants in the market or having access to the market; and the frequency of trading in the market; and the nature of trading in the market, includ- ing how prices are determined and trans- actions are effected; and the potential or demonstrated capacity of a person or persons signiﬁcantly to inﬂuence the market; and any signiﬁcant barriers to entry to the mar- ket; and any discrimination on the basis of quan- tity bought and sold unless based on the risks involved, the transaction costs, or economies of scale reconciliation statement means a reconciliation state- ment under section NC 15 (Payment of tax deductions to Commissioner) redemption payment means the amount by which a payment made on the redemption of a commercial bill by the person who issued it is more than the money lent to the person (“issue”, in this deﬁnition, having the meaning given to it by section 2 of the Bills of Exchange Act 1908) reduced deduction, for an employee, means a tax de- duction the amount of which is ﬁxed at less than the maximum amount, under the employee’s tax code reduced deﬁcit debit is deﬁned in section MG 8B(4) (Policyholder credit account companies and dividend withholding payment credits) for the purposes of that section reduced deﬁcit debit: this deﬁnition was inserted, as from 1 October 2005, by section 261(27) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
redundancy payment means a source deduction pay- ment paid— (a) to a person whose employment in a position is terminated because the position is superﬂuous to the requirements of the person’s employer; and 2560 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) in compensation for the person’s loss of employ- ment refundable credit means a credit allowed to a person under Part L (Credits)— (a) (b) for withholding tax or provisional tax; or for a dividend withholding payment, if the person is entitled to a refund of the credit under Part L (Credits); or for a Maori authority credit; or for a payment made by a portfolio tax rate entity under section HL 21(5) (Payments of tax by port- folio tax rate entity making no election); or for a tax credit under section LD 12 (Credit for retirement scheme contribution withholding tax if retirement scheme contribution not excluded income) (c) (d) (e) refundable rebate means a credit allowed under sub- part KD (Tax credits for families) registered is deﬁned in section HC 1(12) (Special part- nerships) for the purposes of that section registered as a charitable entity means registered as a charitable entity under the Charities Act 2005. registered bank means a registered bank as deﬁned in section 2 of the Reserve Bank of New Zealand Act 1989 registered bank: this deﬁnition was inserted, as from 1 July 2005, by section 87(30) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
registered person is deﬁned in section 2 of the Goods and Services Tax Act 1985 registered security is deﬁned in section 86F of the Stamp and Cheque Duties Act 1971 regulatory value for the New Zealand banking group of a registered bank is deﬁned in section FG 8F (Financial value and regulatory value) for the purposes of subpart FG (Apportionment of interest costs) regulatory value: this deﬁnition was inserted, as from 1 July 2005, by section 87(31) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
2561 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 a cover note: a renewal of a reinsurance contract reinsurance contract includes— (a) (b) reinvestment proﬁt is deﬁned in section CU 29 (Other deﬁnitions) related activity is deﬁned in section IE 2(8) (Speciﬁed activity net losses) for the purposes of that section related company is deﬁned in section GD 10(4) (Leases for inadequate rent) for the purposes of that section related person is deﬁned in section CD 33(15) to (17) (Available capital distribution amount) for the purposes of that section relationship agreement, for a person, means— (a) an agreement for the purpose of Part 6 of the Property (Relationships) Act 1976 that is made on or after 28 July 1983 by the person with an- other person: the Property an order under section 25 of (Relationships) Act 1976 that is made by a court on or after 28 July 1983 in relation to the person and another person (b) relationship agreement: this deﬁnition was inserted, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11).
relative,— (a) in sections CX 17 (Beneﬁts provided instead of allowances),EX 4 (Limits to requirement to include associated person interests), GC 14B (Attribution rule for personal services), and OD 8(3) (Further deﬁnitions of associated persons), means a person connected with another person by— (i) blood relationship, that is, one is within the second degree of relationship to the other: (ii) marriage or other partnership, that is, one is in a marriage, civil union or de facto relationship with the other or with a person who is connected by blood relationship to the other: 2562 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iii) adoption, that is, one has been adopted as a child of the other or as a child of a person who is within the ﬁrst degree of relationship to the other: (b) (c) is deﬁned in section HH 3F (Deﬁnitions of guardian, minor, and relative) for the purposes of sections HH 3C (Source of beneﬁciary income) and HH 3D (Treatment of various settlements): except in the provisions referred to in paragraphs (a) and (b), means a person connected with an- other person by— (i) blood relationship, that is, one is within the fourth degree of relationship to the other: (ii) marriage or other partnership, that is, one is in a marriage, civil union or de facto relationship with the other or with a person who is connected by blood relationship to the other: adoption, that is, one has been adopted as a child of the other or as a child of a person who is within the third degree of relationship to the other: (iii) (d) except in the provisions referred to in paragraphs (a) and (b), includes a trustee of a trust under which a relative has beneﬁted or is eligible to beneﬁt relative: paragraph (a) of this deﬁnition was amended, as from 1 April 2006, by section 191(51) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by inserting “CX 17 (Beneﬁts provided instead of allowances),” after “sections” with application for a per- son’s liability for
 fringe beneﬁt tax for a period beginning on or after 1 April 2006. relative: paragraph (a)(i) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “other:” for “other; or”.
relative: paragraph (a)(ii) of this deﬁnition was substituted, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11).

relative: paragraph (a)(ii) of this deﬁnition was amended, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11) by substituting “marriage, civil union or de facto relationship” for “marriage or civil union”.
2563 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 relative: paragraph (c)(i) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “other:” for “other; or”.

relative: paragraph (c)(ii) of this deﬁnition was substituted, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11).
relative: paragraph (c)(ii) of this deﬁnition was amended, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11) by substituting “marriage, civil union or de facto relationship” for “marriage or civil union”.
relevant associate is deﬁned in section LF 5(5) (Divi- dends from grey list companies) for the purposes of that section relevant time is deﬁned in section HG 11(2) (Taxation on election to become qualifying company) for the pur- poses of sections HG 11 and HG 12 (Payment of quali- fying company election tax) relinquishment,— (a) for a petroleum permit, means the abandonment, expiry, forfeiture, revocation, or surrender of the permit otherwise than for a replacement permit; and for a mining licence, includes the expiry of the initial term without an extension of the initial term or an extension of a speciﬁed term remaining deduction— (a) is deﬁned in section EJ 4(6) (Expenditure in- curred in acquiring ﬁlm rights in feature ﬁlms) for the purposes of that section: is deﬁned in section EJ 5(4) (Expenditure in- curred in acquiring ﬁlm rights in ﬁlms other than feature ﬁlms) for the purposes of that section: is deﬁned in section EJ 8(5) (Film production ex- penditure for ﬁlms other than New Zealand ﬁlms) for the purposes of that section (b) (b) (c) remittance certiﬁcate means a certiﬁcate in a form authorised by the Commissioner and showing, for the PAYE period to which the certiﬁcate relates,— (a) (b) (c) (d) the period to which the certiﬁcate relates; and the name of the employer; and the tax ﬁle number of the employer; and the total amount of tax deductions; and 2564 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (e) (f) (fb) (fc) (g) (h) the total child support deductions; and the total student loan deductions; and the total KiwiSaver contribution deductions made under subpart 1 of Part 3 of the KiwiSaver Act 2006; and the amount of speciﬁed superannuation contribu- tion paid under the KiwiSaver Act 2006 and the amount of speciﬁed superannuation contribution withholding tax deducted; and the amount of speciﬁed superannuation contri- bution paid and the amount of speciﬁed super- annuation contribution withholding tax deducted (other than that shown in paragraph (fc)); and any similar information
 the Commissioner may require remittance certiﬁcate: paragraphs (fb) and (fc) of this deﬁnition were inserted, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).
See section 232 of that Act as to the transitional provision requiring all Kiwi- Saver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

remittance certiﬁcate: paragraph (g) of this deﬁnition was amended, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40) by inserting the words “(other than that shown in paragraph (fc))” after the words “tax de- ducted”.
See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).
removal or restoration operations, for a petroleum miner, means removing petroleum mining assets of the kind described in section CT 7(1)(b) or (c) (Meaning of petroleum mining asset), or restoring the site of petrol- eum mining operations, because of the relinquishment of the petroleum permit relating to the assets or the op- erations remuneration is deﬁned in section ND 7(4) (Deﬁnition of cash remuneration) for the purposes of that section remunerative work is deﬁned in section KC 3(3) (Transitional tax allowance) for the purposes of that section rent is deﬁned in section GD 10(4) (Leases for inad- equate rent) for the purposes of that section 2565 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 in sections CC 2 (Non-compliance with repairs, covenant for repair) and DB 15 (Amounts paid for non-compliance with covenant for repair), includes painting and general maintenance replaced area fraction is deﬁned in section DO 4E (Some deﬁnitions) for the purposes of sections DO 4B to DO 4E replaced area fraction: this deﬁnition was inserted, as from 1 October 2005, by section 261(28) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
replacement ETS unit means an ETS unit acquired by a person if— (a) the person has previously disposed of an ETS unit; and the ETS unit disposed of was a post-1989 forest land unit; and the person has not, since the disposal, acquired another ETS unit that replaces the unit disposed of; and (b) (c) (d) when paragraph (c) is applied, an acquisition fol- lowing the disposal is treated as resulting in a re- placement for the unit except to the extent treated as resulting in a replacement for another forest land ETS unit disposed of at the same time replacement payment means, for a returning share transfer, a payment to a person of an amount that is— (a) economically equivalent to a dividend or part of a dividend for an original share: increased by an imputation credit attached to the payment (b) this deﬁnition was inserted, as from 1 July 2006, by replacement payment: section 191(52) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
replacement permit— (a) means a petroleum permit obtained in whole or part exchange for another petroleum permit over the same or part of the same area; and includes a sequential series of replacement per- mits to the extent to which each permit in the ser- ies replaces the previous permit in the series (b) 2566 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 reporting bank for a New Zealand banking group, means the reporting bank that is given for the New Zealand banking group by section FG 8D (Reporting bank for New Zealand banking group) reporting bank: this deﬁnition was inserted, as from 1 July 2005, by section 87(32) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
replacement plant, in sections DO 4 and DO 4B to DO 4E, means a listed horticultural plant that replaces a listed horticultural plant, whether or not it is of the same type of listed horticultural plant replacement plant: this deﬁnition was inserted, as from 1 October 2005, by section 261(29) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
reporting standard is deﬁned in section DB 27 (Some deﬁnitions) for the purposes of sections DB 26 (Re- search or development) and DB 27 research is deﬁned in section DB 27 (Some deﬁnitions) for the purposes of sections DB 26 (Research or de- velopment), DB 27, EE 1 (What this subpart does), EJ 20 (Deductions for market development—product of re- search, development), and EJ 21 (Allocation of deduc- tions for research, development, resulting market devel- opment) research: this deﬁnition was amended, as from 1 October 2005, by section 191(53) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3) by substituting “, DB 27, EE 1 (What this subpart does), EJ 20 (Deductions for market development-product of re- search, development), and EJ 21 (Allocation of deductions for research, devel- opment, resulting market development)” for the expression “and DB 27” with application as from the income year corresponding to the 2005–06 tax year.
resident, in subpart KD (Tax credits for families), and in the deﬁnition of qualifying person (paragraph (a)),— (a) means ordinarily resident; and (b) does not include being unlawfully resident in New Zealand; and does not include being lawfully resident in New Zealand but only because of having— a visitor’s permit; or a temporary work permit; or (c) (i) (ii) 2567 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (iii) a permit to be in New Zealand for the purposes of study at a New Zealand school or university or other tertiary educational establishment resident foreign trustee is deﬁned in section 3(1) of the Tax Administration Act 1994 resident foreign trustee: this deﬁnition was inserted, as from 1 October 2006, by section 191(54) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2006–07 tax year.
resident imputation subgroup means, for a trans-Tas- man imputation group, the group consisting of the mem- bers of the trans-Tasman imputation group that are not Australian imputation credit account companies resident in Australia means, for a company,— (b) (a) being resident under section OE 2(1) (Determin- ation of residence of company) if Australia were treated as being New Zealand for the purposes of that provision resident in Australia: paragraph (a) of this deﬁnition was omitted, as from 1 October 2005, by section 261(30) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) with application as from the 2005-06 in- come year.
resident in Australia: this deﬁnition was amended, as from 1 April 2007, by section 155(42) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by omitting the words “and for the purposes of the im- putation rules” with application for income years beginning as from 1 October 2007. resident in New Zealand has the same meaning as New Zealand resident resident mining operator is deﬁned in section CU 27 (Meaning of resident mining operator) resident of New Zealand has the same meaning as New Zealand resident resident withholding income— (a) is deﬁned in section NF 1 (Application of RWT rules); and unless the context otherwise requires, includes an amount of resident withholding tax required to be deducted from an amount of resident withholding income under the RWT rules (b) 2568 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 resident withholding tax is deﬁned in section NF 2 (Liability to pay resident withholding tax) resident withholding tax: this deﬁnition was amended, as from 1 October 2005, by section 87(33) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by substituting “Liability to pay resident withholding tax” for “Deduction of resident withholding tax” with application as from the 2005–06 income year.
resident withholding tax deduction certiﬁcate means a certiﬁcate provided under section 25 of the Tax Administration Act 1994 resident withholding tax deduction reconciliation statement means a statement required under section 51 of the Tax Administration Act 1994 residential purposes is deﬁned in section CB 16(3) (Residential exclusion from section CB 12) for the pur- poses of that section residual expenditure means— (a) expenditure for which a person is allowed a deduction under section DB 25 (Scientiﬁc re- search): expenditure incurred for— (i) (b) an application fee payable to the Crown for a petroleum permit; or insurance premiums, royalties paid under the Petroleum Act 1937 or the Crown Minerals Act 1991, land tax under the Land Tax Act 1976, or rates; or a lease of land or buildings; or a ﬁnancial arrangement to which the old ﬁnancial arrangements rules apply: (ii) (iii) (iv) interest (c) residual income tax, for a person and for a tax year, means the positive amount (if any) that remains after getting the sum for the tax year of the person’s in- come tax liability and the person’s refundable rebates to which subpart KD (Tax credits for families) applies and deducting from it— (a) the amount of any credit of tax allowable for tax paid by— (i) a trustee for a beneﬁciary; or 2569 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) (d) (e) (f) (g) (h) (i) (j) (jb) an agent for a principal: (ii) the amount of any imputation credit or dividend withholding payment credit set off against the income tax under section LB 2 (Credit of tax for imputation credit) or LD 8 (Credit of tax for dividend withholding payment credit in hands of shareholder): the amount of any credit set off against the in- come tax under section LC 1 (Credits in respect of tax paid in country or territory outside New Zealand): the amount of any credit allowed against the in- come tax under section LC 4(4)(a) or (b) (Foreign tax credits: CFCs): the amount of any credit allowed against the in- come tax under section LC 5(1)
 (Group of com- panies CFC tax credits): the amount of any tax deductions credited against the income tax under section LD 1 (Tax deduc- tions to be credited against tax assessed): the amount of non-resident withholding tax cred- ited against any income tax assessed under sec- tion LD 2 (Non-resident withholding tax: credit allowed): the amount of any resident withholding tax de- ductions credited against the income tax under section LD 3 (Resident withholding tax deduc- tions to be credited against income tax assessed): the amount of a Maori authority credit credited against the income tax under section LD 3A (Maori authority credit to be credited against income tax assessed): the amount of any credit against the income tax arising under subpart LE (Non-resident in- vestors), other than because of section LE 2(4)(b) (Credits in respect of dividends to non-resident investors): the amount of any tax credit under section LD 12 (Credit for retirement scheme contribution with- 2570 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (k) (l) (m) holding tax if retirement scheme contribution not excluded income) credited against the income tax: the amount of any credit set off against the in- come tax under section ME 19 (Election to use credit balance as credit against policyholder base income tax liability or as credit in imputation credit account) or ME 24 (Use of credit balance to reduce income tax): the amount of a debit set off against the income tax under section MF 5(4) (Use of credit to re- duce dividend withholding payment, or use of debit to satisfy income tax liability) or MF 10(3) (Use of consolidated group credit to reduce divi- dend withholding payment, or use of group or in- dividual debit to satisfy income tax liability): the amount of any credit set off against the in- come tax under section MF 14(3) (Debit election to offset income tax payable in respect of foreign dividend) resource consent means a resource consent as deﬁned in section 2 of
 the Resource Management Act 1991 resource consent: this deﬁnition was inserted, as from 1 October 2005, by sec- tion 87(34) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
restitution is deﬁned in section DB 35(3) (Restitution of stolen property) for the purposes of that section retained earnings is deﬁned in section LF 5(5) (Divi- dends from grey list companies) for the purposes of that section retirement savings scheme for a person means an en- tity satisfying the requirements of section NEB 5 (Re- tirement savings schemes) retirement scheme contribution for a person means a contribution that is made— (a) as an amount of— money: (i) imputation credits: (ii) (iii) Maori authority credits; and 2571 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) (d) (e) to an entity that is eligible to be a retirement sav- ings scheme; and by an entity that is eligible to be a retirement scheme contributor; and for the beneﬁt of the person; and because the person is a member of, or has an ownership interest in, the entity that is eligible to be a retirement scheme contributor retirement scheme contribution withholding tax means retirement scheme contribution withholding tax payable under the RSCWT rules retirement scheme contributor means an entity satis- fying the requirements of section NEB 6 (Retirement scheme contributors) retirement scheme prescribed rate, for a person and a retirement scheme contribution made for the person at a time in an income year (the contribution year), means— (a) (b) 39%, if none of paragraphs (b) to (d) apply; or 33%, if paragraphs (c) and (d) do not apply and the person has, in either of the 2 income years immediately before the contribution year, taxable income of $60,000 or less; or 19.5%, if paragraph (d) does not apply and— (i) (c) (ii) (iii) the person has, in either of the 2 income years immediately before the contribution year, taxable income of $38,000 or less: the person is a non-resident and the retire- ment scheme contributor is a Maori au- thority and the distribution is $200 or less: the person is a non-resident and the retire- ment scheme contributor is a Maori au- thority and the person supplies the Maori authority with a
 notice satisfying section 28C of the Tax Administration Act 1994; or (d) 0%, if the person is a non-resident at the time and the contribution is non-resident withholding income 2572 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (c) retirement scheme withholding rate, for a person and a retirement scheme contribution made for the person at a time in an income year, means,— (a) (b) 39%, if paragraphs (b) and (c) do not apply; or if paragraph (c) does not apply and 19.5%, the person is a non-resident and the retirement scheme contributor is a Maori authority and the distribution is $200 or less; or the rate that the person notiﬁes to the retirement scheme contributor as the retirement scheme pre- scribed rate for the person and the retirement scheme contribution— (i) before the retirement scheme contribution is made; and by a notice satisfying section 28C of the Tax Administration Act 1994 return, for a taxpayer’s income, has the same meaning as return of income return of income means a return of income required under section 33 of the Tax Administration Act 1994 return of the taxpayer’s income has the same meaning as return of income returning share transfer means an arrangement— (a) (ii) for which— (i) a share in a company (original share) is transferred from a share supplier to a share user; and the original share is listed on an ofﬁcial list of a recognised exchange; and is conditionally or unconditionally it agreed that the share user or an associated person pays a replacement payment to the share supplier or an associated person, if a dividend is payable on the original share; and it is conditionally or unconditionally agreed that the original share or an iden- tical share may be transferred from the (ii) (iii) (iv) 2573 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 share user to the share supplier or an asso- ciated person; and (b) that is not a warrant or instalment receipt returning share transfer: this deﬁnition was
 inserted, as from 1 July 2006, by section 191(55) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
revenue account property, for a person, means— (a) (b) property that is trading stock of the person; or property for which an amount derived by the per- son from its disposal would be income (not in- cluding income under section EE 41 (Effect of disposal or event)); an ETS unit of the person (c) right, in sections EW 32 (Consideration for agreement for sale and purchase of property or services, hire pur- chase agreement, speciﬁed option, or ﬁnance lease) and EW 34 (Consideration in foreign currency), and in the deﬁnitions of short-term agreement for the sale and purchase of property or services and short-term op- tion,— (a) means— (i) (ii) a right to possess the property; or a right to income derived from the prop- erty; or a right to control or inﬂuence the disposal of income derived from the property; or a right, directly or indirectly, to make a decision about the property; or a right, directly or indirectly, to inﬂuence a person making a decision about the prop- erty; or any other right of a substantially similar nature; and (iii) (iv) (v) (vi) (b) does not include the mere right to enforce an agreement for the sale and purchase of property or services or a speciﬁed option right in the speciﬁed property is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules 2574 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 right to take timber includes an easement or licence or right of taking proﬁts or produce from the land to the extent to which the easement, licence, or right relates to timber rolling average value is deﬁned in section EZ 4(5) (Valuation of livestock bailed or leased as at 2 Septem- ber 1992) for the purposes of that section routine government action is deﬁned in section DB 36(5) (Bribes paid to public ofﬁcials) for the purposes of that section royalty is deﬁned in section CC 9(2) and (3) (Royalties) RSCWT rules means— (a) the following provisions: (i) (ii) (iii) (iv) (v) (vi) (vii) section CX 42B (Contributions to retire- ment savings scheme):
 section LB 3 (Credit of retirement scheme contribution withholding tax for imput- ation credit): section LD 4 (Credit of retirement scheme contribution withholding tax for Maori au- thority credit): section LD 12 (Credit retirement scheme contribution withholding tax if retirement scheme contribution not ex- cluded income): subpart NEB (Retirement scheme contri- bution withholding tax): section NF 1(2)(b)(xi) and (c) (Applica- tion of RWT rules): section NG 16B (Person withholding amount as retirement scheme contribution withholding tax when liable for non-resi- dent withholding tax): for (b) section 48B and Part 9 of the Tax Administration Act 1994 2575 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 RWT proxy is deﬁned in section NF 2AA (Election to be RWT proxy) RWT proxy: this deﬁnition was inserted, as from 1 October 2005, by section 87(35) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
RWT rules means— (a) the following provisions: (i) (ii) section GC 19 (Resident withholding tax): section GC 20 (Agreements not to make resident withholding tax deductions to be void): section LD 3 (Resident withholding tax deductions to be credited against income tax assessed): subpart NF (Resident withholding tax); and (iii) (iv) (b) sections 25 to 28, 50 to 55, and 99, Part 9, and sections 170 to 172 and 185 of the Tax Administration Act 1994 salary or wages— (a) means salary, wages, or allowances relating to the employment of a person, including all sums re- ceived or receivable by way of bonus, commis- sion, extra salary, gratuity, overtime pay, or other remuneration of any kind; and includes— (i) (b) the market value of the beneﬁts that a per- son receives in a tax year, because of their ofﬁce or position, by way of the provision of board or lodging or the use of a house or quarters, or the payment of an allow- ance instead of being provided with board or lodgings or the use of a house or quar- ters, with the market value determined by the Commissioner if there is a dispute; and payments that are expenditure on account of an employee; and payments under section DC 4 (Payments to working partners); and (ii) (iii) 2576 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (v) (iv) speciﬁed superannuation contributions for which an employee makes an election under section NE 2A (Employee election that speciﬁed superannuation contribu- tions be treated as salary or wages); and periodic payments by way of pension, re- tiring allowance, superannuation, or other allowance or annuity relating to the past employment of a person or of another per- son of whom the person is or has been the wife, husband, civil union partner, de facto partner or child or dependant; and payments of salary or allowances made to a member of Parliament under a determin- ation of the Remuneration Authority; and (vii) payments of salary and principal allow- ances made to a judicial ofﬁcer under a de- termination of the
 Remuneration Author- ity; and (vi) (x) (ix) (viii) payments that are income under section CF 1 (Beneﬁts, pensions, compensation, and government grants); and payments of income-tested beneﬁts, vet- erans’ pensions, New Zealand superannu- ation, and living alone payments; and parental leave payments paid under Part 7A of the Parental Leave and Employment Protection Act 1987; and basic grants and independent circum- stances grants, made under regulations made under section 193 of the Education Act 1964, section 303 of the Education Act 1989, or an enactment substituted for those sections; and (xi) (xii) under the Accident Compensation Act 1982, payments of earnings related com- pensation, as deﬁned in section 2, and of that compensation under section 80(4), are not payments on account made under 2577 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 section 88 in circumstances in which, at the time the payments on account are made, the nature of the compensation on account of which they are made has not been determined; and (xiii) under the Accident Rehabilitation and Compensation Insurance Act 1992, a vo- cational rehabilitation allowance payable under section 25, payments of compen- sation for loss of earnings payable under any of sections 38, 39, and 43, com- pensation for loss of potential earning capacity payable under section 45 or 46, weekly compensation payable under any of sections 58, 59, and 60, and continued compensation payable under section 138; and (xiv) under the Accident Insurance Act 1998, payments made under it by an insurer, as deﬁned in the Act, of weekly compensa- tion, as deﬁned in the Act; and (xv) under the Accident Insurance Act 1998, any other payments of compensation for loss of earnings or loss of potential earn- ing capacity in so far as they relate to a work-related personal injury, as deﬁned in the Act, made by an insurer under a pol- icy of personal accident or sickness insur- ance to which section 188(1)(a) (as it read
 immediately before its repeal by section 7 of the Accident Insurance Amendment Act 2000) applies; and (xvi) under the Injury Prevention, Rehabilitation, and Compensation Act 2001, payments made under it by the Corporation, as deﬁned in the Act, of weekly compensation, as deﬁned in the Act; and (c) does not include— 2578 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (i) (ii) (iii) (iv) payments of exempt income, or extra pays, or withholding payments; or salary, wages, or other income to which section OB 2(2) (Meaning of source de- duction payment: shareholder-employees of close companies) applies; or employer’s superannuation contributions; or payments that are declared by regulations under this Act not to be salary or wages (d) for the purposes of sections NE 3 and NE 3B (which relate to SSCWT) means salary or wages, as deﬁned in section 4 of the KiwiSaver Act 2006 schedular income means income of any of the follow- ing types (a) policyholder income under section CR 1(4) (In- come of life insurer): income derived from a mining venture by a non- resident mining operator: speciﬁed payments derived by a person in their capacity as a non-resident entertainer if they do not choose to ﬁle a return for that income: category A income derived by a trustee of a group investment fund: income derived by a portfolio tax rate entity: income to which section FC 14 (Non-resident general insurers’ income) applies: income to which sections FC 18 to FC 20 (which relate to non-resident shippers) apply: income to which section FC 21 (Amounts derived by non-residents from renting ﬁlms) applies: schedular income subject to ﬁnal withholding: (i) (b) (c) (d) (db) (e) (f) (g) (h) schedular income: paragraph (i) of this deﬁnition was omitted, as from 1 Oc- tober 2005, by section 261(31) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
schedular income subject to ﬁnal withholding means non-resident withholding income to which section NG 2579 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 3 (Non-resident withholding tax to be ﬁnal tax in certain cases) applies schedular income tax liability means the amount de- termined under section BC 7 (Income tax liability of person with schedular income) schedular taxable income, for a tax year and a person who has schedular income of a particular kind for the tax year, means the amount of taxable income that arises in calculating the schedular income tax liability for the kind for the tax year seal and abandonment means the seal and abandon- ment of an exploratory well when a petroleum miner ﬁles a statutory declaration with the Commissioner stat- ing that the miner has no intention of utilising the well in petroleum mining operations or of applying for a min- ing licence in relation to the area in which the well is located second PAYE period means the period starting on the 16th day of a month and ending with the last day of the month secondary employment earnings, for an employee and a pay period, means a source deduction payment that— is derived in the pay period from an employer; (a) and is not— (i) (b) a payment of primary employment earn- ings; or a withholding payment; or an extra pay (ii) (iii) section 200 is deﬁned in section CZ 7(4) (Primary pro- ducer co-operative companies: 1987-88 income year) for the purposes of that section section LE 3 holding company is deﬁned in section LE 3(2) (Special rules for holding companies) secured arrangement,— (a) in the ﬁnancial arrangements rules, and in the deﬁnitions of security arrangement and secur- ity payment, means an arrangement whose non- 2580 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 performance is secured against by a ﬁnancial ar- rangement: is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules (b) security arrangement,— (a) except in the old ﬁnancial arrangements
 rules, means a ﬁnancial arrangement that secures a party against another person failing to perform the person’s obligations under a secured arrange- ment: in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) security payment,— (a) in the ﬁnancial arrangements rules, means money received by a party to a security arrangement to the extent to which— (i) the money is received for a loss incurred because of non-performance of the se- cured arrangement; and (ii) the money is income of the party: in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) (b) (b) self-assessed adverse event, for a person and a farming, agricultural, or ﬁshing business of the person, means an event that— (a) is one of the following: (i) drought, ﬁre, ﬂood, or some other natural event: disease or sickness among livestock; and (ii) (b) materially affects the business; and (c) is described, together with the effect on the busi- ness, by the person in a statutory declaration given to the Commissioner self-assessed adverse event: this deﬁnition was substituted, as from 1 October 2005, by section 191(57) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
2581 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 separated person— (a) is deﬁned in section KC 4(2) (Rebate in certain cases for housekeeper) for the purposes of that section: in subpart KD (Tax credits for families), and in the deﬁnitions of spouse,and civil union part- ner means a person who is separated and living separate and apart from the person of whom he or she would otherwise be the spouse or civil union partner, whether under an agreement for separ- ation, or under a court order, or because of the desertion of 1 of the parties by the other of them, or otherwise in sections CD 4 (What is a transfer of value?)
and EA 3 (Prepayments), means anything that is not goods, money, or a chose in action: in sections CX 1 (GST) and DB 2 (GST), is de- ﬁned in section 2 of the Goods and Services Tax Act 1985: is deﬁned in section HH 3D(4) (Treatment of various settlements) for the purposes of that sec- tion (b) (b) (c) services,— (a) serving employee— (a) means a person to whom both the following apply: (i) (ii) the person has been called up for service in any of the air, military, or naval forces of the Crown, whether before or after the commencement of this Act, whether on voluntary enlistment or otherwise, and whether within New Zealand or else- where; and the person, when called up, was employed by the person’s employer in such circum- stances that the employer is allowed a deduction for some or all of the wages, salary, allowance, or other remuneration that the employer pays the person; and 2582 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) includes a person who occupies or has occupied in a company the position of director, whatever title is used, who, for the purposes of this deﬁn- ition, is treated as being or having been employed by the company settlement, in sections FG 2 (Entities to which ap- portionment rule potentially applies) and HH 1 (Inter- pretation), in the trust rules, and in the deﬁnitions of corpus, disposition of property, distribution, foreign trust, general power of appointment, and qualifying trust,— (a) means— (i) (ii) an act or failure to act on the part of a person that has the effect of making the person a settlor; or a transaction or series of transactions that a person enters into and that has the effect of making the person a settlor; and includes a settlement that a person is treated as making because the person is treated as being a settlor of the settlement (b) settlor,— (a) in sections CW 47 (New Zealand companies op- erating in Niue), HH 1 (Interpretation), and OD 8(3) (Further deﬁnitions of associated persons), in the consolidation rules and the trust rules, and in the
 deﬁnitions of corpus, foreign trust, and settlement, for a trust other than a unit trust,— (i) means a person who makes, or has made at any time, a disposition of property to or for the beneﬁt of the trust or on the terms of the trust for less than market value: (ii) means a person who makes, continues to make, or has made at any time, any prop- erty available to or for the beneﬁt of the trust for less than market value, includ- ing the provision of ﬁnancial assistance whether by way of a loan, a guarantee, the provision of security, or otherwise; for the 2583 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 purposes of this subparagraph, if ﬁnancial assistance is provided to or for the bene- ﬁt of the trust at below market rates, or if amounts payable for the ﬁnancial assist- ance are payable on demand and the right to demand payment is not exercised or is deferred, the ﬁnancial assistance is treated as having have been provided to or for the beneﬁt of the trust for less than market value: (iii) means a person who provides, continues to provide, or has provided at any time, a service to or for the beneﬁt of the trust for less than market value: (v) (iv) means a person who acquires, or has at any time acquired, or obtains the use of, or continues to obtain the use of, or has at any time obtained the use of, any property of the trust or any service provided by the trustee of the trust for greater than market value: includes a person who is treated as a settlor by section HH 1 (Interpretation): includes a person who acts or abstains from acting or directly or indirectly enters into a transaction or a series of transactions with or in relation to the trust with the ef- fect of defeating the intent and application of this paragraph: (vi) (b) for the purposes of paragraph (a),— (i) it is immaterial whether the person acts directly or indirectly or by 1 transaction or by a series of transactions: “series of transactions” means any num- ber of transactions, whether
 related, con- nected, or otherwise: the fact that a person is or will become a beneﬁciary of the trust does not constitute the giving or receiving of value: (ii) (iii) 2584 Reprinted as at 29 August 2011 (c) Income Tax Act 2004 Part O s OB 1 in sections HH 3C (Source of beneﬁciary in- come) and HH 3D (Treatment of various settle- ments), is deﬁned in paragraph (a), with the fol- lowing qualiﬁcations: (i) “property” in paragraph (a)(ii), when it refers to the provision of ﬁnancial assist- ance by way of a loan for less than market value, means loans existing on or after 1 April 2002 for which the interest rate on the amount borrowed is at any time during a tax year less than the interest rate set out in the Income Tax (Fringe Beneﬁt Tax, In- terest on Loans) Regulations on 31 March of the previous tax year; and “property” in paragraph (a)(ii) does not include the reference to the provision of ﬁnancial assistance by way of a guarantee that was not called on or the provision of security that was not called on; and “service” in paragraph (a)(iii) does not in- clude services that are incidental to the op- eration of the trust, such as bookkeeping or accounting services or those provided in being a trustee (ii) (iii) share— (a) (b) (c) (d) includes any interest in the capital of a company: includes a debenture to which section FC 1 (Floating rate of interest on debentures) or FC 2 (Interest on debentures issued in substitution for shares) or FC 2B (Stapled debt securities) applies: includes a unit in a unit trust: includes an investor’s interest in a group invest- ment fund if— (i) the fund is not a designated group invest- ment fund; and the interest does not result from an invest- ment from a designated source; and (ii) 2585 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (iii) the investor’s interest does not result from an investment made in the fund on or be- fore 22 June 1983 (including an amount treated as invested at that date under para- graph (c)
 or (d) of the deﬁnition of pro- tected amount in section HE 2(3) (Group investment funds)): (f) (e) (g) includes a convertible note to which section FZ 2(2) (Amounts owing under convertible notes deemed to be share capital and holders deemed to be shareholders) applies: include a withdrawable share in a does not building society, except in the deﬁnitions of in- vestment society dividend and withdrawable share: is further deﬁned in section CE 6 (Meaning of share) for the purposes of sections CE 2 to CE 4 and CE 7 (which relate to share purchase agree- ments): is further deﬁned in section DC 14 (Some deﬁni- tions) for the purposes of sections DC 11 to DC 14 (which relate to share purchase schemes) share-lending arrangement means an arrangement, entered into on or after 1 July 2006, that is a returning share transfer, and— (a) (h) the agreed term of the arrangement is 1 year or less; and the terms and conditions of the arrangement, in- cluding the share-lending collateral, are ordinary commercial terms and conditions consistent with those that would apply between parties negotiat- ing at arm’s length; and the amount of resident withholding tax given by section NF 2(1)(g) (Liability to pay resident withholding tax) for a replacement payment, if any, is paid; and the share user disposes of the original share or an identical share to the share supplier during (b) (c) (d) 2586 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (e) the agreed term of the arrangement or within a further period allowed by the Commissioner; and the share user— (i) agrees to issue, and issues, a credit transfer notice in relation to a dividend paid for the original share: establishes and maintains an imputation credit account, if a dividend is payable for the original share during the agreed term of the arrangement (ii) share-lending arrangement: this deﬁnition was inserted, as from 1 July 2006, by section 191(58) Taxation (Depreciation, Payment Dates Alignment, FBT, and
 Miscellaneous Provisions) Act 2006 (2006 No 3).
share-lending collateral means an amount, or an ad- justment to the amount, that— (a) is related to the market value of an original share under a share-lending arrangement, and the amount is paid to a person,— (i) by a share user or an associated person to secure the transfer of the original share to the share user: by a share supplier or an associated person for the re-transfer of the original share or an identical share to them; and (ii) (b) is not a replacement payment share-lending collateral: this deﬁnition was inserted, as from 1 July 2006, by section 191(58) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
share-lending right means, for a share supplier under a share-lending arrangement, a conditional or uncondi- tional right to acquire the original share or an identical share under the share-lending arrangement share-lending right: this deﬁnition was inserted, as from 1 July 2006, by section 191(58) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
share purchase agreement is deﬁned in sections CE 7 (Meaning of share purchase agreement) and CZ 1 (Share purchase agreement income before 19 July 1968) for the purposes of sections CE 1 to CE 4 (which relate to share purchase agreements) 2587 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 share purchase scheme means a scheme approved for the time being by the Commissioner for the purposes of section DC 11 (Loans to employees under share pur- chase schemes) share reorganisation, in the FIF rules and for a per- son and an attributing interest in a FIF, means an action of the FIF that causes an increase or reduction, other than for consideration, of the attributing interests held by persons, including the person, who hold attributing interests in the FIF immediately before the action share reorganisation: this deﬁnition was inserted, as from 1 April 2007, by sec- tion 155(44) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
share supplier means a person, described as a share supplier in the deﬁnition of returning share transfer, from whom a share user acquires an original share under a returning share transfer share supplier: this deﬁnition was inserted, as from 1 July 2006, by section 191(59) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
share user means a person, described as a share user in the deﬁnition of returning share transfer, who ac- quires an original share under a returning share transfer share user: this deﬁnition was inserted, as from 1 July 2006, by section 191(59) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
shareholder— (a) includes— (i) (ii) a holder of a share; and a member of a company, whether the com- pany’s capital is divided into shares or not: does not include a holder of a withdrawable share in a building society, except in the deﬁnitions of investment society dividend and withdrawable share: is further deﬁned in section FC 2(5) (Interest on debentures issued in substitution for shares) for the purposes of that section: in subparts HG (Qualifying companies) and MF (Branch equivalent tax accounts) and sections (b) (c) (d) 2588 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 ME 15 to ME 24 (which relate to policyholder credit accounts), in the dividend withholding payment rules and the imputation rules, and in the deﬁnition of shareholder dividend state- includes a sharemilker (as deﬁned in ment, section 2 of the Sharemilking Agreements Act 1937), in so far as the sharemilker derives pay- ment for produce transactions directly from a co-operative dairy or milk company shareholder agreement, for a company,–– (a) includes an arrangement to which the sharehold- ers of the company are parties, in their capacity of shareholders; but does not include an arrangement that is–– the company’s constitution: (i) the terms of a debt security: (ii) the terms of the company’s shares (iii) (b) shareholder decision-making rights means rights, carried by shares issued by a company or options over shares issued by a company, to vote or participate in any decision-making concerning— (a) the dividends or other distributions to be paid or made by the company, whether on a liquidation of the company or otherwise, excluding decision- making undertaken by directors acting only in their capacity as directors; or the constitution of the company; or any variation in the capital of the company; or the appointment or election of directors of the company (b) (c) (d) shareholder dividend statement means a statement re- quired by section 29 of the Tax Administration Act 1994 to be given by a company to a shareholder to whom
 is paid a dividend referred to in that section shareholder DWP ratio is deﬁned in section MG 8B(4) (Policyholder credit account companies and dividend 2589 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 withholding payment credits) for the purposes of that section shareholder DWP ratio: this deﬁnition was inserted, as from 1 October 2005, by section 261(32) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
shareholder election means an election made under any of section HG 4(1), (2), and (3) (Shareholder elec- tions) shareholder-employee,— (a) in sections EA 4 (Deferred payment of em- ployment income) and EI 8 (Matching rule for employment income of shareholder-employee), means a person who receives or is entitled to receive salary, wages, or other income to which section OB 2(2) (Meaning of source deduction payment: shareholder-employees of close com- panies) applies: in the FBT rules and in section 177A of the Tax Administration Act 1994, means a person who is, in relation to a close company,— (i) a shareholder in and an employee of the company; and a person to whom section OB 2(2) (Mean- ing of source deduction payment: share- holder-employees of close companies) ap- plies (ii) (b) shares of the same class means any 2 or more shares of a company— (a) that carry the same right— (i) to exercise voting power and participate in any decision-making at any time con- cerning the distributions to be made by the company, the constitution of the company, any variation in the capital of the company, and the appointment or election of direct- ors of the company; and in terms of priority, amount payable per share, and otherwise, to receive or have dealt with in the shareholder’s interest or (ii) 2590 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 on the shareholder’s behalf proﬁts that may be distributed at any time by the company and distributions of assets of the company on an acquisition, redemption, or other cancellation by the company of its shares or other reduction in or return of share capital of the company, whether on its liquidation or otherwise: (b) for which— (i) (ii) (iii) (iv) (v) the owner, or the amount paid for the issue, of each share is the same, and each share is part of a group of shares that satisfy paragraph (a); and the company gives notice to the Commis- sioner, in a form approved by the Commis- sioner, that the company chooses to treat the shares as a separate class; and the
 company treats each share as not falling within a class consisting of shares that satisfy paragraph (a); and the company can at all times from the time of issue of each share identify and distin- guish the share from any other shares in the company shares of the same class: this deﬁnition was substituted, as from 1 April 2005, by section 191(60) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
shearer means a person who— (a) undertakes the shearing of sheep, other than in the carrying on of a business by the person; and is not a person permanently employed on the premises where the shearing shed is situated (b) shearing shed hand means a person who— (a) is employed in or about the shearing shed, other than in the carrying on of a business by the per- son; and is not— (i) (ii) a shearer: a wool classer: (b) 2591 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (iii) a person permanently employed on the premises where the shearing shed is situ- ated shortfall penalty is deﬁned in section 3(1) of the Tax Administration Act 1994 short term agreement for the sale and purchase of property is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules short-term agreement for the sale and purchase of prop- erty or services means an agreement for the sale and purchase of property or services of 1 of the following classes: (a) an agreement under which settlement must take place or the services must be performed on or before the 93rd day after the date on which the agreement is entered into: if the date on which the agreement is entered into cannot be established, an agreement under which settlement must take place or the services must be performed on or before the 93rd day after the earlier of— (i) the date on which the buyer ﬁrst makes a payment to the seller; and the date on which the ﬁrst right in the prop- erty is transferred or the services are per- formed: (ii) if the agreement is continuous and the seller ren- ders periodic invoices for the property or ser- vices, an agreement under which settlement must take place or the services must be performed on or before the 93rd day after the date on which each invoice is rendered (b) (c) short-term bailment is deﬁned in section EC 27 (Some deﬁnitions) for the purposes of subpart EC (Valuation of livestock) 2592 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 short-term charge facility is deﬁned in
 section CX 21(3) (Beneﬁts provided by charitable organisations) for the purposes of the FBT rules short-term charge facility: this deﬁnition was inserted, as from 3 April 2006, by section 191(62) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
short-term option,— (a) in the ﬁnancial arrangements rules, means a spe- ciﬁed option of 1 of the following classes: (i) (ii) an option under which settlement must take place or the services must be per- formed on or before the 93rd day after the date on which the option is entered into: if the date on which the option is entered into cannot be established, an option under which settlement must take place or the services must be performed on or before the 93rd day after the earlier of the date on which the buyer ﬁrst makes a payment to the seller and the date on which the ﬁrst right in the property is transferred or the services are performed: (b) in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) short term trade credit is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial ar- rangements rules sickness, accident, or death beneﬁt fund means a sickness, accident, or death beneﬁt fund that is— (a) established for the beneﬁt of— (i) (ii) (iii) employees; or the members of an incorporated society; or the surviving spouses and dependants of those employees or members; and approved by the Commissioner (b) signiﬁcant capital activity, in section DO 1(1B) (En- hancements to land, except trees) and schedule 7 (Ex- penditure on farming, aquacultural, and forestry im- 2593 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 provements), and in relation to a farming or agricultural business on land in New Zealand,— (a) means an activity that enables a change in the nature or character of a farming activity from that undertaken on the land immediately before the change; and excludes an activity that enables a change in the intensity of a farming practice employed in a farming activity on the land (b) signiﬁcant capital activity: this deﬁnition was inserted, as from 3 April 2006, by section 191(63) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application to expend- iture incurred on and after 1
 April 2005. signiﬁcant ﬁnancial hardship is deﬁned in section CS 3(2) (Exclusion of withdrawal on grounds of hardship) for the purposes of that section slice rule means the rule set out in section CD 15(3) (Ordering rule and slice rule) for calculating the amount of available subscribed capital per share small-business taxpayer is deﬁned in section MBB 4 (Some deﬁnitions) for the purposes of subpart MBB small-business taxpayer: this deﬁnition was inserted, as from 1 October 2005, by section 261(33) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
social assistance suspensory loan is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules sound commercial reason is deﬁned in section EW 26(7) (Change of spreading method) for the purposes of that section sound recording is deﬁned in the Copyright Act 1994 source deduction payment is deﬁned in section OB 2(1) (Meaning of source deduction payment: share- holder-employees of close companies) source in New Zealand, for income, means a source described in section OE 4 (Classes of income treated as having source in New Zealand) 2594 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 special account means a special farm ownership ac- count, a special ﬁshing vessel ownership account, or a special home ownership account special corporate entity means— a Crown Research Institute: (a) a group investment fund: (b) a Life Insurance Fund: (c) an entity that has not issued shares and is engaged (d) mainly in the business of providing life insurance or other insurance to the public: a local authority: a public authority: a State enterprise: a statutory producer board: any other statutory body that does not issue shares, if— (i) (e) (f) (g) (h) (i) (ii) the statutory body is established by an Act of the Parliament of New Zealand or by a statute of the legislature (whether federal or state or provincial) of any territory out- side New Zealand; and the Commissioner, having regard to the terms of the statute by which the body is established, is satisﬁed that it would be appropriate to treat the body as a special corporate entity for the purposes of those provisions of this Act whose application is dependent on the measurement of voting and market value interests (j) any body incorporated under the Incorporated Societies Act 1908, for an income year in which the body on no day in the income year has shares on issue to the members of the body special corporate entity: paragraph (j) of this deﬁnition was inserted, as from 1 October 2005, by section 261(34) Taxation (Venture
 Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
special farm ownership account means a special farm ownership account operated by a person under Part 2 of the Farm Ownership Savings Act 1974 2595 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 special ﬁshing vessel ownership account means a spe- cial ﬁshing vessel ownership account as deﬁned in the Fishing Vessel Ownership Savings Act 1977 special home ownership account means a special home ownership account operated by a person under Part 2 of the Home Ownership Savings Act 1974 special partnership is deﬁned in section HC 1(12) (Special partnerships) for the purposes of that section special rate is deﬁned in section EE 58 (Other deﬁni- tions) special tax code certiﬁcate means a special tax code certiﬁcate under section NC 14 (Special tax code cer- tiﬁcates) speciﬁed activity means— (a) the business of animal husbandry, including bee- keeping, the breeding of horses other than blood- stock, and poultry-keeping: the deriving, otherwise than in the conduct of a speciﬁed activity of the kind referred to in para- graph (a), of income from livestock including bees, horses other than bloodstock, and poultry: the business of growing trees or plants— (i) (ii) (iii) for sale as growing trees or plants; or for the production of ﬂowers; or for the production of fruit other than grapes, seeds, vegetables, or other crops, not including crops for which the prepar- ation of the land, the planting and cultiva- tion of the tree or plant, and the harvesting of the crop are accomplished within 12 months: the business of viticulture: the business of freshwater ﬁsh farming: the business of mussel farming: the business of rock oyster farming: the business of scallop farming: the business of sea-case salmon farming: the acquiring or holding of land with a view to deriving, from some or all of the land, ﬁnes, pre- (b) (c) (d) (e) (f) (g) (h) (i) (j) 2596 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 miums, rents, or other revenues from a lease, li- cence, or other agreement relating to the land
 speciﬁed activity net income is deﬁned in section IE 2(8) (Speciﬁed activity net losses) for the purposes of that section speciﬁed activity net loss is deﬁned in section IE 2(8) (Speciﬁed activity net losses) for the purposes of that section speciﬁed base cost for 1983 income year property means, whether the property is real or personal, the greater of— (a) the cost price or acquisition value of the property; and the market value of the property on the last day of the 1982-83 income year (b) speciﬁed beneﬁt, in section KD 7(2B), means an in- come-tested beneﬁt, or an orphan’s beneﬁt, or an unsup- ported child’s beneﬁt paid or payable under the Social Security Act 1964. speciﬁed beneﬁt: this deﬁnition was inserted, as from 1 April 2005, by section 11(11) Taxation (Working for Families) Act 2004 (2004 No 52).
speciﬁed dividends means dividends that are— (a) paid in relation to shares issued by a company that is at the time of payment— (i) (ii) (iii) (iv) a company not resident in New Zealand; or a company whose constitution prohibits all of its income or property from being distributed to any proprietor, member, or shareholder of the company; or a company all the income of which is ex- empt income otherwise than under section CW 9 (Dividend derived by company from overseas) or CW 10 (Dividend within New Zealand whollyowned group); or a company that, in New Zealand, is en- gaged solely in the business of life in- surance referred to in section EY 8(2)(c) (Meaning of life insurance) and is not a 2597 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 company that maintains a dividend with- holding payment account because of an election made under section MG 2 (Com- pany may elect to maintain dividend with- holding payment account); or (b) dividends in relation to the amount of which a de- duction has been allowed under section FZ 1(4) (Deduction for dividends paid on certain prefer- ence shares) speciﬁed foreign social security pension means a beneﬁt, pension, or periodical allowance granted to a person elsewhere than in New Zealand to the extent to which its amount reduces, under 1 of the following provisions, the rate of New Zealand superannuation payable to the person (a) (b) section 70 of the Social Security Act 1964: article 15 of the Convention in the schedule of the Social Welfare (Reciprocity with the United Kingdom) Order 1990 (SR 1990/85) a superannuation category 1 scheme; or a superannuation category 2 scheme; or a superannuation category 3 scheme speciﬁed fund means— (a) (b) (c) speciﬁed income, for a person and for a speciﬁed period referred to in section KD 1(4) (Determination of net in- come), means the amount calculated using the formula in section KD 1(4) speciﬁed insurance premium is deﬁned in section CX 15(3) (Contributions to life or health insurance) speciﬁed lease means a lease of a
 personal property lease asset if— (a) the lease is entered in the period starting on 6 Au- gust 1982 and ending on 19 May 1999 and the lease has a guaranteed residual value, or has a term of the lease that is more than 36 consecu- tive months, or has a term of the lease that is the economic life of the asset because the Commis- sioner considers that the asset has an economic life of less than 36 months, and— 2598 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (i) (ii) (iii) (iv) the lessee becomes the owner of the asset at the end of the term of the lease: the lessee has the option to purchase the asset at the end of the term of the lease at a price that the Commissioner considers will be signiﬁcantly lower than the market value of the asset at the end of the term of the lease: the total of all personal property lease pay- ments and the guaranteed residual value is more than or equal to, or to a small extent less than, the cost price of the asset: the lessor and the lessee agree that the lessee is liable for the payment of all, or nearly all, expenditure incurred for the costs of repair and maintenance of the as- set and any other incidental costs arising during the term of the lease for the use of the asset: (b) (c) the lease is entered in the period starting on 6 August 1982 and ending on 19 May 1999 and the lessee acquires ownership of the asset by any means, whether from the lessor or another per- son: the lease is entered in the period starting on 28 October 1983 and ending on 19 May 1999 and— a person other than the lessee acquires the (i) asset; and the lessee and the person who acquires the asset are associated (ii) speciﬁed lease: this deﬁnition was substituted, as from 1 April 2005, by section 155(45) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
speciﬁed livestock— (a) means an animal of a type speciﬁed in schedule 8, column 1 (Types and classes of livestock); and does not include an animal that is high-priced livestock, except as provided in section EC 37 (Bailment) (b) 2599 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 speciﬁed mineral is deﬁned in section CU 28 (Meaning of speciﬁed mineral) speciﬁed option,— (a) in the ﬁnancial arrangements rules,— (i) means an option to acquire or dispose of property or services; and includes an agreement for the sale and pur- chase of property or services entered into as a result of the exercise of the option: (ii) (b) in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) (e) speciﬁed payment means— (a) (b) (c) (d) an income-tested beneﬁt; or a veteran’s pension; or New Zealand superannuation; or a basic grant or an independent circumstances grant, made under regulations made under sec- tion 193 of the Education Act 1964, section 303 of the Education Act 1989, or an enactment sub- stituted for those sections; or compensation described in any of paragraph (b)(xii) to (xvi) of the deﬁnition of salary or if the compensation relates to a day wages, forming part of a continuous period of eligibility for such compensation and the day falls after the earlier of— (i) the day having the same date as the ﬁrst day of the continuous period of eligibil- ity for compensation and occurring in the third calendar month after that ﬁrst day; and the last day of the third calendar month after the ﬁrst day of the continuous period of eligibility for compensation (ii) speciﬁed period,— (a) in subpart KD (Tax credits for families), and in the deﬁnitions of net speciﬁed income and spe- ciﬁed income, means an unbroken period in a tax 2600 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) (d) year, whether the period consists of some or all of the days in the tax year: is deﬁned in section EH 37 (Other deﬁnitions) for the purposes of the main income equalisation scheme: is
 deﬁned in section EH 64 (Other deﬁnitions) for the purposes of the adverse event income equal- isation scheme: is deﬁned in section EH 81 (Other deﬁnitions) for the purposes of the thinning operations income equalisation scheme speciﬁed preference shares is deﬁned in section FZ 1(5) (Deduction for dividends paid on certain prefer- ence shares) for the purposes of that section speciﬁed superannuation contribution means a con- tribution that— (a) is an employer’s superannuation contribution; and is made in money; and is made to a superannuation fund or, in the case of a contribution under the KiwiSaver Act 2006, is paid to the Commissioner for payment to the superannuation fund (b) (c) speciﬁed superannuation contribution: paragraph (c) of this deﬁnition was amended, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40) by adding the words “or, in the case of a contribution under the Kiwi- Saver Act 2006, is paid to the Commissioner for payment to the superannuation fund”.
See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).
speciﬁed superannuation contribution withholding tax means speciﬁed superannuation contribution with- holding tax payable under the SSCWT rules speciﬁed value is deﬁned in section HE 2(3) (Group investment funds) for the purposes of that section spouse, in section KC 3 (Transitional tax allowance) and subpart KD (Tax credits for families), and in the deﬁnitions of eligible period, full-time earner, fully employed person, and separated person (paragraph (b))), does not include a separated person 2601 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 spreading method means a method listed in section EW 14(2) (What spreading methods do) SSCWT rate threshold amount for a speciﬁed super- annuation contribution means,— (a) (ii) if the employee is employed by the employer for all of the tax year immediately before the tax year in which the speciﬁed superannuation contribu- tion is paid, the total amount of— (i) salary and wages derived by the employee in that previous tax year; and speciﬁed superannuation contributions (being the gross amount of the contri- butions before deduction of speciﬁed superannuation contribution withholding tax) that the employer pays on behalf of the employee in that previous year; or if paragraph (a) does not apply, the total amount of— (i) salary and wages that the employer esti- mates will be derived by- the employee in the tax year in which the speciﬁed super- annuation contribution is paid; and speciﬁed superannuation contributions (being the gross amount of the contri- butions before deduction of speciﬁed superannuation contribution withholding tax) that the employer estimates they will make on behalf of the employee in the tax year in which the speciﬁed superannuation contribution is paid (ii) (b) SSCWT rate threshold amount: this deﬁnition was inserted, as from 1 April 2007, by section 155(46) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81) with application for income years beginning as from 1 October 2007.
SSCWT rules— (a) means the following provisions: (i) (ii) section CX 42 (Employer’s superannu- ation contributions): subpart NE (Speciﬁed superannuation contribution withholding tax); and 2602 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) sections 47 and 48 and Part 9 of the Tax Administration Act 1994 stallion means a stallion that is bloodstock standard accounting year is deﬁned in section OF 1(2) (References to balance dates and years generally) standard balance date is deﬁned in section OF 1(2) (References to balance dates and years generally) standard-cost household service means a service that is a standard-cost household service under a determin- ation made by the Commissioner under section 91AA of the Tax Administration Act 1994 standard dividend means a dividend derived from a company by a shareholder in the form of— (a) money; or (b) the release of an obligation to repay an amount lent; or a distribution of property of the company; or a taxable bonus issue (c) (d) standard value, for non-speciﬁed livestock, means the value set under section EC 29 (Determining standard values) standing timber includes trees that would be standing timber if they were mature trees stapled, for a debt security and a share, is deﬁned in section FC 2B(5) (Stapled debt securities) stapled debt security is deﬁned in section FC 2B(1) (Stapled debt securities) start date is deﬁned in section MJ 1(1) (Qualifying unit trust or group investment fund may elect to maintain supplementary available subscribed capital account) for the purposes of subpart MJ (Supplementary available subscribed capital accounts) state enterprise means a person speciﬁed in schedule 18 (State enterprises) statutory producer board — (a) means— (i) a body speciﬁed in schedule 15 (Statutory producer boards): 2603 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) (iii) a marketing authority as deﬁned in the Primary Products Marketing Act 1953 that is established by regulations made under that Act: a primary producer
 board or marketing board established by an Act; and in sections HF 1 (Proﬁts of mutual associations in respect of transactions with members) and OC 3 (Statutory producer boards), and in the deﬁnition of special corporate entity, does not include a body that derives only exempt income (b) straight-line method, for depreciation, is deﬁned in section EE 58 (Other deﬁnitions) straight-line rate is deﬁned in section EE 58 (Other deﬁnitions) subpart KD credit means the credit of tax allowed under section KD 2 (Calculation of subpart KD credit) subpart KD credit: this deﬁnition was amended, as from 1 April 2006, by section 19(4) Taxation (Working for Families) Act 2004 (2004 No 52) by omitting the words “and calculated”.
subsequent dividend, for a company that has paid a benchmark dividend during an imputation year, means a dividend that— (a) is paid by the company after the benchmark divi- dend during the imputation year; and is not a dividend that is— (i) (b) (ii) paid at a time when the company is not an imputation credit account company; or a distribution by a co-operative company in relation to which the company has made a determination under section ME 35 (Co- operative company may make annual de- termination to attach imputation credit to certain distributions) subsidised transport means the provision of transport or an entitlement to transport to an employee by the em- ployer, or by a company (group company) in the same group of companies as the employer, in a quarter, or an income year if section ND 14 (Payment of fringe bene- 2604 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (b) (c) (d) ﬁt tax on income year basis for shareholderemployees) applies, if— (a) the employer or group company carries on a busi- ness consisting of, or including, transporting the public for hire or reward; and the employer or group company provides the transport or the entitlement to the employee in the course of transporting the public; and the transport or entitlement is not transport in a motor vehicle; and the amount (if any) the employee pays is less than the highest amount the employer or group com- pany charges the public, in the quarter or income year in which the provision to the employee oc- curs, for transport that is equivalent in terms of class, extent, and occasion to the transport or en- titlement the employer or group company pro- vides to the employee subsidised transport: this deﬁnition was amended, as from 3 April 2006, by sec- tion 191(64)(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting “to an em- ployee by the employer, or by a company (group company) in the same group of companies as the employer,” for “by an employer to an
 employee”.
subsidised transport: paragraphs (a), (b), and (d) of this deﬁnition were amended, as from 3 April 2006, by section 191(64)(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting “employer or group company” for “employer” wherever it appears.
substantial business assets is deﬁned in section GC 14C(6) (Deﬁnitions for use in section GC 14B) for the purposes of section GC 14B (Attribution rule for per- sonal services) sufﬁcient interest is deﬁned in section LF 1(2) (Under- lying foreign tax credits generally, and interpretation) superannuation category 1 scheme means a scheme or fund that was at the relevant time a superannuation category 1 scheme under the Income Tax Act 1976 superannuation category 2 scheme means a scheme or fund that was at the relevant time a category 2 scheme under the Income Tax Act 1976 2605 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 superannuation category 3 scheme means a scheme or fund that was at the relevant time a superannuation category 3 scheme under the Income Tax Act 1976 superannuation contribution— (a) means a disposition of property to or for the bene- ﬁt of a superannuation scheme in consideration for which fully adequate consideration in money or money’s worth does not pass from the scheme to a person; and does not include a beneﬁt that may pass from the scheme to a person under the terms of the scheme (b) superannuation fund— (a) means a superannuation scheme registered under the Superannuation Schemes Act 1989 or a KiwiSaver scheme that is registered under the KiwiSaver Act 2006; and (b) when referring to a superannuation fund that is a trust, means the trustees of the fund superannuation fund: paragraph (a) of this deﬁnition was amended, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40) by inserting the words “or a KiwiSaver scheme that is registered under the KiwiSaver Act 2006” after the expression “Superannuation Schemes Act 1989”.
See section 232 of that Act as to the transitional provision requiring all KiwiSaver contri- butions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).
superannuation policy is deﬁned in section DZ 2(3) (Life insurers acquiring property before 1 April 1988) for the purposes of that section and section EZ 1 (Life insurers acquiring property before 1 April 1988) superannuation scheme— (a) means— (i) a trust or unit trust established by its trust deed mainly for the purposes of providing retirement beneﬁts to beneﬁciaries who are natural persons or paying beneﬁts to superannuation funds; or [Repealed] a company that is not a unit trust, is not resident in New Zealand, and is estab- lished mainly for the purpose of providing (ib) (ii) 2606 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iii) (iv) retirement beneﬁts to members or relatives of members who are natural persons; or an arrangement constituted under an Act of the Parliament of New Zealand, other than the Social Security Act 1964, mainly for the purpose of providing retirement beneﬁts to natural persons; or the an arrangement constituted under legislation of a country, territory, state, or local authority outside New Zealand mainly for the purpose of providing retire- ment beneﬁts to natural persons; and (b) when referring to a superannuation scheme that is a trust, means the trustees of the scheme superannuitant means a New Zealand superannuitant supplement, for a provision in Part D (Deductions) or any of Parts F to I, means to allow a person a deduction without requiring them to satisfy the general permission supplementary available subscribed capital account means an account established under section MJ 1 (Qualifying unit trust or group investment fund may elect to maintain supplementary available subscribed capital account) supplementary dividend, for a company and for a per- son deriving a dividend (ﬁrst dividend) from the com- pany, means a dividend that— (a) is paid by the company in the same income year as the ﬁrst dividend; and is paid in relation to the ﬁrst dividend; and is derived by the person; and is equal in amount to the tax credit calculated, for the ﬁrst dividend, under
 section LE 2(2) (Credits in respect of dividends to non-resident investors) supply is deﬁned in section GD 13(13) (Cross-border arrangements between associated persons) for the pur- poses of that section surplus refundable credits, for a person and for a tax year, means any excess credits that are refundable (b) (c) (d) 2607 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 credits and that have not been dealt with otherwise under section BC 10(2) (Surplus credits) surrender, for an ETS unit, is deﬁned in section 4(1) of the Climate Change Response Act 2002 tax— (a) means income tax, except in sections BB 3(2)(b) and (c) (Overriding effect of certain matters) and BH 1(4)(b) and (c) (Double tax agreements): is deﬁned in section MZ 5(4) (Application of ex- cess tax to nil period) for the purposes of that sec- tion: is deﬁned in section MZ 6(3) (Application of ex- cess tax for 2001-02 tax year) for the purposes of that section (b) (c) tax advantage, in sections GC 22 (Imputation: arrange- ment to obtain tax advantage), GC 27A (Arrangement to obtain tax advantage with respect to Maori authority credit account provisions (subpart MK)), ME 8 (Allo- cation rules for imputation credits), and MK 7 (Allo- cation rules for Maori authority credit account credits), means— (a) the allowance, wholly or partly, of a credit of tax under section LB 2 (Credit of tax for imputation credit): the allowance, wholly or partly, of a credit of tax under section LD 3A (Maori authority credit to be credited against income tax assessed): the allowance, wholly or partly, of a credit of tax under section LD 8 (Credit of tax for dividend withholding payment credit in hands of share- holder): the obtaining of a refund of dividend withholding payment under section LD 9 (Refund to non-resi- dent or exempt shareholders): the arising of a credit to an imputation credit ac- count under section ME 4 (Credits arising to im- putation credit account): the arising of a credit to a dividend
 withholding payment account under section MG 4 (Credits (b) (c) (d) (e) (f) 2608 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (g) arising to dividend withholding payment ac- count): the arising of a credit to a Maori authority credit account under section MK 4 (Credits arising to Maori authority credit account) tax agent means a person— (a) who prepares the annual returns required to be ﬁled for 10 or more persons; and (b) who— (i) carries on a professional public practice; or carries on any business in which annual returns required to be ﬁled are prepared; or is the Maori Trustee (ii) (iii) tax avoidance includes— (a) (c) (b) directly or indirectly altering the incidence of any income tax: directly or indirectly relieving a person from li- ability to pay income tax or from a potential or prospective liability to future income tax: directly or indirectly avoiding, postponing, or re- ducing any liability to income tax or any potential or prospective liability to future income tax tax avoidance arrangement means an arrangement, whether entered into by the person affected by the ar- rangement or by another person, that directly or indi- rectly— (a) (b) has tax avoidance as its purpose or effect; or has tax avoidance as 1 of its purposes or effects, whether or not any other purpose or effect is referable to ordinary business or family dealings, if the purpose or effect is not merely incidental tax code, for an employee, means the employee’s tax code under section NC 8 (Application of tax codes spe- ciﬁed in tax code declarations or tax code certiﬁcates) 2609 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 tax code certiﬁcate— (a) means a tax code certiﬁcate under section NC 8 (Application of tax codes speciﬁed in tax code declarations or tax code certiﬁcates); and includes a special tax code certiﬁcate (b) tax code declaration means a tax code declaration under section NC 8 (Application of tax codes speciﬁed in tax code declarations
 or tax code certiﬁcates) tax credit advantage— (a) is deﬁned in section GC 22(9) (Imputation: ar- rangement to obtain tax advantage) for the pur- poses of that section: is deﬁned in section GC 27A(10) (Arrangement to obtain tax advantage with respect to Maori au- thority credit account provisions (subpart MK)) for the purposes of that section (b) tax deduction means a tax deduction made or required to be made under the PAYE rules tax ﬁle number means an identiﬁcation number that the Commissioner has allocated to a person— (a) (b) generally for the purposes of this Act; or speciﬁcally for the purpose of the issue to the person of a certiﬁcate of exemption under section NF 9 (Certiﬁcates of exemption) tax rate is deﬁned in section IG 10(4) (Net losses used to pay penalties) for the purposes of that section tax withheld means an amount of tax paid under the PAYE rules, the RWT rules, the NRWT rules, or regula- tions made under section 225 of the Tax Administration Act 1994 tax year— (a) means a period starting on 1 April and ending on (b) 31 March: is deﬁned in section IG 10(5) (Net losses used to pay penalties) for the purposes of that section tax year of transfer, for a matrimonial agreement, means the tax year in which the date of transfer falls 2610 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 taxable activity,— (a) in the provisional tax rules, the RWT rules, and the NRWT rules, is deﬁned in section 6 of the Goods and Services Tax Act 1985, except that section 6(3)(d) does not apply: is deﬁned in section DB 3(3) (Determining tax liabilities) for the purposes of that section taxable bonus issue means— (a) (b) a bonus issue in lieu: a bonus issue that a company chooses to treat as a dividend under section CD 7 (Elections to make bonus issue into dividend): in the case of a bonus issue made before the en- actment of this Act, a bonus issue that a com- pany chose to treat as a dividend under a provi- sion of an earlier Act corresponding to section
 CD 7 (Elections to make bonus issue into divi- dend): a bonus issue that is a dividend under section CD 7C (Bonus issue by foreign unit trust instead of money or property) (b) (c) (d) taxable bonus issue: this deﬁnition was substituted, as from 1 October 2005, by section 261(35) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
taxable distribution, for a tax year, and for a trust that in the tax year is a non-qualifying trust or a foreign trust but is not a superannuation fund or a unit trust, and for a person who is a beneﬁciary of the trust, means a distribution to the beneﬁciary in the tax year that is— (a) (b) not beneﬁciary income: not a distribution of, or a payment or transaction that represents a distribution of, any part of the corpus of the trust: for a foreign trust, not a distribution of, or a pay- ment or transaction that represents a distribution of, proﬁts derived in any tax year by the trustee of the trust from the realisation of a capital asset of the trust or any other capital proﬁt or capital gain realised by the trustee in any tax year (excluding proﬁt or gain required to be taken into account for (c) 2611 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (d) the purpose of determining an income tax liabil- ity, minus any capital loss incurred by the trustee of the trust from the realisation of a capital as- set of the trust or otherwise in the tax year during which the proﬁt or gain was realised): for the purposes of paragraph (c), any capital proﬁt or capital gain realised by the trustee of a foreign trust is treated as income derived by the trustee (but not beneﬁciary income) and not as capital proﬁts or gains, whether the realisation was by 1 transaction or by a series of transac- tions between the trustee and a person associated with the trustee, and for this purpose a person is treated as associated with the trustee if the per- son would be treated as associated under section OD 7 (Deﬁning when 2 persons are associated persons) or OD 8(3) (Further deﬁnitions of asso- ciated persons) taxable income means taxable income for a tax year calculated under section BC 5 (Taxable income) taxable Maori authority distribution is deﬁned in sec- tion HI 5(2) (Amount distributed to member by Maori authority) taxable period has the meaning given in section 2(1) of the Goods and Services Tax Act 1985 taxable
 supply is deﬁned in section 2 of the Goods and Services Tax Act 1985 taxation law, in sections EZ 49 (References to new rules include old rules), YA 3 (Transitional provisions), YA 4 (Saving of binding rulings), and YA 5 (Saving of accrual determinations),— (a) is deﬁned in section Administration Act 1994; and includes a provision of the Income Tax Act 1994 (b) Taxation Review Authority means a Taxation Re- view Authority established under the Taxation Review Authorities Act 1994 the Tax 3(1) of 2612 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 taxicab is deﬁned in section 2(1) of the Transport Act 1962 taxpayer means a person who is, or may be, liable to perform or comply with an obligation imposed by this Act temporary building means— a building that— (a) (i) is erected under a permit issued by a local authority or a public authority; and (ii) must be demolished or removed if the local authority or the public authority requires its demolition or removal; or (b) (c) a building that— (i) (ii) is erected at a construction site; and is to be demolished or removed on or be- fore the completion of the construction; or a building that— (i) was erected, and is used, to house speciﬁc plant or machinery; and (ii) will have to be demolished to remove or replace the plant or machinery ten percent capital reduction is deﬁned in section CD 14(9) (Returns of capital: off-market share cancella- tions) for the purposes of that section term of the lease— (a) means the period of time from the date on which (b) (c) (d) a lease starts until it ends: if the term is indeﬁnite, means the period of time during which the lessee is unable, under the lease, to cancel, terminate, or withdraw from the lease without incurring a penalty: if 2 or more consecutive leases are treated under paragraph (d)(iv) of the deﬁnition of lease as 1 lease of a personal property lease asset, the term of the lease runs from the start of the ﬁrst term of the lease to the end of the last of the
 leases: is deﬁned in section EZ 6(5) (Premium paid on land leased before 1 April 1993) for the purposes of that section 2613 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 terminal tax means an amount calculated for a tax year under section BC 9 (Satisfaction of income tax liability) terminal tax date, for a tax year and a person, means the date determined under section MC 1 (Payment of terminal tax) for the payment of terminal tax for the tax year; if the person does not have terminal tax for the tax year, section MC 1 applies as if the person did have terminal tax for the tax year terminating share means a share in a building society that is included in a group of shares, if the group is to terminate— (a) at the end of a period speciﬁed on the issue of the shares; or on the attainment of a result speciﬁed on the issue of the shares (b) thinning operations is deﬁned in section EH 81 (Other deﬁnitions) thinning operations deposit is deﬁned in section EH 81 (Other deﬁnitions) thinning operations income equalisation account is deﬁned in section EH 81 (Other deﬁnitions) thinning operations income equalisation scheme means the scheme referred to in section EH 1(2)(c) (Income equalisation schemes) thinning operations maximum deposit is deﬁned in section EH 80 (Meaning of thinning operations maxi- mum deposit) this Act is deﬁned in section AA 3(1) (Deﬁnitions) timber— (a) is deﬁned in section DP 10(4) (Cost of timber) for the purposes of that section: includes standing timber in— section DP 10: (i) section FB 4 (Income derived from dis- (ii) posal of trading stock together with other assets of business): section FF 7 (Disposal of timber under re- lationship agreement): (iii) (b) 2614 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (iv) (v) section GD 1 (Sale or other disposal of trading stock for inadequate consider- ation): section GD 2 (Distribution of trading stock to shareholders of company): the deﬁnition of dispose, paragraph (b):
 the deﬁnition of right to take timber: (vi) (vii) (viii) the deﬁnition of trading stock, para- graph (b)(iv) time bar means the provisions of sections 108 and 108B of the Tax Administration Act 1994 time of the sale, in sections DC 9 (Sale of business: transferred employment income obligations) and EA 4 (Deferred payment of employment income), means the date on which the agreement for sale of the business or part of the business is settled by the exchange of the seller’s business or the part for the buyer’s consideration Tokelau International Trust Fund means the trust governed by the Deed concerning the Tokelau Inter- national Trust Fund dated 10 November 2004 and signed by Her Majesty the Queen in right of New Zealand and the Government of Tokelau total assets for the income year is deﬁned in section FG 4(3) (Rules for calculating New Zealand group debt percentage) for the purposes of that section total debt is deﬁned in section FG 4(2) (Rules for cal- culating New Zealand group debt percentage) for the purposes of that section total taxable supplies is deﬁned in section MB 7(8) (GST ratio method) for the purposes of that section and sections MB 15, MB 18, and MB 32 (which relate to the calculation and payment of provisional tax using the GST ratio method) tracking account means the account described in item “a” of the formula in section LF 5(2) (Dividends from grey list companies) trade credit is deﬁned in section EZ 45 (Deﬁnitions) for the purposes of the old ﬁnancial arrangements rules 2615 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 trading stock— (a) is deﬁned in section EB 2 (Meaning of trading stock) for the purposes of— (ia) section CD 24B (Distribution to member of co-operative company based on mem- ber’s transactions): section CD 37 (Cost of tangible property): section CH 1 (Adjustment for closing values of trading stock, livestock, and excepted ﬁnancial arrangements): section CZ 9 (Available capital distribu- tion amount: 1965 and 1985 to
 1992): section DB 22 (Cost of non-speciﬁed min- eral): section DB 40 (Adjustment for opening values of trading stock, livestock, and ex- cepted ﬁnancial arrangements): section DP 10 (Cost of timber): section EA 1 (Trading stock, livestock, and excepted ﬁnancial arrangements): (i) (ii) (iii) (iv) (v) (vi) (vii) (viii) section EA 2 (Other revenue account prop- (ix) (x) erty): section EA 3 (Prepayments): subpart EB (Valuation of trading stock (in- cluding dealer’s livestock)): section EE 7 (What is not depreciable property?
): (xii) section EE 31 (Items of low value): (xiii) section EE 55 (Meaning of excluded de- (xi) preciable property): (xiv) section EW 2 (Relationship of ﬁnancial arrangements rules with other provisions): section EX 21 (Branch equivalent income or loss: calculation rules): (xv) (xvi) section EX 47 (Codes: comparative value and deemed rate methods): (xvii) section EZ 22 (Meaning of new asset): (xviii) section EZ 23 (Meaning of New Zealand- new asset): 2616 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 (xix) section FB 3 (Disposal of trading stock): section FC 4 (Valuation adjustments where (xx) company acquires its shares): (xxi) section FC 10 (Taxation of hire purchase agreements): (xxii) section FD 10 (Special provisions relating to dispositions of property): (xxiii) section FE 6 (Acquisition of property by amalgamated company on qualifying amalgamation): (xxiv) section FG 4 (Rules for calculating New Zealand group debt percentage): (xxv) section HB 2 (Taxable income to be cal- culated generally as if group were single company): (xxvi) section HC 1 (Special partnerships): (xxvii) section HF 1 (Proﬁts of mutual associ- ations in respect of transactions with mem- bers): (xxviii) section HH 5 (Existing trusts becoming subject to tax): (xxix) the deﬁnitions of accrual expenditure, closing stock, cost, cost price, market value, produce transactions, and rev- enue account property: (b) in sections CG 6 (Receipts from insurance, in- demnity, or compensation for trading stock), FF 13 (Trading stock), GD 1 (Sale of trading stock for inadequate consideration), GD 2 (Dis- tribution of trading stock to shareholders of company), and GD 7 (Distribution of property to policyholders),— (i) includes anything produced or manufac- tured: includes anything acquired for the pur- poses of manufacture, sale, or exchange: includes livestock: includes timber: includes a right to take timber: (ii) (iii) (iv) (v) 2617 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (vi) (vii) includes any other real or
 personal prop- erty if the business of the person who dis- posed of it is dealing in such property or if the person acquired the property for the purpose of disposal: includes land whose disposal would pro- duce income under any of sections CB 5 to CB 13 (which relate to income from land): (viii) includes any thing for which expenditure is incurred after 8.30 pm New Zealand Standard Time on 31 July 1986 and which would be trading stock if possession of it were taken: does not include a ﬁnancial arrangement to which the ﬁnancial arrangements rules or the old ﬁnancial arrangements rules apply: in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions): is deﬁned in section FB 4(5) (Income derived from disposal of trading stock together with other assets of business) for the purposes of that section trading stock: paragraph (a)(ia) of this deﬁnition was inserted, as from 1 October 2006, by section 191(68) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
(ix) (d) (c) trans-Tasman imputation group means an imputation group that has— (a) at least 1 member that is not an Australian imput- ation credit account company; and at least 1 member that is an Australian imputation credit account company (b) transfer of value is deﬁned in section CD 4 (What is a transfer of value?)
transferee— (a) is deﬁned in section DZ 5(6) (Farm-out arrange- ments for petroleum mining before 16 December 1991) for the purposes of that section: in subpart FF (Transfers under relationship agreements), for property transferred under a re- (b) 2618 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 lationship agreement, means the person to whom the property is transferred under the agreement transferee: paragraph (b) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “(Transfers under relationship agreements” for “(Matrimonial transfers”.
transferee: paragraph (b) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “relationship agreement” for “matrimonial agreement”.
transferor— (a) (b) (c) is deﬁned in section CZ 8(2) (Farm-out arrange- ments for petroleum mining before 16 December 1991) for the purposes of that section: is deﬁned in section DZ 5(6) (Farm-out arrange- ments for petroleum mining before 16 December 1991) for the purposes of that section: in subpart FF (Transfers under relationship agreements), for property transferred under a relationship agreement, means the person from whom the property is transferred under the agreement transferor: paragraph (c) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “(Transfers under relationship agreements” for “(Matrimonial transfers”.
transferor: paragraph (c) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “relationship agreement” for “matrimonial agreement”.
transitional capital amount, for a share in a company, means— (a) the amount calculated using the formula— where— j is the total amount of capital paid up be- fore 1 July 1994 for shares of the same class as the share, whenever issued and in- cluding the share, that is not an amount paid up by a bonus issue made after 31 March 1982 and before 1 October 1988, except if— 2619 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) (iii) the date of the acquisition, redemp- tion, other cancellation, or liquid- ation falls more than 10 years after the date of the bonus issue; or the amount was paid up by way of application of an amount of quali- fying share premium; or the relevant time is the time of li- quidation of the company; or is the total amount of capital paid up before 1 July 1994 for shares of the same class as the share, whenever issued and including the share, that is not an amount paid up by a bonus issue, other than a taxable bonus issue, made on or after 1 October 1988, except if the amount was paid up by way of application of an amount of qualifying share premium k l m is the total of qualifying share premium paid to the company before 1 July 1994 for shares of the class, whenever issued and including the share, that is not an amount that is later, but before 1 July 1994, applied to pay up capital on shares in the company is the number of shares of the class, in- cluding the share, ever issued before the close of 30 June 1994 is the number of shares of the class, in- cluding the share, on issue at the close of 30 June 1994: (b) for a company that is a group investment fund to which section CZ 14 (Treatment of superannu- ation fund interests in group investment funds on 1 April 1999) applies, the value of the superannu- ation fund interest at the close of business on 31 March 1999 2620 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 transitional resident is deﬁned in section FC 24 (Tran- sitional resident) transitional resident: this deﬁnition was inserted, as from 1
 October 2005, by section 191(69) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for: a person who becomes a transitional resident on or after 1 April 2006; and as from the income year corresponding to the 2005–06 tax year.
transitional year means the period for which a person ﬁles a return under section 39 of the Tax Administration Act 1994 trust, in the deﬁnitions of superannuation scheme and unit trust, is deﬁned in the Trustee Act 1956 trust rules means— (a) the following provisions: (i) (ii) (iii) (iv) (v) (vi) (vii) section CX 34 (Superannuation fund de- riving amount from life insurance policy): section DB 24 (Bad debts owed to estates): sections DV 1 to DV 7 (which relate to superannuation funds): section EW 58 (Financial arrangements, income, and expenditure relevant to cri- teria): section EZ 34 (Cash basis holder): section GC 14 (Income of beneﬁciaries): section GD 6 (Value of loans provided by superannuation fund deemed to be income of fund): (viii) sections HH 3 to HH 8 (which relate to (ix) (x) trusts): section HJ 1 (Government Superannuation Fund): section HZ 2 (Trusts that may become qualifying trusts); and (b) sections 59 and 59B of the Tax Administration Act 1994 trust rules: paragraph (b) of this deﬁnition was amended, as from 1 April 2006, by section 191(70) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting “sections 59 and 59B” for the expression “section 59”.
trustee,— (a) for a trust,— 2621 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) means the trustee only in the capacity of trustee of the trust; and includes all trustees, for the time being, of the trust: includes an executor and administrator: includes Public Trust: includes the Maori Trustee: for a superannuation scheme that is a trust or that is treated by this Act as a trust, includes a person by whom the investments of the scheme (or a part of the scheme) are managed or controlled: for a unit trust, means the trustee in which is vested the money, investments, and other prop- erty that are for the time being subject to the trusts governing the unit trust: is deﬁned in section DC 14 (Some deﬁnitions) for the purposes of sections DC 11 to DC 13 (which relate to share purchase schemes) (b) (c) (d) (e) (f) (g) trustee company is deﬁned in section 2 of the Trustee Companies Act 1967 trustee income, for a trust, other than a unit trust, and for an income year, means income that— (a) is derived by a trustee of the trust in the income year; and is not, except for a superannuation fund, income that— (i) (b) vests absolutely in interest in a beneﬁciary of the trust during the income year; or is paid or applied by the trustee to or for the beneﬁt of a beneﬁciary of the trust during, or within 6 months after the end of, the income year (ii) turnover, in subpart EB (Valuation of trading stock (in- cluding dealer’s livestock)),— (a) means the total income that a business derives in an income year as a result of trading by that business; and does not include the value of closing stock (b) 2622 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 type, in subparts EC (Valuation of livestock) and FF (Transfers under relationship agreements), and in the deﬁnitions of class and herd livestock, means a cat- egory of livestock listed in schedule 8, column 1 (Types and classes of livestock) type: this deﬁnition was amended, as from 26 April 2005, by section 3(1) In- come Tax Amendment Act
 2005 (2005 No 11) by substituting “(Transfers under relationship agreements” for “(Matrimonial agreements)”.
ultimate owner is deﬁned in— (a) section ME 9B (Imputation credit account com- pany leaving wholly-owned group) for the pur- poses of that section: section ME 9C (Imputation credit account com- pany joining wholly-owned group) for the pur- poses of that section (b) ultimate owner: this deﬁnition was inserted, as from 1 October 2005, by section 87(36) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
ultimate parent is deﬁned in section FG 8C (New Zealand banking group of registered bank) for the purposes of that section ultimate parent: this deﬁnition was inserted, as from 1 July 2005, by section 87(37) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
unadjusted income tax liability means an unadjusted income tax liability for a tax year calculated under sec- tion BC 6(2) (Income tax liability of ﬁling taxpayer) unclassiﬁed beneﬁt is deﬁned in section CX 31 (Mean- ing of unclassiﬁed beneﬁt) unit holder, for a unit trust, means a person who holds a beneﬁcial interest in the money, investments, and other property that are for the time being subject to the trusts governing the unit trust unit trust— (a) means a scheme or arrangement, whether made before or after the commencement of this Act, that is made for the purpose or has the effect of providing facilities for subscribers, purchasers, or contributors to participate, as beneﬁciaries under a trust, in income and gains (whether in 2623 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) the nature of capital or income) arising from the money, investments, and other property that are for the time being subject to the trust; and does not include— (i) (ii) (iii) a trust for the beneﬁt of debenture holders: the Common Fund of Public Trust: a Group Investment Fund established by Public Trust: the Common Fund of the Maori Trustee: a Group Investment Fund established under the Trustee Companies Act 1967: a friendly society registered under the Friendly Societies and Credit Unions Act 1982: (iv) (v) (vi) (x) (vii) a superannuation fund: (viii) an employee share purchase scheme: (ix) a fund that satisﬁes section CW 38 (Fu- neral trusts): any other trust of any speciﬁed kind that is declared by the Governor-General, by Order in Council, not to be a unit trust for the purposes of section HE 1 (Unit trusts) unit trust manager is deﬁned in section CD 10(4) (Cer- tain dividends not increased by tax credits) for the pur- poses of that section unlisted trust is deﬁned in section CD 14(9) (Returns of capital: off-market share cancellations) for the pur- poses of that section unlisted widely-held trust means a widely-held trust the units or interests in which are not quoted on the ofﬁcial list of a recognised
 exchange variable principal debt instrument,— (a) in the ﬁnancial arrangements rules, means a ﬁnancial arrangement that contemplates that 1 party may, on demand or call,— (i) advance further amounts to the other party; or require the return of all amounts advanced if the other party’s to the other party, (ii) 2624 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 rights and obligations under the ﬁnancial arrangement are expressed in a foreign currency: (b) in the old ﬁnancial arrangements rules, is deﬁned in section EZ 45 (Deﬁnitions) variation in control or income interests is deﬁned in section GC 9(7) (Variations in control or income inter- ests in foreign companies) for the purposes of that sec- tion venture investment agreement is deﬁned in section CW 11C(6) (Proceeds from share or option acquired under venture investment agreement) Venture Investment Fund means the company called New Zealand Venture Investment Fund Limited that is listed in Schedules 4, 5, and 6 of the Public Finance Act 1989 Venture Investment Fund: this deﬁnition was inserted, as from 3 April 2006, by section 191(71) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
veteran’s pension means a veteran’s pension, other than a portable veteran’s pension, paid or payable under— (a) (b) Part 6 of the War Pensions Act 1954; or section 70(3)(b) of the Social Security Act 1964; or Part 1 of Provisions) Act 1990 the Social Welfare (Transitional (c) voting interest— (a) means, for a person and a company and a time, the percentage voting interest that the person is treated as holding in the company at the time under sections OD 2 to OD 6 (which relate to the measurement of control and ownership interests): in subpart HG (Qualifying companies), and in the deﬁnition of elective interest, is deﬁned in section HG 2 (Determination of effective interest in company): in section OD 5(6E) (Modiﬁcations to measure- ment of voting and market value interests in case (b) (c) 2625 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 of continuity provisions), means, for a person and a company and a time, the percentage voting in- terest that the person is treated as holding in the company under section OD 3 (Voting interests), as modiﬁed by section OD 5(6F) (b) war widows mother’s allowance means a mother’s allowance payable under section 32(2) of the War Pensions Act 1954 wholly-owned group has the same meaning as wholly- owned group of companies wholly-owned group of companies— (a) is deﬁned in section IG 1(3) (Companies in- cluded in group of companies): in sections EC 41 (Reduction: bloodstock not previously used for breeding in New Zealand) and EZ 17 (Section EZ 16 amount of depreciation loss when items transferred between companies in wholly-owned group before 1 April 1993), for 2 companies and for a time at which an asset is disposed of by 1 of them to the other, whenever that time is, is deﬁned, for the time, in section IG 1(3) (Companies included in group of compan- ies) widely-held company means, at any time, a company that, at the time,— (a) has no less than 25 shareholders (treating all as- sociated shareholders as 1 person); and is not a closely-held company (b) widely-held
 GIF means a group investment fund that meets the requirements of— (a) the investor membership requirements in section HL 6(1) (Investor membership requirement), treating the group investment fund as having 1 portfolio investor class comprised of all investors in the fund: one or more of paragraphs (a) and (c) to (e) of the deﬁnition of qualifying unit trust, treating the group investment fund as a unit trust (b) 2626 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 widely-held GIF: this deﬁnition was inserted, as from 21 May 2007, by section 49(18) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
See section 49(22) of that Act as to the application of this amend- ment as from the 2008–09 income year.
widely-held superannuation fund means a superannu- ation fund that meets the requirements of— (a) the investor membership requirements in section HL 6(1) (Investor membership requirement), treating the superannuation fund as having 1 portfolio investor class comprised of all investors in the fund: one or more of paragraphs (a) and (c) to (e) of the deﬁnition of qualifying unit trust, treating the superannuation fund as a unit trust (b) widely-held superannuation fund: this deﬁnition was inserted, as from 21 May 2007, by section 49(18) Taxation (KiwiSaver and Company Tax Rate Amend- ments) Act 2007 (2007 No 19).
See section 49(22) of that Act as to the appli- cation of this amendment as from the 2008–09 income year.
widely-held trust means a unit trust or group invest- ment fund to which 1 of the following applies (a) it has at least 100 unitholders or investors (treat- ing all associated persons as 1 person); or paragraph (a) does not apply to it but it can still reasonably be regarded as a widely-held invest- ment vehicle for direct investment by the public; or paragraph (a) does not apply to it but only be- cause of unusual or temporary circumstances, such as the fact that it was recently established or is to be terminated; or paragraph (a) does not apply to it but it can rea- sonably be regarded as a vehicle mainly for in- vestment by unit trusts, group investment funds, or superannuation funds that are widely-held ve- hicles for direct investment (b) (c) (d) windfall credit is deﬁned in section MZ 1(3) (Savings for certain credits arising in relation to overpayment of income tax or dividend withholding payment) for the purposes of that section 2627 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 wine is deﬁned in section CV 4 (Regulations: Aus- tralian wine producer rebate) for the purposes of that section wine: this deﬁnition was inserted, as from 21 December 2005, by section 191(72) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscel- laneous Provisions) Act 2006 (2006 No 3).
withdrawable share— (a) means a share in a building society— (i) (ii) that bears a rate of dividend speciﬁed on the issue of the share and that is re- deemable at the end of a ﬁxed term or at the option of the shareholder; or that has been issued under section 31A of the Building Societies Act 1965; or that is a terminating share; and (iii) does not include a share in a building society that is irredeemable, or redeemable only at the society’s option, on which a dividend is declared and payable from the annual surplus revenue of the building society (b) withdrawal,— (a) in subpart CS (Superannuation funds), includes the direct transfer of an amount by a superannu- ation fund to another superannuation fund or a superannuation scheme: in section CS 7 (Exclusion of withdrawal when member ends employment), means a withdrawal of amounts, and any return on amounts, con- tributed to a superannuation fund during the time a member is employed by the employer with whom the member is ending their employment: in section CS 9 (Exclusion of withdrawal from deﬁned beneﬁt fund when member ends employ- ment), means a withdrawal of amounts, and any return on amounts, contributed to a deﬁned bene- ﬁt fund during the time a member is employed by the employer with whom the member is ending their employment (b) (c) 2628 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 withdrawal certiﬁcate,— (a) for a special account that is a special farm own- ership account, means a withdrawal certiﬁcate as deﬁned in the Farm Ownership Savings Act 1974: for a special account that is a special home own- ership account, means a withdrawal certiﬁcate as deﬁned in the Home Ownership Savings Act 1974: for a special account that is a special ﬁshing vessel ownership account, means a withdrawal certiﬁcate as deﬁned in the Fishing Vessel Ownership Savings Act 1977 (b) (c) withdrawal income means withdrawal income as de- termined under section IZ 3 (Withdrawal income) withdrawal tax means withdrawal tax imposed by sec- tion IZ 2 (Rate of
 withdrawal tax) withholding payment means a payment that is de- clared by regulations under this Act to be a withholding payment for the purposes of the PAYE rules withholding tax limitation is deﬁned in section DA 2(5) (General limitations) working day means any day of the week other than— Saturday, Sunday, Good Friday, Easter Monday, (a) Anzac Day, Labour Day, the Sovereign’s birth- day, and Waitangi Day; and a day in the period starting on 25 December in a year and ending on 15 January (both dates inclu- sive) in the following year (b) work-related relocation is deﬁned in section CW 13B(4) (Relocation payments) for the purposes of that section work-related vehicle is deﬁned in section CX 32 (Meaning of work-related vehicle) worldwide group debt percentage means, for a person and for an income year, the percentage calculated under section FG 5 (Rules for calculating worldwide group debt percentage) 2629 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 year means a 12 month period year of determination, in sections ME 30 to ME 34 (which relate to imputation credit accounts of statu- tory producer boards), and in the deﬁnition of member (paragraph (a)), means an income year that starts on or after 1 April 1988. zero-rated portfolio investor, for a portfolio tax rate entity that makes payments of tax under section HL 21 (Payments of tax by portfolio tax rate entity making no election) or HL 23 (Payments of tax by portfolio tax rate entity choosing to make payments when investor leaves) and a portfolio allocation period, means an investor in the entity who has a prescribed investor rate of 0% for the period.
Compare: 1994 No 164 s OB 1 Section OB 1 accommodation: inserted (with effect on 1 April 2005), on 6 Oc- tober 2009, by section 844(2) of the Taxation (International Taxation, Life In- surance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 actuarially determined: inserted (with effect on 1 April 2006), on 6 October 2009, by section 844(3) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 allowable rebates paragraph (a): substituted (with effect from 1 October 2007), on 19 December 2007, by section 182(2) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
allowable rebates: paragraph (a) of this deﬁnition was amended, as from 1 July 2007, by section 49(2) Taxation (KiwiSaver and Company Tax Rate Amend- ments) Act 2007 (2007 No 19) by substituting “of money) and excluding tax credits allowed under subpart KJ (KiwiSaver scheme and complying superannu- ation fund tax credits)” for “of money)”.
Section OB 1 applicable basic tax rate paragraph (b): amended, on 19 Decem- ber 2007, by section 182(3) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 attribution company: inserted (with effect from 1 October 2007), on 19 December 2007, by section 182(4) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 base amount: inserted, on 1 October 2007, by section 191(4) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Section OB 1 cancellation: amended (with effect on 25 February 2008), on 6 October 2009, by section 844(4) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 child paragraph (b): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(5) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

2630 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 child: paragraph (b) of this deﬁnition was amended, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11) by omitting “be- tween a man and a woman”.
child: paragraph (b) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “a person who is not in a marriage, civil union, or de facto relationship between a man and a woman, and who” for “an unmarried person who”.

Section OB 1 child paragraph (b)(iii): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(6) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
civil union partner: this deﬁnition was inserted, as from 26 April 2005, by sec- tion 3(1) Income Tax Amendment Act 2005 (2005 No 11).

Section OB 1 civil union partner: amended (with effect from 1 April 2007), on 19 December 2007, by section 182(7) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

complying fund rules: this deﬁnition was inserted, as from 18 December 2006, by section 155(6) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Section OB 1 complying fund rules paragraph (a): amended, on 1 April 2008, by section 12(2)(a) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

complying fund rules: paragraph (a) of this deﬁnition was amended, as from 1 July 2007, by section 49(3) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19) by substituting “7, 9, and 17” for “7, and 9”.
Section OB 1 complying fund rules paragraph (b): amended (with effect from 1 July 2007), on 19 December 2007, by section 12(2)(b) of the Taxation (Kiwi- Saver) Act 2007 (2007 No 110).

complying fund rules: paragraph (cb) of this deﬁnition was inserted, as from 21 May 2007, by section 49(4) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
See section 49(19) of that Act as to the application of this amendment “for a superannuation fund and an employee’s superannuation accumulation, on and after 1 July 2007, unless the fund is ap- proved by the Government Actuary as a complying superannuation fund before 17 May 2007”.

Section 49(20) of that Act states, “If subsection (4) does not apply, because of subsection (19), the law that would apply if subsection (4) did not exist applies instead”.
Section OB 1 complying fund rules paragraph (cc): inserted, on 1 April 2008, by section 12(2)(c) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

complying fund rules: paragraph (eb) of this deﬁnition was inserted, as from 1 July 2007, by section 49(5) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 complying fund rules paragraph (i): substituted, on 1 April 2008, by section 12(2)(d) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).
Section OB 1 complying fund rules paragraph (j): substituted, on 1 April 2008, by section 12(2)(d) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

Section OB 1 complying fund rules paragraph (k): repealed, on 1 April 2008, by section 12(2)(e) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).
2631 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 complying fund rules paragraph (l): amended, on 1 April 2008, by section 12(2)(f) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

Section OB 1 compulsory employer contribution: inserted, on 1 April 2008, by section 12(3) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).
Section OB 1 consideration paragraph (aa): inserted (with effect on 25 Febru- ary 2008), on 6 October 2009, by section 844(5) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 consolidation rules paragraph (a)(vii): amended, on 1 October 2007, by section 191(7) of the Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 convert: inserted, on 26 September 2008, by section 66(2) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section OB 1 cost of timber: substituted (with effect on 1 April 2005), on 7 De- cember 2009, by section 162(2) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
cost of timber: this deﬁnition was inserted, as from 1 April 2005, by sec- tion 261(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Section OB 1 creditable membership: inserted (with effect from 1 July 2007), on 19 December 2007, by section 12(4) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).
Section OB 1 creditable membership paragraph (b): substituted (with effect on 1 July 2007), on 7 December 2009, by section 162(3) of the Taxation (Con- sequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).

Section OB 1 creditable membership paragraph (b)(i): substituted (with ef- fect on 1 July 2007), on 6 October 2009, by section 844(6) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 creditable membership paragraph (c): added (with effect on 1 July 2007), on 7 December 2009, by section 162(3) of the Taxation (Conse- quential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).

Section OB 1 debt security: inserted (with effect on 25 February 2008), on 6 October 2009, by section 844(7) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 dependent child paragraph (da): inserted, on 24 August 2010 (applying for the 2005–06 and later income years and only for the purpose of validating payments of credits of tax made under subpart KD of the Income Tax Act 2004 made in relation to any of those income years), by section 6(1) of the Taxation (Deﬁnitions of Dependent Child) Act 2010 (2010 No 104).
Section OB 1 derivative instrument: inserted (with effect on 1 April 2007), on 6 October 2009, by section 844(8) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 elected period: amended (with effect from 1 April 2007), on 19 December 2007, by section 182(8) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
2632 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 eligible period: paragraph (b) of this deﬁnition was substituted, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11).

eligible period: paragraph (d) of this deﬁnition was amended, as from 1 April 2005, by section 11(3) Taxation (Working for Families) Act 2004 (2004 No 52) by substituting “day; and” for “day”.
eligible period: paragraph (e) of this deﬁnition was inserted, as from 1 April 2005, by section 11(4) Taxation (Working for Families) Act 2004 (2004 No 52).

eligible period: paragraph (e) of this deﬁnition was amended, as from 1 April 2005, by section 261(8) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting “does not change” for “changes”.
eligible period: paragraph (e) of this deﬁnition was amended, as from 1 April 2005, by section 155(11) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81) by substituting “last day; and” for “last day” with application as from the 2005–06 income year.
eligible period: paragraph (e) of this deﬁnition was substituted, as from 1 Oc- tober 2005, by section 87(8) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 in- come year.

eligible period: paragraph (f) of this deﬁnition was inserted, as from 1 April 2005, by section 155(11) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
Section OB 1 eligible period paragraph (f): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(9) of the Taxation (Business Tax- ation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 employee paragraph (b): amended (with effect on 1 April 2005), on 6 October 2009, by section 844(9) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
employee’s superannuation accumulation: this deﬁnition was inserted, as from 18 December 2006, by section 155(12) Taxation (Savings Investment and Mis- cellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 employee’s superannuation accumulation paragraph (a): sub- stituted, on 1 April 2008, by section 12(5) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).
employee’s superannuation accumulation: paragraph (a) of this deﬁnition was amended, as from 1 July 2007, by section 49(6)(a) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19) by omitting “com- pletely”.

employee’s superannuation accumulation: paragraph (ab) of this deﬁnition was inserted, as from 1 July 2007, by section 49(6)(b) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 employer contribution: inserted, on 1 April 2008, by section 12(6) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

2633 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 employment paragraph (d): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(10) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 employment paragraph (e): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(11) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

employment: paragraph (e) of this deﬁnition was amended, as from 18 Decem- ber 2006, by section 155(14) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “that section and section KD 3A (Rules for family tax credit)” for “that section”.
Section OB 1 equity instrument: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(12) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 ETS unit: inserted, on 26 September 2008, by section 66(3) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section OB 1 excluded security: amended (with effect on 25 February 2008), on 6 October 2009, by section 844(10) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 fair value method: substituted (with effect on 1 April 2007), on 6 October 2009, by section 844(11) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 fair value method: amended (with effect on 1 April 2007), on 7 September 2010, by section 207(2) of the Taxation (Annual Rates, Trans- Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109).

Section OB 1 family plus: repealed (with effect from 1 April 2007), on 19 December 2007, by section 182(14) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
family plus: paragraph (a) of this deﬁnition was substituted, as from 1 April 2006, by section 19(2) Taxation (Working for Families) Act 2004 (2004 No 52).

family support credit: this deﬁnition was substituted, as from 1 April 2005, by section 11(6) Taxation (Working for Families) Act 2004 (2004 No 52).

Section OB 1 family support credit: amended (with effect from 1 April 2007), on 19 December 2007, by section 182(15) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 family tax credit: repealed (with effect from 1 April 2007), on 19 December 2007, by section 182(16) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

family tax credit: this deﬁnition was substituted, as from 1 April 2005, by sec- tion 11(7) Taxation (Working for Families) Act 2004 (2004 No 52).
ﬁnance lease: this deﬁnition was substituted, as from 1 October 2005, by section 87(11) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
ﬁnance lease: paragraph (b) of this deﬁnition was substituted, as from 1 October 2005, by section 261(10) Taxation (Venture Capital and Miscellaneous Provi- 2634 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 sions) Act 2004 (2004 No 111) with application as from the 2005–06 income year.

Section OB 1 ﬁnance lease paragraph (b): amended (with effect from 20 June 2007), on 19 December 2007, by section 182(17) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 ﬁnance lease paragraph (c): added (with effect from 20 June 2007), on 19 December 2007, by section 182(17) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 Financial Reporting Standard No 13 1995 (Accounting for Research and Development Activities): repealed (with effect from 1 April 2007), on 19 December 2007, by section 182(18) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 ﬁnancial statements: amended (with effect from 1 April 2007), on 19 December 2007, by section 182(19) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
ﬁnancial statements: this deﬁnition was amended, as from 1 April 2007, by section 155(18) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by inserting “, section EG 3 (Allocation of income and deductions by portfolio tax rate entity),” before “and section ME 5” with application for income years beginning as from 1 October 2007.
Section OB 1 ﬁrst instalment date: repealed, on 1 October 2007, by section 191(16) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
ﬁxed rate share: paragraph (a) of this deﬁnition was amended, as from 1 April 2005, by section 155(19)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by inserting “and any imputation credits or dividend withholding payment credits attached to any dividend” after “issue of the share” with application as from the 2005–06 income year.
ﬁxed rate share: paragraph (e) of this deﬁnition was substituted, as from 1 July 2005, by section 87(13) Taxation (Base Maintenance and Miscellaneous Pro- visions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.

Section OB 1 ﬁxed rate share paragraph (e): amended (with effect on 25 Febru- ary 2008), on 6 October 2009, by section 844(12) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
ﬁxed rate share: paragraph (e) of this deﬁnition was amended, as from 1 April 2007, by section 155(19)(b) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “EX 40 (Limits on choice of calculation methods), FG 8G (New Zealand net equity of New Zealand banking group),” for “FG 8G (New Zealand net equity of New Zealand banking group)” with application for income years beginning as from 1 October 2007.
Section OB 1 ﬁxed rate share paragraph (f): substituted (with effect on 25 February 2008), on 7 December 2009, by section 162(4) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).

Section OB 1 ﬁxed rate share paragraph (f): added (with effect on 25 February 2008), on 6 October 2009, by section 844(12) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
2635 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 ﬁxed rate share paragraph (g): substituted (with effect on 25 February 2008), on 7 December 2009, by section 162(4) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
Section OB 1 ﬁxed rate share paragraph (g): added (with effect on 25 February 2008), on 6 October 2009, by section 844(12) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 ﬁxed rate share paragraph (h): added (with effect on 25 February 2008), on 7 December 2009, by section 162(4) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
Section OB 1 foreign investment vehicle: inserted, on 1 October 2007, by sec- tion 155(20) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 forest land unit: inserted, on 26 September 2008, by section 66(4) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section OB 1 forestry business: inserted (with effect on 1 April 2005), on 7 De- cember 2009, by section 162(5) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).

inserted (with effect on 1 April Section OB 1 general insurance contract: 2006), on 6 October 2009, by section 844(13) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 gifting settlor: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(20) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 group of companies: amended, on 19 December 2007, by section 182(21) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 GST ratio: inserted, on 1 October 2007, by section 191(26) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Section OB 1 IFRS 4: inserted (with effect on 1 April 2006), on 6 October 2009, by section 844(14) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 IFRS: inserted (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 182(22) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 IFRS taxpayer method: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(22) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 impaired credit adjustment: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(22) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 income interest paragraph (b): amended (with effect on 1 April 2005), on 6 October 2009, by section 844(15) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
2636 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 Section OB 1 income tax liability paragraph (a): substituted, on 1 October 2007, by section 49(8) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 instalment date: substituted, on 1 October 2007, by section 191(29) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 interest instalment date: inserted, on 1 October 2007, by section 191(30) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Section OB 1 investor: substituted, on 1 October 2007, by section 155(25) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Section OB 1 investor paragraph (b): substituted (with effect from 1 October 2007), on 19 December 2007, by section 182(23) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 investor paragraph (c): repealed (with effect from 1 October 2007), on 19 December 2007, by section 182(23) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 in-work payment: repealed (with effect from 1 April 2007), on 19 December 2007, by section 182(24) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

in-work payment: this deﬁnition was inserted, as from 1 April 2006, by section 19(3) Taxation (Working for Families) Act 2004 (2004 No 52).
Section OB 1 in-work tax credit: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(24) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 Kyoto unit: inserted, on 26 September 2008, by section 66(5) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section OB 1 land paragraph (a)(i): repealed (with effect from 1 April 2005), on 19 December 2007, by section 182(25) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
lease: paragraph (ab) of this deﬁnition was inserted, as from 1 April 2006, by section 191(31) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006. lease: paragraph (ab) of this deﬁnition was repealed, as from 18 December 2006, by section 155(28) Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81).
Section OB 1 lease paragraph (d): amended (with effect from 20 June 2007), on 19 December 2007, by section 182(26) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

lease: paragraph (d) of this deﬁnition (the words before subpara (i)) was amended, as from 1 October 2005, by section 261(13(a)(i) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “FC 8I” for the expression “FC 8G”.
2637 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 lease: paragraph (d) of this deﬁnition was amended, as from 1 October 2005, by section 261(13(a)(ii) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the words “operating lease,” before the words “outstanding balance,”.
lease: paragraph (d)(iib) of this deﬁnition was inserted, as from 1 October 2005, by section 261(13(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

Section OB 1 market value circumstance paragraph (a)(ii): amended (with effect on 25 February 2008), on 6 October 2009, by section 844(16) of the Tax- ation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 member credit contributions: substituted (with effect from 1 July 2007), on 19 December 2007, by section 12(7) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

Section OB 1 member credit contributions paragraph (a)(iib): inserted (with effect on 1 July 2007), on 6 October 2009, by section 844(17) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 minimum family tax credit: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(27) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 new reporting standard: inserted (with effect on 1 April 2005), on 7 December 2009, by section 162(6) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
Section OB 1 new tax rate person: inserted, on 1 October 2007, by section 49(10) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 New Zealand unit: inserted, on 26 September 2008, by section 66(6) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section OB 1 Niue International Trust Fund: inserted (with effect from 1 April 2005), on 19 December 2007, by section 182(28) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 non-integral fee: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(29) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 non-refundable credit paragraph (ab): inserted, on 1 October 2007, by section 155(30) of the Taxation (Savings Investment and Miscellan- eous Provisions) Act 2006 (2006 No 81).

Section OB 1 NZIAS 2: inserted (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 182(30) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 NZIAS 8: inserted (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 182(30) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

2638 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 Section OB 1 NZIAS 17: inserted (with effect from 1 April 2007), on 19 De- cember 2007, by section 182(30) of the Taxation (Business Taxation and Re- medial Matters) Act 2007 (2007 No 109).
Section OB 1 NZIAS 23: inserted (with effect on 1 April 2007), on 6 October 2009, by section 844(18) of the Taxation (International Taxation, Life Insur- ance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 NZIAS 32: inserted (with effect from 1 April 2007), on 19 De- cember 2007, by section 182(30) of the Taxation (Business Taxation and Re- medial Matters) Act 2007 (2007 No 109).
Section OB 1 NZIAS 39: inserted (with effect from 1 April 2007), on 19 De- cember 2007, by section 182(30) of the Taxation (Business Taxation and Re- medial Matters) Act 2007 (2007 No 109).

Section OB 1 NZIAS 41: inserted (with effect from 1 April 2007), on 19 De- cember 2007, by section 182(30) of the Taxation (Business Taxation and Re- medial Matters) Act 2007 (2007 No 109).
Section OB 1 offshore development: repealed (with effect on 1 April 2008), on 6 October 2009, by section 844(19) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

inserted (with effect from 1 October Section OB 1 old company tax rate: 2007), on 19 December 2007, by section 182(31) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 old reporting standard: inserted (with effect on 1 April 2005), on 7 December 2009, by section 162(7) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).

Section OB 1 onshore development: repealed (with effect on 1 April 2008), on 6 October 2009, by section 844(20) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 operating lease: amended (with effect on 1 April 2007), on 6 Oc- tober 2009, by section 844(21) of the Taxation (International Taxation, Life In- surance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 outstanding claims reserve: inserted (with effect on 1 April 2006), on 6 October 2009, by section 844(22) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 outstanding claims reserve: amended (with effect on 1 April 2006), on 21 December 2010 (applies for the ﬁrst income year for which an insurer adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if the person chooses to use IFRS 4 in a return of income for that ﬁrst year), by section 169(1) of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130).
Section OB 1 overtime: substituted (with effect on 1 April 2005), on 7 Decem- ber 2009, by section 162(8) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).

Section OB 1 overtime: inserted (with effect on 1 April 2005), on 6 October 2009, by section 844(23) of the Taxation (International Taxation, Life Insur- ance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 PAYE period: substituted, on 1 April 2008, by section 12(8) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

2639 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 personal service rehabilitation payment: inserted, on 1 July 2008, by section 182(32) of the Taxation (Business Taxation and Remedial Mat- ters) Act 2007 (2007 No 109).
Section OB 1 petroleum mining development: inserted (with effect on 1 April 2008), on 6 October 2009, by section 844(24) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 petroleum mining operations: substituted (with effect from 1 April 2005), on 19 December 2007, by section 182(33) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
inserted, on 1 October 2007, by Section OB 1 portfolio allocation period: section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).

Section OB 1 portfoilio calculation period: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).
Section OB 1 portfolio class fraction: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 portfolio class investment value: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81).
Section OB 1 portfolio class net income: inserted, on 1 October 2007, by sec- tion 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 portfolio class net loss: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Section OB 1 portfolio class taxable income: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).

Section OB 1 portfolio class taxable loss: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).
Section OB 1 portfolio deﬁned beneﬁt fund: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).

Section OB 1 portfolio entity formation loss: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).
Section OB 1 portfolio entity investment: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).

Section OB 1 portfolio entity investment: amended, on 19 December 2007, by section 182(34) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
2640 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 Section OB 1 portfolio entity tax liablity: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).

Section OB 1 portfolio investment entity: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).
Section OB 1 portfolio investment entity paragraph (c): amended (with effect from 1 October 2007), on 19 December 2007, by section 182(35) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 portfolio investment entity paragraph (d): added (with effect from 1 October 2007), on 19 December 2007, by section 182(35) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 portfolio investment-linked life fund: inserted (with effect from 1 October 2007), on 19 December 2007, by section 182(36) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 portfolio investor allocated income: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellan- eous Provisions) Act 2006 (2006 No 81).
Section OB 1 portfolio investor allocated loss: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81).

Section OB 1 portfolio investor class: substituted (with effect from 1 October 2007), on 19 December 2007, by section 182(37) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 portfolio investor class: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 portfolio investor exit period: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).
Section OB 1 portfolio investor exit period: amended, on 1 October 2007, by section 49(12)(a) of the Taxation (KiwiSaver and Company Tax Rate Amend- ments) Act 2007 (2007 No 19).

Section OB 1 portfolio investor exit period paragraph (a)(ii): amended, on 1 October 2007, by section 49(12)(b) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio investor exit period paragraph (a)(ii): amended, on 1 October 2007, by section 49(12)(c) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 portfolio investor exit period paragraph (a)(ii): amended, on 1 October 2007, by section 49(12)(d) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio investor exit period paragraph (a)(iii): added, on 1 October 2007, by section 49(12)(d) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

2641 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 portfolio investor exit period paragraph (b)(i): amended, on 1 October 2007, by section 49(12)(e) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio investor exit period paragraph (b)(ii): substituted (with effect from 1 October 2007), on 19 December 2007, by section 182(38) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 portfolio investor exit period paragraph (b)(ii): substituted, on 1 October 2007, by section 49(12)(f) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio investor interest: inserted, on 1 October 2007, by sec- tion 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 portfolio investor interest fraction: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81).
Section OB 1 portfolio investor proxy: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 portfolio investor rate: substituted (with effect from 1 October 2007), on 19 December 2007, by section 182(39) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 portfolio investor rate: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 portfolio investor rate paragraph (a): amended (with effect on 1 April 2005), on 6 October 2009, by section 844(25) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 portfolio investor rate paragraph (a): amended, on 1 October 2007, by section 49(13)(a) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 portfolio investor rate paragraph (b)(i): substituted, on 1 October 2007, by section 49(13)(b) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio investor rate paragraph (b)(ii): substituted, on 1 Octo- ber 2007, by section 49(13)(b) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 portfolio investor rate paragraph (b)(iii): added, on 1 October 2007, by section 49(13)(b) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio investor rate paragraph (b)(iv): added, on 1 October 2007, by section 49(13)(b) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 portfolio land company: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
2642 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 Section OB 1 portfolio land company paragraph (b): amended (with effect from 1 October 2007), on 19 December 2007, by section 182(40)(a) of the Tax- ation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 portfolio land company paragraph (b): amended, on 1 October 2007, by section 49(14) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio land company paragraph (b)(ii): amended (with effect from 1 October 2007), on 19 December 2007, by section 182(40)(b) of the Tax- ation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 portfolio land company paragraph (c): added (with effect from 1 October 2007), on 19 December 2007, by section 182(40)(b) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 portfolio listed company: substituted, on 1 October 2007, by sec- tion 49(15) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 portfolio listed company paragraph (d): amended (with effect from 1 October 2007), on 19 December 2007, by section 182(41) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 portfolio listed company paragraph (e): added (with effect from 1 October 2007), on 19 December 2007, by section 182(41) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 portfolio listed company: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Section OB 1 portfolio tax rate entity: inserted, on 1 October 2007, by section 155(35) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 portfolio tax rate entity paragraph (d): substituted, on 1 October 2007, by section 49(16) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 portfolio tax rate entity paragraph (d): amended (with effect from 1 October 2007), on 19 December 2007, by section 182(42) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 portfolio tax rate entity paragraph (e): added (with effect from 1 October 2007), on 19 December 2007, by section 182(42) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 post-1989 forest land: inserted, on 26 September 2008, by sec- tion 66(7) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section OB 1 post-1989 forest land unit: inserted, on 26 September 2008, by section 66(7) of the Climate Change Response (Emissions Trading) Amend- ment Act 2008 (2008 No 85).
Section OB 1 pre-1990 forest land: inserted, on 26 September 2008, by section 66(8) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

2643 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 pre-1990 forest land unit: inserted, on 26 September 2008, by section 66(8) of the Climate Change Response (Emissions Trading) Amend- ment Act 2008 (2008 No 85).
Section OB 1 prescribed investor rate: inserted, on 1 October 2007, by section 155(37) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OB 1 prescribed investor rate paragraph (a): amended, on 1 October 2007, by section 49(17)(a) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 prescribed investor rate paragraph (a)(ii): substituted (with ef- fect on 1 October 2007), on 6 October 2009, by section 844(26) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 prescribed investor rate paragraph (b)(ii): amended, on 1 Oc- tober 2007, by section 49(17)(b) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Section OB 1 prescribed investor rate paragraph (c)(ii): substituted, on 1 Oc- tober 2007, by section 49(17)(c) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

Section OB 1 prescribed investor rate paragraph (c)(iv): substituted, on 1 Oc- tober 2007, by section 49(17)(d) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
inserted (with effect on Section OB 1 proportional-stapling company: 25 February 2008), on 6 October 2009, by section 844(27) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 provisional tax rules paragraph (a)(iii): amended, on 1 Octo- ber 2007, by section 191(44)(a) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 provisional tax rules paragraph (a)(iv): amended, on 1 Octo- ber 2007, by section 191(44)(b) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Section OB 1 provisional tax rules paragraph (a)(v): repealed, on 1 Octo- ber 2007, by section 191(44)(c) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 provisional taxpayer: substituted, on 1 October 2007, by section 191(45) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
qualifying person: paragraph (a)(iib) and (iic) of this deﬁnition was inserted, as from 1 October 2005, by section 191(47) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for: a person who becomes a transitional resident on or after 1 April 2006; and as from the income year corresponding to the 2005–06 tax year.
qualifying person: paragraph (a)(iib) of this deﬁnition was substituted, as from 18 December 2006, by section 155(40)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

2644 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 qualifying person: paragraph (a)(iic) of this deﬁnition was repealed, as from 18 December 2006, by section 155(40)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Section OB 1 qualifying person paragraph (a)(iii): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(43) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 qualifying person paragraph (c): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(43) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
qualifying person: paragraph (c) of this deﬁnition was amended, as from 18 December 2006, by section 155(40)(b) Taxation (Savings Investment and Mis- cellaneous Provisions) Act 2006 (2006 No 81) by substituting “that section and section KD 3A (Rules for family tax credit)” for “that section”.

Section OB 1 ratio instalment date: inserted, on 1 October 2007, by section 191(50) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 redundancy payment: inserted (with effect from 1 December 2006), on 19 December 2007, by section 182(44) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

refundable credit: paragraph (c) of this deﬁnition was amended, as from 18 December 2006, by section 155(41) Taxation (Savings Investment and Miscel- laneous Provisions) Act 2006 (2006 No 81) by substituting “credit; or” for “credit”.
refundable credit: paragraph (d) of this deﬁnition was inserted, as from 18 De- cember 2006, by section 155(41) Taxation (Savings Investment and Miscellan- eous Provisions) Act 2006 (2006 No 81).

Section OB 1 refundable credit paragraph (d): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(45) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 refundable credit paragraph (e): added (with effect from 1 April 2007), on 19 December 2007, by section 182(45) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 refundable rebate: amended (with effect from 1 April 2007), on 19 December 2007, by section 182(46) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 registered as a charitable entity: inserted, on 1 July 2008, by section 68 of the Charities Act 2005 (2005 No 39).

Section OB 1 replacement ETS unit: inserted, on 26 September 2008, by sec- tion 66(9) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section OB 1 resident: amended (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 182(47) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 residual income tax: amended (with effect from 1 April 2007), on 19 December 2007, by section 182(48)(a) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

2645 Part O s OB 1 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 residual income tax paragraph (jb): inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(48)(b) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 retirement savings scheme: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(49) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 retirement scheme contribution: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(49) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
inserted Section OB 1 retirement scheme contribution withholding tax: (with effect from 1 April 2007), on 19 December 2007, by section 182(49) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 retirement scheme contributor: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(49) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 retirement scheme prescribed rate: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(49) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 retirement scheme withholding rate: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(49) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 revenue account property paragraph (b): amended (with effect on 1 April 2005), on 7 September 2010 (applying for the 2005–06 and later income years), by section 207(1) of the Taxation (Annual Rates, Trans-Tas- man Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109).

Section OB 1 revenue account property paragraph (b): amended, on 26 Sep- tember 2008, by section 66(10) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section OB 1 revenue account property paragraph (c): added, on 26 Sep- tember 2008, by section 66(10) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).

Section OB 1 RSCWT rules: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(50) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
salary or wages: paragraph (b)(v) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “wife, husband, civil union partner” for “wife or husband”.

salary or wages: paragraph (b)(v) of this deﬁnition was amended, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11) by substituting “wife, husband, civil union partner, de facto partner” for “wife, husband, civil union partner”.
Section OB 1 salary or wages paragraph (d): substituted, on 1 April 2008, by section 12(9) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

salary or wages: paragraph (d) of this deﬁnition was inserted, as from 1 Decem- ber 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).

See section 232 of 2646 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 1 that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.
See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

Section OB 1 schedular income paragraph (db): inserted, on 1 October 2007, by section 155(43) of the Taxation (Savings Investment and Miscellaneous Pro- visions) Act 2006 (2006 No 81).

Section OB 1 second instalment date: repealed, on 1 October 2007, by section 191(56) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 separated person paragraph (b): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(51) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).

separated person: paragraph (b) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “deﬁnitions of spouse and civil union partner” for “deﬁnition of spouse”.
separated person: paragraph (b) of this deﬁnition was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “the spouse or civil union partner” for “the spouse”.

Section OB 1 share paragraph (b): amended (with effect on 25 February 2008), on 6 October 2009, by section 844(28) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Section OB 1 shareholder agreement: inserted (with effect on 25 February 2008), on 6 October 2009, by section 844(29) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 shortfall penalty: inserted, on 1 October 2007, by section 191(61) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 sound commercial reason: inserted (with effect from 1 April 2007), on 19 December 2007, by section 182(52) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 speciﬁed period paragraph (a): amended (with effect from 1 April 2007), on 19 December 2007, by section 182(53) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
spouse: this deﬁnition was substituted, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11).

Section OB 1 spouse: amended (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 182(54) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 stapled: inserted (with effect on 25 February 2008), on 6 Octo- ber 2009, by section 844(30) of the Taxation (International Taxation, Life In- surance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 stapled debt security: inserted (with effect on 25 February 2008), on 6 October 2009, by section 844(30) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
2647 Part O s OB 2 Income Tax Act 2004 Reprinted as at 29 August 2011 Section OB 1 superannuation scheme paragraph (a)(ib): repealed, on 19 De- cember 2007, by section 12(10) of the Taxation (KiwiSaver) Act 2007 (2007 No 110).

superannuation scheme: paragraph (a)(ib) of this deﬁnition was inserted, as from 1 December 2006, by section 231 KiwiSaver Act 2006 (2006 No 40).
See section 232 of that Act as to the transitional provision requiring all KiwiSaver contributions to be paid to the Commissioner in the ﬁrst 3 months.

See clause 2(2) KiwiSaver Act Commencement Order 2006 (SR 2006/357).

Section OB 1 surrender: inserted, on 26 September 2008, by section 66(11) of the Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85).
Section OB 1 taxable period: substituted, on 1 October 2007, by section 191(65) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Section OB 1 third instalment date: repealed, on 1 October 2007, by section 191(66) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Section OB 1 timber: substituted (with effect on 1 April 2005), on 7 December 2009, by section 162(9) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).

timber: paragraph (e) of this deﬁnition was repealed, as from 1 April 2005, by section 261(36) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Section OB 1 Tokelau International Trust Fund: inserted (with effect from 1 April 2005), on 19 December 2007, by section 182(55) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 1 total taxable supplies: inserted, on 1 October 2007, by section 191(67) of the Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
venture investment agreement: this deﬁnition was inserted, as from 3 April 2006, by section 191(71) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Section OB 1 venture investment agreement: amended (with effect from 1 April 2007), on 19 December 2007, by section 182(56) of the Taxation (Busi- ness Taxation and Remedial Matters) Act 2007 (2007 No 109).
Section OB 1 work-related relocation: inserted (with effect on 1 April 2005), on 6 October 2009, by section 844(31) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).

Section OB 1 zero-rated portfolio investor: inserted, on 1 October 2007, by section 155(47) of the Taxation (Savings Investment and Miscellaneous Provi- sions) Act 2006 (2006 No 81).
OB 2 Meaning of source deduction payment (1) In this Act, except as provided in subsection (2), source deduc- tion payment means a payment by way of salary or wages, an extra pay, or a withholding payment, but does not include an 2648 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 2 (2) amount attributed in accordance with GC 14D, or a personal services rehabilitation payment for a claimant under the Injury Prevention, Rehabilitation, and Compensation Act 2001.
If a taxpayer is a shareholder in and an employee of a close company and in the taxpayer’s tax year (or in the taxpayer’s corresponding accounting year)— (a) the taxpayer does not derive as an employee of the com- pany— (i) (ii) salary or wages of a regular amount for regular pay periods of 1 month or less regularly through- out that tax year (or corresponding accounting year); or salary or wages, by way of regular payments throughout that tax year (or corresponding ac- counting year) of a regular amount for regular pay periods, that are in total at least two-thirds of the annual gross income which the taxpayer de- rives in that tax year (or corresponding account- ing year) as an employee of the company; or (b) any amount is paid or credited to the taxpayer, or applied on the taxpayer’s account, in anticipation or in respect of any income that may subsequently be allocated to the taxpayer as an employee of the company,— for the purposes of this Act, except the FBT rules,— (c) all assessable income that the taxpayer derives as an em- ployee of the company in every subsequent tax year (or corresponding accounting year) is deemed to be assess- able income derived otherwise than from source deduc- tion payments; and if the taxpayer so chooses, all assessable income that the taxpayer derives from the company in that tax year (or corresponding accounting year) as an employee of the company is deemed to be assessable income derived otherwise than from source deduction payments.
(d) Compare: 1994 No 164 s OB 2 Section OB 2 heading: substituted, on 1 July 2008, by section 183(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Section OB 2(1): amended, on 1 July 2008, by section 183(2) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
2649 Part O s OB 3 Income Tax Act 2004 Reprinted as at 29 August 2011 OB 3 Meaning of qualifying company (1) In this Act, but subject to section HG 7, qualifying company means, in respect of any income year, a company (not being a unit trust) where— (a) at no time during the income year is the company a foreign company; and at all times during the income year the company— (i) (b) (c) (d) (ii) has 5 or fewer shareholders (as determined where appropriate in accordance with subsection (3) and section OD 9); or is a company whose governing instrument pro- vides that each registered shareholder is entitled to occupation or use of a residential property in New Zealand owned by the company, such prop- erties being the only signiﬁcant assets of the com- pany; and subject to subsection (4), each person who is at any time during the income year a shareholder in the company is— (i) (ii) a natural person other than a trustee; or a trustee of a trust in respect of which all divi- dends, that are not non-cash dividends other than taxable bonus issues, derived by the trustee from the company during the income year are beneﬁ- ciary income of beneﬁciaries who are not trustees or companies other than qualifying companies; or another qualifying company; and (iii) the foreign non-dividend income (if any) derived during the income year by the company does not, after deduc- tion of the lesser of— (i) such part of that foreign non-dividend income as is income within the meaning of section CC 3; and 10% of the annual gross income of the company for the income year,— (ii) exceed $10,000 (or such greater sum as the Governor-General may from time to time by Order in Council declare for the purposes of this paragraph); and 2650 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 3 (e) (f) a director election made in accordance with section HG 3 by all persons who are directors of the company at the time of election is in effect at all times during the income year and has not been revoked; and a shareholder election made in
 accordance with any of section HG 4(1) to (3)— (i) is in effect at all times during the income year; and subject to section HG 6, has not been revoked,— (ii) in respect of each shareholder who is sui juris; and (g) the company has not ceased in that income year to be a qualifying company under section HG 18 by virtue of ceasing to be a loss attributing qualifying company.
(3) For the purposes only of subsection (1)(b)(i) and this subsec- tion,— (a) (b) (c) shares in a company that are held by another company are, notwithstanding section HG 2(a), deemed to be held by the shareholders in that latter company; and a natural person who is a shareholder in a company and all other shareholders in the company who are persons connected with that natural person by blood relation- ship, marriage, civil union or de facto relationship, or adoption, in each case within the ﬁrst degree of rela- tionship, are treated as a single shareholder; and where— (i) a person becomes at any time a shareholder in a qualifying company, whether by virtue of ac- quiring shares in the company or by virtue of the company becoming a qualifying company; and that person is at the time treated with any other person as being a single shareholder under para- graph (b),— (ii) that person remains so treated, notwithstanding any subse- quent death or ending of a marriage, civil union or de facto relationship, for so long as he or she remains a shareholder in the qualifying company; and (d) where a shareholder in a company is a trustee, and a shareholder election made in respect of that trust is at any time in effect,— 2651 Part O s OB 3 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) the persons who have, between the ﬁrst day of the 1991-92 income year and that time, derived from the trust beneﬁciary income being dividends de- rived from any qualifying company; or the persons (other than the trustee) who made such an election,— (whichever group of persons is greater in number) are deemed to be shareholders in the company at that time in substitution for the trustee, who is not counted as a shareholder at that time.
(3A) A company does not cease to be a qualifying company in an income year by reason only of a failure to comply with sub- section (1)(c)(ii) if— (a) (b) as much of the dividends of the kind speciﬁed in sub- section (1)(c)(ii) as is available to be distributed under general trust law is beneﬁciary income of beneﬁciaries (not being trustees or companies other than qualifying companies); and at any time since the company attained qualifying company status, at least some dividends derived by the trustee from the company have vested or been distributed as beneﬁciary income of beneﬁciaries (not being trustees or companies other than qualifying com- panies).
(4) Any Order in Council made for the purposes of subsection (1)(d) may have retrospective effect to the extent that the order may be expressed to apply— (a) from the commencement of the income year in which the order is made; or in respect of income derived after any particular date within the income year in which the order is made.
(b) Compare: 1994 No 164 s OB 3 Subsection (1)(b)(i) was amended, as from 1 April 2005, by section 193(1) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) by substituting “subsection (3)” for “subsection (2)” with application as from the income year corresponding to the 2005–06 tax year.
Subsection (3)(b) was amended, as from 26 April 2005, by section 3(1) In- come Tax Amendment Act 2005 (2005 No 11) by substituting “marriage or civil union” for “marriage”.

2652 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 6 Subsection (3)(b) was amended, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11) by substituting “marriage, civil union or de facto relationship” for “marriage or civil union”.
Subsection (3)(c) was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “dissolution of mar- riage or civil union” for “marriage dissolution”.

Subsection (3)(c) was amended, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11) by substituting “ending of a marriage, civil union or de facto relationship” for “dissolution of marriage or civil union”.
OB 3A Extended meaning of charitable purpose (1) Despite the deﬁnition of charitable purpose in section OB 1, the purpose of a trust, society or institution is a charitable pur- pose under this Act if the purpose would satisfy the public beneﬁt requirement apart from the fact that the beneﬁciaries of the trust, or the members of the society or institution, are related by blood.
(2) Despite the deﬁnition of charitable purpose in section OB 1, a (b) marae has a charitable purpose if— (a) the physical structure of the marae is situated on land that is a Maori reservation referred to in Te Ture Whenua Maori Act 1993 (Maori Land Act 1993); and the funds of the marae are not used for a purpose other than— (i) the administration and maintenance of the land and of the physical structure of the marae: a purpose that is a charitable purpose other than under this subsection.
(ii) Compare: 1994 No 164 s OB 3B OB 6 Meaning of income tax (1) (b) Subject to subsection (2), in this Act, unless the context other- wise requires, income tax— (a) subject to paragraphs (b) to (l), means income tax im- posed under this Act: in sections CD 10B, CD 11, CW 11B, CW 45, EG 1, EX 44, EX 45, FC 19, HK 26, and LF 2(3), in relation to any country or territory outside New Zealand, means any tax which is substantially of the same nature as income tax imposed under section BB 1: 2653 Part O s OB 6 Income Tax Act 2004 Reprinted as at 29 August 2011 in the international tax rules and section LC 1, means,— in respect of any country or territory outside New (i) Zealand, any tax (whether imposed by a central, state, or local government) which is substantially of the same nature as income tax imposed under section BB 1 or as non-resident withholding tax imposed under the NRWT rules; but does not include— (A) any tax, penalty, or interest payable under any enactment of that country or territory imposing taxes, penalties, or interest on unpaid taxes, being a tax or penalty or in- terest which is substantially of the same nature as a civil penalty (as deﬁned in sec- tion 3(1) of the Tax Administration Act 1994) or a criminal penalty imposed under Part 9 of the Tax Administration Act 1994 or interest imposed under Part 7 of that Act: any amount in respect of tax which under the law of that country or territory a com- pany paying a dividend has deducted, or was authorised to deduct, from the divi- dend and which the person deriving the dividend was not personally liable to pay: in respect of New Zealand, income tax imposed under section BB 1; but does not include any civil penalty (as deﬁned in section 3(1) of the Tax Administration Act 1994) or criminal penalty im- posed under Part 9 of the Tax Administration Act 1994 or interest imposed under Part 7 of that Act: in the dividend withholding payment rules (other than subpart LF), the imputation rules, subparts HG and MF, and sections MD 3, ME 15 to ME 24, and NH 5,
 means income tax levied under section BB 1; but does not in- clude— (i) a civil penalty (as deﬁned in section 3(1) of the Tax Administration Act 1994), any speciﬁed superannuation contribution withholding tax, (B) (ii) (c) (d) 2654 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OB 6 retirement scheme contribution withholding tax, or fringe beneﬁt tax; or any interest payable under Part 7 of the Tax Administration Act 1994: (ii) in the deﬁnition of after-income tax earnings, and in subpart LF (except section LF 2(3)), means income tax (as deﬁned in paragraph (c) of this deﬁnition), whether of New Zealand or elsewhere, and includes any capital gains tax and branch repatriation or remittance tax: in the dividend withholding payment rules, the imput- ation rules, and subpart MF, in relation to tax that has been paid by a taxpayer, includes references to provi- sional tax: is deﬁned in section DB 1(2) for the purposes of that section: is a tax prescribed in section 173D of Administration Act 1994. the Tax (e) (f) (i) (l) (2) (3) For the purposes of the provisions in subsection (3), the terms income tax and tax do not include— dividend withholding payment penalty tax; or (a) fringe beneﬁt tax; or (b) imputation penalty tax; or (c) qualifying company election tax; or (d) (e) withdrawal tax.
The provisions are— (a) Part B, except for— (i) (ii) sections BB 3(2) and BH 1, if subparagraph (ii) does not apply: sections BB 3(1) and (2), BG 1, and BH 1, for the purposes of the fringe beneﬁt tax rules; and sections CB 13(1), CD 11, CF 2, CH 4, CQ 2(1) and (3), CQ 5, CR 1(4) and (5), CU 1 to CU 13, CU 21 to CU 25, CW 1, CW 3 to CW 20, CW 23 to CW 27 (except subsection (1)(c) and (d)), CW 28 to CW 30, CW 33 to CW 45, CW 47, CW 48, CW 50, CZ 2, CZ 5, CZ 16, and CZ 17; and sections DB 1, DB 43, DD 1 to DD 3, DD 10, DN 2, DN 6, DP 7, DP 8, DU 1 to DU 10 and DZ 12(1) and (2); and (b) (c) 2655 Part O s OB 6 Income Tax Act 2004 Reprinted as at 29 August 2011 (d) (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) (o) sections EC 17 to EC 19, EC 48, EG 2, EH 28 to EH 33, EH 60, EI 1, EI 6, EI 7, EJ 1, EX 18 to EX 24, EX 26, EX 30 to EX 42, EX 44, EX 46, EX 47, EX 50, EX 52, EX 57, EX 60, EY 41, EY 42, EY 45, EY 47, EZ 16 to EZ 18, EZ 24, EZ 34, EZ 35, and EZ 40; and sections FB 2, FC 3, FC 10, FC 13 to FC 21, FD 2, FD 4, FD 7, FD 9, and FD 10; and section GC 9; and sections HB 1, HB 2, HE 1, HE 2, HH 2 to HH 6, HJ 1, and HZ 2; and sections IE 1, IF 1, IG 1, IG 2, and IG 7; and sections KC 1 to KC 5, KE 1, KF 1, KF 3, KG 1, KZ 1, and KZ 2; and sections LC 4, LC 5, LC 16, and LF 2; and sections MB 29 to MB 32, ME 11 to ME 14, ME 26, ME 28, MF 8, MF 9, and MG 15; and section NH 5; and sections OB 6(1)(b), (c), and (i), OE 2, and OE 5; and the deﬁnitions of corpus, eligible company, qualifying trust, tax avoidance, and taxable distribution in section OB 1; and sections 31, 141B, and 183 of the Tax Administration Act 1994.
Compare: 1994 No 164 ss OB 6, OZ 1(3) Subsection (1)(b) was amended, as from 1 October 2005, by section 262 Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the expression “CW 11B,” after the expression “CD 11,” with ap- plication as from the income year corresponding to the 2005–06 income year.
Subsection (1)(b) was amended, as from 1 April 2006, by section 194(1) Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) by substituting the expression “CD 10B, CD 11, CW 11B, CW 45, EG 1, EX 44, EX 45” for the expression “CD 11, CW 11B, CW 45, EG 1”.

Section OB 6(1)(d)(i): amended (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 184(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Subsection (3)(a) was substituted, as from 1 April 2006, by section 194(2) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provi- sions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.

Section OB 6(3)(k): amended, on 1 October 2007, by section 194(3) of theTax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Pro- visions) Act 2006 (2006 No 3).
2656 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OC 1 Section OB 6(3)(o): amended (with effect from 1 April 2007), on 19 Decem- ber 2007, by section 184(2) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
Subpart OC—Special entities subject to tax Contents OC 1 Airport operators OC 3 OC 4 Co-operative marketing companies: regulations Statutory producer boards Page 2657 2660 2660 OC 1 Airport operators (1) (2) This section applies notwithstanding anything in this Act.
For the purposes of this Act,— (a) (b) an airport operator is deemed to be a company; and the parties to the joint venture agreement under which an airport is operated are deemed to hold shares in the airport operator which operates that airport in the pro- portions in which, in terms of the joint venture agree- ment, the proﬁts from the operation of that airport, after taking into account any adjustments in respect of previ- ous years, are to be shared between those parties; and activities as an airport operator are deemed to be a busi- ness; and an airport operator is deemed to own every asset that, in relation to that airport operator, is an airport asset; and an airport operator is deemed to be a person that is sep- arate from the Crown and every airport authority and every other person; and an airport operator is deemed to be neither a public au- thority nor a local authority; and an airport operator is deemed not to be a mutual associ- ation for the purposes of section HF 1; and (c) (d) (e) (f) (g) (h) where and to the extent that any party to a joint venture agreement provides funds for any purpose that relates to activities that, in relation to the airport operator that op- erates the airport to which the joint venture agreement 2657 Part O s OC 1 Income Tax Act 2004 Reprinted as at 29 August 2011 relates, are activities as an airport operator, and those funds are expressly agreed by the parties to that joint venture agreement to be advanced for the purpose of those activities as an airport operator, and those funds are provided for a consideration that requires a provi- sion, in the nature of interest, to be made by the airport operator for the beneﬁt of the party that provided the funds,— (i) (ii) (iii) the funds provided are deemed to be money bor- rowed by the airport operator; and the funds provided are deemed to be capital em- ployed by the airport operator; and that provision is deemed to be expenditure or, as the case may be, a loss in the nature of interest.
For the purposes of this Act, where an airport operator is deemed, under subsection (2), to own an asset, that asset is deemed to be acquired or to have been acquired by the airport operator at the time at which the airport operator acquires or acquired (otherwise than by way of purchase), or agrees to use or agreed to use, or commences to have the power to use or commenced to have the power to use that asset, and the airport operator is deemed to incur or to have incurred an amount of expenditure, in acquiring that asset, equal to the market value of that asset at that time.
For the purposes of this Act, where any asset that, in relation to an airport operator, is an airport asset, ceases, otherwise than by reason of its disposal by sale, to be an airport asset, that asset is deemed to have been sold by the airport operator, on the day on which it ceased to be an airport asset, for a price equal to its market value on that day.
If any question arises as to— (a) the market value of any asset for the purposes of sub- section (3); or the cost of any airport asset; or the time at which an airport operator acquired or agreed to use or commenced to have the power to use any as- set,— (b) (c) it must be determined— (3) (4) (5) 2658 Reprinted as at 29 August 2011 (d) (6) Income Tax Act 2004 Part O s OC 1 by agreement between the airport operator and the Commissioner; or in default of such agreement, by the Commissioner.
(e) In this section,— activities as an airport operator, in relation to an airport op- erator and to any joint venture agreement, means any activities undertaken for the purposes of the joint venture agreement by the airport operator in establishing, improving, maintaining, operating, or managing any airport (including the approaches, buildings, and other accommodation, and the equipment and appurtenances for the airport) airport has the same meaning as in section 2 of the Airport Authorities Act 1966 airport asset, in relation to any airport operator, means— (a) any asset that, in terms of or under the joint venture agreement that relates to the airport operator, the air- port authority that is a party to the venture agreement acquires or has acquired, or agrees to use or has agreed to use, or is given the power to use or has been given the power to use, for the purposes of the activities that in relation to the airport operator are activities as an air- port operator, and that the airport authority has not dis- posed of, or ceased to agree to use, or ceased to have the power to use for those purposes (not being an asset in respect of which, where that acquisition, agreement to use, or power to use is an acquisition, agreement, or power under a lease or an agreement to lease, that lease or agreement to lease is other than a speciﬁed or a ﬁ- nance lease): any asset that is owned by any person for the purposes of a depreciation sinking fund in respect of any asset that is an airport asset: any asset that is owned by any person for the purposes of a loan redemption sinking fund in respect of any loan, being a loan the interest payments in respect of which are, under the joint venture agreement that relates to the airport operator, a charge against so much of the joint income (of the parties to the joint venture agreement) (b) (c) 2659 Part O s OC 3 Income Tax Act 2004 Reprinted as at 29 August 2011 (d) as has not been allocated to or distributed to any of the said parties: any asset that the airport operator has
 purchased or otherwise acquired with funds that are, or, as the case may be, in exchange for property that is, acquired in the carrying on of activities as an airport operator and not allocated or, as the case may be, distributed to any of the parties to the joint venture agreement that relates to the airport operator.
Compare: 1994 No 164 s OC 1 OC 3 Statutory producer boards For the purposes of this Act,— (a) (b) (c) (d) a statutory producer board is deemed to be a company; and the activities of any statutory producer board are deemed to be a business; and levies received by any statutory producer board, other than levies charged speciﬁcally for capital development, are treated as income; and the provisions of section DA 1(1) apply to expenditure incurred in fulﬁlling the functions of any statutory pro- ducer board (not being expenditure which is denied as a deduction under any of sections DA 2, DB 1, DB 6 to DB 8, DB 18, DB 23, DW 2, DY 2, and GD 4) as if that expenditure were— (i) incurred in deriving income of the producer board; or necessarily incurred in the carrying on of a busi- ness by the producer board.
(ii) Compare: 1994 No 164 s OC 3 OC 4 Co-operative marketing companies: regulations (1) The Governor-General may from time to time, by Order in Council, make regulations under this Act for all or any of the following purposes: (a) authorising the Commissioner to classify as income (other than as a dividend) of any shareholder of a cooperative marketing company the whole or any part 2660 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OC 4 of any amount paid to the shareholder on the surrender of any share in the company, or on the liquidation of the company, in excess of the available subscribed capital per share, calculated under the slice rule, of the share surrendered or of the shareholder’s shares in the company: authorising the Commissioner to allocate any amount so classiﬁed as income to such income year or income years as the Commissioner thinks ﬁt: conferring on the Commissioner such discretionary powers as may be necessary for the purposes of the regulations.
(b) (c) (2) In this section, co-operative marketing company Regulations made under subsection (1) may make different provision in respect of different classes of co-operative mar- keting companies.
(3) means— (d) any company referred to in any of section OC 4(3)(a) to (c) of the Income Tax Act 1994 or any such company that is reregistered as a co-operative company under Part 2 of the Co-operative Companies Act 1996 or as a co-operative dairy company under Part 3 of that Act,— being a company that was in existence at the beginning of the 1988-89 income year and to which any of sections 201 to 203 of the Income Tax Act 1976 (as repealed by section 41(1) of the Income Tax Amendment Act (No 5) 1988) applied at that time.
Compare: 1994 No 164 s OC 4 Subpart OD—Control interests, associated parties, and nominees Contents OD 1 Deﬁning when company is under control of persons Page 2662 Measurement of control and ownership interests OD 2 Purpose of provisions governing measurement of voting 2663 and market value interests OD 3 Voting interests 2663 2661 Part O s OD 1 Income Tax Act 2004 Reprinted as at 29 August 2011 OD 4 Market value interests OD 5 Modiﬁcations to measurement of voting and market value interests in case of continuity provisions OD 5AA Modiﬁcations to voting and market value interests for application of continuity provisions to reverse takeover OD 5A Modiﬁcations to measurement of voting and market value interests in cases of continuity provisions and demutualisation of insurers 2665 2667 2675 2677 OD 5B Modiﬁcations to measurement of voting and market value 2680 interests in cases of continuity provisions and legislative conversion of companies of proprietors OD 6 Modiﬁcations to measurement of voting and market value 2681 interests in case of credit account continuity provisions Associated persons OD 7 Deﬁning when 2 persons are associated persons OD 8 Further deﬁnitions of associated persons OD 9 Nominees are transparent Nominees 2681 2682 2689 OD 1 Deﬁning when company is under control of persons (1) For the purposes of this Act, a company is deemed to be under the control at any time of the persons— (a) the aggregate of whose direct voting interests in the company at the time exceeds 50%; or in any case where at the time a market value circum- stance exists in respect of the company, the aggregate of whose direct market value interests in the company at the time exceeds 50%; or who have at the time control of the company by any other means whatsoever.
(b) (c) For the purposes of this section, where any person (referred to in this subsection as the nominee) holds any rights at any time,— (b) being a relative at the time of another person,— the rights are deemed to be held at the time by the other person as well as by the nominee, as if the nominee, the other person, (2) 2662 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 3 and all other such nominees of the other person were at the time a single person.
Compare: 1994 No 164 s OD 1 Measurement of control and ownership interests OD 2 Purpose of provisions governing measurement of voting and market value interests Except where otherwise expressly provided, sections OD 3 to OD 6 are intended to provide for the measurement of a per- son’s direct or indirect ownership in a company by reference to the percentage of voting rights which that person may di- rectly or indirectly exercise, except where certain speciﬁed cir- cumstances exist in relation to a company, in which event a person’s direct or indirect ownership in that company is also measured by reference to the percentage of the total market value of interests in that company which that person holds.
Compare: 1994 No 164 s OD 2 OD 3 Voting interests (1) Subject to the succeeding provisions of this section, a person’s voting interest in a company at any time equals the percentage of the total shareholder decision-making rights in respect of the company at that time carried by shares or options held by the person at that time.
(2) Notwithstanding subsection (1), where at any time in respect of any company the percentage of shareholder decision-mak- ing rights carried by shares or options held by any person differs as between the types of decision-making listed in the deﬁnition of shareholder decision-making rights, the person’s voting interest in the company at that time equals the average at that time of those differing percentages.
For the purposes of this section,— (a) (3) notwithstanding any other provision of this Act, in the case of any special corporate entity,— (i) where no shares have been issued by the spe- cial corporate entity, the special corporate en- tity is deemed to have issued shares which shares 2663 Part O s OD 3 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) carry all shareholder decision-making rights and all other rights of ownership in respect of the spe- cial corporate entity; and the members or, if there are no members, the dir- ectors of the entity (including, in the case of any public authority or any State enterprise that has neither members nor directors as so described, any relevant Minister of the Crown performing the function of a director) for the time being, in their collective capacity as such, are deemed to hold all shares and options over shares in that special corporate entity and rights derived from those shares and options (including a voting in- terest deemed to arise under paragraph (d)) as if those members or directors were always the same single person (other than a company) having an existence co-extensive with that of the special corporate entity and holding nothing other than rights in respect of the special corporate entity; and (c) where— (i) (ii) (iii) any company has issued an excluded security; or any company has issued a pre-1991 budget secur- ity; or an excluded option has been granted in respect of a share in any company,— the company (or the grantor of the option, if not the company) is deemed not to have issued or granted that excluded security, pre-1991 budget security, or excluded option, and the holder of that excluded security, pre-1991 budget security, or excluded option is deemed not to hold it; and (d) where at any time any company (in this subsection re- ferred to as the shareholder company) has or is deemed to have, whether under this paragraph or otherwise, a voting interest in another company (in this subsection referred to as the issuing company),— (i) each person
 who has a voting interest in the shareholder company is at that time deemed to have (to be aggregated with any other percentage 2664 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 4 voting interest in the issuing company which the person has at that time); and the shareholder company is deemed at that time not to have— (ii) that part of the shareholder company’s voting interest in the issuing company which is calculated by multi- plying the shareholder company’s voting interest in the issuing company by the person’s voting interest in the shareholder company.
Compare: 1994 No 164 s OD 3 OD 4 Market value interests (1) Subject to the succeeding provisions of this section, a person’s market value interest in a company at any time equals the per- centage of the total market value of shares and options over shares in that company at that time which the market value of shares and options over shares in the company held by the per- son at that time represents.
For the purposes of subsection (1), the market value of any share in a company that is subject to an option is determined having regard to the terms of the option.
For the purposes of this section,— (a) notwithstanding any other provision of this Act, in the case of any special corporate entity,— (i) (2) (3) (ii) where no shares have been issued by the spe- cial corporate entity, the special corporate en- tity is deemed to have issued shares which shares carry all shareholder decision-making rights and all other rights of ownership in respect of the spe- cial corporate entity; and the members or, if there are no members, the directors of the entity (including, in the case of any public authority or any State enterprise that has neither members nor directors as so described, any relevant Minister of the Crown performing the function of a director) for the time being, in their collective capacity as such, are deemed to hold all shares and options over shares in that special corporate entity and rights 2665 Part O s OD 4 Income Tax Act 2004 Reprinted as at 29 August 2011 derived from those shares and options (including a market value interest deemed to arise under paragraph (d)) as if those members or directors were always the same single person (other than a company) having an existence co-extensive with that of the special corporate entity and holding nothing other than rights in respect of that special corporate entity; and (c) where— (i) (ii) (iii) any company has issued an excluded security; or any company has issued a pre-1991 budget secur- ity; or an excluded option has been issued in respect of a share in any company,— the company (or the grantor of the option, if not the company) is deemed not to have issued or granted that excluded security, pre-1991 budget security, or excluded option, and the holder of that excluded security, pre-1991 budget security, or excluded option is deemed not to hold it; and (d) where at any time any company (in this subsection re- ferred to as the shareholder company) has or is deemed to have, whether under this paragraph or otherwise, a market value interest in another company (in this sub- section referred to as the issuing company),—
 (i) each person who has a market value interest in the shareholder company is at that time deemed to have (to be aggregated with any other percent- age market value interest in the issuing company which the person has at that time); and the shareholder company is at that time deemed not to have— (ii) that part of the shareholder company’s market value interest in the issuing company which is calculated by multiplying the shareholder company’s market value interest in the issuing company by the person’s market value interest in the share- holder company.
For the purposes of the application of subsection (3)(d), and notwithstanding any other provision of this section, where— (4) 2666 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 5 (a) (b) in respect of any company (referred to in this subsection as the ﬁrst company) at any time no direct market value circumstance exists; and it is necessary to determine the direct market value in- terest of a person in the ﬁrst company in order to apply subsection (3)(d) in respect of an issuing company (as referred to in subsection (3)(d), and whether that issuing company is the ﬁrst company or any other company) be- cause a direct market value circumstance exists at that time in respect of some other relevant company,— the direct market value interest of the person in the ﬁrst com- pany is equal to the direct voting interest of the person in the ﬁrst company.
Compare: 1994 No 164 s OD 4 OD 5 Modiﬁcations to measurement of voting and market value (1) interests in case of continuity provisions The provisions of this section apply only to modify the pro- visions of sections OD 3 and OD 4 for the purposes of the application of the continuity provisions.
(2) Where any person has acquired any share or option over a share in a company on the death of any other person, as a beneﬁciary or trustee under the will or intestacy of the deceased person, that person is deemed to have acquired the share or option on the date upon which the share or option was acquired, or deemed under this section to have been acquired, by the de- ceased person, and to have held it at all times until the time of the acquisition by the person.
(3) Where at any time— (a) (b) (c) any share in a company (in this subsection referred to as the ﬁrst company) or option over a share in the ﬁrst company is held by a trustee; and the trustee is a company other than— (i) (ii) Public Trust; or any company in which Public Trust holds all vot- ing and market value interests; or a trustee company; and (iii) any share in the trustee or option over a share in the trustee is disposed of or issued or granted,— 2667 Part O s OD 5 Income Tax Act 2004 Reprinted as at 29 August 2011 the trustee is treated as having disposed of that share or option in the ﬁrst company at that time to an unrelated third party and to have immediately re-acquired that share or option, except where and to the extent that the disposal or issue of the share or option in the trustee— (d) can be shown not to have changed the beneﬁcial owner- ship of the share or option over a share in the ﬁrst com- pany; or otherwise can be shown not to have a purpose or effect of defeating the intent and application of any of the con- tinuity provisions.
(e) (4) All persons who are trustees of a trust are, in respect of that trust and any shares or options over shares in a company held by those trustees in respect of that trust, treated as the same single person (other than a company, and separate and distinct from those persons who are trustees in their capacities other than as trustees of the trust) if, and only if, in no case does the establishment of the trust, the termination of the trust, or any change in the trustees of that trust have a purpose or effect of defeating the intent and application of any of the continuity provisions.
(5) Notwithstanding sections OD 3(3)(d) or OD 4(3)(d), where at any time— (a) any person has a direct voting interest or a direct market value interest of less than 10% in a company (as deter- mined before the application of sections OD 3(3)(d) or OD 4(3)(d) as modiﬁed by subsection (6)); and the person is not a company associated at that time with the company,— (b) the direct voting interest or direct market value interest is deemed at that time not to be an interest of the person and is deemed instead to be an interest of a notional single person (other than a company) whose existence is co-extensive with that of the company and who— (c) holds all those interests in the company to which this subsection applies; and holds no voting interests or market value interests in any company other than the company.
(d) (5A) A qualifying unit trust may apply subsection (5B).

2668 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 5 (5C) (5B) The unit holders of a qualifying trust, in their collective cap- acity, are treated as holding all the shares in the qualifying unit trust as if the unit holders were always the same notional single person (other than a company) whose existence is co-extensive with that of the qualifying unit trust and who only holds shares in the qualifying unit trust.
If a qualifying unit trust exists on the ﬁrst day of the 2001-02 tax year and chooses to apply subsection (5B), on the ﬁrst day of that tax year, the balances of the qualifying unit trust’s im- putation credit account and dividend withholding payment ac- count and any losses carried forward are treated as having been accumulated by the same notional single person, and that per- son is treated as always having existed in respect of the bal- ances.
Sections OD 3(3)(d) or OD 4(3)(d) do not apply to deem any part of a voting interest or market value interest which, within the meaning of those provisions, a shareholder company has in an issuing company to be that of a person (in this subsection referred to as the shareholder) who has a voting interest or market value interest, as the case may be, in the shareholder company where— (a) (6) (b) the shareholder company— (i) (ii) is a limited attribution company; and has (including any interests which the share- holder company is deemed to have under section OD 3(3)(d) or OD 4(3)(d) as modiﬁed by this subsection and subsection (5)) a voting interest or market value interest, as the case may be, of less than 50% in the issuing company; or the shareholder (determined as if subsection (5) did not apply)— (i) is not a person associated with the issuing com- pany; and (ii) would, by virtue of the application of section OD 3(3)(d) or OD 4(3)(d), be deemed to have, as a result of the shareholder’s voting interest or market value interest in the shareholder company (as determined when excluding any other voting interest or market value interest, as the case may 2669 Part O s OD 5 Income Tax Act 2004 Reprinted as at 29 August 2011 be, which the shareholder has or is deemed to have in the issuing company), a voting interest or market value interest, as the case may be, of less than 10% in the issuing company.
(6A) Subsection (6B) applies if shares in a company (company B) are transferred or issued to shareholders of another company (company A) or to a nominee of a shareholder of company A, or are retained by company A as a nominee of a shareholder of company A, and— (a) (ii) before the transfer, issue, or retention,— (i) company A is treated as holding voting or market value interests in another company (company C) under section OD 5(6)(b); and company A holds all voting interests, and if a market value circumstance exists, all market value interests in company B, calculated as if OD 3(3)(d) or OD 4(3)(d) did not apply to deem company A’s interests to be held by others; and at the time of the transfer, issue, or retention, company A is a limited attribution company; and after the transfer, issue, or retention,— (i) company B is treated as holding voting or market value interests in company C under section OD 5(6)(b); and company B is a limited attribution company at all relevant times.
(ii) (b) (c) (6B) Despite sections OD 3(3)(d) or OD 4(3)(d), company B is treated as holding voting or market value interests in company C, being interests which company A held in company C under section OD 5(6)(b)— (a) for the periods before the transfer, issue, or retention that company A held interests in company C; and for the purpose of applying the continuity provisions on and after the date of transfer, issue, or retention; and to the extent that, immediately after the transfer, issue, or retention, there is a group of persons who hold com- mon interests in company A and company B, calculated as if the only voting interests, market value interests, or voting interests and market value interests in company (b) (c) 2670 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 5 A and company B were those that are treated as being held by company A and company B under section OD 5(6)(b).
(6C) (6D) (6E) In subsection (6A)(c)(ii), at all relevant times means,— (a) in relation to the offset of a loss under Part I, the time between the date of transfer, issue, or retention and the last day of the period in which the loss is offset: in relation to a credit subject to the continuity provi- sions, the time between the date of transfer, issue, or retention and the date the credit is cancelled by a sub- sequent debit.
(b) In subsection (6B), common interests means,— (a) if a market value circumstance does not exist in respect of company A or company B, the common voting inter- est: if a market value circumstance exists in respect of com- pany A but not in respect of company B, the lower of the common voting interest in company A and company B and the market value interest in company A: if a market value circumstance exists in respect of com- pany B but not in respect of company A, the lower of the common voting interest in company A and company B and the market value interest in company B: if a market value circumstance exists in respect of both company A and company B, the lower of the common market value interest and common voting interest in both companies A and B.
(b) (c) (d) In subsection (6D),— common market value interest of a person in relation to com- pany A and company B is the market value interest held by the person in each company measured by either— (a) the percentage market value interest of the person in each company if the percentages are the same in each case; or the lowest percentage market value interest of the per- son in each company if the percentages differ (b) 2671 Part O s OD 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) common voting interest of a person in relation to company A and company B is the voting interest held by the person in each company measured by either— (a) the percentage voting interest of the person in each com- pany, if the percentages are the same in each case; or the lowest percentage voting interest of the person in each company if the percentages differ.
(6F) For the purpose of measuring common interests, sections OD 3(3)(d), OD 4(3)(d), and OD 9 do not apply to deem a nom- inee’s or a company’s voting or market value interest in com- pany A or company B to be held by another person if the person would be treated as holding a voting or market value interest of less than 10% in company A or company B by virtue of those sections applying.
For the purposes of this Act,— (a) the provisions of subsections (5), (5B), (5C), (6), (6A), (6B), and (6F) are intended to have concessionary ef- fect; and (7) (b) where at any time, in respect of any company and any of the continuity provisions,— (i) (ii) the requirements of that continuity provision are not satisﬁed; but those requirements would have been satisﬁed but for the application, to any particular extent, of any 1 of those subsections,— the requirements of that continuity provision in respect of that company are deemed to have been satisﬁed at that time.
For the purposes of this Act, where, and to the extent to which, in respect of any company and any of the continuity provisions at any time,— (a) the requirements of that continuity provision would not have been satisﬁed but for the application, in the case of any 1 or more voting or market value interests in the company and any period or periods of time, of either or both of subsections (5) and (6); and the failure, but for that concessionary application, to meet the requirements would have occurred in the ab- sence of transactions of the following types: (b) (8) 2672 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 5 (i) (ii) (iii) (iv) (v) the sale of shares in a company in the ordinary course of trading on a recognised exchange be- tween persons, each of which is not a company associated with the company and has a direct vot- ing interest or direct market value interest of less than 10%, calculated before the application of sections OD 3(3)(d) and OD 4(3)(d): the redemption or other cancellation of shares in a company which is a unit trust that falls within any of paragraphs (a), (b), and (c) of the deﬁnition of the term widely-held trust in section OB 1, held by persons, each of which is not a company asso- ciated with the company and has a direct voting interest or direct market value interest of less than 10% calculated before the application of sections OD 3(3)(d) and OD 4(3)(d): the redemption or other cancellation of shares in a company which is a unit trust that falls within any of paragraphs (a), (b), and (c) of the deﬁnition of the term widely-held trust in section OB 1, which were acquired by the manager or trustee of the unit trust in the ordinary course of the man- ager’s or trustee’s activities in respect of the unit trust from persons, each of which is not a com- pany associated with the company and has a di- rect voting interest or direct market value interest of less than 10% calculated before the application of sections OD 3(3)(d) and OD 4(3)(d): the transfer of shares in a
 company other than in the ordinary course of trading on a recognised ex- change between persons, each of which is not a company associated with the company and has a direct voting interest or direct market value inter- est of less than 5%, calculated before the appli- cation of sections OD 3(3)(d) and OD 4(3)(d): the issue, redemption, or cancellation by a com- pany, or the transfer to or from the company, or the transfer to an employee of the company from a trustee of a trust with no beneﬁciary other than 2673 Part O s OD 5 Income Tax Act 2004 Reprinted as at 29 August 2011 the company and the company’s employees, of shares in the company, or options over shares in the company, that in total for the company’s in- come year would be a direct voting interest or di- rect market value interest of less than 5% if held by a single person; and whose direct voting interests or direct market value interests in the company or unit trust were at all relevant times interests to which subsection (5) applied; and (c) the directors of the company know or could reasonably be expected to know (without making enquiries specif- ically for the purposes of the application of the continu- ity provisions) at that time that the requirements of that continuity provision would not have been satisﬁed at that time but for that application,— the requirements of that continuity provision are deemed not to have been satisﬁed at that time.
For the purposes of this Act, where and to the extent to which at any time, in respect of any company and any of the continuity provisions, the requirements of that continuity provision are not satisﬁed and would have been satisﬁed but for a change in the market value interest of any 1 or more persons which is solely attributable to— (a) any change in the market value of the tangible and in- tangible assets of the company; or any change in the market value of any 1 or more shares in the company which is not attributable to any change in the terms of those shares; or a combination of the factors referred to in paragraphs (a) and (b),— (b) (c) the requirements of that continuity provision in respect of that company are deemed to have been satisﬁed at that time.
Compare: 1994 No 164 s OD 5 Subsection (6F) was amended, as from 1 April 2005, by section 156(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Section OD 5(8)(b): substituted (with effect on 1 April 2005), on 29 August 2011 (applying for the 2005–06 and later income years), by section 206(1) of the Taxation (Tax Administration and Remedial Matters) Act 2011 (2011 No 63).
(9) (10) 2674 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 5AA Subsection (10) was repealed, as from 3 April 2006, by section 195 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

OD 5AA Modiﬁcations to voting and market value interests for (1) (2) application of continuity provisions to reverse takeover This section modiﬁes the application of sections OD 3 to OD 5 for the purposes of the continuity provisions.
Subsections (3) and (4) apply if— (a) (b) (c) (d) (e) (f) a limited attribution company (initial parent) is treated under section OD 5(6)(b) as holding ownership interests in another company (subsidiary); and there is a change in the ownership of the initial parent, or the initial parent ceases to exist as the result of an amalgamation, at a time (changeover); and immediately before the changeover, the initial parent is treated under section OD 5(6)(b) as holding all owner- ship interests in the subsidiary; and immediately after the changeover, another limited attri- bution company (new parent) is treated under section OD 5(6)(b) as holding all ownership interests in the sub- sidiary; and immediately after the changeover, all or part of the own- ership interests in the new parent are held by persons (initial owners) who hold ownership interests in the ini- tial parent immediately before the changeover; and each initial owner holds— (i) immediately before the changeover, a proportion of the total ownership interests in the initial par- ent that the initial owners hold at that time; and immediately after the changeover, a proportion of the total ownership interests in the new parent that the initial owners hold at that time as a result of having held the ownership interests in the ini- tial parent; and a proportion referred to in subparagraph (ii) that is equal to the proportion referred to in subpara- graph (i).
(ii) (iii) 2675 Part O s OD 5AA Income Tax Act 2004 Reprinted as at 29 August 2011 If the initial owners hold a total of 49% or more of the ownership interests in the new parent immediately after the changeover, the new parent is treated for the purposes of Part I as— (a) holding, immediately after the changeover, the owner- ship interests in the subsidiary that the initial parent held immediately before the changeover; and having held the ownership interests for the period for which the ownership interests were treated as being held by the initial parent.
(b) If the initial owners hold a total of 66% or more of the ownership interests in the new parent immediately after the changeover, the new parent is treated for the purposes of subparts ME and MG as— (a) holding, immediately after the changeover, the owner- ship interests in the subsidiary that the initial parent held immediately before the changeover; and having held the ownership interests for the period for which the ownership interests were held by the initial parent.
(b) If the requirements of a continuity provision are not satisﬁed in relation to a company and would be satisﬁed but for the application of this section, the requirements of the continuity provision are treated as being satisﬁed in relation to the com- pany.
In this section, ownership interests for a company means— voting interests in the company as determined under (a) section OD 3(3)(d), if paragraph (b) does not apply: (b) market value interests in the company as determined under section OD 4(3)(d), if a market value circum- stance exists for the company.
Section OD 5AA was inserted, as from 3 April 2006, by section 196(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person for a change of ownership of a company occurring: after 3 April 2006; or before that date, if before that date the person ﬁles a return of income on the basis that the requirements of a continuity provision are satisﬁed in relation to the company and the change of ownership.
See section 196(2) of that Act as to the application of this amend- ment.

Subsection (2)(e) was amended, as from 3 April 2006, by section 157(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No (3) (4) (5) (6) 2676 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 5A 81) by substituting “are held by persons” for “are treated under section OD 5(6)(b) as being held by the persons” with application as from the 2005–06 in- come year.
Subsection (2)(f)(i) was amended, as from 3 April 2006, by section 157(2)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by inserting “that the initial owners hold” after “initial parent” with application as from the 2005–06 income year.
Subsection (2)(f)(ii) was amended, as from 3 April 2006, by section 157(2)(b) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “held the ownership” for “held the total ownership” with application as from the 2005–06 income year.
OD 5A Modiﬁcations to measurement of voting and market (1) (2) (3) value interests in cases of continuity provisions and demutualisation of insurers The provisions of this section apply only to modify the provi- sions of sections OD 3 to OD 5 for the purposes of the appli- cation of the continuity provisions in cases where an insurer ceases to be a special corporate entity as a result of demutual- isation.
If— (a) a person acquires a voting interest or a market value in- terest in an insurer on the demutualisation of the insurer; and immediately prior to the insurer ceasing to be a special corporate entity on the demutualisation the person was a member of the insurer and the interest is acquired solely by virtue of that membership; and the insurer ceases to be a special corporate entity as a result of the demutualisation,— (b) (c) then, with effect from the date of acquisition but subject to section OD 5(5), the person is treated as having held the voting interest or market value interest at all times during the period prior to the demutualisation in which the insurer was a special corporate entity.
If— (a) a person acquires a voting interest or a market value interest in a life insurer on the demutualisation of the life insurer; and the person is the trustee of a trust for the beneﬁt of per- sons who were members of the life insurer immediately (b) 2677 Part O s OD 5A Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) prior to the life insurer ceasing to be a special corporate entity on the demutualisation, which trust is established prior to the demutualisation process— (i) as an interim holding vehicle pending distribu- tion to those members of all shares held by the trust; or to exercise voting rights on behalf of those mem- bers in relation to any holding company estab- lished prior to the demutualisation process which holds all the shares in the life insurer; and the Commissioner is satisﬁed, and has notiﬁed the trustee accordingly, that the trust falls within paragraph (b); and the life insurer ceases to be a special corporate entity as a result of the demutualisation,— (c) (d) (4) then, with effect from the date of acquisition, the trustee is treated as having held the voting interest or market value in- terest at all times during the period prior to demutualisation in which the life insurer was a special corporate entity.
If and to the extent that— (a) (b) subsection (3) applies; and the notional single person referred to in section OD 5(5) acquires a voting interest or market value interest in the life insurer on— (i) the distribution by the trustee of the shares from the trust; or the issue of shares by the holding company; and (ii) the persons referred to in section OD 5(5)(a) and (b) whose direct voting interests or direct market value interests are deemed under section OD 5(5) to be those of the notional single person resulting in the notional single person’s interest in the life insurer— (i) were members of the life insurer immediately prior to the life insurer ceasing to be a special corporate entity on the demutualisation, or are trustees for any such members; and acquired their direct voting interests or direct market value interests by virtue of that member- ship,— (c) (ii) 2678 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 5A (5) (6) (e) If— (a) (b) (c) (d) then, with effect from the date of the acquisition, the notional single person is treated as having existed and having held the voting interest or market value interest at all times during— (d) the period prior to demutualisation in which the life in- surer was a special corporate entity; and the period of the trust prior to the acquisition by the notional single person.
a person acquires a voting interest or a market value in- terest in an insurer on and solely by virtue of the demu- tualisation of the insurer; and the person is the trustee of a community trust for the beneﬁt of a community (or part of a community) which community (or part) generally includes persons who were members of the insurer immediately prior to the insurer ceasing to be a special corporate entity on the demutualisation; and the Commissioner is satisﬁed, and has notiﬁed the trustee accordingly, that the trust falls within paragraph (b); and the insurer ceases to be a special corporate entity as a result of the demutualisation,— then, with effect from the date of acquisition, the trustee is treated as having held the voting interest or market value in- terest at all times during the period immediately prior to demu- tualisation in which the insurer was a special corporate entity.
If— (a) an insurer which is a special corporate entity undergoes the process of demutualisation; and the insurer (or another member of the same group of companies, the relevant loss making entity being re- ferred to in this subsection as the loss company) had a net loss in a tax year prior to the 1992-93 tax year; and loss forward to the the loss company carried that 1992-93 tax year in accordance with the Income Tax Act 1976; and the loss has not been offset against net income for any period prior to demutualisation,— (b) (c) (d) 2679 Part O s OD 5B Income Tax Act 2004 Reprinted as at 29 August 2011 (7) then, notwithstanding section IF 1(6), for the purposes of Part I, with effect from the date on which the insurer ceases to be a special corporate entity on the demutualisation, the loss is deemed to have arisen on the ﬁrst day of the loss company’s 1992-93 tax year and not to have arisen in the earlier tax year.
If— (a) an insurer which is a special corporate entity undergoes the process of demutualisation; and the insurer (or another member of the same group of companies) has, at the time of the commencement of the process of demutualisation, a credit in its imputation credit account, dividend withholding payment account, or branch equivalent tax account which arose before 1 April 1992,— (b) then, notwithstanding sections ME 5(4)(e), MF 4(6)(f), and MG 5(4)(e), for the purposes of Part M, with effect from the date on which the insurer ceases to be a special corporate entity on the demutualisation, the credit is deemed ﬁrst to have arisen in the account on 1 April 1992 and not when it actually arose.
Compare: 1994 No 164 s OD 5A OD 5B Modiﬁcations to measurement of voting and market value interests in cases of continuity provisions and legislative conversion of companies of proprietors This section applies to modify sections OD 3, OD 4, and OD 5 for the purpose of the application of the continuity provisions if a company of proprietors is established by a statute of a le- gislature outside New Zealand and the company of proprietors becomes a company as a result of another statute.
Subsection (3) applies if— (a) a person acquires a voting interest or a market value interest in a company on the conversion of a company of proprietors; and immediately before the conversion, the person was a proprietor of the company of proprietors and solely by virtue of being a proprietor, the person acquired the in- terest in the company.
(b) Subject to section OD 5(5), on and after the date of the acqui- sition,— (1) (2) (3) 2680 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 7 (a) (b) the company of proprietors is treated as having been a company with shareholders at all times before the con- version; and the person is treated as having held the voting interest or market value interest at all times before the conversion.
Compare: 1994 No 164 s OD 5B OD 6 Modiﬁcations to measurement of voting and market value (b) interests in case of credit account continuity provisions For the purposes only of the application of the credit account continuity provisions,— (a) the deﬁnition of excluded option applies as if para- graph (e) of that deﬁnition were omitted; and the deﬁnition of market value circumstance applies as if, in paragraphs (a), (b), and (f) of that deﬁnition, the words “an excluded security or” were omitted from each place where they appear, and the word “a” substituted; and sections OD 3(3)(c)(i) and OD 4(3)(c)(i) do not apply.
(c) Compare: 1994 No 164 s OD 6 Associated persons OD 7 Deﬁning when 2 persons are associated persons (1) For the purposes of this Act, unless the context otherwise re- quires, at any time associated persons or persons associated with each other are— (a) 2 companies where at the time there is a group of per- sons— (i) (ii) the aggregate of whose voting interests in each company is equal to or exceeds 50%; or in any case where at the time a market value cir- cumstance exists in respect of either company, the aggregate of whose market value interests in each company is equal to or exceeds 50%; or (iii) who have control of both companies by any other means whatsoever; or (b) a company and any person (other than a company) where at the time— 2681 Part O s OD 8 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) (ii) the person has a voting interest in the company equal to or exceeding 25%; or in any case where at the time a market value cir- cumstance exists in respect of the company, the person has a market value interest in the company equal to or exceeding 25%; or 2 persons who are at the time relatives; or a partnership and any person who is— (i) (ii) at the time a partner in the partnership; or a person associated at the time (under any of the other provisions of this subsection) with a partner in the partnership.
(c) (d) (2) (3) For the purposes of subsection (1)(a) and (b), where any person (referred to in this subsection as the nominee) holds any rights at any time,— being a relative at the time of another person,— (b) the rights are deemed to be held at the time by the other person as well as by the nominee, as if the nominee, the other person, and all other such nominees of the other person were at the time a single person.
Subsection (1)(a)(iii) does not apply to a company that is or was— (a) (b) (d) (e) a State enterprise; or a Crown research institute; or a Crown health enterprise; or a member of the same group of companies as a company that meets any of paragraphs (a) to (d).

(4) Subsection (1)(c) does not apply for the purposes of sections HH 3C and HH 3D.
Compare: 1994 No 164 s OD 7 OD 8 Further deﬁnitions of associated persons (1) For the purposes of sections CW 11B, DT 9 to DT 11, DT 15, EJ 14, GC 12, GD 2, and GD 15, associated persons, or persons associated with each other, are— (a) any 2 companies where there is a group of persons— (i) the aggregate of whose voting interests in each company is equal to or exceeds 50%; or 2682 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 8 (ii) in any case where a market value circumstance exists in respect of either company, the aggregate of whose market value interests in each company is equal to or exceeds 50%; or (iii) who have control of both companies by any other means whatsoever; or (b) (c) (d) (e) (f) (g) (h) a company and any person (other than a company) where— (i) the person has a voting interest in the company equal to or exceeding 50%; or in any case where a market value circumstance exists in respect of the company, the person has a market value interest in the company equal to or exceeding 50%; or (ii) any 2 persons who are relatives; or a partnership and any person where that person is a part- ner in the partnership; or a partnership and any person, where that person and any partner in that partnership are associated persons; or a trustee of a trust and a trustee of another trust, if the same person is a settlor of both trusts; or a trustee of a trust and a person who has beneﬁted or is eligible to beneﬁt under that trust; or a person and an organisation which is described in sec- tion CW 34 or CW 37 or DV 8 and that is controlled, directly or indirectly, by that person or by a relative of that person.
(2) For the purposes of subsection (1),— (a) shares in a company or interests in a partnership held directly or indirectly by or for a company, partnership, or trust are deemed to be held proportionately by or for the shareholders, partners, or beneﬁciaries in the com- pany, trust, or partnership; and a person who is an individual is deemed to hold the shares in a company or the interests in a partnership which are held, or deemed to be held, by or for the person’s relatives; and shares in a company or interests in a partnership deemed to be held by a person by reason of the application of (b) (c) 2683 Part O s OD 8 Income Tax Act 2004 Reprinted as at 29 August 2011 paragraph (a) are, for the purposes of applying para- graph (a) or (b), treated as being held directly by that person, but shares or interests deemed to be held by a person by reason of the application of paragraph (b) are not treated as being held by that person for the purpose of again applying paragraph (b) in order to make another person the deemed holder of those shares or interests.
In sections CX 6(1)(b), CX 6B, DB 10, DS 4, DT 2, EC 10(4)(b), EE 33 to EE 36, EE 50, EE 51, EW 45, EW 50, EZ 11, EZ 38, and FC 13, subpart FG, sections FH 1(2), GC 14B, GD 13, HK 11, HL 6, HL 9, KC 6, KH 2, and LC 1, subpart LF, and section NH 7, the deﬁnitions in section OB 1 of re- turning share transfer and share-lending arrangement, and sections OE 7, and OE 8, and in the international tax rules, as- sociated persons or persons associated with each other are— (a) any 2 companies where— (i) any group of persons— (A) has voting interests in each of those com- panies totalling in aggregate 50% or more; or in any case where a market value circum- stance exists in respect of either company, has market value interests in each of those companies totalling in aggregate 50% or more; or has control of each of those companies by any other means whatsoever; or (B) (C) (ii) any group of persons holds income interests in each of those companies totalling in aggregate 50% or more, and for this purpose sections EX 8 to EX 10, EX 13, EX 17, EX 27, and GC 9 apply as if each reference to a CFC, controlled foreign company, or foreign company were a reference to a company and as if section GC 9(6) were omitted; or (b) any company and any person (other than a company) who holds an income interest of 50% or more in that company, and for this purpose sections EX 8 to EX 10, EX 13, EX 17, EX 27, and GC 9 apply as if each ref- erence to a CFC, controlled foreign company, or for- (3) 2684 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 8 (c) (d) (e) (f) (g) (h) eign company were a reference to a company and as if section GC 9(6) were omitted; or any company and any person where the person is by virtue of any of the provisions of this subsection associ- ated with another person who is by virtue of any of the provisions of this subsection other than this paragraph associated with the company; or any 2 persons who are relatives; or a partnership and any person where that person is a part- ner in the partnership; or a
 partnership and any person, where that person and any partner in that partnership are, by virtue of any of the provisions of this subsection other than this paragraph, associated persons; or any 2 persons where— (i) 1 person is the trustee of a trust under which the other person has beneﬁted, or will beneﬁt, either directly or indirectly; or 1 person is the trustee of a trust under which the other person (where the other person is, by virtue of any of the provisions of this subsection or sec- tion OD 7, deemed to be associated with any set- tlor of the trust) may beneﬁt either directly or in- directly: provided that this paragraph does not apply where the trust is only for the beneﬁt of the employees of an employer and neither the other person nor any person associated (by virtue of any of the provisions of this subsection) with that other person directly or indirectly manages or controls the affairs of the trust; or (ii) any 2 persons where each person is the trustee of a trust in relation to which trusts there is at least 1 settlor in common: provided that this paragraph does not apply where— (i) the settlor (not being a company) settles or had settled property on the terms of the trust for the beneﬁt of the employees of that settlor only, and neither that settlor nor any person associated (by virtue of any of the provisions of this subsection) 2685 Part O s OD 8 Income Tax Act 2004 Reprinted as at 29 August 2011 (ii) with that settlor directly or indirectly manages or controls the affairs of the trust; or the settlor (being a company) settles or had set- tled property on the terms of the trust for the beneﬁt of its employees only, and that settlor, any person associated (by virtue of any of the provi- sions of this subsection) with that settlor, any ex- ecutive of that settlor, any director of that settlor, or any person holding a direct voting interest, or, where a market value circumstance exists in re- spect of the settlor, a direct market value interest, of
 25% or more in that settlor does not, directly or indirectly, manage or control the affairs of the trust; or any 2 persons where 1 person is the trustee of a trust of which the other person is a settlor: provided that this paragraph does not apply where— (i) (ii) the other person (not being a company) settles or had settled property on the terms of the trust for the beneﬁt of the employees of that other person only and neither that other person nor any person associated (by virtue of any of the provisions of this subsection) with that other person directly or indirectly manages or controls the affairs of the trust; or the other person (being a company) settles or had settled property on the terms of the trust for the beneﬁt of its employees only, and that other per- son, any person associated (by virtue of any of the provisions of this subsection) with that other person, any executive of that other person, any director of that other person, or any person hold- ing a direct voting interest, or, where a market value circumstance exists in respect of the other person, a direct market value interest, of 25% or more in that other person does not, directly or in- directly, manage or control the affairs of the trust; or (i) 2686 Reprinted as at 29 August 2011 (j) Income Tax Act 2004 Part O s OD 8 any 2 persons who habitually act in concert with respect to the holding or exercise of any of the things in section EX 5(1): provided that the persons are associated per- sons only in respect of the thing or things in relation to which they act in concert.
(3A) Despite subsection (3)(a), in the international tax rules (apart from sections CD 34 to CD 41 and CZ 10), 2 companies are not associated persons or persons associated with each other if 1 company, but not both companies, is not resident in New Zealand.
In sections CB 6 to CB 9, CB 13, and FF 6, associated persons or persons associated with each other are— (a) any 2 companies where there is a group of persons— (i) (4) (ii) the aggregate of whose voting interests in each company is equal to or exceeds 50%; or in any case where a market value circumstance exists in respect of either company, the aggregate of whose market value interests in each company is equal to or exceeds 50%; or (iii) who have control of both companies by any other means whatsoever; or (b) (iii) (iv) a company and any person (other than a company) where— (i) (ii) the person; or any spouse, civil union partner or de facto partner of the person; or any infant child of the person; or any trustee of a trust under which such person, spouse, civil union partner, de facto partner or in- fant child has beneﬁted or is eligible to beneﬁt,— or any 2 or more of them have, when aggregated, a voting interest in the company equal to or exceeding 25% or, in any case where a market value circumstance exists in respect of the company, a market value interest in the company equal to or exceeding 25%; or (c) any 2 persons 1 of whom is the spouse, civil union part- ner, de facto partner or infant child of the other person, or is a trustee of a trust under which that spouse, civil 2687 Part O s OD 8 Income Tax Act 2004 Reprinted as at 29 August 2011 (d) (e) union partner, de facto partner or infant child has bene- ﬁted or is eligible to beneﬁt; or a partnership and any person where that person is a part- ner in that partnership; or a partnership and any person, where that person and any partner in that partnership are, in accordance with this subsection, associated persons.
(3)(a)(i)(C) and (ii) and (b), and Subsections (1)(a)(iii), (4)(a)(iii) do not apply to a company that is or was— (a) (b) (d) (e) a State enterprise; or a Crown research institute; or a Crown health enterprise; or a member of the same group of companies as a company that meets any of paragraphs (a) to (d).
Compare: 1994 No 164 s OD 8 Section OD 8(1): amended (with effect from 1 December 2006), on 19 Decem- ber 2007, by section 185(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Subsection (1) was amended, as from 1 October 2005, by section 263 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting “CW 11B,” after “sections” with application as from the 2005–06 income year.
Section OD 8(3): amended (with effect from 1 April 2005), on 19 December 2007, by section 185(2) of the Taxation (Business Taxation and Remedial Mat- ters) Act 2007 (2007 No 109).

Section OD 8(3): amended, on 1 October 2007, by section 158(b) of the Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Subsection (3) was amended, as from 1 April 2005, by section 158(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “EE 33” for “EE 34”.

Subsection (3) was amended, as from 1 April 2006, by section 197(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by inserting “CX 6(1)(b), CX 6B,” before “DB 10”.
Subsection (3) was amended, as from 1 July 2006, by section 197(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting “section NH 7, the deﬁnitions in section OB 1 of returning share transfer and share-lending arrangement, and sec- tions” for “sections NH 7,”.

Subsection (4)(b)(ii) was amended, as from 26 April 2005, by section 3(1) In- come Tax Amendment Act 2005 (2005 No 11) by substituting “spouse or civil union partner” for “spouse”.
(6) 2688 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OD 9 Subsection (4)(b)(ii) was amended, as from 1 April 2007, by section 3(2) In- come Tax Amendment Act 2005 (2005 No 11) by substituting “spouse, civil union partner or de facto partner” for “spouse or civil union partner”.

Subsection (4)(b)(iv) was amended, as from 26 April 2005, by section 3(1) In- come Tax Amendment Act 2005 (2005 No 11) by substituting “person, spouse, civil union partner” for “person or spouse”.
Subsection (4)(b)(iv) was amended, as from 1 April 2007, by section 3(2) In- come Tax Amendment Act 2005 (2005 No 11) by substituting “civil union part- ner, de facto partner” for “civil union partner”.

Subsection (4)(c) was amended, as from 26 April 2005, by section 3(1) Income Tax Amendment Act 2005 (2005 No 11) by substituting “spouse, civil union partner” for “spouse” in both places it occurs.
Subsection (4)(c) was amended, as from 1 April 2007, by section 3(2) Income Tax Amendment Act 2005 (2005 No 11) by substituting “civil union partner, de facto partner” for “civil union partner” in both places it occurs.

Nominees OD 9 Nominees are transparent (1) In this Act, unless the context otherwise requires, if a person holds something or does something as a nominee for another person, the other person holds or does that thing and the nom- inee is ignored.
(2) A person holds or does something as a nominee for another person if the person acts on the other person’s behalf.

How- ever, a trustee is a nominee only if the trustee is a bare trustee.
Compare: 1994 No 164 ss CG 3(a), HH 1(1)(a), OB 1 nominee, relative (b), OB 3(2), OD 1(2)(a), OD 3(3)(b), OD 4(3)(b), OD 7(2)(a), OD 8(5) Subpart OE—Source of income and residence Contents OE 1 Determination of residence of person other than company OE 2 Determination of residence of company OE 4 Classes of income treated as having source in New Zealand OE 5 Commission agency contracts performed out of New Zealand Page 2690 2691 2692 2695 OE 7 Conduit tax relief holding companies and group members 2695 2689 Part O s OE 1 Income Tax Act 2004 Reprinted as at 29 August 2011 OE 8 Residence of conduit tax relief company shareholders 2697 OE 1 Determination of residence of person other than company (1) Notwithstanding any other provision of this section, a person, other than a company, is resident in New Zealand within the meaning of this Act if that person has a permanent place of abode in New Zealand, whether or not that person also has a permanent place of abode outside New Zealand.
(2) Where a person other than a company is personally present in New Zealand for a period or periods exceeding in the aggregate 183 days in any period of 12 months, that person is deemed to be resident in New Zealand from the ﬁrst day within that period of 12 months on which that person was personally present in New Zealand.
(2B) (3) Where a person other than a company is resident in New Zealand and is personally absent from New Zealand for a period or periods exceeding in aggregate 325 days in any period of 12 months, that person is deemed not to be resident in New Zealand from the ﬁrst day within that period of 12 months on which that person was personally absent from New Zealand and, subject to this section, thereafter.
For the purposes of this section, where a person, other than a company, is personally present in New Zealand for part of a day, that person is deemed to be personally present in New Zealand for the whole of that day and not to be personally absent from New Zealand for any part of that day.
(4) (5) Notwithstanding any other provision of this section, a person, other than a company, who is personally absent from New Zealand in the service in any capacity of the Government of New Zealand is deemed to be resident in New Zealand during that absence.
Compare: 1994 No 164 s OE 1 Subsection (2B) was inserted, as from 1 October 2005, by section 198(1) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Pro- visions) Act 2006 (2006 No 3) with application for a person who becomes a transitional resident on or after 1 April 2006.

See section 198(2) of that Act as to the application of this amendment.
See also section 198(3) of that Act which 2690 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OE 2 notes that the law that would apply if OE 1(2B) did not come into force applies for a person who satisﬁes the requirements to be a transitional resident before 1 April 2006.

Subsection (2B) was repealed, as from 1 October 2005, by section 159(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) with application as from the 2005–06 income year.
OE 2 Determination of residence of company (1) A company that is not referred to in subsection (1B) is resident in New Zealand within the meaning of this Act if— it is incorporated in New Zealand; or (a) it has its head ofﬁce in New Zealand; or (b) it has its centre of management in New Zealand; or (c) control of the company by its directors, acting in their (d) capacity as directors, is exercised in New Zealand, whether or not decision-making by directors is conﬁned to New Zealand.
(1B) For the purposes of this Act, a company acting as trustee of the Cook Islands National Superannuation Fund, as established by the Cook Islands National Superannuation Trust Deed under the Cook Islands National Superannuation Act 2000 (Cook Islands), is not resident in New Zealand.

(2) A company is deemed to be a non-resident company if it is not resident in New Zealand for the purposes of this Act.
(3) A foreign company is, for the purposes of the deﬁnition of available subscribed capital and the international tax rules, for any accounting period of that foreign company, deemed to be resident in a particular country or territory if at any time during that accounting period the company is liable to income tax in that country by reason of domicile, residence, place of incorp- oration, or place of management in that country or territory.
If, in the case of any company, there are for any accounting period 2 or more countries or territories falling within subsec- tion (3) or the company is not resident in any country or terri- tory under subsection (3), the company is for that accounting period regarded as being resident in the country or territory in which, if that country or territory were New Zealand, that company would be treated as being resident by virtue of the application of subsection (1).
(4) 2691 Part O s OE 4 Income Tax Act 2004 Reprinted as at 29 August 2011 (5) (6) If, in the case of any company and any accounting period, the application of subsections (3) and (4) does not result in the treatment of that company as resident for that accounting period in 1 country or territory only, that company is for that accounting period regarded as being resident in the country or territory in which in that accounting period its centre of man- agement is located.
If, in the case of any company and any accounting period, there is no single country or territory of residence able to be deter- mined by applying subsections (2) to (5), that company is for that accounting period regarded as being resident in such coun- try or territory as the Commissioner determines.
Compare: 1994 No 164 s OE 2 Subsection (1) was amended, as from 1 October 2005, by section 88(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) by inserting the words “that is not referred to in subsection (1B)” after the words “A company” with application as from the 2005–06 income year.
Subsection (1B) was inserted, as from 1 October 2005, by section 88(2) Taxa- tion (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
OE 4 Classes of income treated as having source in New Zealand Subject to sections FB 2 and OE 5, the following classes of income have a source in New Zealand: (a) (b) (c) (d) income derived from any business wholly or partly car- ried on in New Zealand: income derived from any business carried on out of New Zealand to the extent that that income consists of in- come of any of the classes referred to in paragraphs (e), (f), (g), (h), (j), (m), (n), and (r): all salaries, wages, allowances, and emoluments of any kind earned in New Zealand in the service of any em- ployer or principal, whether resident in New Zealand or elsewhere: payments of compensation or allowances of any of the kinds referred to in any of paragraphs (a) to (c) of the deﬁnition of accident compensation payment in sec- tion CF 1(2): (1) 2692 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OE 4 (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) income derived by any person as the owner of land in New Zealand: income derived by any person from any mortgage of land in New Zealand: income derived from shares in or membership of a com- pany resident in New Zealand, or from debentures is- sued by a company resident in New Zealand or by a local or public authority: income derived from debentures or other securities is- sued by the Government of New Zealand: any pension or annuity payable by the Government of New Zealand, or out of any superannuation scheme es- tablished in New Zealand: an ex gratia payment that is a pension within the mean- ing of the deﬁnition of pension in section CF 1(2): income derived from money invested in the Common Fund of Public Trust or the Maori Trust Ofﬁce: income derived from the sale or other disposition of any property, corporeal or incorporeal, situated in New Zealand: interest or a redemption payment, derived from or in respect of money lent in New Zealand: provided that this paragraph is subject to the application provisions of subsection (1A): interest or a redemption payment, derived from or in respect of money
 lent outside New Zealand to— (i) any person who is resident in New Zealand, ex- cept where the money lent is used by the person for the purposes of a business carried on by the person outside New Zealand through a ﬁxed es- tablishment outside New Zealand; or any person who is not resident in New Zealand if the money lent is used by the person for the purposes of a business carried on by the person in New Zealand through a ﬁxed establishment in New Zealand: provided that this paragraph is subject to the application provisions of subsec- tion (1A): (ii) 2693 Part O s OE 4 Income Tax Act 2004 Reprinted as at 29 August 2011 (na) (o) (p) (q) (r) (s) (t) (u) income that, under section EY 47, is treated as being derived from New Zealand: a premium that, under section FC 13, is treated as being derived from New Zealand: income derived by a beneﬁciary under any trust, so far as the income of the trust fund is derived from New Zealand: income derived from contracts made or wholly or partly performed in New Zealand: royalties— (i) that are paid by a person who is resident in New Zealand and are not paid in respect of a business carried on by the person outside New Zealand through a ﬁxed establishment outside New Zealand; or that are paid by a person who is not resident in New Zealand and are allowed as a deduction to the person for the purposes of tax in New Zealand: (ii) payments of any kind to the extent to which they are paid as consideration for the use of, or the right to use, in New Zealand, any personal property, being payments— that are paid by a person who is resident in New (i) Zealand; or that are paid by a person who is not resident in New Zealand and are allowed as a deduction to the person for the purposes of tax in New Zealand: provided that this paragraph does not apply to income which is deemed to be derived from New Zealand by virtue of paragraph (r): (ii) income derived from the carriage by sea or by air of mer- chandise, goods, livestock, mails, or passengers
 shipped or embarked in New Zealand: income derived directly or indirectly from any other source in New Zealand.
(1A) Subsection (1)(m) and (n) apply to— (a) interest derived from money lent under a binding con- tract entered into on or after 29 July 1983: 2694 Reprinted as at 29 August 2011 (b) Income Tax Act 2004 Part O s OE 7 a redemption payment made on a commercial bill to which both the following apply, issue, in this paragraph, having the meaning given to it by section 2 of the Bills of Exchange Act 1908: (i) (ii) it was issued on or after 29 July 1983; and it was not issued under a binding contract entered into before that date.
Compare: 1994 No 164 ss CZ 2, OE 4 OE 5 Commission agency contracts performed out of New (1) (2) Zealand The income derived by any commission agent in the perform- ance out of New Zealand of commission agency contracts made or procured in New Zealand is, subject to any appor- tionment which may be made under this Act in respect of its source out of New Zealand, deemed to be derived by the commission agent from the commission agent’s business carried on in New Zealand.
In this section,— commission agency contract means a contract by which any person is authorised to sell out of New Zealand any goods or merchandise on commission or otherwise on behalf of any person resident or carrying on business in New Zealand commission agent means any person who carries on in New Zealand by himself or herself or by any person on his or her behalf the business of making commission agency contracts in New Zealand or of procuring such contracts to be made with him or her elsewhere.
Compare: 1994 No 164 s OE 5 OE 7 Conduit tax relief holding companies and group members (1) A company is a conduit tax relief holding company in re- spect of a conduit tax relief company in which it holds shares if— (a) (b) it is itself a conduit tax relief company; and a single person not resident in New Zealand has 100% of the direct voting interests in the conduit tax relief holding company (and 100% of the direct market value interests if a direct market value circumstance exists at 2695 Part O s OE 7 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) (d) the relevant time), disregarding a nominal shareholding held by a person to comply with company law require- ments; and the conduit tax relief holding company has a 10% or greater direct voting interest in the conduit tax relief company (and a 10% or greater direct market value in- terest, if a direct market value circumstance exists at the relevant time); and the conduit tax relief holding company has previously given, and not revoked, a notice to the conduit tax re- lief company that it is to be a conduit tax relief holding company for the conduit tax relief company.
(2) Notwithstanding subsection (1)(b), a company is not a conduit tax relief holding company if the single person is a controlled foreign company or the trustee of a non-qualifying trust.
(3) A company resident in New Zealand is a conduit tax relief group member in respect of a conduit tax relief company in which it holds shares if— (a) (b) it is itself a conduit tax relief company; and it has, in the conduit tax relief company,— (i) (ii) a 100% direct voting interest; and a 100% direct market value interest, if a market value circumstance exists at the time in respect of the conduit tax relief company; and (c) 1 or more non-residents have a direct voting interest, or a direct market value interest if a market value circum- stance exists at the time in respect of the group member, in either the conduit tax relief group member or in an- other member of the same wholly-owned group of com- panies that is resident in New Zealand and that has a 100% voting interest (and, if such a market value cir- cumstance exists, a 100% market value interest) (calcu- lated as if the look-through rules in sections OD 3(3)(d) and OD 4(3)(d) did not apply to deem the other mem- ber’s interests to be held by others) in the conduit tax relief company.
For the purposes of subsection (3)(b) and (c), a nominal share- holding held by a person solely to comply with company law requirements is disregarded.

(4) 2696 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OE 8 (5) For the purposes of subsection (3)(c), a non-resident is never- theless resident in New Zealand if the person is— (a) associated with the company or the conduit tax relief company; and a controlled foreign company or the trustee of a non- qualifying trust.
(b) Compare: 1994 No 164 s OE 7 OE 8 Residence of conduit tax relief company shareholders (1) The rules in this section apply only for the purposes of apply- ing the conduit tax relief provisions in sections KH 2, LG 1(1) and (4), MG 6(2), MI 5(1)(e) and (4), MI 7(1), MZ 4(1), NH 7, and OE 7(1)(b) and (3)(c).
(2) A non-resident is nevertheless resident in New Zealand if the person is— (a) (b) associated with the conduit tax relief company; and a controlled foreign company or the trustee of a non- qualifying trust.
(3) A company resident in New Zealand holding shares in a con- duit tax relief company is not resident in New Zealand if it is— a conduit tax relief holding company in respect of the (a) conduit tax relief company; or a conduit tax relief group member in respect of the con- duit tax relief company, but only to the extent described in subsection (4).
(b) (4) A conduit tax relief group member is not resident in New Zealand for the percentage of its direct voting interest, direct market value interest, and entitlement to derive dividends that is equal to the total percentage of direct voting interests (or di- rect market value interests if market value circumstances exist) referred to in section OE 7(3)(c).
Compare: 1994 No 164 s OE 8 Subpart OF—References to balance dates and years Contents OF 1 References to balance dates and years generally Page 2698 2697 Part O s OF 1 Income Tax Act 2004 Reprinted as at 29 August 2011 OF 2 References to years in particular provisions 2699 OF 1 References to balance dates and years generally (1) In this Act, a reference to a tax year that is identiﬁed by means of a reference to 2 years is a reference to the tax year that— (a) starts on 1 April in the earlier of those 2 years; and ends on 31 March in the later of those 2 years.
(b) In this Act, a reference to an income year that is identiﬁed by means of a reference to 2 years is a reference to the corres- ponding income year for the tax year that a reference to the same 2 years would identify.

(1A) (1B) For the purposes of subsections (1) and (1A), the reference to 2 years means 2 years referred to in a full form or 2 years referred to in a shortened form.
In this Act, unless the context otherwise requires,— (a) (2) references to persons with— (i) (ii) a standard balance date ; or a standard accounting year— are references to persons who furnish a return of income under section 33 of the Tax Administration Act 1994 for a tax year ending on 31 March, being the tax year that is the tax year in respect of which the reference is made: references to persons with— (b) (i) (ii) (iii) a non-standard balance date ; or a non-standard accounting year ; or a non-standard income year— are references to persons who furnish a return of income under section 38 of the Tax Administration Act 1994 for an account- ing year ending with an annual balance date other than 31 March, being, unless the context otherwise requires, the ac- counting year that corresponds to the tax year in respect of which the reference is made: (c) references to persons with— (i) an early balance date— are references to persons who furnish a return of income under section 38 of the Tax Administration Act 1994 for an account- ing year ending with an annual balance date that falls between 2698 Reprinted as at 29 August 2011 Income Tax Act 2004 Part O s OF 2 1 October and the following 30 March (both days inclusive), being, unless the context otherwise requires, the accounting year that corresponds to the tax year in respect of which the reference is made: (d) references to persons with— a late balance date— (i) are references to persons who furnish a return of income under section 38 of the Tax Administration Act 1994 for an account- ing year ending with an annual balance date that falls between 1 April and the following 30 September (both days inclusive), being, unless the context otherwise requires, the accounting year that corresponds to the tax year in respect of which the reference is made.
Compare: 1994 No 164 s OF 1 OF 2 References to years in particular provisions (3) Where a trustee is a person with a non-standard income year, and any amount derived by that trustee in that income year is also beneﬁciary income under the trust during the same in- come year, the beneﬁciary is deemed to have derived that bene- ﬁciary income under the trust during the same tax year as that which corresponds to the trustee’s income year.
For the purposes of section IG 2, every reference to a year of offset, a preceding loss year, or a tax year of a company includes a reference to any non-standard accounting year that corresponds with the year of offset, preceding loss year, or tax year.
Compare: 1994 No 164 s OF 2 (5) Part Y Repeals, amendments, and savings Contents YA 1 Repeals YA 2 Consequential amendments to other enactments YA 3 Transitional provisions YA 4 YA 5 Saving of binding rulings Saving of accrual determinations Page 2700 2700 2700 2701 2702 2699 Part Y s YA 1 Income Tax Act 2004 Reprinted as at 29 August 2011 YA 5B Saving of effect of section 394L(4A) of Income Tax Act 2703 1976 YA 5C Saving effect of section DF 5 of Income Tax Act 1994 YA 6 Comparative tables of old and new provisions 2704 2704 YA 1 Repeals (1) Schedule 20 The enactments speciﬁed in schedule 20 (Enactments re- pealed) are repealed.
Repeals effective only for 2005-06 tax year and later (2) However, except when the context requires otherwise, the re- peals in schedule 20 (Enactments repealed) apply only— (a) with respect to the tax on income derived in the 2005-06 tax year and later tax years, in the case of a person whose income year is the same as the tax year; and (b) with respect to the tax on income derived in the corres- ponding income years, in the case of a person whose income year is not the same as the tax year.
Deﬁned in this Act: corresponding income year, income, income year, tax, tax year Compare: 1994 No 164 s YB 3 YA 2 Consequential amendments to other enactments The enactments speciﬁed in schedules 21 (Enactments amended) and 22 (Amendments to Tax Administration Act 1994) are amended in the manner indicated in the schedule.
Compare: 1994 No 164 s YB 1 YA 3 Transitional provisions Reference to this Act can include earlier Act (1) A reference in an enactment or document to this Act, or to a provision of it, is to be interpreted as a reference to the Income Tax Act 1994 (or to the Income Tax Act 1976), or to the cor- responding provision of the earlier Act, to the extent necessary to reﬂect sensibly the intent of the enactment or document.
2700 Reprinted as at 29 August 2011 Income Tax Act 2004 Part Y s YA 4 Reference to earlier Act can include this Act (2) A reference in an enactment or document to the Income Tax Act 1994 (or to the Income Tax Act 1976), or to a provision of that earlier Act, is to be interpreted as a reference to this Act, or to the corresponding provision in this Act, to the ex- tent necessary to reﬂect sensibly the intent of the enactment or document.
(3) (4) (5) Intention of new law Except when subsection (5) applies, the provisions of this Act are the provisions of the Income Tax Act 1994 in rewritten form, and are intended to have the same effect as the corres- ponding provisions of the Income Tax Act 1994.
Old law is interpretation guide Except when subsection (5) applies, in circumstances where the meaning of a taxation law that comes into force at the com- mencement of this Act (new law) is unclear or gives rise to ab- surdity,— (a) the wording of a taxation law that is repealed by section YA 1 and that corresponds to the new law (old law) must be used to determine the correct meaning of the new law; and it can be assumed that a corresponding old law provision exists for each new law provision.
(b) Limits to subsections (3) and (4) Subsections (3) and (4) do not apply in the case of— (a) a new law speciﬁed in schedule 22A (Identiﬁed policy changes); or a new law that is amended after the commencement of this Act, with effect from the date on which the amend- ment comes into force.
(b) Deﬁned in this Act: commencement of this Act, taxation law Compare: 1994 No 164 s YB 5(4), (5) YA 4 Saving of binding rulings (1) When, and extent to which, this section applies This section applies when, and to the extent to which,— (a) either— 2701 Part Y s YA 5 Income Tax Act 2004 Reprinted as at 29 August 2011 (i) an applicant has applied for a private ruling, a product ruling, or a status ruling before 1 April 2005 on an arrangement that is entered into, or that the applicant seriously contemplates will be entered into, before the commencement of this Act; or (ii) a public ruling is issued before 1 April 2005; and the binding ruling is about a taxation law that is repealed by section YA 1 (old law); and a new taxation law that corresponds to the old law (new law) comes into force at the commencement of this Act; and if this section did not exist, the commencement of this Act would mean that the binding ruling would cease to apply because of section 91G of the Tax Administration Act 1994.
(b) (c) (d) Ruling about new law The binding ruling is treated as if it were made about the new law, so that the effect of the ruling at the commencement of this Act is the same as its effect before the commencement.
No conﬁrmation rulings To the extent to which a binding ruling continued by subsec- tion (2) applies to an arrangement, or to a person and an ar- rangement, the Commissioner must not make a binding ruling on how— (a) the new law applies to the arrangement or to the person and the arrangement; or this subsection applies to the arrangement or to the per- son and the arrangement.
(b) (2) (3) Deﬁned in this Act: arrangement, binding ruling, commencement of this Act, Commissioner, taxation law YA 5 Saving of accrual determinations When this section applies This section applies when— (a) a determination has been made before 1 April 2005 under— (i) section 90 or 90AC of the Tax Administration Act 1994; or (1) 2702 Reprinted as at 29 August 2011 Income Tax Act 2004 Part Y s YA 5B (b) (c) (d) (e) section 64E of the Income Tax Act 1976; and (ii) the determination has not been rescinded before 1 April 2005; and the determination is about— (i) the application of a taxation law that is repealed by section YA 1 (old law); or the application of a taxation law in the Income Tax Act 1976 that preceded and corresponded to the old law; and (ii) a new taxation law that corresponds to the old law (new law) comes into force at the commencement of this Act; and if this section did not exist, the commencement of this Act would mean that the determination would cease to apply because the taxation law to which it applied had ceased to exist.
(2) (3) Determination about new law The determination is treated as if it were made about the new law, so that the effect of the determination at the commence- ment of this Act is the same as its effect before the commence- ment.

No conﬁrmation determinations To the extent to which a determination continued by subsection (2) applies, the Commissioner must not make a determination on how the new law applies.
Deﬁned in this Act: commencement of this Act, taxation law YA 5B Saving of effect of section 394L(4A) of Income Tax Act 1976 Section 394L(4A) of the Income Tax Act 1976 (Further tax payable where end of year debit balance, or when company ceases to be an imputation credit account company) continues to apply in the same manner as it applied immediately before the repeal of that Act by the Income Tax Act 1994.
Section YA 5B was inserted, as from 1 April 2005, by section 199(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
2703 Part Y s YA 5C Income Tax Act 2004 Reprinted as at 29 August 2011 YA 5C Saving effect of section DF 5 of Income Tax Act 1994 (1) When this section applies This section applies when a person— (a) has made a payment to which section DC 1 (Lump sum payments on retirement) would otherwise apply in the absence of this section; and has allocated the deduction for the payment to an in- come year relying on the wording used in section DF 5 (Retiring allowances payable to employees) of the In- come Tax Act 1994; and has taken the tax position for the allocation before 22 February 2011.
(b) (c) Savings provision (2) Despite the express wording used in section DC 1, section DF 5 continues to apply for the person in relation to the tax position in the same manner as it applied immediately before the repeal of the Income Tax Act 1994 by the Income Tax Act 2004.
Deﬁned in this Act: deduction, income year, pay Section YA 5C: inserted (with effect on 1 April 2005), on 29 August 2011 (ap- plying for the 2005–06 and later income years), by section 207(1) of the Taxa- tion (Tax Administration and Remedial Matters) Act 2011 (2011 No 63).
YA 6 Comparative tables of old and new provisions Schedule 23 Schedule 23 (Comparative tables of old and new provisions) sets out corresponding provisions in the Income Tax Act 1994, the Tax Administration Act 1994, and this Act at the com- mencement of this Act.
Parts of schedule The schedule has the following 3 parts: (a) part A lists each provision in the Income Tax Act 1994 and— (i) indicates the corresponding provision in this Act; or indicates the corresponding provision in the Tax Administration Act 1994; or states that the provision has been omitted: (ii) (iii) (1) (2) 2704 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 1 (b) (c) part B lists each provision in this Act and— (i) indicates the corresponding provision in the In- come Tax Act 1994; or states that the provision is new: (ii) part C lists the provisions that this Act inserts in the Tax Administration Act 1994 and— (i) indicates the corresponding provision in the In- come Tax Act 1994; or states that the provision is new.
(ii) (3) Purpose of schedule The schedule is provided to assist readers to identify corres- ponding provisions but must not be interpreted as a deﬁnitive guide to the correspondence of provisions.
Deﬁned in this Act: commencement of this Act Compare: 1994 No 164 s YB 6 Schedule 1 Basic rates of income tax and speciﬁed superannuation contribution withholding tax s OB 1 A Income tax 1 2 Policyholder income On the amount of schedular taxable income in respect of pol- icyholder income of a person, the basic rate of income tax is 30 cents for every $1 of that schedular taxable income.
Clause 1 was amended, as from 21 May 2007, by section 50(1)(a) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19) by substituting “30 cents” for “33 cents” with application as from the 2008–09 income year.

Maori authorities The basic rate of income tax for the taxable income of a Maori authority is 19.5 cents for every $1 of that taxable income.
2705 Schedule 1 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Trustee income On the taxable income of a trustee (whether or not the trustee is a company or a corporation), where such taxable income is not included within any of the provisions of clause 7, 8, or 8B, the basic rate of income tax is 33 cents for every $1 of that taxable income.
Clause 4 was amended, as from 21 May 2007, by section 50(1)(b) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19) by substituting “clause 7, 8, or 8B” for “clause 7 or 8” with application as from the 2008–09 income year.

Companies On all taxable income not included within any of the provi- sions of clause 1 or 2, the basic rate of income tax on the tax- able income of a company is 30 cents for every $1 of that tax- able income.
Clause 5 was amended, as from 21 May 2007, by section 50(1)(c) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19) by substituting “30 cents” for “33 cents” with application as from the 2008–09 income year.

Portfolio tax rate entity [Repealed] Schedule 1 clause 6: repealed, on 1 October 2007, by section 50(1)(d) of the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).
Trustees of group investment funds On the amount of schedular taxable income in respect of cat- egory A income of a trustee, the basic rate of tax is 30 cents for every $1 of that schedular taxable income.

Clause 7 was amended, as from 21 May 2007, by section 50(1)(e) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19) by substituting “30 cents” for “33 cents” with application as from the 2008–09 income year.
4 5 6 7 2706 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 1 A—continued 8 Taxable distributions from non-qualifying trusts On all taxable distributions from non-qualifying trusts, the basic rate of income tax is 45 cents for every $1 of the tax- able distribution.
8B 9 10 To the extent to which taxable income of a trustee is not in- cluded in the provisions of clause 7 or 8, the basic rate of in- come tax is 30 cents for every dollar of that taxable income, if the income is of a trustee of— (a) an approved unit trust to which the Income Tax Act (Exempt Unit Trusts) Order 1990 applies: a widely-held superannuation fund: a widely-held GIF.
(b) (c) Clause 8B was inserted, as from 21 May 2007, by section 50(1)(f) Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19) with application as from the 2008–09 income year.
Other taxpayers On all taxable income not included within any of the provi- sions of clauses 1 to 8, the basic rate of tax for every $1 of the taxable income is the effective rate of tax ascertained by calcu- lating tax on that taxable income in accordance with the rates of tax speciﬁed in part B and dividing the tax so calculated by the number of dollars included in that taxable income.
Speciﬁed superannuation contribution withholding tax On the amount of a speciﬁed superannuation contribution (be- ing the gross amount of the contribution before deduction of speciﬁed superannuation contribution withholding tax) by an employer to a superannuation fund on behalf of an employee, the speciﬁed superannuation contribution withholding tax for every $1 of the amount is— (a) the rate speciﬁed in part C, if the employer has made an election under section NE 2B; and (aa) 33 cents, if an election has not been made.
(b) 2707 Schedule 1 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Paragraph (a) was substituted, as from 1 April 2007, by section 160(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Paragraph (aa) was repealed, as from 1 April 2007, by section 160(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
B Rates referred to in part A, clause 9 Rate of tax for every $1 of taxable income Cents On so much of the taxable income as— is not more than $38,000 is more than $38,000 and is not more than $60,000 is more than $60,000 19.5 33 39 C Rates referred to in clause 10(a) of part A The SSCWT rate threshold amount for the employee for the year in which the speciﬁed superannuation contribution is paid The rate of speciﬁed superannuation for the employee for the contribution withholding tax for every $1 of the year to which the speciﬁed superannuation gross amount of a speciﬁed superannuation contribution relates contribution (being the amount of the contribution before deduction of speciﬁed superannuation contribution withholding tax) Cents 2708 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 2 C—continued An amount that is not more than $11,400 An amount that is more than $11,400 and not more than $45,600 An amount that is more than $45,600 15 21 33 The heading to part C was amended, as from 1 April 2007, by section 160(3) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substi- tuting “(a)” for “(aa)”.
Part C was amended, as from 1 April 2007, by section 160(4)(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting the heading for the ﬁrst column.

Part C was amended, as from 1 April 2007, by section 160(4)(b) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “$11,400” for “$9,500” in both places it appears.
Part C was amended, as from 1 April 2007, by section 160(4)(c) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “$45,600” for “$38,000” in both places it appears.
Schedule 2 ss GC 16, ND 1A, ND 1U, ND 1V, ND 5 Fringe beneﬁt values A Motor vehicles Part A was substituted, as from 1 April 2006, by section 200(1) Taxation (De- preciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
The following paragraphs apply to determine the value of the beneﬁt that an employee has for a quarter or tax year, or income year when section ND 14 applies, if in the quarter, tax year, or income year, a motor vehicle is provided by a person for 2709 1 Schedule 2 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued the private use of an employee, or is made available for their private use: (a) if the vehicle is owned by the person, jointly or other- wise,— (i) on the basis of the cost price of the vehicle to the person: for a quarter, 5% of the cost price, and for a tax year or income year, 20% of the cost price: subject to clause 6, on the basis of the tax value of the vehicle to the person: for a quarter, 9% of the tax value, and for a tax year or income year, 36% of the tax value: (ii) (b) if the vehicle is leased or rented by the person from another person, whether they are associated or not,— (i) on the basis of the cost price of the vehicle to its owner at the time the beneﬁt is provided to the employee: for a quarter, 5% of the cost price, and for a tax year or income year, 20% of the cost price: subject to clause 6, on the basis of the tax value of the vehicle to its owner at the time the beneﬁt is provided to the employee: for a quarter, 9% of the tax value, and for a tax year or income year, 36% of the tax value.
(ii) 2 If a motor vehicle to which this schedule applies is 1 of a num- ber of motor vehicles, each of which is available for private use as described in clause 1, the value of the beneﬁt is determined as follows: (a) if the employee mainly uses the same vehicle, clause 1 applies to that vehicle: if paragraph (a) does not apply, and the employee is employed in a business engaged in the selling of motor vehicles, and the vehicles available for use are trading stock of the business, clause 1 applies to the quotient obtained by dividing the sum of either the cost price of (b) 2710 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 2 A—continued the vehicles or their tax value, by the total number of those vehicles: if paragraphs (a) and (b) do not apply, clause 1 applies to the highest value of any vehicle used by the employee.
(c) In this schedule, a motor vehicle’s tax value in a quarter in a tax year, in a tax year, or in an income year is— (a) the value of the vehicle, as determined under subpart EE (Depreciation) for the beginning of the tax year or income year, if paragraphs (b) and (c) do not apply; or the cost price of the vehicle, if the vehicle is acquired after the beginning of the tax year or income year and paragraph (c) does not apply; or determined under clause 3B, if, in the period of 2 years before the vehicle’s acquisition by the person (person A) providing it to the employee, the vehicle is owned by person A or by a person (person B) associated with them.
(b) (c) Clause 3 was substituted, as from 18 December 2006, by section 161(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
3 3B For person A and the purposes of clause 3(c), the tax value of the vehicle is the value under subpart EE it would have at the beginning of the tax year or income year, or at the time of acquisition in the year, treating the cost of the vehicle on acquisition as the amount given by— (a) clause 3C, if— (i) (ii) the cost price was last used by person A or person B for the vehicle under clause 1: the vehicle was not subject to clause 1 in the 2-year period referred to in clause 3(c) and nei- ther person A nor person B have used the tax value for the vehicle under clause 1: 2711 Schedule 2 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued (c) (b) clause 3D, if person A did not own the vehicle and per- son B last used the tax value of the vehicle under clause 1: clause 3E, if person A owned the vehicle and the tax value was last used for the vehicle under clause 1.
Clauses 3B to 3E were inserted, as from 18 December 2006, by section 161(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

3C 3D 3E 2712 The highest of the following amounts is the relevant amount for the purposes of clause 3B(a): (a) the highest cost of the vehicle to person A on any acqui- sition of it by them: the highest cost of the vehicle to person B on any acqui- sition of it by them.
(b) Clauses 3B to 3E were inserted, as from 18 December 2006, by section 161(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

The highest of the following amounts is the relevant amount for the purposes of clause 3B(b): (a) the tax value of the vehicle under this schedule for per- son B, immediately before the last disposal of the ve- hicle by them: (b) the cost of the vehicle to person A on acquisition.
Clauses 3B to 3E were inserted, as from 18 December 2006, by section 161(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
The highest of the following amounts is the relevant amount for the purposes of clause 3B(c): (a) the tax value of the vehicle under this schedule for whichever of person A or person B last used tax value for the vehicle under clause 1, immediately before the last disposal of the vehicle by that person: Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 2 A—continued (b) the cost of the vehicle to person A on the last acquisition of it by them.
Clauses 3B to 3E were inserted, as from 18 December 2006, by section 161(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

To determine the value of a beneﬁt under clause 1, any GST paid on the acquisition of a vehicle by the owner or lessor of the vehicle is— (a) included in the cost price of the motor vehicle or in the calculation of the motor vehicle’s tax value; and not reduced by an amount of input tax on the supply of the vehicle to the owner or lessor.
(b) Despite clause 4, a person who in a quarter, tax year, or in- come year provides a beneﬁt that is valued under clause 1 may choose to value the vehicle on the basis of its cost price exclu- sive of GST or its tax value calculated exclusive of GST using clause 1 as modiﬁed by clause 6.
4 5 6 The following paragraphs apply to a person who values a ve- hicle on the basis of its cost price exclusive of GST or its tax value calculated exclusive of GST: (a) the terms cost price and tax value in clause 1 do not include an amount of GST payable: the references to 5% in clause 1 are treated as if they were references to a percentage calculated using the for- mula— 5 + (5 × rate of GST applying in last day of relevant quarter): the references to 9% in clause 1 are treated as if they were references to a percentage calculated using the for- mula— (b) (c) 2713 Schedule 2 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued (d) (e) 9 + (9 × rate of GST applying in last day of relevant quarter): the references to 20% in the clause are treated as if they were references to a percentage calculated using the for- mula— 20 + (20 × rate of GST applying in last day of relevant tax year or corresponding income year): the references to 36% in the clause are treated as if they were references to a percentage calculated using the for- mula— 36 + (36 × rate of GST applying in last day of relevant tax year or corresponding income year): When a vehicle is leased or rented to the person after it has been leased or rented to another person (the other person), the vehicle’s cost price is its market value at the time it is ﬁrst leased or rented to the person if— (a) (b) the person is not associated with the other person; and the person is not associated with the lessor or owner of the vehicle; and the employee is not the lessor or owner of the vehicle; and the employee is not associated with the lessor or owner of the vehicle.
(c) (d) Clause 7 was amended, as from 1 April 2006, by section 161(2) Taxation (Sav- ings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by sub- stituting the words before para (a) with application for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
If the vehicle is leased or rented by the person from another person and the lessee requests that the lessor disclose the cost price or tax value of the vehicle for the lessor, the lessor must disclose to the lessee the information requested.

7 8 2714 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 3 A—continued 9 The minimum tax value of a motor vehicle to which this sched- ule applies is $8,333.
B Rates for attributed fringe beneﬁts Rate of tax for every $1 of fringe beneﬁt inclusive cash remuneration Cents 17.65 26.58 49.25 63.93 On so much of the fringe beneﬁt inclusive cash remuneration as— is $8,075 or less is more than $8,075 and less than or equal to $30,590 is more than $30,590 and less than or equal to $45,330 is more than $45,330 Schedule 3 International tax rules: grey list countries ss EX 22-EX 24, EX 33 A Grey list countries 1 2 3 Australia, excluding the Territory of Norfolk Island Canada Federal Republic of Germany 2715 Schedule 3 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Japan United Kingdom of Great Britain and Northern Ireland United States of America, excluding its possessions and territories Norway Kingdom of Spain Schedule 3 part A, item 8 was inserted, as from 3 April 2006, by section 201(1) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2006–07 tax year.
B Features of the taxation law of countries speciﬁed in Part A Any exemption from income tax for income derived from business activities carried on outside the country.

In the case of Australia, any special allowances, reliefs, or exemptions with respect to offshore banking units.

In the case of Canada, any special allowances, reliefs, or exemptions with respect to international banking centres.
In the case of the Federal Republic of Germany, any special allowances, reliefs, or exemptions with respect to regional located investment in the former German Democratic Republic or in West Berlin.

In the case of the United Kingdom of Great Britain and Northern Ireland, any special allowances, reliefs, or exemptions with respect to activities carried on in enterprise zones.
2716 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 4 B—continued 6 7 In the case of Canada, any special allowances, reliefs, or exemptions provided to non-resident owned investment corporations pursuant to section 133 of the Income Tax Act (Canada).
In the case of the Kingdom of Spain, any special allowances, reliefs, or exemptions with respect to activities that are carried on in, or by an enterprise registered in, the following: (a) Canary Islands: (b) Ceuta: (c) Melilla: (d) Alava: (e) Guipuzcoa: (f) Vizcaya: (g) Navarra.
Schedule 3 part A, item 7 was inserted, as from 3 April 2006, by section 201(2) Tax- ation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2006–07 tax year.
Schedule 4 ss EX 29, EX 30, EX 33, EX 33B, EX 33C, EX 33D, EX 40 Foreign investment funds Schedule 4 was amended, as from 1 April 2007, by section 162 Taxation (Sav- ings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by in- serting “EX 33B, EX 33C, EX 33D,” after “EX 33” in the shoulder reference.
Entities treated as foreign investment funds A 2717 Schedule 5 Income Tax Act 2004 Reprinted as at 29 August 2011 Foreign entities to which grey list exemption does not apply B C Foreign entities for which accounting proﬁts method may not be used Schedule 5 Low tax jurisdictions or territories s OB 1 A All companies resident in following countries or territories Andorra Angola Anguilla Antigua and Barbuda Bahamas Bahrain Barbados Bermuda British Channel Islands British Virgin Islands Campione 32 33 34 35 36 37 38 39 40 41 42 Luxembourg Macau Madeira Maldives Marshall Islands Monaco Montserrat Nauru Netherlands Antilles and/or Aruba Nevis New Caledonia 2718 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 5 A—continued Cayman Island Cook Islands Costa Rica Cyprus Djibouti Dominica Ecuador French Polynesia Greece Grenada Gibraltar Guatemala Hong Kong Isle of Man Jamaica Jordan Kuwait Lebanon Norfolk Island Oman Palau Panama Puerto Rico Saint Helena Saint Kitts Saint Lucia Saint Vincent San Marino Seychelles Solomon Islands Sri Lanka Switzerland Turks and Caicos Islands United Arab Emirates Uruguay Vanuatu 2719 Schedule 5 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued 30 31 Liberia 61 Venezuela Liechtenstein B Speciﬁed companies resident in following countries or territories (a) companies that are regarded as Foreign Sales Corporations by the United States of America and which therefore qualify for reduced Belgian taxation: (b) companies approved under Royal Decree No 187 of 30 December 1982 as Co-ordination Centres (as deﬁned by the original Royal Decree or by subsequent amending laws) (a) companies deriving income from sources outside Brunei (a) companies obtaining relief or exemption from tax under Part 5 of the Corporation Tax Act 1976 or section 43 of the Finance Act 1980 (proﬁts from trading within Shannon Airport): 1 Belgium 2 Brunei 3 Ireland 2720
 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 5 B—continued (b) companies obtaining relief or exemption from tax under Part 4 of the Corporation Tax Act 1976 or section 42 of the Finance Act 1980 (proﬁts from exporting certain goods): (c) companies certiﬁed by the Minister of Finance to provide international ﬁnancial services or to carry on any other activities in the Custom House Docks area: (d) companies deriving income or proﬁts from goods manufactured in Ireland: (e) companies deriving income or capital gains from the following operations: (i) life assurance business with policyholders and annuitants who reside outside Ireland: 2721 Schedule 5 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued (ii) the management of the investments of 1 or more unit trusts where all the unit holders are resident outside Ireland: (f) companies obtaining initial allowances or accelerated writing down allowances in respect of qualifying assets of ﬁnancial-type operations carried out in the Shannon Free Airport Zone or any designated urban renewal area: (g) companies undertaking administrative or liaison activities (a) companies obtaining relief or exemption from tax under the tax free zone or tax free factory scheme (a) companies having income granted exemption from tax under paragraph 11, schedule 1 of the Income Tax Act 1973 4 Fiji 5 Kenya 2722 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 5 6 Malaysia B—continued (a) companies exempt from tax in relation to shipping: (b) companies subject to tax at 5% in relation to inward reinsurance: (c) companies obtaining relief or exemption from tax under the Labuan Offshore Business Activity Tax Act 1990: (d) companies obtaining relief or exemption from tax under the Offshore Banking Act 1990: (e) companies obtaining relief or exemption from tax under the Offshore Companies Act 1990: (f) companies obtaining relief or exemption from tax under the Offshore Insurance Act 1990: (g) companies obtaining
 relief or exemption from tax under the Labuan Trust Companies Act 1990: 2723 Schedule 5 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued (h)companies obtaining relief or exemption from tax under the Promotion of Investments (Criteria for the Grant of Pioneer Status to a Small-Scale Company) Order 1990 (a) companies obtaining relief or exemption from tax under the Malta International Business Activities Act 1988: (b) companies obtaining relief or exemption from tax under the Offshore Trusts Act 1988: (c) companies obtaining relief or exemption from tax under the Malta Freeports Act 1989: (d) companies obtaining relief or exemption from tax under the Merchant Shipping Act 1973 (a) companies exempt from tax under the Decree for the Avoidance of Double Taxation 1965 for foreign source business proﬁts: 7 Malta 8 Netherlands 2724 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 5 B—continued (b) companies that have obtained a participation exemption under article 13 or 18 of the Corporate Income Tax Act 1969: (c) companies that are regarded as Foreign Sales Corporations by the United States of America: (d) companies that have obtained an advance ruling from the Ministry of Finance in relation to income earned with respect to inter-company loans (a) companies that are regional headquarters companies: (b) companies that operate as an Offshore Banking Unit or a Foreign Currency Deposit Unit: (c) companies that receive interest on deposits with a Foreign Currency Unit, or other interest subject to reduced rates of tax under the National Internal Revenue Code 9 Philippines 2725 Schedule 5 Income Tax Act 2004 Reprinted as at 29 August 2011 10 Singapore B—continued (a) companies subject to the concessionary rate of tax for insurance and reinsurance of risks outside Singapore: (b) companies that operate Asian Currency Units which have income— (i) taxed at a concessionary rate by virtue of section 43A, 43B, or 43C of the Income Tax Act; or (ii) exempted from
 tax under the Income Tax (Income Arising from Syndicated Offshore Loans) Regulations 1984: (c) companies that are exempt from tax on the income of a shipping enterprise: (d) companies that derive any income to which section 43E of the Income Tax Act applies (headquarters companies): 2726 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 6 11 Samoa B—continued (e) companies that are incorporated in Singapore but not managed and controlled from Singapore and that derive any income from sources outside Singapore (a) companies that by virtue of section of the Off-Shore Banking Act 1987 are exempt from income tax in respect of an offshore banking business conducted within Samoa: (b) companies that by virtue of section of the Off-Shore Banking Act 1987 are exempt from income tax in respect of dividends or earnings or interest derived in respect of shares or securities of a licensee under that Act Schedule 6 Countries whose taxes receive limited recognition for certain New Zealand tax purposes s OB 1 Country or territory Types of income 2727 Schedule 6B Income Tax Act 2004 Reprinted as at 29 August 2011 Schedule 6B ss EK 2, EK 12, EK 20, EK 23 Expenditure in avoiding, remedying, or mitigating detrimental effects of discharge of contaminant Schedule 6B was inserted, as from 1 October 2005, by section 89 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with ap- plication as from the 2005–06 income year.
A Expenditure relating to activity or improvement to land expenditure on investigating and testing locations and methods, before a decision is made to use a location or method, for an activity or improvement that is intended to avoid, remedy, or mitigate future detrimental effects on the environment from the discharge of a contaminant expenditure, in the construction of an improvement on land in New Zealand, incurred in order to avoid or mitigate future detrimental effects on the environment from the discharge of a contaminant xpenditure on screen planting, on land in New Zealand, in- curred in association with the construction of an improvement to the land that is intended to avoid, or mitigate future detri- mental effects on the environment from the discharge of a con- taminant expenditure on riparian planting, on land in New Zealand, in- curred in order to avoid or mitigate future detrimental effects on the environment from the discharge of a contaminant expenditure on an activity that is intended to avoid or mitigate the future discharge of a contaminant B Expenditure relating to monitoring, remedies, and mitigation expenditure related to monitoring the discharge of a contam- inant 2728 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 6B B—continued expenditure related to monitoring detrimental effects on the environment from the discharge of a contaminant expenditure, incurred after the discharge of a contaminant, on avoiding, remedying, or mitigating detrimental effects on the environment from the discharged contaminant expenditure, incurred after the discharge of a contaminant, on removing an improvement to land in New Zealand for the pur- pose of avoiding, remedying, or mitigating detrimental effects on the environment from the discharged contaminant expenditure, incurred after the discharge of a contaminant, on the installation of impermeable surfaces on land in New Zealand with the purpose of avoiding, remedying, or mitigat- ing detrimental effects on the environment
 from the discharged contaminant expenditure, incurred after the discharge of a contaminant, on replanting land in New Zealand in association with expend- iture to avoid, remedy, or mitigate detrimental effects on the environment from the discharged contaminant expenditure, on disposing of a stored substance that is a po- tential contaminant in a way that avoids detrimental effects on the environment Item 7 was amended, as from 1 October 2005, by section 163 Taxation (Savings In- vestment and Miscellaneous Provisions) Act 2006 (2006 No 81) by omitting the words “incurred in the cessation of a business,”.
C Excluded expenditure expenditure related to land reclamation expenditure relating to dredging, other than dredging for the principal purpose of remedying or mitigating detrimental ef- fects on the environment from a discharged contaminant expenditure related to the acquisition of land 1 2 3 2729 Schedule 7 Income Tax Act 2004 Reprinted as at 29 August 2011 Schedule 7 Expenditure on farming, aquacultural, and forestry improvements ss DO 4, DO 6, DP 3 Percentage of dimin- ished value of improve- ment allowed as deduction 6 45 6 6 Improvement Part A Farming unless clause 1B applies, preparation of the land for farming or agriculture, including cultivation and grassing regrassing and fertilising all types of pasture in the course of a signiﬁcant capital activity that relates to a type of pasture with an estimated useful life of more than 1 year draining of swamp or low-lying lands construction of access roads or tracks to or on the land 1 1B 2 3 2730 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 7 construction of dams, stopbanks, irrigation or stream diversion channels, or other improvements for the purpose of conserving or conveying water for use on the land or for preventing or combating soil erosion, other than planting or maintaining trees, whether or not on the land, for the purpose of providing shelter to the land construction of earthworks, ponds, settling tanks, or other similar improvements mainly for the purpose of the treatment of waste products in order to prevent or combat pollution of the environment sinking of bores or wells for the purpose of supplying water for use on the land construction of aeroplane landing strips to facilitate aerial topdressing of the land planting of non-listed horticultural plants on the land (see section 44C of the Tax Administration Act 1994) erection on the land of electric power lines or telephone lines 10 construction on the land of feeding platforms, feeding yards, plunge sheep dips, or self-feeding ensilage pits 6 6 6 6 12 12 12 2731 Schedule
 7 Income Tax Act 2004 Reprinted as at 29 August 2011 11 12 construction on the land of supporting frames for growing crops construction on the land of structures for shelter purposes Part B Freshwater ﬁsh farming drilling of water bores draining of land or the excavating of sites for ponds, races, or tanks construction of ponds, races, settling ponds, sluices, or tanks of impervious materials to conduct or contain waters supply and installation of pipes for water reticulation construction of access paths, embankments, service paths, walkways, or walls construction of efﬂuent ponds supply and installation of bafﬂes or screens for the containing or excluding of ﬁsh construction of fencing on the ﬁsh farm Part C Mussel farming 12 12 6 6 6 6 6 6 12 12 2732 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 7 1 2 3 1 2 3 1 2 acquisition, preparation, and mooring of pontoons or rafts or other ﬂoating structures for collecting spat acquisition, mooring, and outﬁtting of moored ﬂoating platforms or longlines from which the collected spat is suspended for subsequent growth collecting and depositing of shell or other suitable material on the sea bed to create spatting surfaces Part D Rock oyster farming acquisition and preparation of spatting sticks construction and erection of posts, rails, or other structures for the holding of spatting sticks during spat catching and maturing construction of fences (including breakwater fences) Part E Scallop farming acquisition, preparation, and mooring of ﬂoating structures for collecting spat acquisition, mooring, and outﬁtting of longlines from which the collected spat is suspended for subsequent growth 24 24 24 24 24 24 24 24 2733 Schedule 7 Income Tax Act 2004 Reprinted as at 29 August 2011 Part F Sea-cage salmon farming acquisition, preparation, and mooring of pontoons or rafts or other ﬂoating structures for securing or protecting cages or other containment vessels acquisition, preparation, and placing of
 equipment or structures, including cages, nets, tanks, or other vessels, for the containment of live salmon acquisition and placing of buoys and ropes used in the breeding or maturing of salmon Part G Forestry felling, clearing, destruction, or removal of timber, stumps, scrub, or undergrowth on the land in the preparation of the land for the planting of trees on the land eradication or extermination, to enable the planting of trees on the land, of animal or vegetable pests on the land destruction, to enable the planting of trees on the land, of weeds or plants detrimental to the land 24 24 24 6 6 6 1 2 3 1 2 3 2734 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 7 6 6 24 6 4 5 6 7 draining of swamp or low-lying lands in the preparation of the land for the planting of trees on the land construction of roads to or on the land (including any culverts or bridges necessary for the construction), when the roads are formed and wholly or mainly metalled or sealed construction of roads to or on the land (including any culverts or bridges necessary for the con- struction), when the roads— (a) are not access tracks to which section DP 1(1)(h) forestry (Expenditure of business) applies; and are 1 of the following: (i) (b) are that roads formed and partially metalled or sealed; or roads that are not metalled or sealed (ii) construction of dams, stopbanks, irrigation or stream diversion channels, or other improvements for the purpose of conserving or conveying water for use on the land or for preventing or combating soil erosion 8 repair of ﬂood or erosion damage 6 2735 Schedule 8 Income Tax Act 2004 Reprinted as at 29 August 2011 9 10 11 12 sinking of bores or wells for the purpose of supplying water for use on the land construction of aeroplane landing strips to facilitate aerial topdressing or disease control work or ﬁreﬁghting on the land construction on the land of fences, including the purchase of wire or wire netting for the purpose of making new or existing
 fences rabbit-proof erection on the land of electric power lines or telephone lines 6 6 12 12 The heading to sch 7 was amended, as from 1 October 2005, by section 264(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the word “horticultural,” after the word “farming,” with application from the 2005–06 income year.
Schedule 7 part A, clause 1 was amended, as from 1 April 2005, by section 202(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “unless clause 1B applies, preparation” for the word “preparation”.

Schedule 7 part A, clause 1B was inserted, as from 1 April 2005, by section 202(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Schedule 7 part A, item 8, was amended, as from 1 October 2005, by section 264(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “non-listed horticultural plants on the land” for the words “vines or trees on the land other than trees planted mainly for the purposes of timber produc- tion” with application from the 2005–06 income year.
Schedule 8 Types and classes of livestock ss EC 15, OB 1 Column 1 Column 2 Types of livestock Classes of livestock Beef cattle 2736 Beef breeds and beef crosses Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 8 Column 1 Column 2 Types of livestock Classes of livestock Rising 1 year heifers Rising 2 year heifers Mixed-age cows Rising 1 year steers and bulls Rising 2 year steers and bulls Rising 3 year and older steers and bulls Breeding bulls Dairy cattle Friesian and related breeds Rising 1 year heifers Rising 2 year heifers Mixed-age cows Rising 1 year steers and bulls Rising 2 year steers and bulls Rising 3 year and older steers and bulls Breeding bulls Jersey and other dairy breeds Rising 1 year heifers Rising 2 year heifers Mixed-age cows 2737 Schedule 8 Income Tax Act 2004 Reprinted as at 29 August 2011 Column 1 Column 2 Types of livestock Classes of livestock Rising 1 year steers and bulls Rising 2 year and older steers and bulls Breeding bulls Red deer Rising 1 year hinds Rising 2 year hinds Mixed-age hinds Rising 1 year stags Rising 2 year and older stags (non-breeding) Breeding stags Wapiti, elk, and related crossbreeds Rising 1 year hinds Rising 2 year hinds Mixed-age hinds Rising 1 year stags Rising 2 year and older stags (non-breeding) Breeding stags Deer 2738 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 8 Column 1 Column 2 Types of livestock Classes of livestock Goats Other breeds Rising 1 year hinds Rising 2 year hinds Mixed-age hinds Rising 1 year stags Rising 2 year and older stags (non-breeding) Breeding stags Angora and angora crosses (mohair producing) Rising 1 year does Mixed-age does Rising 1 year bucks (non-breeding)/wethers Bucks (non-breeding) /wethers over 1 year Breeding bucks Other ﬁbre and meat producing goats (cashmere or cashgora producing) Rising 1 year does Mixed-age does 2739 Schedule 8 Income Tax Act 2004 Reprinted as at 29 August 2011 Column 1 Column 2 Types of livestock Classes of livestock Rising 1 year bucks (non-breeding)/wethers Bucks
 (non-breeding)/wethers over 1 year Breeding bucks Milking (dairy) goats Rising 1 year does Does over 1 year Breeding bucks Other dairy goats Breeding sows less than 1 year of age Breeding sows over 1 year of age Breeding boars Weaners less than 10 weeks of age (excluding sucklings) Growing pigs 10 to 17 weeks of age (porkers/baconers) Growing pigs over 17 weeks of age (baconers) Ewe hoggets Pigs Sheep 2740 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 9 Column 1 Column 2 Types of livestock Classes of livestock Ram and wether hoggets Two-tooth ewes Mixed-age ewes (rising 3 year and rising 4 year ewes) Rising 5 year and older ewes Mixed-age wethers Breeding rams Schedule 9 Categories of livestock for which national standard costs to be declared ss EC 23, EC 24 Column 1 Column 2 Column 3 Categories for which national standard costs to be declared Types of livestock Beef cattle Rising 1 year Types of costs to be declared Breeding, rearing, and growing Rising 2 year Rising 3 year male non-breeding cattle (all breeds) Rearing and growing Rearing and growing 2741 Schedule 9 Income Tax Act 2004 Reprinted as at 29 August 2011 Column 1 Column 2 Column 3 Types of livestock Dairy cattle Categories for which national standard costs to be declared Types of costs to be declared Purchased bobby calves Rearing and growing Rising 1 year Rising 2 year Deer Rising 1 year Rising 2 year Goats (dairy) Rising 1 year Goats (meat and ﬁbre) Rising 2 year Rising 1 year Rising 2 year Breeding, rearing, and growing Rearing and growing Breeding, rearing, and growing Rearing and growing Breeding, rearing, and growing Rearing and growing Breeding, rearing, and growing Rearing and growing Weaners to 10 weeks of age Breeding, rearing, and growing Pigs 2742 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 10 Column 1 Column 2 Column 3 Types of livestock Categories for which national standard costs to be declared Types of costs to be declared Growing pigs 10 to 17 weeks of
 age Rearing and growing Sheep Rising 1 year Rising 2 year Breeding, rearing, and growing Rearing and growing Schedule 9, column 2, entry relating to “Pigs”, was amended, as from 1 April 2005, by section 265 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “Growing pigs 10 to 17 weeks of age” for the words “Growing pigs 10 to 18 weeks of age”.
Schedule 10 Straight-line equivalents of diminishing value rates of depreciation ss EE 34, EZ 13, EZ 14 Column 1 Column 2 Diminishing value depreciation rate Straight-line equivalent 1 2 2.5 3 4 5 1 1.5 2 2.5 3 3.5 2743 Schedule 10 Income Tax Act 2004 Reprinted as at 29 August 2011 Column 1 Column 2 Diminishing value depreciation rate Straight-line equivalent Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 10 Column 1 Column 2 Diminishing value depreciation rate Straight-line equivalent Schedule 10 Income Tax Act 2004 Reprinted as at 29 August 2011 Column 1 Column 2 Diminishing value depreciation rate Straight-line equivalent Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 10 Column 1 Column 2 Diminishing value depreciation rate Straight-line equivalent Schedule 11 Income Tax Act 2004 Reprinted as at 29 August 2011 Column 1 Column 2 Diminishing value depreciation rate Straight-line equivalent 73 74 75 76 77 78 79 80 81 82 100 73 74 75 76 77 78 79 80 81 82 100 Schedule 11 Banded rates of depreciation ss EC 34, EE 25E Schedule 11 was amended, as from 18 December 2006, by section 164(1) Tax- ation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substituting “EE 25E” for “EE 25” in the shoulder reference with ap- plication as from the 2005–06 income year.
Column 1 Column 2 Diminishing value depreciation rate Straight-line equivalent 2 4 2748 1.5 3 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 11B 6 7.5 9.5 12 15 18 22 26 33 40 50 63.5 100 4 5.5 6.5 8 10 12.5 15.5 18 24 30 40 63.5 100 Schedule 11B Banded rates of depreciation ss EE 25B, EE 25C Schedule 11B was inserted, as from 3 April 2006, by section 203(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
Other assets (excluding ﬁxed life intangible property, excluded depreciable property, and buildings) Buildings Column 1 Column 2 Column 3 Column 4 2749 Schedule 12 Income Tax Act 2004 Reprinted as at 29 August 2011 D.V rate Straight-line rate D.V.
rate Straight-line rate (%) 100 67 50 40 30 25 20 16 13 10 8 6 4 2 (%) 100 67 40 30 21 17.5 13.5 10.5 8.5 7 6 4 3 1.5 (%) (%) 0 0 0 0 0 0 0 13.5 11 8.5 6.5 4.5 3 1.3 0 0 0 0 0 0 0 8 6.5 5 4 3 2 1 Schedule 12 Amount that, for purposes of section KD 5(6), is deemed to be equivalent of an annual amount s KD 5(6) Schedule 12 was substituted, as from 4 June 2004, by section 20(1) Taxation (Working for Families) Act 2004 (2004 No 52) with application as from the 2006–07 income year.
Schedule 12 was substituted, as from 21 December 2005, by section 7(1) Tax- ation (Urgent Measures) Act 2005 (2005 No 121) with application as from the 2006-07 tax year.
2750 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 12 Column 1 Column 2 Amount that, in relation to any application for a certiﬁcate of entitlement to a credit of tax, is the annual amount Amount that, for purposes of section KD 5, is treated as being equivalent to the annual amount Amount does not exceed $35,000 Amount exceeds $35,000 but does not exceed $36,500 Amount exceeds $36,500 but does not exceed $38,000 Amount exceeds $38,000 but does not exceed $39,500 Amount exceeds $39,500 but does not exceed $41,000 Amount exceeds $41,000 but does not exceed $42,500 Amount exceeds $42,500 but does not exceed $44,000 Amount exceeds $44,000 but does not exceed $45,500 Amount exceeds $45,500 but does not exceed $47,000 Amount exceeds $47,000 but does not exceed $48,500 Amount exceeds $48,500 but does not exceed $50,000 $ 35,000 36,500 38,000 39,500 41,000 42,500 44,000 45,500 47,000 48,500 50,000 2751 Schedule 12 Income Tax Act 2004 Reprinted as at 29 August 2011 Amount exceeds $50,000 but does not exceed $51,500 Amount exceeds $51,500 but does not exceed $53,000 Amount exceeds $53,000 but does not exceed $54,500 Amount exceeds $54,500 but does not exceed $56,000 Amount exceeds $56,000 but does not exceed $57,500 Amount exceeds $57,500 but does not exceed $59,000 Amount exceeds $59,000 but does not exceed $60,500 Amount exceeds $60,500 but does not exceed $62,000 Amount exceeds $62,000 but does not exceed $63,500 Amount exceeds $63,500 but does not exceed $65,000 Amount exceeds $65,000 but does not exceed $66,500 Amount exceeds $66,500 but does not exceed $68,000 Amount exceeds $68,000 but does not exceed $69,500 Amount exceeds $69,500 but does not exceed $71,000 2752 51,500 53,000 54,500 56,000 57,500 59,000 60,500 62,000 63,500 65,000 66,500 68,000 69,500 71,000 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 12 Amount exceeds $71,000 but does not exceed $72,500 Amount exceeds $72,500 but does not exceed $74,000 Amount exceeds $74,000 but does not exceed $75,500 Amount exceeds $75,500 but
 does not exceed $77,000 Amount exceeds $77,000 but does not exceed $78,500 Amount exceeds $78,500 but does not exceed $80,000 Amount exceeds $80,000 but does not exceed $81,500 Amount exceeds $81,500 but does not exceed $83,000 Amount exceeds $83,000 but does not exceed $84,500 Amount exceeds $84,500 but does not exceed $86,000 Amount exceeds $86,000 but does not exceed $87,500 Amount exceeds $87,500 but does not exceed $89,000 Amount exceeds $89,000 but does not exceed $90,500 Amount exceeds $90,500 but does not exceed $92,000 72,500 74,000 75,500 77,000 78,500 80,000 81,500 83,000 84,500 86,000 87,500 89,000 90,500 92,000 2753 Schedule 12 Income Tax Act 2004 Reprinted as at 29 August 2011 93,500 95,000 96,500 98,000 99,500 101,000 102,500 104,000 105,500 107,000 108,500 110,000 111,500 113,000 Amount exceeds $92,000 but does not exceed $93,500 Amount exceeds $93,500 but does not exceed $95,000 Amount exceeds $95,000 but does not exceed $96,500 Amount exceeds $96,500 but does not exceed $98,000 Amount exceeds $98,000 but does not exceed $99,500 Amount exceeds $99,500 but does not exceed $101,000 Amount exceeds $101,000 but does not exceed $102,500 Amount exceeds $102,500 but does not exceed $104,000 Amount exceeds $104,000 but does not exceed $105,500 Amount exceeds $105,500 but does not exceed $107,000 Amount exceeds $107,000 but does not exceed $108,500 Amount exceeds $108,500 but does not exceed $110,000 Amount exceeds $110,000 but does not exceed $111,500 Amount exceeds $111,500 but does not exceed $113,000 2754 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 13 Amount exceeds $113,000 but does not exceed $114,500 Amount exceeds $114,500 but does not exceed $116,000 Amount exceeds $116,000 but does not exceed $117,500 Amount exceeds $117,500 but does not exceed $119,000 Amount exceeds $119,000 but does not exceed $120,500 Amount exceeds $120,500 114,500 116,000 117,500 119,000 120,500 the number of complete dollars comprised in the annual amount
 Schedule 13 ss EF 3, MB 4, MB 5A, MC 1, OB 1 Months for payment of provisional tax and terminal tax Schedule 13, list of empowering provisions, was substituted, as from 1 April 2005, by section 90(1) Taxation (Base Maintenance and Miscellaneous Provi- sions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
The list of provisions previously read “ss EF 3, MB 4, MB 5A, MC 1, MC 2, OB 1”.
Part A Dates for payment of provisional tax and terminal tax Month of balance date October A B C D E F G H 28 Jan 28 Mar 28 May 28 Jul 28 Sep 28 Nov Sep Nov 2755 Schedule 13 Income Tax Act 2004 Reprinted as at 29 August 2011 Part A—continued 7 May 28 May 28 Jun 28 Jul 28 Aug 28 Sep 28 Oct 28 Nov 15 Jan 28 Jan 28 Feb 28 Jun 28 Jul 28 Aug 28 Oct 28 Sep 28 Nov 28 Aug 28 Oct 28 Sep 28 Oct 28 Nov 15 Jan 28 Jan 28 Nov 15 Jan 28 Jan 28 Feb 28 Mar 15 Jan 28 Jan 28 Feb 28 Mar 7 May 28 May 28 Feb 7 May 28 Jun 28 Mar 28 May 28 Jul 7 May 28 Jun 28 Aug 15 Jan 28 Jan 28 Feb 28 Mar 7 May 28 May 28 Jun 28 Jul 28 Aug 28 Sep 28 Oct Novem- ber Decem- ber January February March April May June July August Septem- ber 28 Feb 28 Mar 7 May 28 May 28 Jun 28 Jul 28 Aug 28 Sep 28 Oct 28 Nov 15 Jan Oct Dec Nov Jan Dec Feb Jan Mar Feb Apr Feb Apr Feb Apr Feb Apr Feb Apr Feb Apr Feb Apr Schedule 13 part A column A: amended, on 1 October 2007, by section 165(1) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Schedule 13 part A column B: amended, on 1 October 2007, by section 165(1) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Schedule 13 part A column C: amended, on 1 October 2007, by section 165(1) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Schedule 13, part A clause 1, the heading to column C, was amended, as from 21 June 2005, by section 90(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2756 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 13 Part A—continued 2005 (2005 No 79) by substituting the words “month of the balance date” for the words “month preceding the balance date” with application as from the 2005–06 income year.
Schedule 13 part A column D: amended, on 1 October 2007, by section 165(1) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Schedule 13 part A column E: amended, on 1 October 2007, by section 165(1) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).

Schedule 13 part A column F: amended, on 1 October 2007, by section 165(1) of the Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
For the purposes of this schedule, balance date, in relation to provi- sional tax or terminal tax payable by a person for a tax year to which an income year corresponds, means (a) if neither of paragraphs (b) and (c) apply, the person’s annual balance date for their accounts for the income year: if the person has an income year that coincides with the tax year or is not required to provide a return of income for the tax year, 31 March: if the person is a non-resident company that does not have a ﬁxed establishment in New Zealand, 31 March.
(b) (c) Schedule 13 part A: substituted, on 1 October 2007, by section 204(1) of the Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).
Part B Months for payment under sections MB 8 and MB 21 to MB 24 Monthly and 2-monthly non-ratio and non-GST provisional taxpayers New instalment months Transi- tional year length 0-4 mths 1 month following ﬁnal month 5-8 mths 9-12 mths 2 3 5th month, month following ﬁnal month 5th, 9th months, month following ﬁnal month 2757 Schedule 13 Income Tax Act 2004 Reprinted as at 29 August 2011 Part B—continued 4 5th, 9th, 13th months, month following ﬁnal month 5 6 5th, 9th, 13th, 17th months, month following ﬁnal month 5th, 9th, 13th, 17th, 21st months, month following ﬁnal month 6-monthly non-ratio provisional taxpayers New instalment months 13-16 mths 17-20 mths 21-24 mths Transi- tional year length 0-6 mths 1 month following ﬁnal month 7th month, month following ﬁnal month 7th, 13th months, month following ﬁnal month 7th, 13th, 19th months, month following ﬁnal month GST ratio provisional taxpayers New instalment months 7-12 mths 13-18 mths 19-24 mths 2 3 4 Transi- tional year length 0-2 mths 1 month following ﬁnal month 3rd, month, month following ﬁnal month 3rd, 5th months, month following ﬁnal month 3rd, 5th, 7th months, month following ﬁnal month 3-4 mths 5-6 mths 7-8mths 2 3 4 2758 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 13 Part B—continued 3rd, 5th, 7th, 9th months, month following ﬁnal month 3rd, 5th,7th, 9th, 11th months, month following ﬁnal month 3rd, 5th, 7th, 9th, 11th, 13th months, month following ﬁnal month 3rd, 5th, 7th, 9th, 11th, 15th months, month following ﬁnal month 3rd, 5th, 7th, 9th, 11th, 13th, 15th, 17th months, month following ﬁnal month 10 3rd, 5th, 7th, 9th, 11th, 13th, 15th, 17th, 19th months, month following ﬁnal month 11 3rd, 5th, 7th, 9th, 11th, 13th, 15th, 19th, 21th months, month following ﬁnal month 12 3rd, 5th, 7th, 9th, 11th, 13th, 15th, 19th, 21th, 23rd months, month following ﬁnal month 9-10 mths 11-12 mths 13-14 mths 15-16 mths 17-18 mths 19-20 mths 21-22 mths 23-24 mths For the purposes of counting months under this schedule, the number is
 reckoned as set out in section MB 20(5).
Schedule 13 part B: substituted, on 1 October 2007, by section 204(2) of the Taxa- tion (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3).

Schedule 13 part B GST ratio provisional taxpayers: amended (with effect from 1 Octo- ber 2007), on 19 December 2007, by section 186(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
2759 Schedule 14 Income Tax Act 2004 Schedule 14 Rate of resident withholding tax deductions Reprinted as at 29 August 2011 s NF 2 1 For section NF 2, the rate of resident withholding tax deduc- tion from payments of resident withholding income is— (a) the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: 39 cents, if the payer of the interest has received an election from the recipient of the interest to apply this rate of resident withholding tax deduction and has been supplied with the tax ﬁle number of— (i) (ii) 33 cents, if the payer of the interest has received an election from the recipient of the interest to apply this rate of resident withholding tax deduction and has been supplied with the tax ﬁle number of— (i) (ii) 19.5 cents, if the payer of the interest has received an election from the recipient of the interest to apply this rate of resident withholding tax deduction and has been supplied with the tax ﬁle number of— (i) (ii) 19.5 cents, if the payer of the interest has not received an election from the recipient of the interest to apply any 1 of the rates of resident withholding tax deduction set out in paragraphs (a), (b), and (c), and has been supplied with the tax ﬁle number of— (i) (ii) if none of paragraphs (a), (b), (c), and (d) applies, a non-declaration rate of 39 cents.
the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: (b) (c) (d) (e) 1A 2760 Clause 1C and not clause 1 applies to a recipient that is a com- pany, other than a company that is a trustee or a Maori author- ity.
Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 14 (a) (b) (c) (d) the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: 39 cents, if the payer of the interest has received an election from the recipient of the interest to apply this rate of resident withholding tax deduction and has been supplied with the tax ﬁle number of— (i) (ii) 33 cents, if the payer of the interest has received an election from the recipient of the interest to apply this rate of resident withholding tax deduction and has been supplied with the tax ﬁle number of (i) (ii) 33 cents, if the payer of the interest has not received an election from the recipient of the interest to apply any 1 of the rates of resident withholding tax deduction set out in paragraph (a) or (b) and has been supplied with the tax ﬁle number of— (i) (ii) if none of paragraphs (a), (b), and (c) applies, a nondec- laration rate of 39 cents.
the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: 1B 1C Despite clause 1A, clause 1 may be applied to a recipient that is a company in the period between 1 April 2001 and 30 June 2001 (both dates inclusive).
For section NF 2, the rate of resident withholding tax deduc- tion from payments of resident withholding income is (a) 39 cents, if the payer of the interest has received an election from the recipient of the interest to apply this rate of resident withholding tax deduction and has been supplied with the tax ﬁle number of— (i) (ii) 33 cents, if the payer of the interest has received an election from the recipient of the interest to apply this the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: (b) 2761 Schedule 14 Income Tax Act 2004 Reprinted as at 29 August 2011 the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: rate of resident withholding tax deduction and has been supplied with the tax ﬁle number of— (i) (ii) 33 cents, if the payer of the interest has not received an election from the recipient of the interest to apply any 1 of the rates of resident withholding tax deduction set out in paragraph (a) or (b) and has been supplied with the tax ﬁle number of— (i) (ii) if none of paragraphs (a), (b), and (c) applies, a nondec- laration rate of 39 cents.
the person to whom the interest is paid; or 1 of the persons to whom the interest is paid: (c) (d) 2 3 For the purposes of section NF 2, the rate of the resident with- holding tax deduction from payments of resident withholding income, being dividends or replacement payments, for every $1 of those payments is 33 cents.
Clause 2 was amended, as from 1 July 2006, by section 205 Taxation (Depre- ciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the words “being dividends or replacement payments” for the words “being dividends”.
For the purposes of section NF 2, the rate of resident with- holding tax deduction from payments of resident withholding income, being a taxable Maori authority distribution, for every $1 of those payments, is— (a) (b) 19.5 cents, if paragraph (b) does not apply: 39 cents, if— (i) the taxable Maori authority distribution is more than $200; and the Maori authority does not have a record of the tax ﬁle number of the member to whom the distribution is made.
(ii) 2762 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 16 Schedule 15 Statutory producer boards s OB 1 New Zealand Horticulture Export Authority New Zealand Meat Board New Zealand Pork Industry Board Schedule 16 Depreciable land improvements s OB 1 airport runways bores and wells bridges chimneys culverts dams fences hardstanding reservoirs retaining walls roads spillways swimming pools tanks tunnels wharves pipes 2763 Schedule 17 Income Tax Act 2004 Reprinted as at 29 August 2011 Schedule 16 item 17: added (with effect on 1 April 2005), on 6 October 2009, by section 845(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
Schedule 17 Depreciable intangible property s OB 1 the right to use a copyright the right to use a design or model, plan, secret formula or process, or other like property or right a patent or the right to use a patent a patent application with a complete speciﬁcation lodged on or after 1 April 2005 the right to use land the right to use plant or machinery the copyright in software, the right to use the copyright in software, or the right to use software the right to use a trademark management rights and licence rights created under the Radiocommunications Act 1989 a consent granted under the Resource Management Act 1991 to do something that otherwise would contravene sections 12 to 15 of that Act (other than a consent for a reclamation), being a consent granted in or after the 1996-97 tax year the copyright in a sound recording, if the copyright was produced or purchased by the taxpayer on or after 1 July 1997, and copies of the recording have been sold or offered for sale to the public 1 2 3 3b 2764 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 18 11 12 plant variety rights granted under the Plant Variety Rights Act 1987 or similar rights given similar protection under the laws of a country or territory other than New Zealand a right to use plant variety rights granted under the Plant Variety Rights Act 1987 or a similar right under the laws of a country or territory other than New Zealand Item 3B was inserted, as from 1 October 2005, by section 91(1) Taxation (Base Main- tenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
Items 11 and 12 were inserted, as from 1 October 2005, by section 91(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
Schedule 18 State enterprises s OB 1 Airways Corporation of New Zealand Limited AsureQuality Limited Crown Forestry Management Limited Electricity Corporation of New Zealand Limited Genesis Power Limited Government Property Services Limited Housing New Zealand Corporation Housing New Zealand Limited Landcorp Farming Limited Learning Media Limited Meridian Energy Limited Meteorological Service of New Zealand Limited Mighty River Power Limited New Zealand Post Limited Quotable Value Limited Radio New Zealand Limited Solid Energy of New Zealand Limited 2765 Schedule 19 Income Tax Act 2004 Reprinted as at 29 August 2011 Television New Zealand Limited Terralink NZ Limited Timberlands West Coast Limited Transpower New Zealand Limited Works and Development Services Corporation (NZ) Limited Schedule 18 Agriquality New Zealand Limited: repealed, on 29 November 2007, by clause 4 of the State-Owned Enterprises (AsureQuality Limited) Order 2007 (SR 2007/330).
Schedule 18 Asure New Zealand Limited: repealed, on 1 October 2007, by clause 3 of the State-Owned Enterprises (Asure New Zealand Limited) Order 2007 (SR 2007/273).

Schedule 18 AsureQuality Limited: inserted, on 29 November 2007, by clause 4 of the State-Owned Enterprises (AsureQuality Limited) Order 2007 (SR 2007/330).

The item “At Work Insurance Limited” was omitted, as from 11 May 2005, by sec- tion 62(2) Injury Prevention, Rehabilitation, and Compensation Amendment Act (No 2) 2005 (2005 No 45).
The item “New Zealand Symphony Orchestra Limited” was omitted, as from 1 April 2005, by section 206(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.

The item “Quotable Value Limited” was inserted, as from 25 January 2005, by section 5 State-Owned Enterprises Amendment Act 2004 (2004 No 116).
The item “Valuation New Zealand Limited” was omitted, as from 25 January 2005, by section 5 State-Owned Enterprises Amendment Act 2004 (2004 No 116).
Schedule 19 Basic tax deductions ss NC 6, OB 1 Salary or wages Payments for weekly pay periods Subject to clause 2, the basic tax deduction from every pay- ment of salary or wages not included in clause 5 is, where the payment is for a weekly pay period, the appropriate amount speciﬁed in the appendix, according to the amount of the pay- ment and the employee’s tax code.
Payments for employees with “No declaration” tax code From every payment of salary or wages to an employee to whom a “No declaration” tax code applies, the basic tax de- duction is an amount calculated on the amount of the payment at the rate of 45 cents per $1.
1 2 2766 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 19 3 (a) (b) (c) 4 5 Payments for pay periods longer than 1 week From every payment of salary or wages not included in clause 5, where the payment is for a pay period longer than a week, the basic tax deduction is the amount that is ascertained— by calculating the part of the payment that is for a week, on the basis that the overtime pay (if any) included in the payment and the balance of the payment respectively accrued at a uniform daily rate throughout the pay period; and by calculating the amount of the tax deduction that would be made under clause 1 or, as the case may require, clause 2 from the part of the payment that is for a week; and by increasing the amount of the tax deduction so calculated by the proportion that the total payment bears to the part of the payment that is for a week.
Payments in other cases From every payment of salary or wages not included in clause 5, where none of clauses 1, 2, and 3 applies, the basic tax de- duction is, in respect of so much of the payment as is for the services of the employee, during any week ending with a Sat- urday (calculated in accordance with section NC 10 where that section applies), the amount of the tax deduction that would be made under clause 1 or, as the case may require, clause 2 if the payment or, as the case may be, the part of the payment were for a weekly pay period ending with that Saturday.
Payments of secondary employment earnings From every payment that is secondary employment earnings in respect of which the employee has delivered to the employer a tax code declaration under section NC 8 and specifying the tax code “S”, the basic tax deduction is an amount calculated on the amount of the payment at the rate of 21 cents per $1.
5A Payments of secondary employment earnings with “SH” tax code From every payment of secondary employment earnings for which the employee has delivered to the employer a tax code declaration under section NC 8 specifying the tax code “SH”, 2767 Schedule 19 Income Tax Act 2004 Reprinted as at 29 August 2011 5B 6 7B tax is deductible at the rate of 33 cents per $1 of secondary employment earnings.
Payments of secondary employment earnings with “ST” tax code From every payment of secondary employment earnings for which the employee has delivered to the employer a tax code declaration under section NC 8 specifying the tax code “ST”, tax is deductible at the rate of 39 cents per $1 of secondary employment earnings.
Payments to casual agricultural employees From each payment of salary or wages for employment as a casual agricultural employee for which the casual agricultural employee has delivered to the employer a tax code declaration under section NC 8 specifying the tax code “CAE”, the basic tax deduction is an amount calculated on the amount of the payment at the rate of 21 cents per $1 Payments to election day workers From every payment of salary or wages for employment as an election day worker, in respect of which the election day worker has delivered to the employer a tax code declaration under section NC 8 specifying the tax code “EDW”, the basic tax deduction is an amount calculated on the amount of the payment at the rate of 21 cents per $1.
Extra pays Extra pays From every extra pay, tax is deductible at the rate of— 21 cents per $1 of extra pay; or 33 cents per $1 of extra pay if either section NC 2(5)(a) or NC 8(1A) applies; or 39 cents per $1 of extra pay if either section NC 2(5)(b) or NC 8(1A) applies.
8 (a) (b) (c) 2768 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix Appendix Tax deductions from payments for weekly pay periods EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE ML M ML M TAX US- ING CODE EARN- INGSML M EARN- INGS TAX USING CODE ML M $ $ $ $ $ $ $ $ $ $ $ $ 138.0010.3020.70203.0031.66 31.66 9.00 0.00 1.35 74.00 0.00 11.10 139.0010.6520.85204.0031.87 31.87 10.00 0.00 1.50 75.00 0.00 11.25 140.0011.0021.00205.0032.08 32.08 11.00 0.00 1.65 76.00 0.00 11.40 141.0011.3521.15206.0032.29 32.29 12.00 0.00 1.80 77.00 0.00 11.55 142.0011.7021.30207.0032.50 32.50 13.00 0.00 1.95 78.00 0.00 11.70 143.0012.0521.45208.0032.71 32.71 14.00 0.00 2.10 79.00 0.00 11.85 144.0012.4021.60209.0032.92 32.92 15.00 0.00 2.25 80.00 0.00 12.00 145.0012.7521.75210.0033.13 33.13 16.00 0.00 2.40 81.00 0.00 12.15 146.0013.1021.90211.0033.34 33.34 17.00 0.00 2.55 82.00 0.00 12.30 147.0013.4522.05212.0033.55 33.55 2769 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE ML M ML M TAX US- ING CODE EARN- INGSML M EARN- INGS TAX USING CODE ML M $ $ $ $ $ $ $ $ $ $ $ $ 18.00 0.00 2.70 83.00 0.00 12.45 148.0013.8022.20213.0033.76 33.76 19.00 0.00 2.85 84.00 0.00 12.60 149.0014.1522.35214.0033.97 33.97 20.00 0.00 3.00 85.00 0.00 12.75 150.0014.5022.50215.0034.18 34.18 21.00 0.00 3.15 86.00 0.00 12.90 151.0014.8522.65216.0034.39 34.39 22.00 0.00 3.30 87.00 0.00 13.05 152.0015.2022.80217.0034.60 34.60 23.00 0.00 3.45 88.00 0.00 13.20 153.0015.5522.95218.0034.81
 34.81 24.00 0.00 3.60 89.00 0.00 13.35 154.0015.9023.10219.0035.02 35.02 25.00 0.00 3.75 90.00 0.00 13.50 155.0016.2523.25220.0035.23 35.23 26.00 0.00 3.90 91.00 0.00 13.65 156.0016.6023.40221.0035.44 35.44 27.00 0.00 4.05 92.00 0.00 13.80 157.0016.9523.55222.0035.65 35.65 28.00 0.00 4.20 93.00 0.00 13.95 158.0017.3023.70223.0035.86 35.86 29.00 0.00 4.35 94.00 0.10 14.10 159.0017.6523.85224.0036.07 36.07 30.00 0.00 4.50 95.00 0.25 14.25 160.0018.0024.00225.0036.28 36.28 31.00 0.00 4.65 96.00 0.40 14.40 161.0018.3524.15226.0036.49 36.49 32.00 0.00 4.80 97.00 0.55 14.55 162.0018.7024.30227.0036.70 36.70 33.00 0.00 4.95 98.00 0.70 14.70 163.0019.0524.45228.0036.91 36.91 34.00 0.00 5.10 99.00 0.85 14.85 164.0019.4024.60229.0037.12 37.12 35.00 0.00 5.25 100.001.00 15.00 165.0019.7524.75230.0037.33 37.33 36.00 0.00 5.40 101.001.15 15.15 166.0020.1024.90231.0037.54 37.54 2770 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE ML M ML M TAX US- ING CODE EARN- INGSML M EARN- INGS TAX USING CODE ML M $ $ $ $ $ $ $ $ $ $ $ $ 37.00 0.00 5.55 102.001.30 15.30 167.0020.4525.05232.0037.75 37.75 38.00 0.00 5.70 103.001.45 15.45 168.0020.8025.20233.0037.96 37.96 39.00 0.00 5.85 104.001.60 15.60 169.0021.1525.35234.0038.17 38.17 40.00 0.00 6.00 105.001.75 15.75 170.0021.5025.50235.0038.38 38.38 41.00 0.00 6.15 106.001.90 15.90 171.0021.8525.65236.0038.59 38.59 42.00 0.00 6.30 107.002.05 16.05 172.0022.2025.80237.0038.80 38.80 43.00 0.00 6.45 108.002.20 16.20 173.0022.5525.95238.0039.01 39.01 44.00 0.00 6.60 109.002.35 16.35 174.0022.9026.10239.0039.22 39.22 45.00 0.00 6.75 110.002.50 16.50 175.0023.2526.25240.0039.43 39.43 46.00 0.00 6.90 111.002.65 16.65 176.0023.6026.40241.0039.64 39.64 47.00 0.00 7.05 112.002.80 16.80 177.0023.9526.55242.0039.85 39.85 48.00 0.00 7.20 113.002.95 16.95 178.0024.3026.70243.0040.06 40.06 49.00 0.00 7.35 114.003.10 17.10 179.0024.6526.85244.0040.27 40.27 50.00 0.00 7.50 115.003.25
 17.25 180.0025.0027.00245.0040.48 40.48 51.00 0.00 7.65 116.003.40 17.40 181.0025.3527.15246.0040.69 40.69 52.00 0.00 7.80 117.003.55 17.55 182.0025.7027.30247.0040.90 40.90 53.00 0.00 7.95 118.003.70 17.70 183.0026.0627.46248.0041.11 41.11 54.00 0.00 8.10 119.003.85 17.85 184.0026.4727.67249.0041.32 41.32 55.00 0.00 8.25 120.004.00 18.00 185.0026.8827.88250.0041.53 41.53 2771 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE ML M ML M TAX US- ING CODE EARN- INGSML M EARN- INGS TAX USING CODE ML M $ $ $ $ $ $ $ $ $ $ $ $ 56.00 0.00 8.40 121.004.35 18.15 186.0027.2928.09251.0041.74 41.74 57.00 0.00 8.55 122.004.70 18.30 187.0027.7028.30252.0041.95 41.95 58.00 0.00 8.70 123.005.05 18.45 188.0028.1128.51253.0042.16 42.16 59.00 0.00 8.85 124.005.40 18.60 189.0028.5228.72254.0042.37 42.37 60.00 0.00 9.00 125.005.75 18.75 190.0028.9328.93255.0042.58 42.58 61.00 0.00 9.15 126.006.10 18.90 191.0029.1429.14256.0042.79 42.79 62.00 0.00 9.30 127.006.45 19.05 192.0029.3529.35257.0043.00 43.00 63.00 0.00 9.45 128.006.80 19.20 193.0029.5629.56258.0043.21 43.21 64.00 0.00 9.60 129.007.15 19.35 194.0029.7729.77259.0043.42 43.42 65.00 0.00 9.75 130.007.50 19.50 195.0029.9829.98260.0043.63 43.63 NOTE: In calculating weekly earnings, ignore cents in excess and include value of allowances—eg, board and lodgings EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 261.0043.8443.84326.0057.4957.49 391.0071.1471.14456.0084.79 84.79 262.0044.0544.05327.0057.7057.70 392.0071.3571.35457.0085.00 85.00 2772 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 263.0044.2644.26328.0057.9157.91 393.0071.5671.56458.0085.21 85.21 264.0044.4744.47329.0058.1258.12
 394.0071.7771.77459.0085.42 85.42 265.0044.6844.68330.0058.3358.33 395.0071.9871.98460.0085.63 85.63 266.0044.8944.89331.0058.5458.54 396.0072.1972.19461.0085.84 85.84 267.0045.1045.10332.0058.7558.75 397.0072.4072.40462.0086.05 86.05 268.0045.3145.31333.0058.9658.96 398.0072.6172.61463.0086.26 86.26 269.0045.5245.52334.0059.1759.17 399.0072.8272.82464.0086.47 86.47 270.0045.7345.73335.0059.3859.38 400.0073.0373.03465.0086.68 86.68 271.0045.9445.94336.0059.5959.59 401.0073.2473.24466.0086.89 86.89 272.0046.1546.15337.0059.8059.80 402.0073.4573.45467.0087.10 87.10 273.0046.3646.36338.0060.0160.01 403.0073.6673.66468.0087.31 87.31 274.0046.5746.57339.0060.2260.22 404.0073.8773.87469.0087.52 87.52 275.0046.7846.78340.0060.4360.43 405.0074.0874.08470.0087.73 87.73 276.0046.9946.99341.0060.6460.64 406.0074.2974.29471.0087.94 87.94 277.0047.2047.20342.0060.8560.85 407.0074.5074.50472.0088.15 88.15 278.0047.4147.41343.0061.0661.06 408.0074.7174.71473.0088.36 88.36 279.0047.6247.62344.0061.2761.27 409.0074.9274.92474.0088.57 88.57 280.0047.8347.83345.0061.4861.48 410.0075.1375.13475.0088.78 88.78 281.0048.0448.04346.0061.6961.69 411.0075.3475.34476.0088.99 88.99 2773 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 282.0048.2548.25347.0061.9061.90 412.0075.5575.55477.0089.20 89.20 283.0048.4648.46348.0062.1162.11 413.0075.7675.76478.0089.41 89.41 284.0048.6748.67349.0062.3262.32 414.0075.9775.97479.0089.62 89.62 285.0048.8848.88350.0062.5362.53 415.0076.1876.18480.0089.83 89.83 286.0049.0949.09351.0062.7462.74 416.0076.3976.39481.0090.04 90.04 287.0049.3049.30352.0062.9562.95 417.0076.6076.60482.0090.25 90.25 288.0049.5149.51353.0063.1663.16 418.0076.8176.81483.0090.46 90.46 289.0049.7249.72354.0063.3763.37 419.0077.0277.02484.0090.67 90.67 290.0049.9349.93355.0063.5863.58 420.0077.2377.23485.0090.88 90.88
 291.0050.1450.14356.0063.7963.79 421.0077.4477.44486.0091.09 91.09 292.0050.3550.35357.0064.0064.00 422.0077.6577.65487.0091.30 91.30 293.0050.5650.56358.0064.2164.21 423.0077.8677.86488.0091.51 91.51 294.0050.7750.77359.0064.4264.42 424.0078.0778.07489.0091.72 91.72 295.0050.9850.98360.0064.6364.63 425.0078.2878.28490.0091.93 91.93 296.0051.1951.19361.0064.8464.84 426.0078.4978.49491.0092.14 92.14 297.0051.4051.40362.0065.0565.05 427.0078.7078.70492.0092.35 92.35 298.0051.6151.61363.0065.2665.26 428.0078.9178.91493.0092.56 92.56 299.0051.8251.82364.0065.4765.47 429.0079.1279.12494.0092.77 92.77 300.0052.0352.03365.0065.6865.68 430.0079.3379.33495.0092.98 92.98 2774 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 301.0052.2452.24366.0065.8965.89 431.0079.5479.54496.0093.19 93.19 302.0052.4552.45367.0066.1066.10 432.0079.7579.75497.0093.40 93.40 303.0052.6652.66368.0066.3166.31 433.0079.9679.96498.0093.61 93.61 304.0052.8752.87369.0066.5266.52 434.0080.1780.17499.0093.82 93.82 305.0053.0853.08370.0066.7366.73 435.0080.3880.38500.0094.03 94.03 306.0053.2953.29371.0066.9466.94 436.0080.5980.59501.0094.24 94.24 307.0053.5053.50372.0067.1567.15 437.0080.8080.80502.0094.45 94.45 308.0053.7153.71373.0067.3667.36 438.0081.0181.01503.0094.66 94.66 309.0053.9253.92374.0067.5767.57 439.0081.2281.22504.0094.87 94.87 310.0054.1354.13375.0067.7867.78 440.0081.4381.43505.0095.08 95.08 311.0054.3454.34376.0067.9967.99 441.0081.6481.64506.0095.29 95.29 312.0054.5554.55377.0068.2068.20 442.0081.8581.85507.0095.50 95.50 313.0054.7654.76378.0068.4168.41 443.0082.0682.06508.0095.71 95.71 314.0054.9754.97379.0068.6268.62 444.0082.2782.27509.0095.92 95.92 315.0055.1855.18380.0068.8368.83 445.0082.4882.48510.0096.13 96.13 316.0055.3955.39381.0069.0469.04 446.0082.6982.69511.0096.34 96.34 317.0055.6055.60382.0069.2569.25
 447.0082.9082.90512.0096.55 96.55 318.0055.8155.81383.0069.4669.46 448.0083.1183.11513.0096.76 96.76 319.0056.0256.02384.0069.6769.67 449.0083.3283.32514.0096.97 96.97 2775 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 320.0056.2356.23385.0069.8869.88 450.0083.5383.53515.0097.18 97.18 321.0056.4456.44386.0070.0970.09 451.0083.7483.74516.0097.39 97.39 322.0056.6556.65387.0070.3070.30 452.0083.9583.95517.0097.60 97.60 323.0056.8656.86388.0070.5170.51 453.0084.1684.16518.0097.81 97.81 324.0057.0757.07389.0070.7270.72 454.0084.3784.37519.0098.02 98.02 325.0057.2857.28390.0070.9370.93 455.0084.5884.58520.0098.23 98.23 NOTE: In calculating weekly earnings, ignore cents in excess and include value of allowances—eg, board and lodgings EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 521.0098.4498.44586.00112.09112.09651.00125.74125.74716.00139.39139.39 522.0098.6598.65587.00112.30112.30652.00125.95125.95717.00139.60139.60 523.0098.8698.86588.00112.51112.51653.00126.16126.16718.00139.81139.81 524.0099.0799.07589.00112.72112.72654.00126.37126.37719.00140.02140.02 525.0099.2899.28590.00112.93112.93655.00126.58126.58720.00140.23140.23 526.0099.4999.49591.00113.14113.14656.00126.79126.79721.00140.44140.44 2776 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 527.0099.7099.70592.00113.35113.35657.00127.00127.00722.00140.65140.65 528.0099.9199.91593.00113.56113.56658.00127.21127.21723.00140.86140.86 529.00100.12100.12594.00113.77113.77659.00127.42127.42724.00141.07141.07 530.00100.33100.33595.00113.98113.98660.00127.63127.63725.00141.28141.28
531.00100.54100.54596.00114.19114.19661.00127.84127.84726.00141.49141.49 532.00100.75100.75597.00114.40114.40662.00128.05128.05727.00141.70141.70 533.00100.96100.96598.00114.61114.61663.00128.26128.26728.00141.91141.91 534.00101.17101.17599.00114.82114.82664.00128.47128.47729.00142.12142.12 535.00101.38101.38600.00115.03115.03665.00128.68128.68730.00142.33142.33 536.00101.59101.59601.00115.24115.24666.00128.89128.89731.00142.57142.57 537.00101.80101.80602.00115.45115.45667.00129.10129.10732.00142.90142.90 538.00102.01102.01603.00115.66115.66668.00129.31129.31733.00143.23143.23 539.00102.22102.22604.00115.87115.87669.00129.52129.52734.00143.56143.56 540.00102.43102.43605.00116.08116.08670.00129.73129.73735.00143.89143.89 541.00102.64102.64606.00116.29116.29671.00129.94129.94736.00144.22144.22 542.00102.85102.85607.00116.50116.50672.00130.15130.15737.00144.55144.55 543.00103.06103.06608.00116.71116.71673.00130.36130.36738.00144.88144.88 544.00103.27103.27609.00116.92116.92674.00130.57130.57739.00145.21145.21 545.00103.48103.48610.00117.13117.13675.00130.78130.78740.00145.54145.54 2777 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 546.00103.69103.69611.00117.34117.34676.00130.99130.99741.00145.87145.87 547.00103.90103.90612.00117.55117.55677.00131.20131.20742.00146.20146.20 548.00104.11104.11613.00117.76117.76678.00131.41131.41743.00146.53146.53 549.00104.32104.32614.00117.97117.97679.00131.62131.62744.00146.86146.86 550.00104.53104.53615.00118.18118.18680.00131.83131.83745.00147.19147.19 551.00104.74104.74616.00118.39118.39681.00132.04132.04746.00147.52147.52 552.00104.95104.95617.00118.60118.60682.00132.25132.25747.00147.85147.85 553.00105.16105.16618.00118.81118.81683.00132.46132.46748.00148.18148.18 554.00105.37105.37619.00119.02119.02684.00132.67132.67749.00148.51148.51
555.00105.58105.58620.00119.23119.23685.00132.88132.88750.00148.84148.84 556.00105.79105.79621.00119.44119.44686.00133.09133.09751.00149.17149.17 557.00106.00106.00622.00119.65119.65687.00133.30133.30752.00149.50149.50 558.00106.21106.21623.00119.86119.86688.00133.51133.51753.00149.83149.83 559.00106.42106.42624.00120.07120.07689.00133.72133.72754.00150.16150.16 560.00106.63106.63625.00120.28120.28690.00133.93133.93755.00150.49150.49 561.00106.84106.84626.00120.49120.49691.00134.14134.14756.00150.82150.82 562.00107.05107.05627.00120.70120.70692.00134.35134.35757.00151.15151.15 563.00107.26107.26628.00120.91120.91693.00134.56134.56758.00151.48151.48 564.00107.47107.47629.00121.12121.12694.00134.77134.77759.00151.81151.81 2778 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 565.00107.68107.68630.00121.33121.33695.00134.98134.98760.00152.14152.14 566.00107.89107.89631.00121.54121.54696.00135.19135.19761.00152.47152.47 567.00108.10108.10632.00121.75121.75697.00135.40135.40762.00152.80152.80 568.00108.31108.31633.00121.96121.96698.00135.61135.61763.00153.13153.13 569.00108.52108.52634.00122.17122.17699.00135.82135.82764.00153.46153.46 570.00108.73108.73635.00122.38122.38700.00136.03136.03765.00153.79153.79 571.00108.94108.94636.00122.59122.59701.00136.24136.24766.00154.12154.12 572.00109.15109.15637.00122.80122.80702.00136.45136.45767.00154.45154.45 573.00109.36109.36638.00123.01123.01703.00136.66136.66768.00154.78154.78 574.00109.57109.57639.00123.22123.22704.00136.87136.87769.00155.11155.11 575.00109.78109.78640.00123.43123.43705.00137.08137.08770.00155.44155.44 576.00109.99109.99641.00123.64123.64706.00137.29137.29771.00155.77155.77 577.00110.20110.20642.00123.85123.85707.00137.50137.50772.00156.10156.10 578.00110.41110.41643.00124.06124.06708.00137.71137.71773.00156.43156.43
579.00110.62110.62644.00124.27124.27709.00137.92137.92774.00156.76156.76 580.00110.83110.83645.00124.48124.48710.00138.13138.13775.00157.09157.09 581.00111.04111.04646.00124.69124.69711.00138.34138.34776.00157.42157.42 582.00111.25111.25647.00124.90124.90712.00138.55138.55777.00157.75157.75 583.00111.46111.46648.00125.11125.11713.00138.76138.76778.00158.08158.08 2779 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 584.00111.67111.67649.00125.32125.32714.00138.97138.97779.00158.41158.41 585.00111.88111.88650.00125.53125.53715.00139.18139.18780.00158.74158.74 NOTE: In calculating weekly earnings, ignore cents in excess and include value of allowances—eg, board and lodgings EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 781.00159.07159.07846.00180.52180.52911.00201.97201.97976.00223.42223.42 782.00159.40159.40847.00180.85180.85912.00202.30202.30977.00223.75223.75 783.00159.73159.73848.00181.18181.18913.00202.63202.63978.00224.08224.08 784.00160.06160.06849.00181.51181.51914.00202.96202.96979.00224.41224.41 785.00160.39160.39850.00181.84181.84915.00203.29203.29980.00224.74224.74 786.00160.72160.72851.00182.17182.17916.00203.62203.62981.00225.07225.07 787.00161.05161.05852.00182.50182.50917.00203.95203.95982.00225.40225.40 788.00161.38161.38853.00182.83182.83918.00204.28204.28983.00225.73225.73 789.00161.71161.71854.00183.16183.16919.00204.61204.61984.00226.06226.06 790.00162.04162.04855.00183.49183.49920.00204.94204.94985.00226.39226.39 2780 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 791.00162.37162.37856.00183.82183.82921.00205.27205.27986.00226.72226.72
792.00162.70162.70857.00184.15184.15922.00205.60205.60987.00227.05227.05 793.00163.03163.03858.00184.48184.48923.00205.93205.93988.00227.38227.38 794.00163.36163.36859.00184.81184.81924.00206.26206.26989.00227.71227.71 795.00163.69163.69860.00185.14185.14925.00206.59206.59990.00228.04228.04 796.00164.02164.02861.00185.47185.47926.00206.92206.92991.00228.37228.37 797.00164.35164.35862.00185.80185.80927.00207.25207.25992.00228.70228.70 798.00164.68164.68863.00186.13186.13928.00207.58207.58993.00229.03229.03 799.00165.01165.01864.00186.46186.46929.00207.91207.91994.00229.36229.36 800.00165.34165.34865.00186.79186.79930.00208.24208.24995.00229.69229.69 801.00165.67165.67866.00187.12187.12931.00208.57208.57996.00230.02230.02 802.00166.00166.00867.00187.45187.45932.00208.90208.90997.00230.35230.35 803.00166.33166.33868.00187.78187.78933.00209.23209.23998.00230.68230.68 804.00166.66166.66869.00188.11188.11934.00209.56209.56999.00231.01231.01 805.00166.99166.99870.00188.44188.44935.00209.89209.891000.00231.34231.34 806.00167.32167.32871.00188.77188.77936.00210.22210.221001.00231.67231.67 807.00167.65167.65872.00189.10189.10937.00210.55210.551002.00232.00232.00 808.00167.98167.98873.00189.43189.43938.00210.88210.881003.00232.33232.33 809.00168.31168.31874.00189.76189.76939.00211.21211.211004.00232.66232.66 2781 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 810.00168.64168.64875.00190.09190.09940.00211.54211.541005.00232.99232.99 811.00168.97168.97876.00190.42190.42941.00211.87211.871006.00233.32233.32 812.00169.30169.30877.00190.75190.75942.00212.20212.201007.00233.65233.65 813.00169.63169.63878.00191.08191.08943.00212.53212.531008.00233.98233.98 814.00169.96169.96879.00191.41191.41944.00212.86212.861009.00234.31234.31 815.00170.29170.29880.00191.74191.74945.00213.19213.191010.00234.64234.64
816.00170.62170.62881.00192.07192.07946.00213.52213.521011.00234.97234.97 817.00170.95170.95882.00192.40192.40947.00213.85213.851012.00235.30235.30 818.00171.28171.28883.00192.73192.73948.00214.18214.181013.00235.63235.63 819.00171.61171.61884.00193.06193.06949.00214.51214.511014.00235.96235.96 820.00171.94171.94885.00193.39193.39950.00214.84214.841015.00236.29236.29 821.00172.27172.27886.00193.72193.72951.00215.17215.171016.00236.62236.62 822.00172.60172.60887.00194.05194.05952.00215.50215.501017.00236.95236.95 823.00172.93172.93888.00194.38194.38953.00215.83215.831018.00237.28237.28 824.00173.26173.26889.00194.71194.71954.00216.16216.161019.00237.61237.61 825.00173.59173.59890.00195.04195.04955.00216.49216.491020.00237.94237.94 826.00173.92173.92891.00195.37195.37956.00216.82216.821021.00238.27238.27 827.00174.25174.25892.00195.70195.70957.00217.15217.151022.00238.60238.60 828.00174.58174.58893.00196.03196.03958.00217.48217.481023.00238.93238.93 2782 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 829.00174.91174.91894.00196.36196.36959.00217.81217.811024.00239.26239.26 830.00175.24175.24895.00196.69196.69960.00218.14218.141025.00239.59239.59 831.00175.57175.57896.00197.02197.02961.00218.47218.471026.00239.92239.92 832.00175.90175.90897.00197.35197.35962.00218.80218.801027.00240.25240.25 833.00176.23176.23898.00197.68197.68963.00219.13219.131028.00240.58240.58 834.00176.56176.56899.00198.01198.01964.00219.46219.461029.00240.91240.91 835.00176.89176.89900.00198.34198.34965.00219.79219.791030.00241.24241.24 836.00177.22177.22901.00198.67198.67966.00220.12220.121031.00241.57241.57 837.00177.55177.55902.00199.00199.00967.00220.45220.451032.00241.90241.90 838.00177.88177.88903.00199.33199.33968.00220.78220.781033.00242.23242.23 839.00178.21178.21904.00199.66199.66969.00221.11221.111034.00242.56242.56
840.00178.54178.54905.00199.99199.99970.00221.44221.441035.00242.89242.89 841.00178.87178.87906.00200.32200.32971.00221.77221.771036.00243.22243.22 842.00179.20179.20907.00200.65200.65972.00222.10222.101037.00243.55243.55 843.00179.53179.53908.00200.98200.98973.00222.43222.431038.00243.88243.88 844.00179.86179.86909.00201.31201.31974.00222.76222.761039.00244.21244.21 845.00180.19180.19910.00201.64201.64975.00223.09223.091040.00244.54244.54 NOTE: In calculating weekly earnings, ignore cents in excess and include value of allowances—eg, board and lodgings 2783 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 1041.00244.87244.871106.00266.32266.321171.00288.80288.801236.00314.15314.15 1042.00245.20245.201107.00266.65266.651172.00289.19289.191237.00314.54314.54 1043.00245.53245.531108.00266.98266.981173.00289.58289.581238.00314.93314.93 1044.00245.86245.861109.00267.31267.311174.00289.97289.971239.00315.32315.32 1045.00246.19246.191110.00267.64267.641175.00290.36290.361240.00315.71315.71 1046.00246.52246.521111.00267.97267.971176.00290.75290.751241.00316.10316.10 1047.00246.85246.851112.00268.30268.301177.00291.14291.141242.00316.49316.49 1048.00247.18247.181113.00268.63268.631178.00291.53291.531243.00316.88316.88 1049.00247.51247.511114.00268.96268.961179.00291.92291.921244.00317.27317.27 1050.00247.84247.841115.00269.29269.291180.00292.31292.311245.00317.66317.66 1051.00248.17248.171116.00269.62269.621181.00292.70292.701246.00318.05318.05 1052.00248.50248.501117.00269.95269.951182.00293.09293.091247.00318.44318.44 1053.00248.83248.831118.00270.28270.281183.00293.48293.481248.00318.83318.83 1054.00249.16249.161119.00270.61270.611184.00293.87293.871249.00319.22319.22 1055.00249.49249.491120.00270.94270.941185.00294.26294.261250.00319.61319.61 1056.00249.82249.821121.00271.27271.271186.00294.65294.651251.00320.00320.00
1057.00250.15250.151122.00271.60271.601187.00295.04295.041252.00320.39320.39 1058.00250.48250.481123.00271.93271.931188.00295.43295.431253.00320.78320.78 1059.00250.81250.811124.00272.26272.261189.00295.82295.821254.00321.17321.17 2784 Reprinted as at 29 August 2011 Income Tax Act 2004 Appendix Appendix EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 1060.00251.14251.141125.00272.59272.591190.00296.21296.211255.00321.56321.56 1061.00251.47251.471126.00272.92272.921191.00296.60296.601256.00321.95321.95 1062.00251.80251.801127.00273.25273.251192.00296.99296.991257.00322.34322.34 1063.00252.13252.131128.00273.58273.581193.00297.38297.381258.00322.73322.73 1064.00252.46252.461129.00273.91273.911194.00297.77297.771259.00323.12323.12 1065.00252.79252.791130.00274.24274.241195.00298.16298.161260.00323.51323.51 1066.00253.12253.121131.00274.57274.571196.00298.55298.551261.00323.90323.90 1067.00253.45253.451132.00274.90274.901197.00298.94298.941262.00324.29324.29 1068.00253.78253.781133.00275.23275.231198.00299.33299.331263.00324.68324.68 1069.00254.11254.111134.00275.56275.561199.00299.72299.721264.00325.07325.07 1070.00254.44254.441135.00275.89275.891200.00300.11300.111265.00325.46325.46 1071.00254.77254.771136.00276.22276.221201.00300.50300.501266.00325.85325.85 1072.00255.10255.101137.00276.55276.551202.00300.89300.891267.00326.24326.24 1073.00255.43255.431138.00276.88276.881203.00301.28301.281268.00326.63326.63 1074.00255.76255.761139.00277.21277.211204.00301.67301.671269.00327.02327.02 1075.00256.09256.091140.00277.54277.541205.00302.06302.061270.00327.41327.41 1076.00256.42256.421141.00277.87277.871206.00302.45302.451271.00327.80327.80 1077.00256.75256.751142.00278.20278.201207.00302.84302.841272.00328.19328.19 1078.00257.08257.081143.00278.53278.531208.00303.23303.231273.00328.58328.58 2785 Appendix Appendix Income Tax Act 2004 Reprinted as at 29 August 2011 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE
 TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 1079.00257.41257.411144.00278.86278.861209.00303.62303.621274.00328.97328.97 1080.00257.74257.741145.00279.19279.191210.00304.01304.011275.00329.36329.36 1081.00258.07258.071146.00279.52279.521211.00304.40304.401276.00329.75329.75 1082.00258.40258.401147.00279.85279.851212.00304.79304.791277.00330.14330.14 1083.00258.73258.731148.00280.18280.181213.00305.18305.181278.00330.53330.53 1084.00259.06259.061149.00280.51280.511214.00305.57305.571279.00330.92330.92 1085.00259.39259.391150.00280.84280.841215.00305.96305.961280.00331.31331.31 1086.00259.72259.721151.00281.17281.171216.00306.35306.351281.00331.70331.70 1087.00260.05260.051152.00281.50281.501217.00306.74306.741282.00332.09332.09 1088.00260.38260.381153.00281.83281.831218.00307.13307.131283.00332.48332.48 1089.00260.71260.711154.00282.17282.171219.00307.52307.521284.00332.87332.87 1090.00261.04261.041155.00282.56282.561220.00307.91307.911285.00333.26333.26 1091.00261.37261.371156.00282.95282.951221.00308.30308.301286.00333.65333.65 1092.00261.70261.701157.00283.34283.341222.00308.69308.691287.00334.04334.04 1093.00262.03262.031158.00283.73283.731223.00309.08309.081288.00334.43334.43 1094.00262.36262.361159.00284.12284.121224.00309.47309.471289.00334.82334.82 1095.00262.69262.691160.00284.51284.511225.00309.86309.861290.00335.21335.21 1096.00263.02263.021161.00284.90284.901226.00310.25310.251291.00335.60335.60 1097.00263.35263.351162.00285.29285.291227.00310.64310.641292.00335.99335.99 2786 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 20 EARN- INGS TAX USING CODE EARN- INGS TAX USING CODE TAX US- ING CODE EARN- INGS TAX US- ING CODE EARN- INGS ML M ML M ML M ML M $ $ $ $ $ $ $ $ $ $ $ $ 1098.00263.68263.681163.00285.68285.681228.00311.03311.031293.00336.38336.38 1099.00264.01264.011164.00286.07286.071229.00311.42311.421294.00336.77336.77
1100.00264.34264.341165.00286.46286.461230.00311.81311.811295.00337.16337.16 1101.00264.67264.671166.00286.85286.851231.00312.20312.201296.00337.55337.55 1102.00265.00265.001167.00287.24287.241232.00312.59312.591297.00337.94337.94 1103.00265.33265.331168.00287.63287.631233.00312.98312.981298.00338.33338.33 1104.00265.66265.661169.00288.02288.021234.00313.37313.371299.00338.72338.72 1105.00265.99265.991170.00288.41288.411235.00313.76313.761300.00339.11339.11 NOTE: In calculating weekly earnings, ignore cents in excess and include value of allowances—eg, board and lodgings Schedule 20 Enactments repealed Acts repealed s YA 1 Income Tax Act 1994 (1994 No 164) Income Tax Act 1976 Amendment Act 1995 (1995 No 17) Income Tax Act 1994 Amendment Act 1995 (1995 No 18) Income Tax Act 1994 Amendment Act (No 2) 1995 (1995 No 21) 2787 Schedule 20 Income Tax Act 2004 Reprinted as at 29 August 2011 Acts repealed—continued Income Tax Act 1994 Amendment Act (No 3) 1995 (1995 No 71) Income Tax Act 1994 Amendment Act (No 4) 1995 (1995 No 73) Income Tax Act 1994 Amendment Act (No 5) 1995 (1995 No 79) Income Tax Act 1994 Amendment Act (No 6) 1995 (1995 No 82) Income Tax Act 1994 Amendment Act 1996 (1996 No 17) Income Tax Act 1994 Amendment Act (No 2) 1996 (1996 No 50) Income Tax Act 1994 Amendment Act (No 3) 1996 (1996 No 58) Income Tax Act 1994 Amendment Act 1997 (1997 No 25) Income Tax Amendment Act 1998 (1998 No 75) Taxation (Core Provisions) Act 1996 (1996 No 67) Taxation (Superannuitant Surcharge Reduction) Act 1996 (1996 No 161) Unit Trusts Amendment Act 1974 (1974 No 34) Regulations revoked Income Tax (Average Market Values of Speciﬁed Livestock) Order 1994 (SR 1994/97) Income Tax (Average Market Values of Speciﬁed Livestock) Order 1995 (SR 1995/110) 2788 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 20 Regulations revoked—continued Income Tax (Average Market Values of Speciﬁed Livestock) Order 1996 (SR 1996/131) Income Tax (Average Market Values of Speciﬁed Livestock) Order 1997 (SR 1997/96) Income Tax (Deemed
 Rate of Return) Regulations 1993 (SR 1993/349) Income Tax (Deemed Rate of Return, 1993-94 Income Year) Regulations 1994 (SR 1994/210) Income Tax (Deemed Rate of Return, 1994-95 Income Year) Regulations 1995 (SR 1995/126) Income Tax (Deemed Rate of Return, 1995-96 Income Year) Regulations 1996 (SR 1996/192) Income Tax (Deemed Rate of Return, 1996-97 Income Year) Regulations 1997 (SR 1997/97) Income Tax (Deemed Rate of Return, 1997-98 Income Year) Regulations 1998 (SR 1998/162) Income Tax (Deemed Rate of Return, 1998-99 Income Year) Regulations 1999 (SR 1999/237) Income Tax (Deemed Rate of Return, 1999-2000 Income Year) Regulations 2000 (SR 2000/108) Income Tax (Deemed Rate of Return, 2000-01 Income Year) Regulations 2001 (SR 2001/143) Income Tax (Deemed Rate of Return, 2001-02 Income Year) Regulations 2002 (SR 2002/126) 2789 Schedule 20 Income Tax Act 2004 Reprinted as at 29 August 2011 Regulations revoked—continued Income Tax (Deemed Rate of Return, 2002-03 Income Year) Regulations 2003 (SR 2003/114) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Regulations 1995, Amendment No 1 (SR 1995/177) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Regulations 1995, Amendment No 2 (SR 1996/25) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Regulations 1995, Amendment No 3 (SR 1996/130) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Regulations 1995, Amendment No 5 (SR 1996/347) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations 1997 (SR 1997/22) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 2) 1997 (SR 1997/84) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 3) 1997 (SR 1997/310) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations 1998 (SR 1998/19) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 3) 1998 (SR 1998/245) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 4) 1998 (SR 1998/425) Income Tax (Fringe Beneﬁt Tax,
 Interest on Loans) Amendment Regulations 1999 (SR 1999/38) 2790 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 20 Regulations revoked—continued Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations 2000 (SR 2000/14) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 2) 2000 (SR 2000/86) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 3) 2000 (SR 2000/251) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations 2001 (SR 2001/90) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 2) 2001 (SR 2001/219) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 3) 2001 (SR 2001/349) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations 2002 (SR 2002/34) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 2) 2002 (SR 2002/125) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 3) 2002 (SR 2002/238) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations (No 4) 2002 (SR 2002/372) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations 2003 (SR 2003/115) Income Tax (Fringe Beneﬁt Tax, Interest on Loans) Amendment Regulations 2003 (SR 2003/324) 2791 Schedule 20 Income Tax Act 2004 Reprinted as at 29 August 2011 Regulations revoked—continued Income Tax (National Standard Costs for Speciﬁed Livestock, 1993-94) Order 1994 (SR 1994/45) Income Tax (National Standard Costs for Speciﬁed Livestock, 1994-95) Order 1995 (SR 1995/82) Income Tax (National Standard Costs for Speciﬁed Livestock, 1995-96) Order 1996 (SR 1996/44) Income Tax (National Standard Costs for Speciﬁed Livestock, 1996-97) Order 1997 (SR 1997/21) Income Tax (National Standard Costs for Speciﬁed Livestock, 1997-98) Order 1998 (SR 1998/16) Income Tax (Reorganisation and Rewrite Consequential Amendments) Regulations 1996 (SR 1996/377) Income Tax (Speciﬁed Rate of Interest)
 Notice 1989 (SR 1989/67) Income Tax (Withholding Payments) Regulations 1979, Amendment No 2 (SR 1980/203) Income Tax (Withholding Payments) Regulations 1979, Amendment No 3 (SR 1981/304) Income Tax (Withholding Payments) Regulations 1979, Amendment No 5 (SR 1986/298) Income Tax (Withholding Payments) Regulations 1979, Amendment No 7 (SR 1988/256) Income Tax (Withholding Payments) Regulations 1979, Amendment No 9 (SR 1991/299) 2792 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Regulations revoked—continued Income Tax (Withholding Payments) Regulations 1979, Amendment No 10 (SR 1992/28) Income Tax (Withholding Payments) Regulations 1979, Amendment No 11 (SR 1996/378) Taxation (Use of Money Interest Rates) Regulations 1997 (SR 1997/8) Schedule 21 Enactments amended Public Acts s YA 2 Agricultural Compounds and Veterinary Medicines Act 1997 (1997 No 87) In schedule 2, repeal the item about the Income Tax Act 1994.
Animal Control Products Limited Act 1991 (1991 No 36) Repeal section 18.

In section 20, repeal subsection (1).

Animal Products Act 1999 (1999 No 93) In section 22(1)(c), “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 54(3)(a), “Income Tax Act 1994” by “Income Tax Act 2004”.
Carter Observatory Act 1938 (1938 No 9) In section 22, replace subsection (2) by: “(2) The Board is declared to be exempt from the payment of in- come tax under the Income Tax Act 2004.” 2793 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued Chatham Islands Council Act 1995 (1995 No 41) Repeal section 37.

Child Support Act 1991 (1991 No 142) In section 2, in the deﬁnition of employee, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 2, in the deﬁnition of employer, replace “paragraph (a) of the deﬁnition of employer in section OB 1 of the Income Tax Act 1994” by “paragraphs (a) and (b) of the deﬁnition of employer in section OB 1 of the Income Tax Act 2004”.

In section 2, in the deﬁnition of income from employment, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 2, omit the deﬁnition of income year.


In section 2, in the deﬁned term last relevant income year and in the deﬁnition of last relevant income year, replace “income year” in all places in which it appears by “tax year”.

In section 2, in the deﬁned term most recent income year and in the deﬁnition of most recent income year, replace “income year” by “tax year”.

In section 2, in the deﬁnition of source deduction payment, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 2, in the deﬁnition of withholding income, replace “In- come Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 2(3), replace “an income year” by “a tax year”.

In section 2(3), replace “income year” in all places in which it appears by “tax year”.

In section 2(4), replace “income year” by “year”.

In section 14(1)(ea), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 29(1)(b), in the deﬁnition of child support income amount, replace “income year” in all places in which it appears by “tax year”.

In section 29(1)(b), omit the deﬁnition of income year.

2794 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 29(1)(b), in the deﬁnition of relevant average weekly earnings amount, replace “income year” in all places in which it appears by “tax year”.
In section 29(1)(b), insert in its appropriate alphabetical order: “tax year has the same meaning as in section OB 1 of the Income Tax Act 2004.” In section 29(1)(b), in the deﬁnition of taxable income, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

In section 29(1)(b), in the deﬁnition of taxable income, replace “an income year” in all places in which it appears by “a tax year”.

In section 30(4)(b), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 30(5), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In the heading of section 38A, replace “income year” by “tax year”.

In section 38A, replace “income year” in all places in which it appears by “tax year”.

In section 39, replace “income year” in all places in which it appears by “tax year”.

In section 39A(3), replace “income year” in all places in which it appears by “tax year”.
In section 40, replace “income year” in all places in which it appears by “tax year”.

In section 40(3)(ba)(ii), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 42(2A)(b), replace “income year” by “tax year”.

In section 44(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 44(1), replace “an income year” in all places in which it appears by “a tax year”.

In section 44A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 44A(1)(b) and (5)(b), replace “income year” in all places in which it appears by “tax year”.

2795 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 45(3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 55(1)(da), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 73(1), omit “gross” in all places in which it appears.
In section 73(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 73(2), omit “gross”.

In section 75, omit “gross” in all places in which it appears.

In section 77, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 81(1), replace “income year” in all places in which it ap- pears by “tax year”.

In section 90(1)(ca), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 106(1), replace “income year” by “tax year”.
In section 165(1), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 166(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 166(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 216(5), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 236(2)(b)(i), replace “income year” by “tax year”.
Companies Act 1993 (1993 No 105) In schedule 7, clause 5, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

Companies (Bondholders Incorporation) Act 1934-35 (1934-35 No 39) In the heading of section 37, omit “or ﬂax”.

In section 37, omit “or ﬂax” in all places in which it appears.

2796 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 37, replace “an income year” by “a tax year”.
In section 37, replace “sections DJ 14 and DL 1 of the Income Tax Act 1994” by “Part D of the Income Tax Act 2004”.

Consumer Guarantees Act 1993 (1993 No 91) In section 5(1)(c)(i), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Co-operative Companies Act 1996 (1996 No 24) In section 24(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In schedule 3, repeal the item about the Income Tax Act 1994.
Corporations (Investigation and Management) Act 1989 (1989 No 11) In section 71(7), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 71A(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Credit (Repossession) Act 1997 (1997 No 85) Repeal section 50.

Customs and Excise Act 1996 (1996 No 27) In schedule 5, repeal the item about the Income Tax Act 1994.

Dairy Industry Restructuring Act 2001 (2001 No 51) In section 151(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 152, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 154(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2797 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 154(3), replace “Part IG of the Income Tax Act 1994” by “subpart IG of the Income Tax Act 2004”.

In section 154(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 155(2), (3), and (4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 155(3), replace “income year” in all places in which it appears by “tax year”.

In section 156(1), (2), (3), and (6), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 156(3), replace “income year” in all places in which it appears by “tax year”.

In section 156(3), replace “(as deﬁned in section CB 4(2) of that Act)” by “referred to in section CW 35(5)(b) of that Act”.
In section 156(3), replace “section CB 4(1)(g)” in all places in which it appears by “section CW 43”.

In section 156(3)(a), omit “gross”.

In section 157(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 157(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 157(2), replace “section CB 4” by “subpart CW”.

In section 165, repeal subsection (3).

In schedule 7, repeal the item about the Income Tax Act 1994.
Department of Child, Youth and Family Services Act 1999 (1999 No 82) In the schedule, repeal the item about the Income Tax Act 1994.

Earthquake Commission Act 1993 (1993 No 84) In section 10(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2798 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued Education Act 1989 (1989 No 80) In section 205(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 218(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 219(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 244(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 294(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 296(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 298(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 300(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 307A(1), in the deﬁnition of tax ﬁle number, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.
In schedule 7, clause 18(4), replace “section CB 3(a) of the Income Tax Act 1994 (public and local authorities’ exempt income)” by “sec- tion CW 31 (Public authorities) of the Income Tax Act 2004”.

In schedule 7, clause 18(4), omit “not”.

Electricity Industry Reform Act 1998 (1998 No 88) In section 60(d), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 63(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 66, replace “section CD 4 of the Income Tax Act 1994” in all places in which it appears by “sections CB 3 and CB 4 of the Income Tax Act 2004”.

In section 67(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 67(1), repeal paragraph (a).


2799 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued Employment Services and Income Support (Integrated Administration) Act 1998 (1998 No 96) In the schedule, repeal the item about the Income Tax Act 1994.

Energy Companies Act 1992 (1992 No 56) In section 54(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 54(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 62(1), replace “of section OB 1 of the Income Tax Act 1994” by “given to that term by section OB 1 of the Income Tax Act 1994 immediately before the repeal of that Act”.

In section 62(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 62(2), replace “of section OB 1” by “given to that term by section OB 1 of the Income Tax Act 1994 immediately before the repeal”.
In section 62(3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 62(3), replace “of section OB 1” by “given to that term by section OB 1 of the Income Tax Act 1994 immediately before the repeal”.

In section 62(5), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Energy Resources Levy Act 1976 (1976 No 71) In section 17(3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 27, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Estate and Gift Duties Act 1968 (1968 No 35) In section 74A, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2800 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 74B, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 74B, replace “subsections (13) and (14) of section CF 2” by “section CD 19”.
In section 74C(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 75(1)(b)(ii), replace “per share (as deﬁned in section OB 1 of the Income Tax Act 1994)” by “(as deﬁned in section OB 1 of the Income Tax Act 2004) per share”.

In section 75(1)(c)(ii), replace “per share (as deﬁned in section OB 1 of the Income Tax Act 1994)” by “(as deﬁned in section OB 1 of the Income Tax Act 2004) per share”.

In section 75(1), repeal paragraph (d).


In section 75(1)(e), replace “section DF 5 of the Income Tax Act 1994” by “section DC 1 of the Income Tax Act 2004”.

In section 75(2), replace “an employee share purchase scheme (within the meaning of section DF 7 of the Income Tax Act 1994)” by “a share purchase scheme as deﬁned in section OB 1 of the Income Tax Act 2004”.

In the heading of section 75B, replace “accrual rules in Income Tax Act 1994” by “ﬁnancial arrangements rules in Income Tax Act 2004”.
In section 75B, replace subsection (1) by: “(1) For the purposes of this section,— “(a) ﬁnancial arrangements rules is deﬁned in section OB 1 of the Income Tax Act 2004: “(b) dividend means a dividend derived by a person from the release of an obligation to repay an amount lent: “(c) ﬁnancial arrangement is deﬁned in section EW 3(3)(a) or (b) of the Income Tax Act 2004.” In section 75B(2), replace “accrual” by “ﬁnancial arrangements”.

In section 75B(2), omit “gross” in all places in which it appears.
In section 75B(2), replace paragraph (a) by: “(a) reduces the deduction that the person is allowed; or” 2801 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued Estate Duty Abolition Act 1993 (1993 No 13) Repeal section 10.

Farm Ownership Savings Act 1974 (1974 No 45) In section 14A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 14D(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 14J, replace “Part ID of the Income Tax Act 1994” in all places in which it appears by “subpart ID of the Income Tax Act 2004”.

In section 14K, replace “Part ID of the Income Tax Act 1994” in all places in which it appears by “subpart ID of the Income Tax Act 2004”.

In section 14L(1), replace “Part ID of the Income Tax Act 1994” by “subpart ID of the Income Tax Act 2004”.

In section 19(3)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 20(3)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 20(4)(b), replace “Part IZ of the Income Tax Act 1996” by “subpart IZ of the Income Tax Act 2004”.

Fencing of Swimming Pools Act 1987 (1987 No 178) In section 2, in paragraph (a) of the deﬁnition of owner, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

Finance Act 1987 (1987 No 200) In section 6, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 6(2) and (3), replace “income year” in all places in which it appears by “tax year”.

2802 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued Finance Act 1988 (1988 No 107) In section 7, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 18(2), repeal paragraph (e).

In section 19, repeal subsection (1).


Finance Act (No 2) 1988 (1988 No 128) Replace section 23 by: “23 Amendment to Income Tax Act 2004 The Income Tax Act 2004 is amended by omitting from sched- ule 18 the item ‘Crown Forestry Management Limited’.” Finance Act 1990 (1990 No 20) Repeal section 7.

Finance Act 1990 (No 2) (1990 No 73) Repeal section 10.

Finance Act 1991 (1991 No 93) In section 1(3), replace “Sections 2 to 7, 10 to 13, 15 to 20,” by “Sections 2 to 6, 10 to 13, 15 to 19,”.
In section 1, repeal subsections (5) and (9).

Repeal sections 7 and 20.

Replace section 26 by: “26 Amendment to Income Tax Act 2004 The Income Tax Act 2004 is amended by omitting from sched- ule 18 the item ‘Timberlands West Coast Limited’.” Finance Act 1994 (1994 No 73) In section 1(3), replace “Subject to subsections (4) and (5) of this section, sections 5 to 8 of this Act” by “Subject to subsection (4), sections 5 to 7”.

In section 1, repeal subsection (5).

Repeal section 8.
Repeal section 8.

2803 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued Fisheries Act 1996 (1996 No 88) In section 59(10)(c), replace “paragraph (a) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “paragraphs (c) and (d) of the deﬁnition of that term in section OB 1 of the Income Tax Act 2004”.

In section 59(10)(d), replace “1994, except that subparagraph (a)(v)” by “2004, except that paragraph (e)”.
Fishing Industry Board Repeal Act 2001 (2001 No 34) In the schedule, repeal the item about the Income Tax Act 1994.

Fishing Vessel Ownership Savings Act 1977 (1977 No 62) In section 15(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 18(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 24, replace “Part ID of the Income Tax Act 1994” in the 2 places in which it appears by “subpart ID of the Income Tax Act 2004”.
In section 25(1), replace “Part ID of the Income Tax Act 1994” by “subpart ID of the Income Tax Act 2004”.

In section 30(3)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 31(3)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Goods and Services Tax Act 1985 (1985 No 141) In section 2, in the deﬁnition of hire purchase agreement, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 2, in the deﬁnition of hire purchase agreement, replace “paragraph (b)(iii)” by “paragraph (g)”.

In section 2, in the deﬁnition of New Zealand, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2, in the deﬁnition of resident, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2804 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 2, in the deﬁnition of tax ﬁle number, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 2A(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2A(3)(a), replace “Income Tax Act 1994, as if the reference to ‘this Act’ in paragraph (a)(v)”“” by “Income Tax Act 2004, as if the reference to ‘this Act’ in paragraph (e)”.

In section 2A(3)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2A(3)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2A(7), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 5(6E)(b)(ii), replace “paragraph (a) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “paragraphs (c) and (d) of the deﬁnition of that term in section OB 1 of the Income Tax Act 2004”.

In section 10(3)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 10(3C), (3D), and (15C), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 10(7), replace “section CI 4 of the Income Tax Act 1994” by “sections CX 23, and ND 1S to ND 1V of the Income Tax Act 2004”.

In section 11A(1)(r), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 15(8), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 19D(2), replace “Income Tax Act 1994, except the refer- ence to ‘93 days’ is to be read as being to ‘1 year’ ” by “Income Tax Act 2004, except that the reference to ‘93rd day’ is to be read as ‘on or before the day that is 1 year’ ”.

In section 20A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2805 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 20A(1) and (2), replace “income year” in all places in which it appears by “tax year”.
In section 20F, omit “written” in all places in which it appears.

In section 21I(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 21I, replace subsection (4) by: “(4) If sections DD 1 to DD 3 of the Income Tax Act 2004 apply to limit the deduction under that Act for expenditure or loss (in- cluding depreciation loss) that a registered person is allowed in the course of or furtherance of a taxable activity with respect to entertainment, as described by section DD 2 of that Act,— the registered person is treated as having supplied en- “(a) tertainment for a consideration in money equal to the amount of the deduction prevented by sections DD 1 and DD 2 of that Act; and the time of the supply is treated as being the earlier of— the date on which the person furnishes a return “(i) of income under section 37 of the Tax Adminis- tration Act 1994 for the tax year for which the deduction is allowed; and the date by which the person must furnish a re- turn of income under section 37 of the Tax Ad- ministration Act 1994 for the tax year for which the deduction is allowed.” “(ii) “(b) In section 21I(5), replace “section CB 12 of the Income Tax Act 1994” by “section CW 13 or CW 14 of the Income Tax Act 2004”.
In section 23A, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 48A(3)(a), replace “section EZ 9(3) of the Income Tax Act 1994” by “section CX 41B(4) or EW 47B(4) of the Income Tax Act 2004”.

In the words after section 48A(3)(c), replace “section EZ 9(3) and (4) of the Income Tax Act 1994” by “section CX 41B(4) and (5) or section EW 47B(4) and (5) of the Income Tax Act 2004”.

In section 55(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
2806 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 61, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 61A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

The item relating to section 48A of the Goods and Services Tax Act 1985 was substituted, as from 1 April 2005, by section 266(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Government Superannuation Fund Act 1956 (1956 No 47) In section 15D(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Government Superannuation Fund Amendment Act 1990 (1990 No 30) In section 4, replace “income year” by “tax year”.

In section 10, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 10(2)(b), replace “income year” by “tax year”.

In section 32(1)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 33, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 33(2)(b), replace “income year” by “tax year”.

In section 36(2)(b), replace “income year” by “tax year”.

Government Superannuation Fund Amendment Act 2001 (2001 No 47) Repeal section 39.

Health and Disability Services (Safety) Act 2001 (2001 No 93) In schedule 2, repeal the item about the Income Tax Act 1994.
Health and Safety in Employment Act 1992 (1992 No 96) In section 59(2)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2807 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued Health Sector (Transfers) Act 1993 (1993 No 23) In section 8(4), replace “section CD 1 or section EG 19 of the Income Tax Act 1994” by “sections CB 5 to CB 21 or EE 37 to EE 44 of the Income Tax Act 2004”.

In section 8(5), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 8(6), replace “section EG 17 of the Income Tax Act 1994” by “sections EE 34 to EE 36 of the Income Tax Act 2004”.

Home Ownership Savings Act 1974 (1974 No 51) In section 14A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 14D(5), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 14L(b), replace “Part ID of the Income Tax Act 1994” by “subpart ID of the Income Tax Act 2004”.
In section 14M(1), replace “Part ID of the Income Tax Act 1994” by “subpart ID of the Income Tax Act 2004”.

Hop Industry Restructuring Act 2003 (2003 No 16) In section 11(1)(c), omit “gross”.

In section 11, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
Housing Corporation Act 1974 (1974 No 19) In section 56(2)(a), replace “subparagraphs (v) and (vi) of section FE 6(5)(a) and subparagraphs (iv) and (v) of section FE 7(1)(a) of the Income Tax Act 1994” by “sections FE 6(5)(a)(v) and (vi) and FE 7(1)(a)(iv) and (v) of the Income Tax Act 2004”.

Housing Corporation Amendment Act 2001 (2001 No 37) In section 24(5), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In schedule 2, repeal the item about the Income Tax Act 1994.
2808 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued Housing Restructuring Act 1992 (1992 No 76) In section 41, replace “Subject to section YB 2 of the Income Tax Act 1994, the” by “The”.

In section 42(1), in the deﬁnition of standard tax, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 46(2)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 46(3)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In schedule 1, repeal the item about the Income Tax Act 1976.

In schedule 2, clauses 5, 9(c), and 10(a)(ii), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Immigration Amendment Act 2002 (2002 No 22) Repeal the heading above section 18.

Repeal section 18.

Injury Prevention, Rehabilitation, and Compensation Act 2001 (2001 No 49) In section 6, in the deﬁnition of close company, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 6, in paragraph (a) of the deﬁnition of employee, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 6, in paragraph (b) of the deﬁnition of employee, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 6, in paragraph (b) of the deﬁnition of employee, omit “gross”.

In section 6, in the deﬁnition of employer, before the paragraphs, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 6, in paragraph (a)(i) of the deﬁnition of employer, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 6, in paragraph (a)(ii) of the deﬁnition of employer, re- place “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 6, in paragraph (a)(ii) of the deﬁnition of employer, omit “gross”.
2809 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 6, in paragraph (b) of the deﬁnition of employer, replace “paragraphs (f), (g), (h), (i), (ia), (ib), or (iba) of the deﬁnition of salary or wages in section OB 1 of the Income Tax Act 1994” by “paragraph (b)(ix) or (xi) to (xvi) of the deﬁnition of salary or wages in section OB 1 of the Income Tax Act 2004”.

In section 6, omit the deﬁnition of income year.


In section 6, in the deﬁnition of private domestic worker, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 6, in the deﬁnition of source deduction payment, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 6, insert in its appropriate alphabetical order: “tax year, in relation to any person, has the same meaning as in sec- tion OB 1 of the Income Tax Act 2004 for the purposes of furnishing a return of income under the Tax Administration Act 1994.” In section 9(1), replace “income year” in all places in which it appears by “tax year”.

In section 10(1), replace “income year” by “tax year”.

In section 10(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 10(4)(c), replace “gross income for the purposes of the Income Tax Act 1994” by “income for the purposes of the Income Tax Act 2004”.

In section 11, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 11(1), replace “income year” by “tax year”.

In section 14(1) and (2), replace “income year” in all places in which it appears by “tax year”.

In section 14(2), omit “gross”.


In section 14(2)(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 14(3), replace “allowable as deductions to the person for the purposes of the Income Tax Act 1994” by “that the person is allowed as deductions for the purposes of the Income Tax Act 2004”.

In section 15(1) to (3) and (6), replace “income year” in all places in which it appears by “tax year”.
2810 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 15(2)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 99(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 172(2), replace “an income year” by “a tax year”.

In section 172(3), replace “income year” in all places in which it appears by “tax year”.

In section 174(1), replace “an income year” by “a tax year”.
In section 174(1) and (2), replace “income year” in all places in which it appears by “tax year”.

In section 193(7), replace “income year” by “tax year”.

In section 193, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 198(1), replace “an income year” by “a tax year”.

In section 198(2), replace “income year” by “tax year”.

In section 200(2), replace “an income year” by “a tax year”.

In section 200(3), replace “income year” by “tax year”.
In section 204(1), replace “income year” by “tax year”.

In section 204(1), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 221(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 231(1), replace “an income year” by “a tax year”.

In section 231(2) to (5), replace “income year” in all places in which it appears by “tax year”.

In section 232(2) to (4), replace “income year” in all places in which it appears by “tax year”.
In section 233(1), replace “an income year” by “a tax year”.

In section 233(1) and (2), replace “income year” in all places in which it appears by “tax year”.

In section 236(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 243(3), replace “income year” by “tax year”.

2811 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 246, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 316(6), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In schedule 1, clause 30, replace “income year” by “tax year”.

In schedule 1, clause 30, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In schedule 4, clauses 1, 3, 5, 7(b), 8, 9, and 22, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In schedule 4, clauses 6 and 16, replace “an income year” by “a tax year”.
In schedule 4, clauses 6, 7, 16, and 21, replace “income year” in all places in which it appears by “tax year”.

In schedule 7, repeal the item about the Income Tax Act 1994.

Insolvency Act 1967 (1967 No 54) In section 74(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Investment Advisers (Disclosure) Act 1996 (1996 No 104) In section 2(3)(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Kiwifruit Industry Restructuring Act 1999 (1999 No 95) In section 23(1)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 23(1)(c), replace “gross income of the person for the pur- poses of the Income Tax Act 1994” by “income of the person for the purposes of the Income Tax Act 2004”.

In section 23(2) to (4), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 23(5), replace “income year” by “tax year”.
In section 23(6), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2812 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued Land Transport Act 1998 (1998 No 110) In schedule 3, repeal the item about the Income Tax Act 1994.

Legal Services Act 2000 (2000 No 42) In section 103(4), replace “section CB 3(a) of the Income Tax Act 1994 (public and local authorities’ exempt income)” by “section CW 31 (Public authorities) of the Income Tax Act 2004”.
Local Electoral Act 2001 (2001 No 35) In schedule 3, repeal the item about the Income Tax Act 1994.

Local Government Act 1974 (1974 No 66) In section 707ZZZS(2)(b), replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

In section 707ZZZT, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

Local Government Amendment Act 1989 (1989 No 1) In section 29A, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Local Government Amendment Act 1998 (1998 No 89) Repeal the heading “Amendment to Income Tax Act 1994”.

In section 14(1), repeal paragraph (j).

Local Government Act 2002 (2002 No 84) In schedule 3, clause 69(6), replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

In schedule 9, clause 6, in the heading, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In schedule 9, clause 6(1) and (2), replace “section CD 1 of the In- come Tax Act 1994” in all places in which it appears by “sections CB 5 to CB 21 of the Income Tax Act 2004”.

2813 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In schedule 9, clause 6(3), replace “sections EG 17(1) and EZ 11 of the Income Tax Act 1994” by “sections EE 34(1) to (3) and EZ 11 of the Income Tax Act 2004”.

In schedule 16, repeal the item about the Income Tax Act 1994.
In schedule 18, repeal the item about the Income Tax Act 1994.

Maori Reserved Land Amendment Act 1997 (1997 No 101) In section 22(2), replace “section CB 5(1)(p) of the Income Tax Act 1994 (as added by section 31 of this Act)” by “section CW 28(1)(g) of the Income Tax Act 2004”.

Repeal section 31.

Maori Trust Boards Act 1955 (1955 No 37) In section 24B(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 41A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Meat Board Act 1997 (1997 No 105) In schedule 4, repeal the item about the Income Tax Act 1994.

Ministry of Economic Development Act 2000 (2000 No 28) In schedule 1, repeal the item about the Income Tax Act 1994.

Motor Vehicle Sales Act 2003 (2003 No 12) In section 6(1), in the deﬁnition of hire purchase agreement, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
National Provident Fund Restructuring Act 1990 (1990 No 126) In section 25(1)(c), replace “paragraph (b) of the deﬁnition of ex- cepted ﬁnancial arrangement in section OB 1 of the Income Tax Act 1994” by “section EW 5(14) or paragraph (b) of the deﬁnition of excepted ﬁnancial arrangement in section EZ 45 of the Income Tax Act 2004”.
2814 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 35(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 73(1)(f), replace “income year” by “tax year”.

Repeal section 74.

National Provident Fund Restructuring Amendment Act 1997 (1997 No 83) Repeal section 32.

In schedule 2, clause 8, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In schedule 2, clause 9, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

New Zealand Public Health and Disability Act 2000 (2000 No 91) In schedule 9, repeal the item about the Income Tax Act 1994.

New Zealand Superannuation and Retirement Income Act 2001 (2001 No 84) In section 5(1), in the deﬁnition of net cost, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 15(1), in the deﬁnition of standard tax, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 43, in the deﬁnition of net cost, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 76(1), replace “gross income of the Fund under the Income Tax Act 1994” by “income of the Fund under the Income Tax Act 2004”.

In section 76(2), replace “allowable deductions under section BD 2 of the Income Tax Act 1994” by “deductions under section BD 2 of the Income Tax Act 2004”.

In section 76(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In schedule 1, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2815 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In schedule 5, repeal the item about the Income Tax Act 1994.
“New Zealand Superannuation and Retirement Income Act 2001”: this item was amended, as from 21 April 2005, by section 9(1) New Zealand Superannuation and Retirement Income Amendment Act 2005 (2005 No 42) by substituting the words “New Zealand Superannuation and Retirement Income Act 2001” for the words “New Zealand Superannuation Act 2001”.

New Zealand Tourism Board Act 1991 (1991 No 110) In schedule 1, clause 21, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Parental Leave and Employment Protection (Paid Parental Leave) Amendment Act 2002 (2002 No 7) In schedule 1, repeal the item about the Income Tax Act 1994.
Perpetuities Act 1964 (1964 No 47) In section 19(1), replace “Land and Income Tax Act 1954, or if the fund is such that the Commissioner of Inland Revenue allows deduc- tions to be made under section 128 of that Act of the whole or any part of the amounts set aside or paid by the employer as or to the fund” by “Income Tax Act 2004, or if the fund is one to which section DC 6 of the Income Tax Act 2004 applies”.
In section 19(1A), replace “an employee share purchase scheme (within the meaning of section OB 1 of the Income Tax Act 1994)” by “a share purchase scheme as deﬁned in section OB 1 of the Income Tax Act 2004”.

Personal Property Securities Act 1999 (1999 No 126) In schedule 1, repeal the item about the Income Tax Act 1994.

Petroleum Sector Reform Act 1988 (1988 No 95) Replace the heading of section 3 by “Application of Income Tax Act 2004”.
In section 3(1), replace “qualiﬁed accruals rules of the Income Tax Act 1994” by “old ﬁnancial arrangements rules of the Income Tax Act 2004”.

2816 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 3(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 3, replace subsection (3) by: “(3) Notwithstanding any other enactment or rule of law, The New Zealand Reﬁning Company Limited is denied a deduction under the Income Tax Act 2004 for an amount of depreciation loss for the expansion assets.” In section 3(4), replace “gross income for the purposes of the Income Tax Act 1994” by “income for the purposes of the Income Tax Act 2004”.
Port Companies Act 1988 (1988 No 91) In section 38(4)(a), replace “section 2 of the Income Tax Act 1976” by “section OB 1 of the Income Tax Act 2004”.

Privacy Act 1993 (1993 No 28) In section 6, principle 12(2), replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

Privacy Amendment Act 1996 (1996 No 142) In section 8, repeal subsection (3).

Property (Relationships) Amendment Act 2001 (2001 No 5) In schedule 1, repeal the item about the Income Tax Act 1994.
Property Speculation Tax Repeal Act 1979 (1979 No 23) In section 2(1), replace “and subsection (10) of section 188 of the Income Tax Act 1976 are” by “is”.

Public Audit Act 2001 (2001 No 10) In section 43, replace “section CB 3 of the Income Tax Act 1994” by “sections CW 31 and CW 32 of the Income Tax Act 2004”.
2817 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued Public Service Investment Society Management Act (No 2) 1979 (1979 No 9) In section 2(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Public Trust Act 2001 (2001 No 100) In schedule 2, repeal the item about the Income Tax Act 1994.

Radio New Zealand Act 1995 (1995 No 52) In the schedule, repeal the item about the Income Tax Act 1994.
Radio New Zealand Act (No 2) 1995 (1995 No 53) In the schedule, repeal the item about the Income Tax Act 1994.

Radiocommunications Act 1989 (1989 No 148) In section 153(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 161(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Rates Rebate Act 1973 (1973 No 5) In section 2(1), in the deﬁnition of income, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 2(1), in the deﬁnition of income, replace “income year” in all places in which it appears by “tax year”.

In section 2(1), in the deﬁnition of income, omit “gross”.

In section 2(1), in the deﬁned term preceding income year, replace “income year” by “tax year”.

In section 2(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1)(a)(ii), replace “income year” by “tax year”.

In section 4, replace “income year” in all places in which it appears by “tax year”.
2818 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued Securities Act 1978 (1978 No 103) In section 2, in the deﬁnition of associated persons, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2, in the deﬁnition of convertible note, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2, in the deﬁnition of relative, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 5(1)(h), replace “an employee share purchase scheme (as deﬁned in section OB 1 of the Income Tax Act 1994)” by “a share purchase scheme as deﬁned in section OB 1 of the Income Tax Act 2004”.

Sentencing Act 2002 (2002 No 9) In section 127(1), in the deﬁnition of hire purchase agreement, re- place “Income Tax Act 1994” by “Income Tax Act 2004”.

Smoke-free Environments Act 1990 (1990 No 108) In section 2, in the deﬁnition of manufacturer, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Social Security Act 1964 (1964 No 136) In section 3(1), in the deﬁnition of income tax, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(3)(c), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 11A(10), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 69E, in the deﬁnition of income, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 70(4), replace “section CB 5(1)(a) and (f) and Subpart JB of the Income Tax Act 1994” by “section CW 23 of the Income Tax Act 2004”.

In section 80B, in the deﬁnition of income, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2819 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 82A(5), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 83(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 86G(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In schedule 18, clause 1, in the deﬁnition of base rate, replace “Part KD of the Income Tax Act 1994” in the 4 places in which it appears by “subpart KD of the Income Tax Act 2004”.

In schedule 18, clause 2, replace “the fourth proviso to section NC 6(1) of the Income Tax Act 1994” in all places in which it appears by “section NC 6(1D) of the Income Tax Act 2004”.
In schedule 22, clause 2, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Social Security Amendment Act 1998 (1998 No 19) In schedule 1, repeal the item about the Income Tax Act 1994.

Social Security Amendment Act 2001 (2001 No 1) In the schedule, repeal the item about the Income Tax Act 1994.

Southland Electricity Act 1993 (1993 No 147) In section 1(3), omit “33,”.

In section 1, repeal subsection (5).

Repeal section 33.
Repeal section 33.

In section 36(1), replace “Subject to section YB 2 of the Income Tax Act 1994, the” by “The”.

Sport and Recreation New Zealand Act 2002 (2002 No 38) In schedule 4, repeal the item about the Income Tax Act 1994.

Stamp and Cheque Duties Act 1971 (1971 No 51) In section 86F, in the deﬁnition of approved issuer, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
2820 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 86F, in the deﬁnition of interest, replace “and (d) of the deﬁnition of interest in section OB 1 of the Income Tax Act 1994” by “and (c) of the deﬁnition of interest in section OB 1 of the Income Tax Act 2004”.

In section 86F, in the deﬁnition of money lent, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 86F, replace the deﬁnition of paid by: “paid and payment each has the meaning corresponding to para- graph (c) of the deﬁnition of pay in section OB 1 of the Income Tax Act 2004.” In section 86I, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 86KA(1) and (4), replace “an income year” in all places in which it appears by “a tax year”.

In section 86L(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
State Insurance Act 1990 (1990 No 36) In section 13, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 13(4), replace “income year” in all places in which it ap- pears by “tax year”.

State-Owned Enterprises Act 1986 (1986 No 124) In section 10A(2)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 12(2)(d), replace “Income Tax Act 1994” in the ﬁrst place in which it appears by “Income Tax Act 2004”.
In section 12(2)(d), replace “section CF 2(1) of the Income Tax Act 1994” by “subpart CD of the Income Tax Act 2004”.

State-Owned Enterprises Amendment Act 1987 (1987 No 117) In schedule 1, repeal the item about the Income Tax Act 1976.

2821 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued State-Owned Enterprises Amendment Act 1992 (1992 No 27) In section 1(3), replace “to 19” by “to 18”.

In section 1, repeal subsection (5).


In section 15, replace “Subject to section YB 2 of the Income Tax Act 1994, the” by “The”.

Repeal section 19.

In the schedule, repeal the item about the Income Tax Act 1976.

State-Owned Enterprises Amendment Act 1996 (1996 No 82) In the heading of section 6, replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

In section 6, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
State-Owned Enterprises (Contact Energy Limited) Amendment Act 1998 (1998 No 99) In section 1, repeal subsection (4).

In section 3, repeal subsection (8).

State-Owned Enterprises (Meteorological Service of New Zealand Limited and Vehicle Testing New Zealand Limited) Amendment Act 1999 (1999 No 65) In section 1, repeal subsection (6).

In section 3(9), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 4, repeal subsection (8).


Student Loan Scheme Act 1992 (1992 No 141) In section 1(3), replace “income year” by “tax year”.

In section 2, omit the deﬁnition of assessable income.

In section 2, in the deﬁnition of base interest rate, replace “income year” in all places in which it appears by “tax year”.

In section 2, in the deﬁnition of employee, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
2822 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 2, in the deﬁnition of employer, replace “paragraph (a) of the deﬁnition of employer in section OB 1 of the Income Tax Act 1994” by “paragraphs (a) and (b) of the deﬁnition of employer in section OB 1 of the Income Tax Act 2004”.
In section 2, replace the deﬁnition of extra emolument by: “extra emolument, in relation to any person, has the meaning given to extra pay in section OB 1 of the Income Tax Act 2004.” In section 2, replace the deﬁnition of gross income by: “gross income has the meaning given to income in section OB 1 of the Income Tax Act 2004.” In section 2, in the deﬁnition of income-tested beneﬁt, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

In section 2, omit the deﬁnition of income year.


In section 2, in the deﬁnition of interest adjustment rate, replace “income year” in all places in which it appears by “tax year”.

In section 2, in the deﬁnition of net income, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2, in the deﬁnition of non-resident, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2, in the deﬁnition of PAYE intermediary, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.
In section 2, in the deﬁnition of primary employment earnings, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2, in the deﬁnition of repayment obligation, replace “in- come year” in all places in which it appears by “tax year”.

In section 2, in the deﬁnition of repayment threshold, replace “in- come year” in all places in which it appears by “tax year”.

In section 2, in the deﬁnition of resident, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 2, in the deﬁnition of salary or wages, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 2, in the deﬁnition of secondary employment earnings, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 14(1), replace “an income year” by “a tax year”.

2823 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 14, replace “income year” in all places in which it appears by “tax year”.
In section 15(1), replace “an income year” by “a tax year”.

In section 15(1), replace “income year” by “tax year”.

In section 15, add the following subsection: “(5) In this section, income statement has the same meaning as in section OB 1 of the Income Tax Act 2004.” In the heading of section 16, replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

In section 16, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 17(1), replace “income year” in all places in which it ap- pears by “tax year”.

In section 17(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 17B, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 18(2)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 18, replace “income year” by “tax year”.

In section 19(1), replace “income year” by “tax year”.

In section 19(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 21(1) and (2), replace “income year” in all places in which it appears by “tax year”.

In section 21, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In the heading of section 25, replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

In section 25(1), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 25(1), replace “section OZ 1(1)” by “section OB 1”.
In section 25(2), omit “and sections 143A(1)(d) and (e) and 143B(1)(d), and Part 9 (except section 146) of the Tax Administra- tion Act 1994”.

2824 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 25(2), replace “sections BC 2, LD 1(2), LD 1(3), NC 2(1), NC 6, NC 7, and NC 16 of the Income Tax Act 1994” by “sections BC 1, LD 1(2) and (3), NC 2(1), NC 6, NC 7, NC 16, and NC 17 of the Income Tax Act 2004”.
In section 25(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 26, replace “income year” in all places in which it appears by “tax year”.

In section 27(1), replace “income year” in all places in which it ap- pears by “tax year”.

In section 27(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 28, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 28(3), replace “income year” in all places in which it ap- pears by “tax year”.

In section 29, replace “income year” in all places in which it appears by “tax year”.

In section 30(1), replace “an income year” by “a tax year”.

In section 30(1), replace “income year” by “tax year”.

In section 30(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In the heading above section 31, replace “income year” by “tax year”.

In section 31(1), replace “income year” by “tax year”.
In section 32(2), replace “an income year” by “a tax year”.

In section 32, replace “income year” in all places in which it appears by “tax year”.

In section 32, replace “income years” by “tax years”.

In section 32A, replace “income year” in all places in which it appears by “tax year”.

In section 32A(2), replace “an income year” by “a tax year”.

In section 32B, replace “income year” in all places in which it appears by “tax year”.
In section 32B(2) and (3), replace “an income year” in all places in which it appears by “a tax year”.

2825 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 33(1), replace “income year” by “tax year”.

In section 34, replace “income year” in all places in which it appears by “tax year”.

In section 34(1), replace “an income year” by “a tax year”.

In the heading above section 35, replace “income year” by “tax year”.
In the heading of section 35, replace “income year” by “tax year”.

In section 35, replace “income year” in all places in which it appears by “tax year”.

In section 38A(1), replace “an income year” by “a tax year”.

In section 38A(1), replace “income year” by “tax year”.

In section 38B(1), replace “an income year” by “a tax year”.

In section 38C, replace “income year” in all places in which it appears by “tax year”.
In section 38D, replace “an income year” in all places in which it appears by “a tax year”.

In section 38D(1)(c), replace “income year” by “tax year”.

In section 39(1), replace “an income year” by “a tax year”.

In section 39(2), replace “income year” in all places in which it ap- pears by “tax year”.

In section 40(1), replace “an income year” by “a tax year”.

In section 40(2), replace “income year” in all places in which it ap- pears by “tax year”.
In section 41, replace “an income year” by “a tax year”.

In section 42(2), replace “income year” by “tax year”.

In section 43(1), replace “income year” in all places in which it ap- pears by “tax year”.

In section 44(3), in the deﬁnition of amount of the default, replace “income year” in all places in which it appears by “tax year”.
In section 44(3), in the deﬁnition of due date, replace “Schedule 13 to the Income Tax Act 1994” in all places in which it appears by “schedule 13 of the Income Tax Act 2004”.

In section 44(3), in the deﬁnition of due date, replace “income year” by “tax year”.

2826 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 44A(1) to (3), replace “income year” in all places in which it appears by “tax year”.

In section 44A(3), replace “an income year” by “a tax year”.
In section 44A(3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 44A(4), replace “Schedule 13 Part A of the Income Tax Act 1994” in all places in which it appears by “schedule 13, part A, of the Income Tax Act 2004”.

In section 49(2), replace “an income year” by “a tax year”.

In section 49(2), replace “that income year” by “that tax year” In section 51(a), replace “income year” by “tax year”.
In section 55, replace “an income year” in all places in which it ap- pears by “a tax year”.

In section 55, replace “income year” in all places in which it appears by “tax year”.

In section 56(1), replace “income year” in all places in which it ap- pears by “tax year”.

In section 57(1), replace “income year” by “tax year”.

In section 60, replace “income year” by “tax year”.

In the heading of section 61, replace “income year” by “tax year”.

In section 65, replace “an income year” by “a tax year”.
In section 87(1)(a), (2), and (3), replace “income year” in all places in which it appears by “tax year”.

Repeal the heading “Amendment to District Courts Act 1947”.

Repeal section 88.

Repeal the heading “Amendment to Insolvency Act 1967”.

Repeal section 90.

In the heading of section 99, replace “income” by “tax”.

In section 99, replace “income year” in all places in which it appears by “tax year”.

In the heading of section 100, replace “income year” by “tax year”.
In section 100, replace “income year” in all places in which it appears by “tax year”.

In the heading of section 101, replace “income year” by “tax year”.

2827 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued In section 101, replace “income year” by “tax year”.

The item relating to section 49(2) Student Loan Scheme Act 1992 was substituted, as from 1 April 2005, by section 266(3) Taxation (Venture Capital and Miscellaneous Pro- visions) Act 2004 (2004 No 111).
Student Loan Scheme Amendment Act (No 2) 1998 (1998 No 105) Repeal section 2.

Superannuation Schemes Act 1989 (1989 No 10) In section 23(1), replace “section 204Q of the Income Tax Act 1976” by “section GD 8 of the Income Tax Act 2004”.

In section 30(a), replace “section 204Q(3) of the Income Tax Act 1976” by “section GD 8 of the Income Tax Act 2004”.

In schedule 3, repeal the item about the Income Tax Act 1976.
Tarawera Forest Act 1967 (1967 No 45) In section 16, replace “section DL 5 of the Income Tax Act 1994” by “section OB 1 of the Income Tax Act 2004”.

Taxation (Accrual Rules and Other Remedial Matters) Act 1999 (1999 No 59) Repeal Part 1.

Taxation (Beneﬁciary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 (2001 No 4) Repeal Part 1.

Taxation (FBT, SSCWT and Remedial Matters) Act 2000 (2000 No 34) Repeal Part 1.
Taxation (GST and Miscellaneous Provisions) Act 2000 (2000 No 39) Repeal Part 1.

2828 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 131(2)(b), replace “section EH 14 of the Income Tax Act 1994” by “section EZ 45 of the Income Tax Act 2004”.

Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 (2003 No 122) Repeal Part 1.

Repeal section 172 and the heading above section 172.
Taxation (Income Tax Rates) Act 1997 (1997 No 9) Repeal Part 1.

Repeal Part 2.

Repeal the schedule.

Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 (2003 No 5) Repeal Part 1.

Taxation (Parental Tax Credit) Act 1999 (1999 No 62) Repeal Part 1.

Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 (2002 No 32) Repeal Part 1.

Taxation (Remedial Matters) Act 1999 (1999 No 98) Repeal Part 1.
Taxation (Remedial Provisions) Act 1996 (1996 No 159) Repeal Part 1.

Repeal Part 6.

Taxation (Remedial Provisions) Act 1997 (1997 No 74) Repeal Part 1.

Repeal sections 124 to 142.

2829 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued Repeal schedule 1.

Repeal schedule 2.

Repeal schedule 3.

Taxation (Remedial Provisions) Act 1998 (1998 No 7) Repeal Part 1.

Repeal schedule 1.

Repeal schedule 2.


Taxation Review Authorities Act 1994 (1994 No 165) In section 3(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 17(4), in the deﬁnition of widely-held company, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

The heading was amended, as from 1 April 2005, by section 266(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the ex- pression “1994 No 165” for the words “1994 No 156”.
Taxation (Simpliﬁcation and Other Remedial Matters) Act 1998 (1998 No 101) Repeal Part 2.

Taxation (Superannuitant Surcharge Abolition) Act 1997 (1997 No 59) Repeal Part 1.

Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 (1998 No 107) Repeal Part 1.

Taxation (Tax Rate Increase) Act 1999 (1999 No 143) Repeal Part 1.

Repeal schedule 1.

Repeal schedule 2.


2830 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 (2001 No 85) Repeal Part 1.

In section 244(2), replace “section EH 14 of the Income Tax Act 1994” by “section EZ 45 of the Income Tax Act 2004”.

Trustee Companies Management Act 1975 (1975 No 25) In section 2(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Tutae-Ka-Wetoweto Forest Act 2001 (2001 No 48) In section 10, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Unit Trusts Act 1960 (1960 No 99) In section 2(1), replace paragraph (g) of the deﬁnition of unit trust by: “(g) a share purchase scheme as deﬁned in section OB 1 of the Income Tax Act 2004; or” In section 3(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 6A, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 6C, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Valuation Department (Restructuring) Act 1998 (1998 No 70) In section 14, repeal subsection (4).

In section 15(1), replace “provisions amended by section 14(1)(b) and (4) by removing from those provisions” by “provision amended by section 14(1)(b) and schedule 18 of the Income Tax Act 2004 by removing from that provision and schedule”.
2831 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Public Acts—continued War Pensions Act 1954 (1954 No 54) In section 67(1), in paragraph (a)(i) of the deﬁnition of employment income, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 67(1), in paragraph (a)(ii) of the deﬁnition of employment income, replace “section CH 2 of the Income Tax Act 1994” by “sec- tion CE 1(d) of the Income Tax Act 2004”.
In section 67(1), in paragraph (b) of the deﬁnition of employment income, replace “employer superannuation contribution (within the meaning of section OB 1 of the Income Tax Act 1994” by “em- ployer’s superannuation contribution (within the meaning of section OB 1 of the Income Tax Act 2004”.

In section 74C(1), in the deﬁnition of standard tax, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Wool Industry Restructuring Act 2003 (2003 No 40) In section 36(1)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 36(1)(c), replace “gross income of the person for the pur- poses of the Income Tax Act 1994” by “income of the person for the purposes of the Income Tax Act 2004”.

In section 36(2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 36(3), replace “available subscribed capital in section OB 1 of the Income Tax Act 1994” by “available subscribed capital in section OB 1 of the Income Tax Act 2004”.

In section 36(4), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 36(5), replace “gross income for the purposes of the In- come Tax Act 1994” by “income for the purposes of the Income Tax Act 2004”.

In section 36(6), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 37, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2832 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Public Acts—continued In section 38, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 39, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
Private Acts ANZ Banking Group (New Zealand) Act 1979 (1979 No 1) In section 7(4), replace “section 243(2)(1) of the Income Tax Act 1976” by “section OE 4(1)(m) of the Income Tax Act 2004”.

Countrywide Banking Corporation Limited Act 1994 (1994 No 1) In section 9(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Museum of Transport and Technology Act 2000 (2000 No 1) In section 19(4), replace “a disposal or disposition for the purposes of section EG19 of the Income Tax Act 1994” by “a disposal for the purposes of sections EE 41 to EE 44 of the Income Tax Act 2004”.

National Bank of New Zealand Limited Act 1994 (1994 No 3) In section 9(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Public Service Investment Society Limited Act 1998 (1998 No 3) In section 13(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Southland Flood Relief Committee Empowering Act 1992 (1992 No 1) In section 8, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2833 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Private Acts—continued Sydenham Money Club Act 2001 (2001 No 2) In section 18, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
Te Runanga O Ngai Tahu Act 1996 (1996 No 1) In section 30(1)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 31(3)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Tower Corporation Act 1990 (1990 No 2) In section 26, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
Local Acts Auckland War Memorial Museum Act 1996 (1996 No 4) In section 21(4), replace “section EG 19 of the Income Tax Act 1994” by “sections EE 37 to EE 44 of the Income Tax Act 2004”.

In section 21(5), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Hawke’s Bay Crematorium Act 1944 (1944 No 7) In section 5(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Hawke’s Bay Regional Council (Surplus Funds Distribution) Empowering Act 1999 (1999 No 4) In section 5(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Selwyn Plantation Board Empowering Act 1992 (1992 No 4) In the heading of section 17, replace “Income Tax Act 1994” by “In- come Tax Act 2004”.
2834 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Local Acts—continued In section 17(1), replace “section CD 1 of the Income Tax Act 1994” by “sections CB 5 to CB 21 of the Income Tax Act 2004”.

In section 17(2), (4), and (5), replace “Income Tax Act 1994” in the 3 places in which it appears by “Income Tax Act 2004”.
Regulations Animal Products (Regulated Control Scheme—Limited Processing Fishing Vessels) Regulations 2001 (SR 2001/334) In regulation 34(1)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Co-operative Dairy Companies Income Tax Regulations 1955 (SR 1955/55) In regulation 2, replace the deﬁnition of available subscribed cap- ital per share by: “available subscribed capital per share has the meaning given to available subscribed capital in section OB 1 of the Income Tax Act 2004.” In regulation 2, replace the deﬁnition of gross income by: “gross income has the meaning given to income in section OB 1 of the Income Tax Act 2004.” Co-operative Milk Marketing Companies Income Tax Regulations 1960 (SR 1960/1) In regulation 1(2), replace “income year” by “tax year”.
In regulation 2, replace the deﬁnition of available subscribed cap- ital per share by: “available subscribed capital per share has the meaning given to available subscribed capital in section OB 1 of the Income Tax Act 2004.” In regulation 2, replace the deﬁnition of gross income by: “gross income has the meaning given to income in section OB 1 of the Income Tax Act 2004.” 2835 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Regulations—continued Co-operative Pig Marketing Companies Income Tax Regulations 1964 (SR 1964/37) In regulation 1(2), replace “income year” by “tax year”.
In regulation 2, replace the deﬁnition of available subscribed cap- ital per share by: “available subscribed capital per share has the meaning given to available subscribed capital in section OB 1 of the Income Tax Act 2004.” In regulation 2, replace the deﬁnition of gross income by: “gross income has the meaning given to income in section OB 1 of the Income Tax Act 2004.” Electricity (Information Disclosure) Regulations 1999 (SR 1999/82) In regulation 2, in the deﬁnition of subvention payment, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Financial Reporting Order 1994 (SR 1994/134) In clause 4, replace “rates permitted under the Income Tax Act 1976” in all places in which it appears by “rates permitted under the Income Tax Act 2004”.

In clause 4, replace “section 222A of the Income Tax Act 1976” by “section OB 1 of the Income Tax Act 2004” The amendment to the Financial Reporting Order 1994 was substituted, as from 1 April 2005, by section 266(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
Fishing Industry Board (Dissolution) Regulations 2002 (SR 2002/211) In regulation 5B(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Forestry Encouragement Grants Regulations 1983 (SR 1983/37) In regulation 2, in the deﬁnition of Maori authority, replace “section 234 of the Income Tax Act 1976” by “section OB 1 of the Income Tax Act 2004”.
2836 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Regulations—continued In schedule 1, in clause 1, omit “(but for section 12 of the Income Tax Amendment Act (No 2) 1982)”.

In schedule 1, in clause 1, omit “assessable” in all places in which it appears.

In schedule 1, in clause 1, replace “income year” in all places in which it appears by “tax year”.
In schedule 1, in clause 3, replace “not exceeding the rate of depre- ciation allowance in respect of such asset as determined from time to time for income tax purposes by the Commissioner of Inland Rev- enue” by “under the Income Tax Act 2004”.

Health Entitlement Cards Regulations 1993 (SR 1993/169) In regulation 2, in the deﬁnition of family credit income, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In regulation 2, in the deﬁnition of family credit income, replace “Part KD credit” by “subpart KD credit”.

In regulation 2, in the deﬁnition of family credit income, replace “income year” by “tax year”.

In regulation 2, omit the deﬁnition of income year.

In regulation 2, in the deﬁnition of net income, replace “Income Tax Act 1994” in the ﬁrst place in which it appears by “Income Tax Act 2004”.
In regulation 2, in the deﬁnition of net income, replace paragraph (d) by: “(d) 50% of a pension or annuity to which section EX 37(2) and (3) of the Income Tax Act 2004 applies; and” In regulation 2, in paragraph (e) of the deﬁnition of net income, re- place “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In regulation 2, replace the deﬁnition of Part KD credit by: “Part KD credit has the meaning given to subpart KD credit in sec- tion OB 1 of the Income Tax Act 2004” 2837 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Regulations—continued In regulation 2, insert in its appropriate alphabetical order: “tax year has the meaning given to it by section OB 1 of the Income Tax Act 2004.” In regulation 8, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In regulation 8, replace “Part KD” in all places in which it appears by “subpart KD”.

In regulation 8(4)(b), replace “income year” by “tax year”.

Income Tax Act (Exempt Unit Trusts) Order 1990 (SR 1990/254) In clause 2, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Income Tax (Adverse Event Income Equalisation Scheme Rate of Interest) Regulations 1995 (SR 1995/57) In regulation 2, replace “section EI 12 of the Income Tax Act 1994” by “section EH 41 of the Income Tax Act 2004”.
Income Tax (Calculation of Interest on Fringe Beneﬁt Tax) Regulations 1993 (SR 1993/144) In regulation 2, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In regulations 2(a), replace “ND 3” by “ND 13”.

In regulation 2(b), replace “ND 4” by “ND 14”.

In regulation 5, replace “ND 3” by “ND 13” in all places in which it appears.

In regulation 5, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In regulation 6, replace “ND 3” by “ND 13”.

In regulation 6, replace “ND 4” by “ND 14” in all places in which it appears.

In regulation 6, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

2838 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Regulations—continued Income Tax (Cook Islands Development Projects) Order 1986 (SR 1986/27) In clause 2, replace “income year” by “tax year”.
In clause 3, replace “section 62 of the Income Tax Act 1976” by “section CW 47 of the Income Tax Act 2004”.

Income Tax (Depreciation Determinations) Regulations 1993 (SR 1993/232) In regulation 2, in the deﬁnition of The Act, replace “Income Tax Act 1994” by “Tax Administration Act 1994”.
In regulation 2, replace the deﬁnition of depreciation determination by: “depreciation determination means— “(a) a determination by the Commissioner under section 91AE of the Act to allow a person to apply a special or a provisional rate of depreciation in respect of any depreciable property; or a determination by the Commissioner under section 91AJ of the Act to allow in respect of any depreciable property a maxi- mum pooling value greater than that currently available to a person.” “(b) In regulation 2, replace “Income Tax Act 1994” in the second place in which it appears by “Income Tax Act 2004”.
In regulation 2, replace “section EG 10” in all places in which it appears by “section 91AE”.

In regulation 6(1), replace paragraphs (a) and (b) by: “(a) a special or provisional rate of depreciation under section 91AE of the Act; or a higher maximum pooling value under section 91AJ of the Act,—.” “(b) In regulation 9(1), replace “section EG 10” by “section 91AE”.

Income Tax (Non-Resident Investment Companies) Order 1970 (SR 1970/138) In clause 1(2), replace “income year” by “tax year”.
2839 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Regulations—continued Income Tax (Non-Resident Investment Companies) Order 1972 (SR 1972/19) In clause 1(2), replace “income year” by “tax year”.

Income Tax (Non-Resident Investment Companies) Order (No 2) 1972 (SR 1972/248) In clause 1(2), replace “income year” by “tax year”.

Income Tax (Non-Resident Investment Companies) Order (No 3) 1974 (SR 1974/277) In clause 1(2), replace “income year” by “tax year”.
Income Tax (Provisional Tax Interest Rates) Regulations 1997 (SR 1997/9) In regulation 1(2), replace “an income year” by “a tax year”.

In regulation 1(2), replace “income year” by “tax year”.

Income Tax (Refund of Excess Tax) Order 2003 (SR 2003/74) In the heading of clause 3, replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

In clause 3, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Income Tax (Social Assistance Suspensory Loans) Order 1995 (SR 1995/79) In clause 2, replace “section EH4 of the Income Tax Act 1994” by “sections EH 53 and EZ 35 of the Income Tax Act 2004”.

Income Tax (Withholding Payments) Regulations 1979 (SR 1979/259) In regulation 2, in the deﬁnition of The Act, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In regulation 2, in the deﬁnition of associated persons, omit “para- graph (a) of the deﬁnition of that term in”.
In regulation 4(2)(a), replace “emolument” by “pay”.

2840 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Regulations—continued In regulation 5(3)(a), omit “gross”.

In the schedule, clause 4, replace “section DO 3 or section DZ 3” by “section DO 1 or DO 2”.

Injury Prevention, Rehabilitation, and Compensation (Earners’ Levy and Earners’ Account Residual Levy) Regulations 2002 (SR 2002/418) In regulation 5, replace “an income year” by “a tax year”.
In regulation 6, replace “an income year” in all places in which it appears by “a tax year”.

In regulation 6, replace “income year” in all places in which it appears by “tax year”.

In regulation 7, replace “income year” in all places in which it appears by “tax year”.

Injury Prevention, Rehabilitation, and Compensation (Employer Levy) Regulations 2003 (SR 2003/64) In regulation 4(1)(b), replace “income years” by “tax years”.

In regulation 5(1), replace “an income year” by “a tax year”.
In regulation 7, replace “an income year” by “a tax year”.

In regulation 19, replace “an income year” by “a tax year”.

In regulation 19, replace “income year” in all places in which it ap- pears by “tax year”.

In regulation 20, replace “an income year” by “a tax year”.

In regulation 20, replace “income year” in all places in which it ap- pears by “tax year”.

In regulation 21(1), replace “income year” in all places in which it appears by “tax year”.
In regulation 22, replace “an income year” by “a tax year”.

Injury Prevention, Rehabilitation, and Compensation (Residual Claims Levy) Regulations 2003 (SR 2003/17) In regulation 8, replace “an income year” in all places in which it appears by “a tax year”.

2841 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Regulations—continued In regulation 8, replace “income year” in all places in which it appears by “tax year”.

In regulation 10, replace “an income year” by “a tax year”.
Injury Prevention, Rehabilitation, and Compensation (Self-Employed Work Account Levies) Regulations 2003 (SR 2003/51) In regulation 6, replace “income year” by “tax year”.

In regulation 7, replace “income year” by “tax year”.

In regulation 8, replace “income year” by “tax year”.

In regulation 9, replace “income year” by “tax year”.

In regulation 10, replace “an income year” by “a tax year”.

In regulation 10, replace “income year” in all places in which it ap- pears by “tax year”.
Parental Leave and Employment Protection Regulations 2002 (SR 2002/98) In regulation 8(1)(d), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Securities Regulations 1983 (SR 1983/121) In regulation 2, in the deﬁnition of associated persons, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

In schedule 1, clause 24, revoke paragraph (d).

State-Owned Enterprises Order 1992 (SR 1992/181) Revoke clause 5.

State-Owned Enterprises Order 1994 (SR 1994/87) Revoke clause 5.
State-Owned Enterprises Order 1996 (SR 1996/165) Revoke clause 4.

2842 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 21 Regulations—continued State-Owned Enterprises (Agriquality New Zealand Limited and Asure New Zealand Limited) Order 1998 (SR 1998/322) Revoke clause 4.

State-Owned Enterprises (At Work Insurance Limited) Order 1999 (SR 1999/64) Revoke clause 4.
State-Owned Enterprises (Genesis Power Limited, Hydro Energy Limited, and Waikato SOE Limited) Order 1998 (SR 1998/455) Revoke clause 4.

State-Owned Enterprises (Landcorp Farming Limited) Order 2001 (SR 2001/23) In the schedule, revoke the item about the Income Tax Act 1994.

State-Owned Enterprises (Meridian Energy Limited) Order 1999 (SR 1999/101) Revoke clause 4.

State-Owned Enterprises (Mighty River Power Limited) Order 1999 (SR 1999/102) Revoke clause 4.
State-owned Enterprises (Solid Energy New Zealand Limited) Order 1997 (SR 1997/277) In the schedule, revoke the item about the Income Tax Act 1994.

Student Allowances Regulations 1998 (SR 1998/277) In regulation 2, in the deﬁnition of foreign-sourced amount, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In regulation 2, omit the deﬁnition of income year.

In regulation 2, in the deﬁnition of parental income, replace “income year” in all places in which it appears by “tax year”.
2843 Schedule 21 Income Tax Act 2004 Reprinted as at 29 August 2011 Regulations—continued In regulation 2, in paragraph (d) of the deﬁnition of personal income, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In regulation 2, in the deﬁnition of taxable income, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In regulation 2, insert in its appropriate alphabetical order: “tax year has the the same meaning as in the Income Tax Act 2004” Student Loan Scheme (Income Amount for Full Interest Write-off) Regulations (No 2) 2001 (SR 2001/405) In regulation 2(2), replace “an income year” by “a tax year”.

Student Loan Scheme (Interest Rates) Regulations 2002 (SR 2002/36) In regulation 3, replace “income year” by “tax year”.

In regulation 4, replace “income year” by “tax year”.
Student Loan Scheme (Repayment Threshold) Regulations 2001 (SR 2001/404) In regulation 3, replace “income year” in all places in which it appears by “tax year”.

Superannuation Schemes (Fees) Regulations 1992 (SR 1992/284) In the schedule, Part 2, clause 1, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Tax Administration (Binding Rulings) Regulations 1999 (SR 1999/236) In regulation 3(1A)(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Taxation Review Authorities Regulations 1998 (SR 1998/460) In the schedule, form 1, replace “Income Tax Act 1976, the Income Tax Act 1994” by “Income Tax Act 1994, the Income Tax Act 2004”.

2844 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 Regulations—continued Taxation (Abated Interim Payments of Part KD Credit) Regulations 2002 (SR 2002/52) In regulation 1, replace “Part KD” by “Subpart KD”.

In the heading of regulation 3, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In regulation 3(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Taxation (Use of Money Interest Rates) Regulations 1998 (SR 1998/105) In regulation 1(2)(a), after “1994”, insert “or the Income Tax Act 2004”.

In regulation 1(2)(a), replace “income year” by “tax year”.

Taxation (Use of Money Interest Rates Setting Process) Regulations 1997 (SR 1997/7) In regulation 1(2)(a), after “1994”, insert “or the Income Tax Act 2004”.

In regulation 1(2)(a), replace “income year” by “tax year”.
Telecommunications (Information Disclosure) Regulations 1999 (SR 1999/383) In regulation 2, in the deﬁnition of subvention payment, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

Schedule 22 Amendments to Tax Administration Act 1994 s YA 2 Tax Administration Act 1994 (1994 No 166) In section 1(2), replace “income year” by “tax year”.
In section 2, replace subsection (4) by: “(4) Except as otherwise expressly provided, the provisions of this Act that are not in Part 6 (which relates to assessments) and that 2845 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 correspond to provisions of the Income Tax Act 1976 do not apply to any of the Inland Revenue Acts other than the Income Tax Act 2004, the Income Tax Act 1994, and the Taxation Review Authorities Act 1994.” The amendment to section 2(4) was amended, as from 1 April 2005, by section 267(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the words “that are not in Part 6 (which relates to assessments) and” after the words “provisions of this Act”.
In section 3(1), in the deﬁnition of accounting period, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), replace the deﬁnition of activities as an airport op- erator by: “activities undertaken as an airport operator, in section 42, has the meaning given to activities as an airport operator in section OC 1(6) of the Income Tax Act 2004.” In section 3(1), in the deﬁnition of assessment, replace “Income Tax Act 1994” by “Income Tax Act 2004” in all places in which it ap- pears.
In section 3(1), in the deﬁnition of authorised savings institution, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of basis of exemption, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of certiﬁcate of exemption, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), in paragraph (a) of the deﬁnition of combined tax and earner premium deduction, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of commercial production, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), omit the deﬁnition of company.


In section 3(1), in the deﬁnition of consideration, replace “paragraph (b) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “paragraph (a) of the deﬁnition of that term in section OB 1 of the Income Tax Act 2004”.

In section 3(1), in the deﬁnition of co-operative company, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
2846 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 3(1), in paragraph (a)(i) and (vii) and (b)(i) of the deﬁnition of day of determination of ﬁnal liability, omit “in writing” in all places in which it appears.
In section 3(1), replace the deﬁnition of disposition by: “disposition, in section 65, has a meaning corresponding to para- graph (d) of the deﬁnition of dispose in section OB 1 of the Income Tax Act 2004.” In section 3(1), in the deﬁnition of employer, replace “paragraph (b) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “paragraphs (c) and (d) of the deﬁnition of that term in section OB 1 of the Income Tax Act 2004”.
In section 3(1), replace the deﬁnition of encumbrance by: “encumbrance, in respect of an estate or interest in land, means any trust, contract, easement, condition, or contingency affecting the same, and any restriction, however imposed, on the owner’s power of user, alienation, or disposition.” In section 3(1), in the deﬁnition of exploratory well, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), in the deﬁnition of exploratory well expenditure, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of family certiﬁcate of entitlement, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of ﬁrst PAYE period, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), in the deﬁnition of fringe beneﬁt, replace “section CI 1 of the Income Tax Act 1994” by “section CX 2 of the Income Tax Act 2004”.

In section 3(1), in paragraph (a) of the deﬁnition of gift-exempt body, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in paragraph (b) of the deﬁnition of gift-exempt body, replace “income year” by “tax year”.

In section 3(1), in the deﬁnition of Government agency, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), omit the deﬁnition of income year.

In section 3(1), in the deﬁnition of income statement, replace “in” by “required by”.

2847 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 3(1), in the deﬁnition of instalment date, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of life insurer, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of non-qualifying objection, omit paragraph (c).
In section 3(1), insert in the appropriate alphabetical order: “notice means a notice to which, as appropriate, section 14 or 14B or 14C applies.” This deﬁnition was amended, as from 1 April 2005, by section 267(2) Taxation (Ven- ture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “14B or 14C” for the words “14A or 14B”.

In section 3(1), in the deﬁnition of PAYE period, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), in the deﬁnition of payment, replace “ ‘paid’ in section OB 1 of the Income Tax Act 1994” by “pay in section OB 1 of the Income Tax Act 2004”.

In section 3(1), in the deﬁnition of permit area, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of petroleum mining operations, replace “paragraph (b) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “section OB 1 of the Income Tax Act 2004”.
In section 3(1), in the deﬁnition of petroleum permit, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of policyholder net loss, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of prescribed, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), in the deﬁnition of property, replace “paragraph (b) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “paragraph (d) of the deﬁnition of that term in section OB 1 of the Income Tax Act 2004”.

In section 3(1), in the deﬁnition of relinquishment, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in paragraph (b) of the deﬁnition of residual income tax, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
2848 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 3(1), in the deﬁnition of second instalment date, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of second PAYE period, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of settlement, replace “paragraph (b) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “section OB 1 of the Income Tax Act 2004”.
In section 3(1), in the deﬁnition of settlor, replace “paragraph (b) of the deﬁnition of that term in section OB 1 of the Income Tax Act 1994” by “paragraphs (a) and (b) of the deﬁnition of that term in section OB 1 of the Income Tax Act 2004”.

In section 3(1), in the deﬁnition of special account, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of speciﬁed dividends, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), in paragraph (f) of the deﬁnition of tax position, omit “gross” in all places in which it appears.

In section 3(1), in paragraph (g) of the deﬁnition of tax position, replace “disallowing” by “denying”.

In section 3(1), in the deﬁnition of third instalment date, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(1), in the deﬁnition of trustee income, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 3(1), in the deﬁnition of withdrawal tax, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 3(3), replace “income years” by “tax years”.

In section 3(4)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 4A(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
Replace section 14 by: “14 Giving of notices by Commissioner “(1) This section applies when this Act or any other Act requires the Commissioner to give a notice to a person.

“(2) The Commissioner must give the notice in writing.

2849 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 “(3) The Commissioner must give the notice to— “(a) “(b) the person; or a representative authorised to act on behalf of the per- son.
“(4) The Commissioner may use the methods set out in subsections (5) to (8) to give the notice, subject to any conditions described in the subsection.

“(5) The Commissioner may give the notice by personal delivery to an addressee that is not a corporate body.

“(6) The Commissioner may give the notice by personal delivery to an addressee that is a corporate body, if the personal delivery is made to the addressee’s ofﬁce during working hours.
“(7) The Commissioner may give the notice by an electronic means of communication to the addressee, if the Commissioner com- plies with the Electronic Transactions Act 2002.
“(8) The Commissioner may give the notice by post— “(a) “(b) “(c) to the street address of the addressee’s usual or last known place of residence; or to the street address of any of the addressee’s usual or last known places of business; or to any other address, if the addressee has notiﬁed the Commissioner that they accept notices at the address.

“(9) A notice given by post is treated as having been given at the time it would have been delivered in the ordinary course of post.
For the purpose of proving delivery,— “(a) it is sufﬁcient to prove that the notice was properly ad- dressed; and the notice is presumed, in the absence of proof to the contrary, to have been posted on the day on which it is postmarked.
“(b) “(10) The following provisions apply if there is a conﬂict between this section and a provision in this or any other enactment: “(a) if the conﬂict is between any of subsections (2), (7), and (8)(c) and another provision, subsection (2), (7), or (8)(c) prevails; and if the conﬂict is between any of subsections (3) to (6), (8)(a) or (b), and (9) and another provision, the other provision prevails.
“(b) 2850 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “14B Giving of notices to Commissioner “(1) This section applies when this Act or any other Act requires a person to give a notice to the Commissioner.

“(2) The person must give the notice in writing.

“(3) The person may give the notice to any ofﬁce of the department.

“(4) The person may use the methods set out in subsections (5) to (7) to give the notice, subject to any conditions described in the subsection.
“(5) The person may give the notice by personal delivery, if the personal delivery is made during working hours.

“(6) The person may give the notice by an electronic means of com- munication, if the person complies with the Electronic Trans- actions Act 2002.

“(7) The person may give the notice by post— to the street address; or to the post ofﬁce box number.

“(a) “(b) “(8) A notice given by post is treated as having been given at the time it would have been delivered in the ordinary course of post.
For the purpose of proving delivery,— “(a) it is sufﬁcient to prove that the notice was properly ad- dressed; and the notice is presumed, in the absence of proof to the contrary, to have been posted on the day on which it is postmarked.
“(b) “(9) The following provisions apply if there is a conﬂict between this section and a provision in this or any other enactment: “(a) if the conﬂict is between either of subsections (2) and (6) and another provision, subsection (2) or (6) prevails; and if the conﬂict is between any of subsections (3) to (5), (7), and (8) and another provision, the other provision prevails.
“(b) “14C Giving of notices to other persons “(1) This section applies when this Act or the Income Tax Act 2004 requires a person to give a notice to a person other than the Commissioner.

“(2) The person must give the notice in writing.

2851 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 “(3) The person may use the methods set out in subsections (4) to (7) to give the notice, subject to any conditions described in the subsection.
“(4) The person may give the notice by personal delivery to an ad- dressee that is not a corporate body.

“(5) The person may give the notice by personal delivery to an ad- dressee that is a corporate body, if the personal delivery is made to the addressee’s ofﬁce during working hours.

“(6) The person may give the notice by an electronic means of com- munication to the addressee, if the person complies with the Electronic Transactions Act 2002.
“(7) The person may give the notice by post— “(a) “(b) “(c) to the street address of the addressee’s usual or last known place of residence; or to the street address of any of the addressee’s usual or last known places of business; or to any other address, if the addressee has notiﬁed the person that they accept notices at the address.

“(8) A notice given by post is treated as having been given at the time it would have been delivered in the ordinary course of post.
For the purpose of proving delivery,— “(a) it is sufﬁcient to prove that the notice was properly ad- dressed; and the notice is presumed, in the absence of proof to the contrary, to have been posted on the day on which it is postmarked.
“(b) “(9) The following provisions apply if there is a conﬂict between this section and a provision in this or any other enactment: “(a) if the conﬂict is between any of subsections (2), (6), and (7)(c) and another provision, subsection (2), (6), or (7)(c) prevails; and if the conﬂict is between any of subsections (3) to (5), (7)(a) or (b), and (8) and another provision, the other provision prevails.” “(b) The heading to section 14A was amended, as from 1 April 2005, by section 267(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “14B” for the expression “14A”.
2852 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 The heading to section 14B was amended, as from 1 April 2005, by section 267(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “14C” for the expression “14B”.

In section 15B(h), replace “an income year” by “a tax year”.

In section 17(1C)(a)(ii), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 19(1), omit “in writing”.


In section 21(1), replace “an allowable” by “a”.

In section 21(1), replace “disallow” by “deny”.

In section 21(1), replace “disallowance” by “denial”.

In section 21(2), replace “an allowable” by “a”.

In section section 21(2), replace “any allowable” by “any”.

In section 21(4), replace “an allowable” by “a”.

In section 21(6), replace “an allowable” by “a”.

In section 21(8), in the deﬁnition of information requisition, omit “in writing” .
In section 22(1), before the paragraphs and in paragraphs (c)(ii) and (iv) and (e), replace “income year” in all places in which it appears by “tax year”.

In section 22(1)(c)(iii) and (iv), replace “small taxpayer” in all places in which it appears by “low-turnover trader”.

In section 22(1)(c)(iii) and (iv), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 22(1)(c)(v), replace “section EE 16(5) of the Income Tax Act 1994” by “section EB 22(4) of the Income Tax Act 2004”.

In section 22(2)(b), (d), and (g), replace “gross” in all places in which it appears by “assessable”.

In section 22(2)(h), omit “allowable”.

In section 22(2), after the paragraphs, replace “income year” by “tax year”.

In section 22(2), in the proviso, replace “notiﬁcation in writing” by “notice”.

In section 22(3), omit “gross” in all places in which it appears.
In section 22(3), replace “income year” by “tax year”.

In section 22(4)(a), omit “in writing”.

In section 22(5), omit “in writing”.

2853 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 22(6), replace “income year” by “tax year”.

In section 22(7)(c), replace “Part MF or sections ME 15 to ME 24 of the Income Tax Act 1994” by “subpart MF or sections ME 15 to ME 24 of the Income Tax Act 2004”.
In the heading of section 22A, replace “Part EH Division 2 of Income Tax Act 1994” by “subpart EW of Income Tax Act 2004”.

In section 22A(1), replace “section EH 36 of the Income Tax Act 199” by “section EW 18 of the Income Tax Act 2004”.

In section 22A(2), replace “section EH 43 of the Income Tax Act 1994” by “section EW 26(2) of the Income Tax Act 2004”.

In the heading of section 22B, omit “under Part EH”.

In section 22B(1), replace “section EH 5 or section EH 52” by “sec- tion EW 46 or EZ 36”.
In section 23(1)(a), replace “income year” by “tax year”.

In section 23(2)(a), omit “in writing”.

In section 24(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 25(1), (2), (7), and (9), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 25(2)(a), replace “income year” by “tax year”.

In section 25(3), insert “, by notice,” after “request” in the ﬁrst place in which it appears.
In section 25(7), before the paragraphs and in paragraphs (a) and (b), replace “income year” in all places in which it appears by “tax year”.

In section 25(7), replace “in writing” by “, by notice,”.

In section 25(9), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 26(1) and (2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 26(5)(b)(i) and (c), omit “in writing” in all places in which it appears.
In section 26(6), replace “notiﬁcation in writing” by “notice”.

In section 26(7), omit “in writing”.

In section 27(1), replace “any written request” by “a request, by no- tice,”.

2854 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 27(2), replace “any written request” by “a request, by no- tice,”.

In section 28, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 28, replace “any request” by “a request, by notice,”.
In section 30, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 30A, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 31(1)(e), add “of the Income Tax Act 2004”.

In section 32A(1), replace “income years before the income year” by “tax years before the tax year”.

In section 32A(1), replace “section CL 4 of the Income Tax Act 1994” by “section CS 1 of the Income Tax Act 2004”.

In section 32A(2), replace “in writing” by “by notice”.
In section 32A(4), replace “gross income under section CL 4 of the Income Tax Act 1994” by “income under section CS 1 of the Income Tax Act 2004”.

In the heading of section 32B, replace “section CL 4 of Income Tax Act 1994” by “section CS 1 of Income Tax Act 2004”.

In section 32B(1), before the paragraphs, replace “an income year” in all places in which it appears by “a tax year”.
In section 32B(1)(b), replace “Schedule 1, Part A, clause 10(a)” by “schedule 1, part A, clause 10(a) of the Income Tax Act 2004”.

In section 32B(1)(c), add “of the Income Tax Act 2004”.

In section 32B(1)(d), replace “income years” by “tax years”.

In section 32B(1)(d), replace “income year” by “tax year”.

In section 32B(1)(m), replace “gross income under section CL 4 of the Income Tax Act 1994” by “income under section CS 1 of the Income Tax Act 2004”.
In section 32B(2), replace “in writing” by “by notice”.

In section 32B(4), replace “gross income under section CL 4 of the Income Tax Act 1994” by “income under section CS 1 of the Income Tax Act 2004”.

In section 32C(1), before the paragraphs, replace “an income year” in all places in which it appears by “a tax year”.
2855 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 32C(1)(a), replace “one of paragraphs (a) to (d) of section CL 3(1) of the Income Tax Act 1994” by “of section CS 2(1), (2), and (8) of the Income Tax Act 2004”.

In section 32C(1)(d), replace “gross income under section CL 4 of the Income Tax Act 1994” by “income under section CS 1 of the Income Tax Act 2004”.

In section 32C(2), replace “in writing” by “by notice”.
In section 32C(4), replace “gross income under section CL 4 of the Income Tax Act 1994” by “income under section CS 1 of the Income Tax Act 2004”.

In section 32D(2), replace “in writing” by “by notice”.

In section 33(1), replace “an income year” by “each tax year”.

In section 33(1), replace “preceding income year” by “preceding tax year”.

In section 33(1B), replace “section CB 4(1)(c) or section CB 4(1)(e) of the Income Tax Act 1994” by “section CW 34 or CW 35 of the Income Tax Act 2004”.
In section 33(1B), replace “preceding income year” by “preceding tax year”.

In section 33A(1), before the paragraphs, replace “an income year” by “a tax year”.

In section 33A(1), replace “in the year” by “in the corresponding income year”.

In section 33A(1)(a), insert “for the tax year” after “gross income”.

In section 33A(1)(b)(i) and (ii), omit “gross” in all places in which it appears.
In section 33A(1)(b)(iv)(A), replace “Schedule 14, clause 1(b)” by “schedule 14, clause 1(b) of the Income Tax Act 2004”.

In section 33A(1)(b)(iv)(B), replace “Schedule 14, clause 1(a) or clause 1(e)” by “schedule 14, clause 1(a) or (e) of the Income Tax Act 2004”.

In section 33A(1)(b)(v)(A), replace “Schedule 19, clause 8(b)” by “schedule 19, clause 8(b) of the Income Tax Act 2004”.

In section 33A(1)(b)(v)(B), replace “Schedule 19, clause 8(c)” by “schedule 19, clause 8(c) of the Income Tax Act 2004”.
In section 33A(1)(b)(vi)(A), replace “Schedule 19, clause 5A” by “schedule 19, clause 5A of the Income Tax Act 2004”.

2856 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 33A(1)(b)(vi)(B), replace “Schedule 19, clause 5B” by “schedule 19, clause 5B of the Income Tax Act 2004”.

In section 33A(1)(b)(vii) and (viii), (d), and (e), replace “income year” in all places in which it appears by “tax year”.

In section 33A(1)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 33A(1)(f), replace “Part KD credit under section KD 2 of the Income Tax Act 1994” by “subpart KD credit under section KD 2 of the Income Tax Act 2004”.

In section 33A(1), replace paragraph (g) by: “(g) is a person who has a nil IRD loan balance on the last day of the tax year; and.” In section 33A(2), replace “in an income year” by “in the tax year,”.

In section 33A(2)(cb), omit “gross”.

In section 33A(2)(j), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 33A(2)(m), replace “income year” by “tax year”.

In section 33A(2)(m), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 33A(2), repeal paragraphs (i), (n), and (o).
In section 33A, insert after subsection (2): “(2B) Subsection (1) does not apply to a natural person who, at any time,— “(a) “(c) “(b) is required under section 44 to furnish a return of in- come for the tax year; or leaves New Zealand and contacts the Commissioner for an assessment for the tax year; or is a person who the Commissioner considers should fur- nish a return of income for the tax year.” The number of the subsection inserted after section 33A(2) was amended, as from 1 April 2005, by section 267(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “(2B)” for the expression “(2A)”.
In section 33A(3), insert “or subsection (2B)” after “subsection (2)”.

The ﬁrst amendment to section 33A(3) was amended, as from 1 April 2005, by section 267(6) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “(2B)” for the expression “(2A)”.

In section 33A(3), replace “an income year” by “a tax year”.
2857 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 33A(5), replace “neither of section 33A(1) or (2)” by “none of section 33A(1), (2), and (2B)”.

The amendment to section 33A(5) was amended, as from 1 April 2005, by section 267(7) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “(2B)” for the expression “(2A)”.
Amendments to section 33B were omitted, as from 1 April 2005, by section 267(8) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 36(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 36B(2)(c) and (d), replace “income year” in all places in which it appears by “tax year”.

In section 36B(3), replace “an income year” by “a tax year”.

In section 36B(5)(b), replace “income year” in all places in which it appears by “tax year”.
In section 36B(9), before the paragraphs and in paragraph (b), replace “income year” in all places in which it appears by “tax year”.

In the heading of section 36BB, replace “Part MBB of Income Tax Act 1994” by “subpart MBA of the Income Tax Act 2004”.

In section 36BB, replace “Part MBB of the Income Tax Act 1994” by “subpart MBA of the Income Tax Act 2004”.

In section 37(1)(b), replace “accounting year” by “corresponding in- come year”.
In section 37(4A), before the paragraphs, replace “an income year” by “a tax year”.

In section 37(4A)(b) and (c), replace “income years” in all places in which it appears by “tax years”.
In section 38, replace subsections (1) and (2) by: “(1) Instead of furnishing a tax year return under section 33 on the basis of a corresponding income year that ends on 31 March, a taxpayer (other than a taxpayer to whom section 33A(1) or (5) applies) may, with the consent of the Commissioner, elect to furnish a return based on a corresponding income year that ends with the date of the annual balance of the taxpayer’s ac- counts.” Replace section 39 by: “39 Consequential adjustments on change in balance date “(1) If the Commissioner approves a change to a new balance date that is earlier in the year than the original balance date, the 2858 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “(2) “(3) change is effected by the taxpayer having a transitional income year of the period from the original balance date up to and including the new balance date in the next succeeding year.
If the Commissioner approves a change to a new balance date that is later in the year than the original balance date, the change is effected by the taxpayer having a transitional income year of the period from the original balance date up to and in- cluding the new balance date in the same year.
If the change in balance date means that a taxpayer has 2 cor- responding income years for the same tax year, the ﬁgures for both corresponding income years are aggregated when the tax- payer’s net income or net loss is determined.

“(4) For the purpose of giving effect to this section and section 38, the Commissioner may, for any corresponding income year, make any assessment that the Commissioner considers neces- sary.” In the heading of section 41, replace “Part KD” by “subpart KD”.
In section 41(1), replace “Part KD of the Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.

In section 41(3), before the paragraphs, replace “an income year” in all places in which it appears by “a tax year”.

In section 41(3)(a) and (b), replace “income year” in all places in which it appears by “tax year”.

In section 41(3)(a), replace “Part KD of the Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.

In section 41(3)(b), replace “Part KD” by “subpart KD”.
In section 41(4), omit “gross”.

In section 41(4), before the paragraphs and in paragraph (a), replace “income year” in all places in which it appears by “tax year”.

In section 41(4)(a), replace “Part KD” by “subpart KD”.

In section 41A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 41A(3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 41A(3), replace “income year” by “tax year”.
In section 41A(4), replace “income year” by “tax year”.

2859 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 41A(5)(a) and (b), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 41A(6), replace “an income year” in the ﬁrst and third places in which it appears by “a tax year”.

In section 41A(6AA), replace “income year” by “tax year”.

In section 41A(7), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 41A(8), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 42(1)(a), replace “gross income and allowable deductions” by “income and deductions”.

In section 42(1)(b)(i) and (ii), omit “gross” in all places in which it appears.

In section 42(1)(b)(i) and (ii), omit “allowable” in all places in which it appears.

In section 42(1)(c), omit “gross” in all places in which it appears.

In section 42(1)(c), omit “allowable”.


In section 42(2), replace “gross income derived by and the allowable” by “income derived by and the”.

In section 43A(1), before the paragraphs and in paragraph (a), replace “income year” in all places in which it appears by “tax year”.

In section 43A(2), before the paragraphs, replace “an income year” by “a tax year”.

In section 43A(2), replace “income year” in all places in which it appears by “tax year”.
In section 43A(2)(a) and (d)(i), omit “gross” in all places in which it appears.

In section 43A(2)(b), omit “allowable”.

In section 43A(3)(b) and (c), replace “income year” in all places in which it appears by “tax year”.

In section 43A(5), replace “income years” by “tax years”.

In section 43A(6)(b)(i), replace “income year” by “tax year”.

In section 44(1)(d), omit “gross”.

In section 44(2), omit “gross” in all places in which it appears.

In section 44(2), replace “income year” by “tax year”.
In section 44(6), replace “income year” by “tax year”.

2860 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In the heading of section 44A, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 44A(1), before the paragraphs, replace “an income year” by “a tax year”.

In section 44A(1), replace “income year” in all places in which it appears by “tax year”.
In section 44A(1)(a), replace “section DM 1A(4) of the taxpayer’s deduction under section DM 1A(3)” by “section DT 2(3) of the taxpayer’s deduction under section DT 2(2) of the Income Tax Act 2004”.

In section 44A(1)(b), replace “section EO 4A(4) of the taxpayer’s de- duction under section EO 4A(3)” by “section DS 3 of the taxpayer’s deduction under section DS 1 or DS 2 of the Income Tax Act 2004”.
In section 44A(1)(c), replace “section DM 1A(4) of the taxpayer’s deduction under section DM 1A(3)” by “section DT 2(3) of the taxpayer’s deduction under section DT 2(2) of the Income Tax Act 2004”.

In section 44A(1)(d), replace “section EO 4A(4) of another tax- payer’s deduction under section EO 4A(3)” by “section DS 3 of another taxpayer’s deduction under section DS 1 or DS 2 of the Income Tax Act 2004”.
In section 44A(2), replace “section DM 1A(4) or section EO 4A(4)” by “section DT 2(3) or DS 3 of the Income Tax Act 2004”.

In section 44A(2)(a) and (b), replace “income year” in all places in which it appears by “tax year”.

In section 44B(1), replace “section EH 57 of the Income Tax Act 1994” by “section EW 53 of the Income Tax Act 2004”.

In section 44B(1), replace “income year” by “tax year”.

In section 44B(1), replace “section EH 57(2)” by “section EW 53(3)”.
In section 44B(2), replace “income years” by “tax years”.
After section 44B, insert— “44C Certiﬁcates about trees “(1) The question whether trees are ornamental or incidental arises under the following provisions of the Income Tax Act 2004: “(a) section CB 23 (Disposal of land with standing timber): 2861 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 “(c) “(c) “(d) “(e) section FB 4 (Income derived from disposal of trading stock together with other assets of a business): section FF 7 (Disposal of timber under matrimonial agreement): section GD 1 (Sale of trading stock for inadequate con- sideration): section GD 2 (Distribution of trading stock to share- holders of company).
“(b) “(2) A certiﬁcate as to whether trees are ornamental or incidental provides conclusive evidence on the question if it is given by— a properly authorised ofﬁcer of the Ministry of Forestry; “(a) or any other person suitably qualiﬁed to give a certiﬁcate.
“(3) The question whether trees are planted mainly for the purposes of timber production arises under the deﬁnitions of listed horticultural plant and non-listed horticultural plant in section OB 1 of the Income Tax Act 2004 and under schedule 7, part A, item 8 of the Income Tax Act 2004.
“(4) A certiﬁcate as to whether trees are planted mainly for the purposes of timber production provides conclusive evidence on the question if it is given by— “(a) a properly authorised ofﬁcer of the relevant regional council; or a properly authorised ofﬁcer of the Ministry of Forestry; or any other person suitably qualiﬁed to give a certiﬁcate.
“(b) “(c) “Compare: 1994 No 164 ss CJ 1(3), DO 4(5)” Subsection (3) of the inserted section 44C was amended, as from 1 April 2005, by section 267(9) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by inserting the words “the deﬁnitions of listed horticultural plant and non-listed horticultural plant in section OB 1 of the Income Tax Act 2004 and under” after the words “arises under”.
In section 46(5)(f), replace “Part KD of the Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.

In section 46(7), replace “subsection (2) or subsection (3) of section OB 2 of the Income Tax Act 1994” by “section OB 2(2) of the Income Tax Act 2004”.

In section 46A(2), replace “by” by “, on notice, of”.

2862 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 46A(5), in the deﬁnition of child tax credit, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.
In section 46A(5), in the deﬁnition of weekly compensation, replace “paragraphs (h) and (i) of the deﬁnition of salary and wages in sec- tion OB 1 of the Income Tax Act 1994” by “paragraph (b)(xii) or (xiii) of the deﬁnition of salary or wages in section OB 1 of the In- come Tax Act 2004”.

In section 47(1)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 48(1), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 49(1), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 51(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 51(2A)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 52(a)(ii) and (b), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 52(e), replace “income year” by “tax year”.
In section 53(1)(d), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 53(3), replace “income year” in all places in which it ap- pears by “tax year”.

In section 54(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 54(1)(b), replace “income year” by “tax year”.

In section 56(a), replace “income year” in all places in which it ap- pears by “tax year”.

In section 58, insert “, by notice,” after “request”.

In section 58, replace “income year” by “tax year”.
In section 59(2), (4), and (5), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 61(1), before the paragraphs, replace “an income year” by “a tax year”.

In section 61(1), before the paragraphs, replace “income year” by “tax year”.

2863 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 61(1)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 61(1), replace “paragraph (b) or paragraph (d) of section CG 4(2) of the Income Tax Act 1994” by “section EX 3(b) or (d) of the Income Tax Act 2004”.

In section 63, replace “income year” by “tax year”.

In section 64, before the paragraphs, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 64(a), replace “income year” by “tax year”.
In section 64(b), replace “the term dividends under section CF 3(1)(j) of the Income Tax Act 1994” by “being a dividend under section CD 24(2) of the Income Tax Act 2004”.

In section 65, replace “dispositions to which section CJ 6 or section DM 6 of the Income Tax Act 1994” by “disposals to which section CX 36 or DT 13 of the Income Tax Act 2004”.

In section 65, before the paragraphs, replace “income year” by “tax year”.
In section 65(a) and (b), replace “disposition” in all places in which it appears by “disposal”.

In section 66(1), replace “income year” by “tax year”.

In section 66(2), replace “income year” in all places in which it ap- pears by “tax year”.

In section 66(2)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 66(3), replace “income year” in all places in which it ap- pears by “tax year”.

In section 66(5), replace “income year” in all places in which it ap- pears by “tax year”.
In section 66(6), replace “an income year” by “a tax year”.

In section 67(1)(c), replace “section CF 2(6) of the Income Tax Act 1994” by “section CD 6 or CD 7 of the Income Tax Act 2004”.

In section 67(2), replace “an income year” by “a tax year”.

In section 67(2), replace “income year” by “tax year”.

In section 68A(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 68B(2), replace “an income year” by “a tax year”.
2864 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 68B(2), replace “income year” by “tax year”.

In section 69(1)(b), (c), (e)(ii), (ea)(ii), (f)(ii), and (fa)(ii), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 69B(1), replace “an income year” by “a tax year”.

In section 69B(1), replace “income year” by “tax year”.

In section 69B(2)(b) and (c), replace “Income Tax Act 1994” by “In- come Tax Act 2004”.
In section 70(2B), before the paragraphs, replace “section ME 5(2)(ec) or ME 12(2)(db) of the Income Tax Act 1994” by “section ME 5(2)(eb) or ME 12(2)(da) of the Income Tax Act 2004”.

In section 70(2B)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 71, before the paragraphs, replace “an income year” by “a tax year”.

In section 71, before the paragraphs, replace “income year” by “tax year”.
In section 71(b), (c), and (e), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 73(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 74(1)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 74(2), insert “of the Income Tax Act 2004” after “section ME 14(3)”.

In section 75, omit “in writing”.

In section 76, replace “income year” in all places in which it appears by “tax year”.
In section 76(a), replace “income years” by “tax years”.

In section 77(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 78(1), replace “income year” by “tax year”.

In section 78(2), replace “income year” in all places in which it ap- pears by “tax year”.

In section 78(2)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
2865 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 78(3), replace “income year” in all places in which it ap- pears by “tax year”.

In section 78(5), replace “income year” by “tax year”.

In section 78(6), replace “an income year” by “a tax year”.

In section 79, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 80, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 80A(2), replace “income years” by “tax years”.
In section 80B(1), replace “an income year” by “a tax year”.

In section 80B(1), replace “income year” by “tax year”.

In section 80B(2), replace “income year” by “tax year”.

In section 80C(2), replace “income year” by “tax year”.

In section 80C(4), replace “income year” by “tax year”.

In section 80D(1), replace “income year” in all places in which it appears by “tax year”.

In section 80D(1), omit “gross” in all places in which it appears.
In section 80D(1)(c)(iii), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 80D(2), omit “gross”.

In section 80D(2), replace “an income year” by “a tax year”.

In section 80D(3), replace “an income year” by “a tax year”.

In section 80E(2)(a) and (b), insert “for the tax year” after “annual gross income” in all places in which it appears.

In section 80E(2)(c), replace “gross annual income” by “annual gross income for the tax year”.
In section 80E(2)(ea), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 80F(2)(a), replace “income year” by “tax year”.

In section 80F(4) and (5), replace “gross annual income” in all places in which it appears by “annual gross income for the tax year”.

In section 80H(3)(c) and (d), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 80H(3)(b), replace “income year” by “tax year”.
In section 80H(6), replace “an income year” by “a tax year”.

In section 80I(1), replace “income year” by “tax year”.

2866 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 81(4)(lb), replace “section MBB 5 of the Income Tax Act 1994” by “section MBA 5 of the Income Tax Act 2004”.

In section 82(5), omit “gross”.

In section 82(6)(b), omit “gross” in all places in which it appears.

In section 82(7), omit “gross” in all places in which it appears.
In section 83(2), insert “, by notice,” after “request”.

In section 83(2), before the paragraphs, replace “Part KD credit” by “subpart KD credit”.

In section 83(5), omit “gross” in all places in which it appears.

In section 83(7), omit the deﬁnition of Income year.

In section 84(1)(a), replace “Part KD credit” by “subpart KD credit”.

In section 84(4), replace “Part KD credit” by “subpart KD credit”.

In section 84(6), omit the deﬁnition of Part KD credit.
In section 84(6), in the deﬁnition of qualifying person, replace “In- come Tax Act 1994” by “Income Tax Act 2004”.

In section 84(6), insert, in its appropriate alphabetical order: “subpart KD credit means an interim instalment of a subpart KD credit, as that term is deﬁned in section OB 1 of the Income Tax Act 2004.” In section 85B(4)(a)(iii), replace “income year” by “tax year”.

In section 85B(4)(a)(iii), omit “gross” in all places in which it ap- pears.
In section 85D(2)(a), insert “, by notice,” after “requested”.

In section 85D(2)(a), replace “income year” by “tax year”.

In section 85D(2)(b), insert “, by notice,” after “request”.

In section 85E(2), insert “, by notice,” after “request”.

In section 85F(3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 89A(3), replace “income years” by “tax years”.

In section 89A(3), replace “income year” by “tax year”.
In section 89C(m), replace “Part KD of the Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.

In section 89DA(1), replace “an income year” by “a tax year”.

In section 90(1), before the paragraphs, replace “qualiﬁed accruals rules” by “old ﬁnancial arrangements rules”.
2867 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 90(1)(a), replace “section EH 1(2) (except the proviso) of the Income Tax Act 1994” by “section EZ 32(2) (except the proviso) of the Income Tax Act 2004”.

In section 90(1)(b), replace “section EH 1(3) of the Income Tax Act 1994” by “section EZ 32(3) of the Income Tax Act 2004”.

In section 90(1)(c), omit “gross”.


In section 90(1)(c), replace “section EH 1(6) (except the proviso) of the Income Tax Act 1994” by “section EZ 32(6) (except the proviso) of the Income Tax Act 2004”.

In section 90(1)(c), replace “income year” by “tax year”.

In section section 90(1)(c), replace “section EH 1(2)” by “section EZ 32(2)”.

In section 90(1)(d), omit “gross”.

In section 90(1)(d), replace “section EH 1 of the Income Tax Act 1994” by “section EZ 32 of the Income Tax Act 2004”.
In section 90(1)(e), replace “section EH 1(7) of the Income Tax Act 1994” by “section EZ 32(7) of the Income Tax Act 2004”.

In section 90(1)(f), replace “section EH 1(8) of the Income Tax Act 1994” by “section EZ 32(8) of the Income Tax Act 2004”.

In section 90(1)(g), replace “a ﬁnancial arrangement includes an ex- cepted ﬁnancial arrangement” by “an excepted ﬁnancial arrangement is part of a ﬁnancial arrangement”.

In section 90(1)(j), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 90(1)(j), replace “section EH 4” by “section EZ 35”.

In section 90(1), repeal paragraph (k).

In section 90(1), in the proviso, replace “section EH 1(2) or section EH 1(6) of the Income Tax Act 1994” by “section EZ 32(2) or (6) of the Income Tax Act 2004”.

In section 90(2), replace “qualiﬁed accruals rules” by “old ﬁnancial arrangements rules”.

In section 90AA(1) and (2), replace “Part EH Division 2” in all places in which it appears by “subpart EW of the Income Tax Act 2004”.
In section 90AC(1), replace “accrual rules in Part EH Division 2 of the Income Tax Act 1994” by “ﬁnancial arrangements rules in subpart EW of the Income Tax Act 2004”.

2868 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 90AC(1)(a), replace “section EH 34(1)” by “section EW 16 of the Income Tax Act 2004”.

In section 90AC(1)(b), replace “section EH 35” by “section EW 17 of the Income Tax Act 2004”.
In section 90AC(1)(c), replace “section EH 36” by “section EW 18 of the Income Tax Act 2004”.

In section 90AC(1)(d), replace “section EH 38(1)” by “section EW 20 of the Income Tax Act 2004” In section 90AC(1)(e), replace “section EH 34(2) or EH 38(2)” by “section EW 16(2) or EW 20(2) of the Income Tax Act 2004”.

In section 90AC(1)(f), replace “section EH 42(1)” by “section EW 23(2) of the Income Tax Act 2004”.
In section 90AC(1)(g), replace “section EH 42(3)” by “section EW 23(3) of the Income Tax Act 2004”.

In section 90AC(1)(h), replace “a ﬁnancial arrangement includes an excepted ﬁnancial arrangement” by “an excepted ﬁnancial arrange- ment is part of a ﬁnancial arrangement”.

In section 90AC(1)(i), replace “section EH 48(3)(c) or EH 48(3)(d)” by “section EW 32(5) or (6) of the Income Tax Act 2004”.

In section 90AC(1)(j) insert, after “section FD 10(4)”, “of the Income Tax Act 2004”.
In section 90AC(1)(j), replace “section EH 47” by “section EW 31 of that Act”.

In section 90AC(1)(k), replace “section OB 7(2)(c)(ii)” by “section EW 34(4)(c) of the Income Tax Act 2004”.

In section 90AC(1)(k), replace “section OB 7(2)(a) or (b)” by “sec- tion EW 34(4)(a) or (b) of that Act”.

In section 90AC(3), replace “accrual rules” by “ﬁnancial arrange- ments rules”.

In section 90AC(4), replace “section EH 34” by “section EW 16 of the Income Tax Act 2004”.
In section 90AC(4), replace “section EH 38 of the Income Tax Act 1994” by “section EW 20 of that Act”.

In section 90A(1) and (2), replace “Part FG of the Income Tax Act 1994” in all places in which it appears by “subpart FG of the Income Tax Act 2004”.

2869 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 90A(6B), replace “income year” by “tax year”.
The amendment to section 90A(6) was substituted, as from 1 April 2005, by section 267(10) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 91(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 91(1)(b), omit “deferred”.

In section 91(1)(b), replace subparagraph (ii) by: “(ii) any asset of the kind described in section CT 7(1)(b) or (c) of the Income Tax Act 2004; or.” In section 91(1), omit “gross”.
In section 91, insert after subsection (1)— “(1B) For the purposes of subsection (1)(f), the Crown Minerals Act 1991 is used to determine by analogy the equivalents in the context of the relevant foreign regime for the licensing and conduct of petroleum mining operations of— “(a) “(b) determining whether or when a permit has been relin- obtaining a permit; or “(c) quished; or interpreting other relevant documents or matters relat- ing to the licensing and conduct of petroleum oper- ations.” The new subsection (1A) was amended, as from 1 April 2005, by section 267(11) Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by sub- stituting the expression “(1B)” for the expression “(1A)”.
In section 91(3)(b), omit “written”.

In section 91AA, omit “gross” in all places in which it appears.

In section 91AA(2)(a), replace “section CB 9(gb) or (h) of the Income Tax Act 1994” by “section CW 49 of the Income Tax Act 2004”.

The amendment to section 91AA(2)(a) was amended, as from 1 April 2005, by section 267(12) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “CB 9(gb) or (h) of the Income Tax Act 1994” for the expression “CB 9(h)”.
In section 91AA(2) and (3), replace “an income year” in all places in which it appears by “a tax year”.

In section 91AA(3) and (4), replace “the income year” in all places in which it appears by “the tax year”.

In section 91AA(7), replace “income years” by “tax years”.

2870 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 91AAB(1), replace “sections DO 4B, DO 4C, and DO 4D of the Income Tax Act 1994” by “sections DO 4B to DO 4E of the Income Tax Act 2004”.
The amendment to section 91AAB(1) was inserted, as from 1 April 2005, by section 267(14) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 91AAB(1)(b), replace “column 1 of Schedule 11 of the Income Tax Act 1994” by “schedule 11, column 1 of the Income Tax Act 2004”.

The amendment to section 91AAB(1)(b) was inserted, as from 1 April 2005, by section 267(14) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
After section 91AAB, insert— “Determinations relating to prepayments “91AAC Exemptions from section EA 3 of Income Tax Act 2004 “(1) For the purposes of section EA 3 of the Income Tax Act 2004, the Commissioner may determine whether and the extent to which a person is not required to comply with section EA 3 of the Act in relation to an unexpired portion of expenditure (except expenditure on employment income for services that have been performed), having regard to— “(a) the nature and amount of the kinds of expenditure that the person regularly incurs: the nature and size of the activity giving rise to the ex- penditure that the person incurs: the costs of the person in complying with section EA 3 of the Act: “(b) “(c) “(d) whether, for the person and the expenditure, the differ- ence between expenditure incurred under section EA 3 of the Act and expenditure that would be allowed as a deduction if the Commissioner were to exercise the dis- cretion under this section is not material.
“(2) The Commissioner may cancel a determination under this sec- “(3) tion at any time.

In this section, a reference to a person includes a class of per- sons.
“Compare: 1994 No 164 s EF 1(3), (4) 2871 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 “Determinations relating to livestock “91AAD Determination on methods for calculating value of speciﬁed livestock under national standard cost scheme “(1) This section describes the matters that a determination under section EC 24 of the Income Tax Act 2004 may provide.
“(2) The determination may provide 1 or more methods for calcu- lating the average cost of each type, class, or age grouping of livestock that a person has on hand at the end of an income year, and for incorporating the costs for homebred livestock and purchased livestock in that average cost.

“(3) The determination may provide for the age groupings of im- mature and mature livestock of each type to which the average costs apply.
“(4) The determination may provide 1 or more inventory control methods under which mature livestock must be accounted for, or the setting of minimum standards for an inventory control method.

“(5) The determination may provide the way in which the deter- mination applies when animals of the same type, class, or other category are valued both under section EC 22 of the In- come Tax Act 2004 and under another valuation method.
For the purposes of this section, the other valuation methods are market value, replacement price, and the high-priced livestock valuation method.
“(6) The determination may provide for conditions or limitations on the valuation of livestock under section EC 22 of the Income Tax Act 2004, including— “(a) a restriction on valuing livestock of a particular type, class, or other category under that section if livestock of the same type, class, or category are also valued under another valuation method; and the setting of a notice requirement for elections of valu- ation method for livestock affected by a restriction im- posed under paragraph (a).
“(b) “(7) The determination may provide for the valuation of livestock when livestock was previously valued using another valuation method.

2872 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “(8) The determination may provide for 1 or more classes of person by whom the determination may be applied, and for the income year or years for which it is to apply.

“(9) The determination may provide for the extension, limitation, variation, or revocation of an earlier determination.
“Compare: 1994 No 164 s EL 4(6) “91AAE Publication and revocation of determinations relating to livestock “(2) “(1) A determination issued under any of sections EC 15, EC 23, and EC 24 of the Income Tax Act 2004 must be published in the Gazette no later than 30 days after it has been signed by the Commissioner.
If the Commissioner revokes a determination made under sec- tion EC 15, EC 23, or EC 24 of the Income Tax Act 2004, and substitutes a new determination, that new determination does not apply for an income year that ends on or before the day 30 days before the day on which the new determination is pub- lished in the Gazette.
“Compare: 1994 No 164 ss EL 3A(2), (3), EL 4(7), (8), EL 8(2), (3) “Determinations relating to depreciation “91AAF Determination on economic rate “(1) Having followed the procedure in section EE 25 of the Income Tax Act 2004, the Commissioner may set in a determination— only the diminishing value rate for the kind of item; or “(a) “(b) both the diminishing value rate and the straight-line rate for the kind of item.
“(2) An economic rate set in a determination may be expressed to apply in any way, including— “(a) “(b) to items of a kind, whenever they are acquired or used; or to items of a kind, having regard to— “(i) the date on which, or income year in which, a particular person acquired or used such an item; or the date on which, or income year in which, any person ﬁrst acquired or used such an item; or “(ii) 2873 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 “(iii) whether or not such an item has been used before in New Zealand or elsewhere or has been avail- able for use before in New Zealand or elsewhere.
This subsection is overridden by subsection (3).

“(3) A determination setting an economic rate cannot be expressed “(b) to apply to an item of depreciable property that— “(a) is already subject to a higher economic rate under an existing determination; and is acquired— “(i) before the date on which the new determination is issued; or after the date on which the new determination is issued, under a binding contract entered into before that date.

“(ii) This subsection is overridden by subsection (4).
“(4) A determination setting an economic rate can be expressed to apply to an item of depreciable property that— “(a) is already subject to a higher economic rate under an existing determination; and is reacquired, after the date on which the new determin- ation is issued, by the person who disposed of it before the date on which the new determination is issued.
“(b) Compare: 1994 No 164 s EG 4(2), (6), (7) “(b) “91AAG Determination on special rates and provisional rates “(1) A person may apply, in writing, to the Commissioner for the issue of a determination allowing them to use for an item, for a speciﬁed income year or years,— “(a) a special rate higher or lower than the economic rate set in a determination under section 91AAF; or a provisional rate, when no applicable economic rate is set in a determination under section 91AAF.
“(2) When determining whether or not to grant an application for a special rate or a provisional rate, the level of any such rate, and the income year or years to which it applies, the Commissioner must have regard to— “(a) the formula in section EE 25(4) of the Income Tax Act 2004; and 2874 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “(b) the rate of depreciation (if any) that the person uses for the item for ﬁnancial reporting purposes.
“(3) The Commissioner may issue a determination setting a special rate after having regard to the factors in subsection (2).

“(4) The Commissioner may issue a determination setting a provi- sional rate after doing the following: “(a) determining a ﬁgure having regard to the factors in sub- section (2); and rounding the ﬁgure up or down to the nearest rate spe- ciﬁed in schedule 11 of the Income Tax Act 2004.
“(b) “(5) A determination setting a provisional rate for an item and a person may also be expressed to apply to— “(a) “(b) items of the same kind as the item: any other person or class of persons.

“(6) A determination setting a provisional rate ceases to apply to the item and the person, or any other person, at the time at which an economic rate set under section 91AAF for that kind of item comes into force, unless the determination speciﬁcally provides that it does not cease to apply.
“Compare: 1994 No 164 s EG 10(1)-(3), (5) “91AAH Commissioner may decline to issue special rate or provisional rate “(1) The Commissioner may decline to issue a determination under section 91AAG when,— “(a) for an application for a special rate, one of the circum- stances described in subsection (2) exists: “(b) or an application for a provisional rate, one of the cir- cumstances described in subsection (3) exists.
“(2) For the purposes of subsection (1)(a), the circumstances are as follows: “(a) an appropriate special rate would not differ from the economic rate already applicable to the item by an amount equal to or more than 50% of the amount by which the next highest or lowest, as applicable, rate in schedule 11 of the Income Tax Act 2004 is more or less than the already applicable economic rate; or 2875 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 “(b) the Commissioner is reviewing the economic rate ap- plicable to the item and intends to set a new economic rate equal to or more than an appropriate special rate within 6 months of the Commissioner’s receiving the person’s application for a special rate; or the person has supplied insufﬁcient information to en- able the Commissioner to calculate an appropriate rate.
“(3) For the purposes of subsection (1)(b), the circumstances are as “(c) follows: “(a) “(b) “(c) an economic rate already applies to the item; or the Commissioner is in the process of determining an economic rate applicable to the item for the income year to which the application relates and intends to set it within 6 months of the Commissioner’s receiving the person’s application for a provisional rate; or the person has supplied insufﬁcient information to en- able the Commissioner to calculate an appropriate rate.
“Compare: 1994 No 164 s EG 10(4) “91AAI Effect on special rate of change in circumstances “(1) This section applies when— “(a) “(b) the Commissioner has issued a determination setting a special rate for a person’s item of depreciable property; and the circumstances that applied at the time the determin- ation was issued— no longer exist; or “(i) “(ii) have changed materially.
“(2) The Commissioner may— “(a) “(b) revoke the determination without issuing a new deter- mination; or revoke the determination and issue a new determination setting a new special rate for the item.

“(3) If the Commissioner revokes the determination without issu- ing a new determination, the person must depreciate the item applying the economic rate or an applicable provisional rate.
“(4) A revocation takes effect— 2876 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “(a) if notice of the revocation is given to the person under section 91AAM(5), on the day after the date of the no- tice; or if the notice is published in the Gazette, on the day after the date of the publication.
“Compare: 1994 No 164 s EG 10(6), (7) “(b) “91AAJ Disputing or challenging determination “(1) This section applies to— “(a) “(b) a person who applied for a determination under section 91AAG; or a person to whom a determination made under sec- tion 91AAG applies through the operation of section 91AAG(5)(b).

“(2) The person may dispute or challenge the determination under Parts 4A and 8A.
“(3) Part 8, except section 125, applies with any necessary modiﬁ- cations to the dispute or challenge in the same manner and to the same extent as if the dispute or challenge were an objec- tion made under section 126.
“Compare: 1994 No 164 s EG 10(8), (9) “91AAK Notice of setting of economic rate Within 30 days of issuing a determination under section 91AAF, the Commissioner must publish a notice in the Gazette that— “(a) “(b) “Compare: 1994 No 164 s EG 14(2)(b) gives notice that the determination has been issued; and states where copies of it can be obtained.
“91AAL Determination on maximum pooling value “(1) A person may apply, in writing, to the Commissioner for the issue of a determination allowing them a maximum pooling continued value for an item of depreciable property greater than that currently available to them.
“(2) When determining whether or not to grant an application, the Commissioner must have regard to the following factors: 2877 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 “(a) whether or not items of the kind concerned are relatively homogeneous in nature: “(b) whether or not the person’s compliance costs are likely to be materially reduced by pooling items of the kind concerned: the frequency with which the person acquires and dis- poses of items of the kind concerned.
“(c) “(3) The Commissioner may issue the determination after having regard to the factors in subsection (2).
“Compare: 1994 No 164 s EG 11(6), (7) “91AAM Applications for determinations “(1) A person making an application for a determination under sec- tion 91AAG must make it in accordance with— “(a) the procedures, if any, prescribed by regulations made under section 225; or the procedures prescribed by the Commissioner, if the regulations do not provide for the person’s case or if no regulations have been made.
“(b) “(2) Within 6 months of receiving an application, the Commis- sioner must respond to it by— “(a) “(b) deciding to decline to issue a determination.

issuing the determination; or “(3) Within 30 days of issuing a determination or deciding to de- cline to issue a determination, the Commissioner must give to the person— “(a) “(b) notice of the decision; and either— “(i) “(ii) a copy of the determination; or the reasons for declining to issue the determin- ation.
“(4) Within 30 days of issuing a determination under section 91AAG(4) that is expressed to apply to a class of persons, the Commissioner must publish a notice in the Gazette that— “(a) “(b) gives notice that the determination has been issued; and states where copies of it can be obtained.
2878 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “(5) Within 30 days of revoking a determination under section 91AAI(2), the Commissioner must give to the person who applied for the determination notice of— “(a) “(b) If a representative of a person applies for a determination, the Commissioner gives the notice referred to in subsection (3) or (5) to the representative.

“Compare: 1994 No 164 ss EG 13, EG 14” the decision; and the reasons for revoking the determination.
“(6) The words “After section 91AA” were amended, as from 1 April 2005, by section 267(13) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAB” for the expression “91AA”.

The insertion of section 91AAA was amended, as from 1 April 2005, by section 267(15) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAC” for the expression “91AAA”.
The insertion of section 91AB was amended, as from 1 April 2005, by section 267(16) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAD” for the expression “91AB”.

The insertion of section 91AC was amended, as from 1 April 2005, by section 267(17) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAE” for the expression “91AC”.
The insertion of section 91AD was amended, as from 1 April 2005, by section 267(18) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAF” for the expression “91AD”.

The insertion of section 91AE was amended, as from 1 April 2005, by section 267(19)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAG” for the expression “91AE”.
The amendment to section 91AAG(1)(a) was amended, as from 1 April 2005, by section 267(19)(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAF” for the expression “91AD”.

The amendment to section 91AAG(1)(b) was amended, as from 1 April 2005, by section 267(19)(c) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAF” for the expression “91AD”.
The amendment to section 91AAG(6) was amended, as from 1 April 2005, by section 267(19)(d) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAF” for the expression “91AD”.

The insertion of section 91AF was amended, as from 1 April 2005, by section 267(20)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAH” for the expression “91AF”.
The amendment to section 91AAH(1) was amended, as from 1 April 2005, by section 267(20)(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAG” for the expression “91AE”.

The insertion of section 91AG was amended, as from 1 April 2005, by section 267(21)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAI” for the expression “91AG”.
2879 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 The amendment to section 91AAI(4) was amended, as from 1 April 2005, by section 267(21)(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAM(5)” for the expression “91AK(5)”.
The insertion of section 91AH was amended, as from 1 April 2005, by section 267(22)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAJ” for the expression “91AH”.

The amendment to section 91AAJ(1)(a) was amended, as from 1 April 2005, by section 267(22)(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAG” for the expression “91AE”.
The amendment to section 91AAJ(1)(b) was amended, as from 1 April 2005, by section 267(22)(c)(i) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAG” for the expression “91AE”.

The amendment to section 91AAJ(1)(b) was amended, as from 1 April 2005, by section 267(22)(c)(ii) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAG(5)(b)” for the expression “91AE(5)(b)”.
The insertion of section 91AI was amended, as from 1 April 2005, by section 267(23)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAK” for the expression “91AI”.

Section 91AAK (the words before paragraph (a)) was amended, as from 1 April 2005, by section 267(23)(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAF” for the expression “91AD”.
The insertion of section 91AJ was amended, as from 1 April 2005, by section 267(24) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAL” for the expression “91AJ”.

The insertion of section 91AK was amended, as from 1 April 2005, by section 267(25)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAM” for the expression “91AK”.
Section 91AAG (the words before subsection (1)(a)) was amended, as from 1 April 2005, by section 267(25)(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAG” for the expression “91AE”.

Section 91AAG (the words before subsection (4)(a)) was amended, as from 1 April 2005, by section 267(25)(c) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAG(4)” for the expression “91AE(4)”.
Section 91AAG (the words before subsection (5)(a)) was amended, as from 1 April 2005, by section 267(25)(d) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAI(2)” for the expression “91AG(2)”.
In section 91C(1)(e), replace “except to the extent that the matter in question is or could be” by “on an application to which section YA 4(1)(a)(i) of the Income Tax Act 2004 applies, except to the extent to which the matter in question is or could have been, before the repeal of the Income Tax Act 1994,”.
2880 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 91C(1), insert, after paragraph (e): “(ea) the Income Tax Act 2004, except to the extent to which the matter in question is or could be the subject of a determination of the Commissioner under— “(i) sections 90 or 90AC in relation to a ﬁnancial arrange- ment; or section 90A in relation to the extent to which a ﬁnan- cial arrangement provides funds to a party under the ar- rangement; or “(ii) “(iii) section 91 in relation to petroleum mining; or “(iv) section 91AAD or 91AAE in relation to livestock; or “(v) any of sections 91AAF to 91AAM in relation to depre- ciation; or “(vi) section EA 3(8) of the Income Tax Act 2004 in relation to accrual expenditure; or.” The amendment to 91C(1)(e) was amended, as from 1 April 2005, by section 267(26)(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “(eb)” for the expression “(ea)”.
The amendment to 91C(1)(eb)(iv) was amended, as from 1 April 2005, by section 267(26)(b) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAD or 91AAE” for the expression “91AB or 91AC”.

The amendment to 91C(1)(eb)(v) was amended, as from 1 April 2005, by section 267(26)(c) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “91AAF to 91AAM” for the expression “91AD to 91AK”.
In section 91DA(1)(e), replace “income year” in all places in which it appears by “tax year”.

In section 91DC(1), replace “income year” in all places in which it appears by “tax year”.

In section 91DD(2), replace “income year” in all places in which it appears by “tax year”.

In section 91DE(4A)(b)(i), replace “income year” by “tax year”.

In section 91DE(5)(c), replace “income year” in all places in which it appears by “tax year”.
In section 91E(4)(e), (f), and (g), replace “an income year” in all places in which it appears by “a tax year”.

In section 91E(4A), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

2881 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 91E(6)(e), insert “or the Income Tax 2004” after “Income Tax Act 1994”.

In section 91EB(1)(b), replace “income year” by “tax year”.

In section 91EE, insert “, by notice,” after “request”.
In section 91EH(1)(d), replace “income year” by “tax year”.

In section 91EI(3)(b) and (c), replace “income year” in all places in which it appears by “tax year”.

In section 91F(4)(e), replace “income year” by “tax year”.

In section 91FB(1)(b), replace “income year” by “tax year”.

In section 91FC(3), omit “in writing”.

In section 91FE, insert “, by notice,” after “request”.

In section 91FH(1)(e), replace “income year” by “tax year”.
In section 91FJ(4)(b) and (c), replace “income year” in all places in which it appears by “tax year”.

In section 91FJ(5)(c), replace “income year” by “tax year”.

In section 91FJ(6), replace “notify the withdrawal in writing” by “give notice of the withdrawal”.

In section 91GD, insert “, by notice,” after “request”.

In section 92(1), replace “an income year” by “a tax year”.

In section 92(1), replace “income year” by “tax year”.

In section 92(4), replace “an income year” by “a tax year”.
In section 92(4), replace “income year” by “tax year”.

In section 92(5)(a), replace “Part KD of the Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.

In section 92(5)(b), replace “income year” by “tax year”.

In section 92(6)(b), replace “income year” by “tax year”.
After section 92, insert— “92AAA Determination on cost of timber “(1) When the Commissioner receives from a person a return of income showing that they have incurred, in the 1987-88 tax year or a later tax year, an expenditure or loss that may be a cost of timber, the Commissioner— “(a) determines the amount to be deducted for the expend- iture or loss; and “(b) gives the person notice of the amount.
2882 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “(2) Section 92(5) applies, as far as applicable and with the neces- sary modiﬁcations, as if a determination by the Commissioner were a determination of net loss made under section 92(3).

“Compare: 1994 No 164 s DL 1(10), (11)” In the heading of section 92AA, replace “Part KD of Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.
In section 92AA, replace “Part KD of the Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.

In section 92AA, replace “an income year” by “a tax year”.

In section 92AA, replace “Part KD of the Income Tax Act 1994” by “Income Tax Act 2004”.

In section 92A(1), replace “an income year” by “a tax year”.

In section 92A(2), replace “income year” by “tax year”.

In section 93(1), replace “income year” by “tax year”.

In section 93(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 94(1) and (3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 94(2)(c), omit “gross”.

In section 95(1) and (3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 97(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 97B(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 98(1) and (3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 99(2)(a), omit “gross”.

In section 99(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 100(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 100(2), replace “Part NG of the Income Tax Act 1994” by “subpart NG of the Income Tax Act 2004”.

In section 100(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
2883 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 101(1) and (3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 102(1) and (3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 103(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 103A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 104(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 107, omit “gross” in all places in which it appears.

In section 107, replace “income year” in all places in which it appears by “tax year”.

In the heading of section 108, replace “income tax liability and tax payable under Income Tax Act 1994” by “income tax liability, and tax payable under Income Tax Act 2004”.

In section 108(1)(b), replace “income year” by “tax year”.
In section 108(1A), replace “income year” in all places in which it appears by “tax year”.

In section 108(1B), replace “income year” by “tax year”.

In section 108(2)(b), omit “gross”.


In section 108, insert after subsection (3)— “(3B) Despite subsection (3), this section does not apply to an as- sessment or income statement to the extent to which it merely gives effect to section CD 12 of the Income Tax Act 2004.” Subsection (3A) was amended, as from 1 April 2005, by section 267(27) Taxation (Ven- ture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “(3B)” for the expression “(3A)”.
In section 108B(3)(d), replace “income year” by “tax year”.
After section 113, insert— “113B Amended assessments if dividend recovered or repaid “(1) This section applies if— “(a) “(b) a company recovers a dividend from a shareholder under section 56 of the Companies Act 1993 or an equivalent provision of foreign law; or the release of a debt is treated as a dividend and the released amount is repaid; or 2884 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 “(c) “(d) close company expenditure to which section CD 30(2) of the Income Tax Act 2004 applies is treated as a divi- dend and the expenditure is repaid; or a loan made before 1 April 1992 was treated as a divi- dend under section 4(1)(b) of the Income Tax Act 1976 and the loan is repaid.
If the Commissioner is given notice of the recovery or repay- ment, the Commissioner must amend each relevant assessment to the extent necessary to ensure that the dividend and any attached imputation credit or dividend withholding payment credit are disregarded.

“(2) “(3) This section applies despite the time bar.
“Compare: 1994 No 164 s CF 2(8)(a)(i) “113C Amended assessments for attributed repatriation dividends “(1) Subsection (2) applies if— “(2) The Commissioner must amend each relevant assessment to give effect to sections CD 28(13) and CD 39(11) of the Income Tax Act 2004, despite the time bar.
“(a) “(b) “(c) “(d) a person has derived a dividend from a controlled for- eign company (CFC) under section CD 13 of the Income Tax Act 2004; and a ﬁnancial arrangement of the CFC has matured within 5 years of the date on which it was entered into, or an amount owing under the ﬁnancial arrangement has been remitted or released giving rise to a dividend; and a person has notiﬁed the Commissioner in writing of the maturity or dividend described in paragraph (b); and as a result,— “(i) section CD 28(13) of the Income Tax Act 2004 ceases to apply; and section CD 39(11) of the Income Tax Act 2004 requires the ﬁnancial arrangement or amount re- mitted or released to be disregarded when at- tributed repatriation dividends from the CFC are calculated.
“(ii) “Compare: 1994 No 164 s CF 2(17)(d)” 2885 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 Section 113A was amended, as from 1 April 2005, by section 267(28) Taxation (Ven- ture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “113B” for the expression “113A”.
Section 113B was amended, as from 1 April 2005, by section 267(29) Taxation (Ven- ture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the expression “113C” for the expression “113B”.

In section 119(1) and (2), replace “an income year” by “a tax year” in all places in which it appears.

In section 119(1)(a), replace “income year” by “tax year”.

In section 119(1)(b), replace “income years” by “tax years”.
In section 119(1)(d) and (2)(b), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 119(4), replace “shall advise the taxpayer accordingly in writing” by “must give the taxpayer notice accordingly”.

In section 120C(1), in paragraphs (b) and (d) of the deﬁnition of date interest starts, replace “an income year” in all places in which it appears by “a tax year”.
In section 120C(1), in paragraph (e) of the deﬁnition of date interest starts, replace “Part MBB of the Income Tax Act 1994” by “subpart MBA of the Income Tax Act 2004”.

In section 120C(1), in paragraph (e) of the deﬁnition of date interest starts, replace “section MBB 5(3)” by “section MBA 5(3)”.

In section 120C(1), in paragraph (b)(iii) of the deﬁnition of interest period, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 120C(1), in paragraphs (b) and (c) of the deﬁnition of tax paid, replace “Part MBB of the Income Tax Act 1994” in all places in which it appears by “subpart MBA of the Income Tax Act 2004”.

In section 120C(3), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 120D(4), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 120EA, replace “item ‘u’ in the formula in section CM 15(1)” by “underwriting result in the formula in section EY 42(1) of the Income Tax Act 2004”.

In section 120K(1), replace “an income year” by “a tax year”.

In section 120K(1), replace “income year” by “tax year”.

In section 120K(3), replace “an income year” by “a tax year”.

2886 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 120K(3), replace “income year” in all places in which it appears by “tax year”.
In section 120K(3), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 120K(4), replace “an income year” by “a tax year”.

In section 120K(4)(b) and (d), replace “income year” in all places in which it appears by “tax year”.

In section 120K(4)(c) and (d), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 120K(4A)(a) and (c), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 120K(4A)(c), replace “income year” by “tax year”.

In section 120K(4AB)(a) and (c), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 120K(4AB)(c), replace “income year” by “tax year”.

In section 120K(4B)(a) and (b), insert “of the Income Tax Act 2004” after “section MB 5A” in all places in which it appears.
In section 120K(4BA), replace “income years” by “tax years”.

In section 120K(4C), replace “income year” by “tax year”.

In section 120K(5), in the deﬁnition of residual income tax, replace “an income year” by “a tax year”.

In section 120K(5), in the deﬁnition of residual income tax, replace “income year” in all places in which it appears by “tax year”.

In section 120K(5), in the deﬁnition of residual income tax, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 120L(1), replace “an income year” by “a tax year”.

In section 120M, replace “an income year” in all places in which it appears by “a tax year”.

In section 120M, replace “income year” by “tax year”.

In section 120M, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 120O, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
2887 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 120OB(1)(a), replace “section NBB 4(1) of the Income Tax Act 1994” by “section NBA 4(1) of the Income Tax Act 2004”.

This item was substituted, as from 1 April 2005, by section 267(30) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 120OB(1)(b), replace “section NBB 4(1B)(b) of the In- come Tax Act 1994” by “section NBA 4(1B)(b) of the Income Tax Act 2004”.
This item was substituted, as from 1 April 2005, by section 267(30) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 120OD(1), replace “Part MBB of the Income Tax Act 1994” by “subpart MBA of the Income Tax Act 2004”.

In the heading of section 120P, replace “gross income and allowable deductions to earlier income” by “income and deductions to earlier tax”.

In section 120P(1), replace “an income year” in all places in which it appears by “a tax year”.
In section 120P(1), replace “income year” in all places in which it appears by “tax year”.

In section 120P(1), replace “income years” in all places in which it appears by “tax years”.

In section 120P(1)(b), omit “gross”.

In section 120P(2), omit “gross” in all places in which it appears.

In section 120P(2), replace “an income year” by “a tax year”.

In section 120P(2), replace “income year” in all places in which it appears by “tax year”.
In section 120PA, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 120R(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 120V, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 125, before the paragraphs and in paragraphs (b), (c), (h), (i), and (j)(iii), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 125(d), replace “sick, accident, or death beneﬁt fund for the purposes of section CB 5(1)(g) and (i) of the Income Tax Act 1994” by “sickness, accident, or death beneﬁt fund for the purposes of section CW 28 of the Income Tax Act 2004”.

2888 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 125(e), omit “gross”.

In section 125(f), replace “section EF 1 of the Income Tax Act 1994” by “section EA 3 of the Income Tax Act 2004”.
In section 125(j)(iii), replace “CF 6” by “CD 9, CD 11”.

In section 126(1), omit “written”.

In section 128(5), replace “an income year” by “a tax year”.

In section 128(5), replace “income year” by “tax year”.

In section 128(6), replace “income year” by “tax year”.

In section 130(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 130(1) and (2), omit “written” in all places in which it appears.

In section 133, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 134, omit “in writing”.

In section 136(2)(a) and (3)(a), omit “in writing”.

In section 136(5), replace “may have been notiﬁed in writing by the Commissioner” by “the Commissioner has given notice of”.

In section 136(11), replace “may have notiﬁed to the Commissioner in writing” by “has given notice of to the Commissioner”.

In section 137(3), replace “notify the objector in writing” by “give notice to the objector”.
In section 137(4), (5), and (10)(b), replace “written notiﬁcation” in all places in which it appears by “notice”.

In section 137(5) and (9)(a), omit “in writing” in all places in which it appears.

In section 138(1), omit “in writing”.

In section 138(2), omit “gross”.

In section 138E(1)(d), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 138E(1)(e)(iii), replace “CF 6” by “CD 9, CD 11”.

In section 138E(1)(e)(iii), replace “Income Tax Act 1994” by “In- come Tax Act 2004”.
In section 138I(4), replace “an income year” by “a tax year”.

In section 138I(4), replace “income year” by “tax year”.

In section 138I(5), replace “income year” by “tax year”.

2889 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 138M, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 139A(1), replace “an income year” by “a tax year”.

In section 139A(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 139A(5)(a), omit “written”.


In section 139AA(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 139C(2), in the deﬁnition of provisional tax paid, replace “income year” in all places in which it appears by “tax year”.

In section 139C(2), in paragraph (a) of the deﬁnition of provisional tax payable, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 139C(2), in paragraph (a)(i) of the deﬁnition of provi- sional tax payable, add “of that Act”.
In section 139C(2), in paragraph (a)(ii) of the deﬁnition of provi- sional tax payable, insert “of that Act” after “section MB 5” and omit “, or sections MB 2AA or MB 2AB” and substitute “of that Act”.

In section 139C(2), in paragraph (aa) of the deﬁnition of provisional tax payable, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 139C(2), in paragraph (aa)(i) of the deﬁnition of provi- sional tax payable, add “of that Act”.
In section 139C(2), in paragraph (aa)(ii) of the deﬁnition of provi- sional tax payable, insert “of that Act” after “section MB 5A” and after “MB 5A(7)”.

In section 140B(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 140C(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 140CB(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 140D(1), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
2890 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 140D(2)(a) and (3)(a), replace “section OZ 1(3)(a) to (o) of the Income Tax Act 1994” in all places in which it appears by “section OB 6(3)(a) to (o) of the Income Tax Act 2004”.

In section 140D(2)(c) and (3)(c), replace “Part MF of the Income Tax Act 1994” in all places in which it appears by “subpart MF of the Income Tax Act 2004”.

In section 140DB(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 140DB(2)(a), replace “Parts HI or MK of the Income Tax Act 1994” by “subpart HI or MK of the Income Tax Act 2004”.

In section 141(7)(c), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 141(12A), replace “an income year” by “a tax year”.

In section 141(12A), replace “item ‘u’ in the formula in section CM 15(1)” by “underwriting result in the formula in section EY 42(1) of the Income Tax Act 2004”.
In section 141(14)(a)(ii), replace “income year” in all places in which it appears by “tax year”.

In section 141B(3)(b)(i)(A), replace “Income Tax Act 1994” by “In- come Tax Act 2004”.

In section 141D(3B)(b), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

This item was omitted, as from 1 April 2005, by section 267(31) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).


In section 141JA, replace “an income year” by “a tax year”.

In section 141JA(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 141JB(1)(a), replace “section NBB 4(1) of the Income Tax Act 1994” by “section NBA 4(1) of the Income Tax Act 2004”.
This item was substituted, as from 1 April 2005, by section 267(32) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 141JB(1)(b), replace “section NBB 4(1B)(b) of the Income Tax Act 1994” by “section NBA 4(1B)(b) of the Income Tax Act 2004”.

This item was substituted, as from 1 April 2005, by section 267(32) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
2891 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 142(1)(a), replace “income year” by “tax year”.

In section 142(1)(d), replace “an income year” by “a tax year”.

In section 142(1A)(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 142(1A)(b), insert “of the Income Tax Act 2004” after “section NC 15(1)(c) or (d)”.

In section 143A(6)(b)(i), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 143B(3)(b)(i), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 150A(1)(b) and (2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 152(11), omit “in writing”.

In section 157(1), before the paragraphs, omit “in writing”.

In section 157(4), insert “, by notice,” after “request”.

In section 157(4), replace “income year” by “tax year”.
In section 157(5), omit “; and for the purposes of section 14 every such copy shall be deemed to be a notice required by this Act to be given by the Commissioner to the taxpayer”.

In section 157(6), replace “statement in writing” by “notice”.

In section 157(10), in paragraph (a) of the deﬁnition of income tax, insert “Income Tax Act 2004 and the” after “payable under the”.
In section 157(10), in paragraph (b) of the deﬁnition of income tax, insert “of the Income Tax Act 2004 or of the” after “section NC 15”.

In section 157(10), in paragraph (bb) of the deﬁnition of income tax, replace “Part MBB of the Income Tax Act 1994” by “subpart MBA of the Income Tax Act 2004”.

In section 157(10), in paragraph (c) of the deﬁnition of income tax, insert “of the Income Tax Act 2004 or of the” after “section NC 16(b)”.
In section 157(10), in paragraph (e) of the deﬁnition of income tax, insert “of the Income Tax Act 2004 or of the” after “section NE 5”.

In section 164, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 165AA(1), replace “section CL 4 of the Income Tax Act 1994” by “section CS 1 of the Income Tax Act 2004”.
2892 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 In section 165AA(2), replace “Schedule 1, Part A, clause 4 of the Income Tax Act 1994” by “schedule 1, part A, clause 4 of the Income Tax Act 2004”.

In section 165AA(2), omit “gross” in all places in which it appears.

In section 165AA(2), replace “section CL 4 of the Income Tax Act 1994” by “section CS 1 of the Income Tax Act 2004”.
In section 165AA(4), replace “section CL 4 of the Income Tax Act 1994” by “section CS 1 of the Income Tax Act 2004”.

In section 165A(2), omit “Income Tax Act 1994”, and substitute “In- come Tax Act 2004”.

In section 166(1), before the paragraphs, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 166(1), replace “an income year” in all places in which it appears by “a tax year”.
In section 167(2B)(b)(i), replace “section NBB 4(1) of the Income Tax Act 1994” by “section NBA 4(1) of the Income Tax Act 2004”.

This item was substituted, as from 1 April 2005, by section 267(33) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 167(2B)(b)(ii), replace “section NBB 4(1B)(b) of the In- come Tax Act 1994” by “section NBA 4(1B)(b) of the Income Tax Act 2004”.
This item was substituted, as from 1 April 2005, by section 267(33) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 168(1), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 168(4)(a), replace “section NBB 4(1) of the Income Tax Act 1994” by “section NBA 4(1) of the Income Tax Act 2004”.

This item was substituted, as from 1 April 2005, by section 267(34) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
In section 168(4)(b), replace “section NBB 4(1B)(b) of the Income Tax Act 1994” by “section NBA 4(1B)(b) of the Income Tax Act 2004”.

This item was substituted, as from 1 April 2005, by section 267(34) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 169(1B)(a), replace “section NBB 4(1) of the Income Tax Act 1994” by “section NBA 4(1) of the Income Tax Act 2004”.
This item was substituted, as from 1 April 2005, by section 267(35) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

2893 Schedule 22 Income Tax Act 2004 Reprinted as at 29 August 2011 In section 169(1B)(b), replace “section NBB 4(1B)(b) of the Income Tax Act 1994” by “section NBA 4(1B)(b) of the Income Tax Act 2004”.

This item was substituted, as from 1 April 2005, by section 267(35) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
In section 171(2), omit “gross”.

In section 173M(5)(b), replace “section CB 4(1)(c) or CB 4(1)(e)” by “section CW 34 or CW 35 of the Income Tax Act 2004”.

In section 173MB, before the paragraphs, replace “section NBB 6(4) of the Income Tax Act 1994” by “section NBA 6(4) of the Income Tax Act 2004”.

In section 173P(1)(b), replace “an income year” by “a tax year”.

In section 173P(2), replace “an income year” by “a tax year”.

In section 173P(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.
In section 173P(3), replace “income year” by “tax year”.

In section 173Q(1) and (2), replace “an income year” in all places in which it appears by “a tax year”.

In section 173Q(1) and (2), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 173Q(4), replace “income year” in all places in which it appears by “tax year”.

In section 173R(1), replace “an income year” by “a tax year”.

In section 173R(2), replace “income year” by “tax year”.
In section 173R(2), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 173R(3), replace “income year” by “tax year”.

In section 173R(4), replace “an income year” by “a tax year”.

In the heading of section 174, replace “income years” by “tax years”.

In section 174AA, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 177(2), replace “in writing” by “by notice”.
In section 177A(3), replace “paragraph (a) of the deﬁnition of close company in section OB 1 of the Income Tax Act 1994” by “para- graphs (a) and (c) of the deﬁnition of close company in section OB 1 of the Income Tax Act 2004”.

2894 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 22 This item was omitted, as from 1 April 2005, by section 267(36) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
In section 177D(2)(a), replace “section EZ 9(3) and (4) of the In- come Tax Act 1994” with “section CX 41B(4) and (5) or section EW 47B(4) and (5) of the Income Tax Act 2004”.

This item was substituted, as from 1 April 2005, by section 267(37) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 180(1)(a) and (c), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 181(1)(a) and (c), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 181B(1)(a) and (c), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 181C(1)(a), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 181D, replace “Income Tax Act 1994” by “Income Tax Act 2004”.
This item was inserted, as from 1 April 2005, by section 267(38) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).

In section 183(1)(b) to (g), replace “income year” in all places in which it appears by “tax year”.

In section 183(1)(e)(i), replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 183(1)(f), omit “in writing”.

In section 183CA(1), replace “income year” by “tax year”.

In section 183H(a), replace “write” by “give notice”.
In section 184, replace “Income Tax Act 1994” by “Income Tax Act 2004”.

In section 185(1)(a), (b), and (f), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 185(1)(e), replace “Part KD of the Income Tax Act 1994” by “subpart KD of the Income Tax Act 2004”.

In section 225(1), replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.
In section 225A, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 225A(2)(b)(iii) and (iv), replace “Part KD credit” in all places in which it appears by “subpart KD credit under that Act”.

2895 Schedule 22A Income Tax Act 2004 Reprinted as at 29 August 2011 In section 226, replace “Income Tax Act 1994” in all places in which it appears by “Income Tax Act 2004”.

In section 227(2), replace “income year” in all places in which it appears by “tax year”.
In the schedule, insert “Income Tax Act 2004” after “Estate Duty Repeal Act 1999”.
Schedule 22A Identiﬁed policy changes s YA 3 Provision in Income Tax Act 2004 CB 6, CB 7(2), CB 8(2), CB 9(2) CB 9(1)(b) CD 28(9)(b) CG 2(3) CG 4(3) 2896 Change The test of association applies at the time land is acquired or, in the case of builders, improved, rather than at the time of disposal The test of whether or not a person is in business as a builder is applied at the time improvements to land commence, rather than at the time land is acquired.
A dividend payable to a shareholder by a company when the amount is applied under section CD 28(9)(a) by the shareholder against a loan from the company to the shareholder includes a dividend that is paid without any withholding of an amount of resident withholding tax or non-resident withholding tax.
The amount remitted is treated as income in the year it is remitted, rather than in the year the deduction was allowed The amount recovered is treated as income in the year it is recovered, rather than in the year the deduction was allowed Reprinted as at 29 August 2011 CG 5 CU 17 CW 15(1) CW 31(3) CW 32(3) CX 34(1) DB 7(6) DC 1 Income Tax Act 2004 Schedule 22A A beneﬁt received from a superannuation scheme by an employer who has received deductions for making employers’ contributions to the scheme is income, rather than a reversal of deductions for contributions made in the 12 months before the beneﬁt’s receipt The amount repaid is treated as income in the year it is repaid or treated as repaid, rather than in the year the deduction was allowed The day of arrival and the day of departure each counts as a whole day for the purpose of calculating the 92 day period The amounts excepted from the exemption are amounts that a public authority receives as trustee.
The amounts excepted from the exemption are amounts that a local authority receives as a trustee The exclusion applies to life insurance policies offered or entered into in New Zealand A non-resident company that has a ﬁxed establishment in New Zealand has a deduction for interest incurred on money borrowed to acquire shares in a group company A deduction related to lump sum payments on retirement is allocated to the income year in which payment is made.
2897 Schedule 22A Income Tax Act 2004 Reprinted as at 29 August 2011 DD 2(6) DE 12 The limit on the deduction for entertainment expenditure applies to an area reserved for senior staff, rather than an area reserved for senior staff and their guests Inland Revenue mileage rates may be used to measure business use of a motor vehicle DO 4(2)(c) and (3)(c) Expenditure on an asset deducted in the year of incurrence cannot also be deducted over the life of the asset Lessors of farm land are allowed a deduction under section DO 4, rather than just under sections DO 1 and DO 2 A deduction is allowed for expenditure of an amount given by section DO 4(3)(a) or (c) of the Income Tax Act 1994 and allowed as a deduction under section DO 4(1) of that Act, being expenditure incurred in carrying on a farming or agricultural business on land in New Zealand.
Petroleum mining deductions are excluded from the coverage of the revenue account property rule A valuation election applying to a partnership does not also apply to a partner’s other interests The formula in the subsection uses “base value”, rather than “cost”, in order to apportion the gain or loss on disposal in the same business/private use proportion as the depreciation deductions were apportioned Both companies in a wholly-owned group must be in the same group at the time of the transfer DO 5 DZ 13 EA 2(1)(e) EC 12(4) EE 42(3) EY 44(1) 2898 Reprinted as at 29 August 2011 EY 44(3) FC 21 ND 1E(2) Income Tax Act 2004 Schedule 22A The pre-existing life insurance business of the transferee is included in the opening actuarial reserves ﬁgure The recharacterisation of amounts derived from New Zealand , from the listed activities, does not apply to a New Zealand company that is under the control of non-residents.
A dividend payable to a shareholder by a company when the amount is applied under section ND 1E(1) by the shareholder against a loan from the company to the shareholder includes a dividend that is paid without any withholding of an amount of resident withholding tax or non-resident withholding tax.
Schedule 22A: amended (with effect on 1 April 2005), on 29 August 2011 (applying for the 2005–06 and later income years), by section 208(1) of the Taxation (Tax Adminis- tration and Remedial Matters) Act 2011 (2011 No 63).

Schedule 22A: amended (with effect on 1 April 2005), on 21 December 2010 (applying for the 2005–06 and later income years), by section 170(1) of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130).
Schedule 22A: amended (with effect on 1 April 2005), on 21 December 2010 (applying for the 2005–06 and later income years), by section 170(2) of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130).

Schedule 22A: amended (with effect on 1 April 2005), on 7 September 2010 (applying for the 2005–06 and later income years), by section 208(1) of the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109).
Schedule 22A, the heading to Column 1, was amended, as from 1 April 2005, by section 268(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by substituting the words “Income Tax Act 2004” for the words “Income Tax Act 2002”.

Schedule 22A, Column 1, was amended, as from 1 April 2005, by section 268(2) Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) by sub- stituting the expression “CB 7(2),” after the expression “CB 6,”.
The item relating to section CB 9(1)(b) was inserted, as from 1 April 2005, by section 207(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Pro- visions) Act 2006 (2006 No 3) with application as from the income year corresponding to the 2005–06 tax year.
2899 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 The item relating to section DZ 13 was inserted, as from 1 April 2005, by section 92(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.

The item relating to section FC 21 was inserted, as from 1 April 2005, by section 166 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
Schedule 23 Comparative tables of Old and New Provisions s YA 6 Notes 1 2 The letters “TAA” indicate that the provision referred to ap- pears in the Tax Administration Act 1994.

Provisions shown as omitted have been omitted because they are spent or redundant.
A Income Tax Act 1994: corresponding provisions in Income Tax Act 2004 or Tax Administration Act 1994 Provision in Income Tax Act 1994 (1) (2) (3) (1) A 1 PART A AA 1 AA 2 AA 3 2900 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 A 1 A 2(1) A 2(2) AA 1 omitted omitted Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 AA 4 PART B Subpart BA BA 1 Subpart BB BB 1 BB 2 BB 3 Subpart BC BC 1 (2)(a) (2)(b) (1) (2) (1) (1A) (2) (3) (4) (1) (2) (1)(a) (1)(b) AA 2(1) AA 2(2) AA 3(1) AA 3(2) BA 1 BB 1 BB 2(1) BB 2(2) BB 2(3) BB 2(4) BB 2(5) BB 3(1) BB 3(2) BC 1(1) BC 1(3) 2901 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (1)(c) (2) (1) (2) (3) (1) (2) (3) (1) (2) (3) (4) (1) (2) (3) (4) BC 1(2) BC 9(1) BC 1(1) BC 1(2) BC 1(3) BC 7(1) BC 7(2) BC 7(3) BC 2 BC 3 BC 4(1) BC 4(2) BC 4(3) BC 4(4) BC 5 BC 6(1) BC 6(2) BC 6(3) BC 6(4) BC 2 BC 3 BC 4 BC 5 BC 6 BC 7 BC 8 2902 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 BC 9 BC 10 Subpart BD BD 1 BD 2 (5) (6)(a) (6)(b) (1) (2) (3) (1) (2) (1) (2)(a) (2)(b) (2)(c) (1)(a) (1)(b)(i) (1)(b)(ii) (1)(b)(iii) (2)(a) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 BC 6(5) BC 8(1) BC 8(2) BC 9(2) BC 10(1) BC 10(2) BC 8(2) BC 10(1) BD 1(1), CY 1 BD 1(2), CW 47 BD 1(3), CX 46 BD 1(4) BD 2 DA 4 DA 1(1) DA 1(1) DA 3(1) DA 2(2) 2903 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2)(b) (2)(c) (2)(d) (2)(e) (2)(f) (1) (2) (3) (4) (1) (2) (3) (4) (1) (2) (3) (4) BD 2A BD 3 BD 4 Subpart BE BE 1 2904 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DA 2(3) DA 2(4) DA 2(5) DA 2(1), DA 3(1) DY 2 omitted BD 3(1) BD 3(5) BD
 3(2) BD 3(6) BD 4(1) BD 4(4) BD 4(2) BD 4(5) BE 1(1) BE 1(2) BE 1(3) BE 1(4) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 Subpart BF BF 1 Subpart BG BG 1 Subpart BH BH 1 PART C Subpart CB CB 1 (5) (6) (1) (2) (1) (2) (3) (3A) (4) (1)(a) (1)(b) (1)(c) (1)(d) BE 1(5) BE 1(6) BF 1 BG 1(1) BG 1(2) BH 1(1) BH 1(2) BH 1(3), (4) BH 1(5) BH 1(6) omitted CW 5 CW 6(1), (3) CZ 16 2905 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (2) (1)(a)(i) (1)(a)(ii) (1)(a)(iii) (1)(b) CW 6(1) CW 16(1) CW 16(1) CW 16(2) CW 8(2) (1)(b) proviso CW 8(1) (1)(c) CW 15(1) (1)(c) ﬁrst proviso CW 15(2), (3) (1)(c) second proviso CW 15(1) (1)(d) (1)(e) (1)(f) (2) (3) (3B) (4) (5) (a) CW 18(1), (2) CW 7 CW 17 omitted CW 18(3) CW 17 CW 17(2), CW 18(3) CZ 5 CW 31(1)-(5) CB 2 CB 3 2906 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CB 3A CB 4 (b) (c) (d) (e) (1)(a) (1)(ab) (1)(b) (1)(c) (1)(d) (1)(e) (1)(f) (1)(g) (1)(h) (1)(i) (1)(j) (1)(l) (1)(m) (1)(n) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CW 32(1)-(5) CW 31(1), CW 32(1) omitted CW 31(6) omitted CW 37 CZ 18 CW 41(1) CW 34(1)-(3) CW 36 CW 34(3), CW 35 CW 42 CW 43 CW 39 CW 40 CW 33(1) CW 33(3) CW 44 CZ 19 2907 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2) (3) (1)(a) (1)(b) (1)(c) (1)(d) (1)(e) (1)(f) (1)(fa) (1)(g) (1)(h) (1)(ib) (1)(j) (1)(k) (1)(l) (1)(m) (1)(n) (1)(o) CB 5 2908 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CW 39, CW 40, CW 41-CW 43 CW 34(3), CW 35(2), CW 33(2) CW 23(1)(a), (b) CW 28(1)(d) CW 28(1)(e) omitted CW 27(1)(a) CW 23(1)(e), (2) CW 23(1)(e), (2) CW
 28(1)(a), (2) CW 28(1)(a), (2) CW 38 CW 28(1)(b) CW 28(1)(c) CW 27(1)(e) CW 27(1)(f) CW 28(1)(f) CW 23(1)(c), (d) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CB 6 CB 7 (1)(p) (1)(q) (2) (a) (b) (c) (d) (e) (a) (b) (c) (d) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CW 28(1)(g) CW 27(1)(b) OB 1 CW 27(1)(d), (2) CW 21 CW 22 omitted CW 27(1)(c) CW 12(a) CW 12(b) CW 24 CW 25 CB 8 (1)(a) CW 47(1), (2) (1)(a) proviso CW 47(5)(a) (1)(b) CW 47(3) (1)(b) proviso CW 47(5)(b) (2) (3) (4) CW 47(4) CW 47(7) CW 47(6) 2909 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CB 9 CB 10 2910 (a) (b) (c) (ca) (d) (e) (f) (g) (h) (i) (1) (2)(a) (2)(b) (2)(c) (2)(d) (2)(e)(i) (2)(e)(ii) (2)(e)(iii) (2)(e)(iv) CW 26 CW 20 CW 48(a) CW 48(b) CW 29 CW 50 CW 4 omitted CW 49 CW 30 CW 9 CW 10(1) CW 10(1) CW 10(1) CW 10(2) CW 10(7) CW 10(3) CW 10(4) CW 10(5) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CB 11 CB 12 (2)(e)(v) (3) (4) (5) (6) (1) (2) (3) (4) (5) (6) (1)(a) (1)(b) (2) (3) (3A) (3B) (3C) (4) CW 10(6) CW 10(2) CW 11(1) CW 11(2) CZ 17 CW 19(1) CW 19(2) CW 19(3) CW 19(3) CW 19(3) CW 19(4) CW 13(1) CW 13(2) CW 14(1), (3) CW 13(3) CW 14(2) CW 13(3), CW 14(2) CW 13(3), CW 14(2) CW 14(3), (4) 2911 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 CB 14 CB 15 Subpart CC CC 1 CC 2 CC 3 Subpart CD CD 1 2912 (1) (2) (1) (2) (1) (2)(a) (2)(b)(i) (2)(b)(ii) (2)(c)(i) (2)(c)(ii) (2)(d)(i) (2)(d)(ii) (2)(e) (2)(f)(i), (ii) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CW 45(1), (2) CW 45(3) CW 46 CF 1(1), (2) CF 1(2) omitted omitted omitted
 CB 5(1) CB 6 CB 7 CB 6 CB 8 CB 6 CB 9 CB 12 CB 10 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (2)(f)(iii) (2)(f)(iv) (2)(f)(v) (2)(g) (3)(a) (3)(b) (4)(a)(i) (4)(a)(ii) (4)(b)(i) (4)(b)(ii) (4)(c) (6) (7) (10) (11) (12) (13) CB 18 CB 15 CB 21 CB 11 CB 17 CB 14 CB 20 CB 16 CB 20 CB 16 CB 20 CB 15 CB 19 OB 1 “land” CB 13 OB 1 “dispose” OB 1 “dispose” CC 19(1) CB 1 2913 CD 2 CD 3 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 CD 3A CD 4 CD 5 CD 6 CD 7 Subpart CE CE 1 CE 2 CE 3 2914 (1) (2) (3) (1)(a) (1)(b) (1)(c) (1)(d) (1)(e) (2)(a) (2)(b) (2)(c) (2)(d) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CB 27 CB 2-CB 4 CA 1(2) CB 28(1) CB 28(3) omitted CE 8(1), (2) CC 4, CC 5, CD 1 CC 7(1), (2) CC 3 CG 3 CC 1 CC 7(1) CC 7(1) CC 7(1), (3) CC 6 omitted CZ 6 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CE 4 Subpart CF CF 1 CF 2 (1) (2) (3) (1)(a) (1)(b) (1)(c) (1)(d) (1)(e) (1)(f) (1)(g) (1)(h) (1)(i) (1)(j) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CG 2(1), (2), (3) CG 2(4) omitted CD 1 CD 3(1), CD 4(1) CD 3(1), CD 4(1), (2) CD 3(1), CD 4(1), CD 27 CD 3(1), CD 4(1), CD 27 CD 3(1), CD 4(1), CD 22(1), CD 27 CD 6(1), CD 7(1) CD 3(1), CD 4(1), CD 5(1) CD 3(1), CD 4(1) CD 3(1), CD 4(1) CD 3(1), CD 4(1) 2915 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1)(k) (1)(l) (1A) (2) (3) (3A) (3A)(b) (4) (5) (6)(a) (6)(b) (7) (8) (8)(a)(i) (8)(a)(ii) (8)(b) 2916 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CD 3(1), CD 4(1), CD 5(3), (4), CD 8 CD 3(1), CD 4(1), CD 12(1) CD 5(2) CD 3(1), CD 4(1) OB 1 “company”, “share” HH 1(8) omitted omitted CD 6(2) CD 7(3) CD 3(1),
 CD 5(1) CD 29(1) CD 29(2), TAA s 113A CD 29(3), (4) CD 29(5) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (9) (9A) (10) (11) (11a) (11)(b) (11)(c) (12)(a)(i) (12)(a)(ii) (12)(a)(iii) (12)(b) (12)(c)(i) (12)(c)(ii) (12)(c)(iii) (12)(c)(iv) (12)(c)(v) (12)(c)(vi) (12)(c)(vii) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CD 30(1), (3)-(5) CD 31 CD 3(1), CD 4(1), CD 30(2)-(4) CD 28(1) CD 28(2), (3) CD 28(4) CD 28(5) CD 28(6), (12) CD 28(7), (12) CD 28(8) CD 28(9) CD 28(10) CD 28(10) CD 28(10) CD 28(10), (12) CD 28(10) CD 28(11) CD 28(11) 2917 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (13) (13)(a) (13)(b) (13)(c) (13)(d) (13)(e) (13A) (14) (15) (15)(a) (15)(a)(i) (15)(a)(ii) (15)(b) (16)(a) (16)(b) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CD 19(1), (3) CD 19(1) CD 19(5) CD 19(5) CD 19(3) CD 19(6) CD 19(4) CD 19(1), (2) CD 42(1), (7) CD 42(2) CD 42(3) CD 42(3)-(5) CD 42(6) CD 13(1) CD 13(3) (17)(a)-(c) CD 39(10), (11) (17)(d) (17)(e) (18)(a) CD 39, TAA s 113B CD 39(12) CD 39(13) 2918 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CF 3 (18)(b) (19) (21) (1)(a) (1)(b)(i) (1)(b)(ii) (1)(b)(iii) (1)(b)(iv)(A) (1)(b)(iv)(B) (1)(c) (1)(d) (1)(da) (1)(e) (1)(f) (1)(g) (1)(h) (1)(i) (1)(ia) (1)(j) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CD 39(8) CD 28(13), (14) CD 22(2) CD 21 CD 14(2)-(4), (8) CD 14(1), (6), (7) CD 14(2) CD 14(4) CD 14(2) CD 18(1), (2) CD 17(1) CD 17(2) CD 16 CD 16 CD 23(1) CD 23(2) CD 18(3) CD 24(1) CD 24(2) 2919 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1)(k) (2)(a) (2)(b) (2)(c) (3)(a) (3)(b) (3)(c) (3)(d) (3)e) (3A) (4) (5) (6) (7) (8) (9) (10) (11) (11A) 2920 Corresponding provision in Income Tax
 Act 2004 or Tax Administration Act 1994 CD 26 CD 32(20) CD 15(5), CD 33(4) CD 14(5) CD 17(2) CD 17(2) CD 17(2), (3) CD 17(4) CD 17(5), (6) CD 17(2) CD 18(4), CD 24(3) omitted CD 33(13), CZ 9 CD 33(7) CD 33(11) CD 33(12) CD 33(6), (11) CD 33(5) CD 33(13) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (12)(a) (12)(b) (12)(c) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CD 33(15) CD 33(16) CD 33(17) (13) “shares” OB 1 “share” (13) “speciﬁed company” omitted (14) “excess return amount” CD 33(1), (2), (11) (14) “ﬁfteen percent capital reduction” CD 14(9) (14) “ﬁfteen percent interest reduction” CD 14(9) (14) “fully credited” CD 32(25), (26) (14) “ineligible capital amount” (14) “non- participating redeemable share” CD 32(14), (15) CD 14(9) (14) “pro rata cancellation” OB 1 “pro rata cancellation” (14) “ten percent capital reduction” CD 14(9) 2921 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (14) “unlisted trust” CD 14(9) (14) “unlisted widely-held trust” OB 1 “unlisted widely-held trust” (14) “widely-held trust” OB 1 “widely-held trust” CD 32(23), (24) (a) (b) (1) (2) (3) (4) (5) (a) (b) CD 25 CD 33(8) CD 9 CD 11 omitted omitted TAA s 108(3A) CD 11 CD 10 CD 7 CQ 1, DN 1 CQ 4 FD 11 CF 4 CF 5 CF 6 CF 7 CF 7A CF 8 Subpart CG CG 1 CG 2 2922 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CG 3 CG 4 (a) (b) (b) proviso OD 9 EX 6(2) EX 6(3) (c) (d) (e) (1) (2) (3) (4) (4)(a) (4)(b) (4)(c) (4)(d) (5)(a) (5)(a)(i) (5)(a)(ii) (5)(a)(iii) EX 5(5), EX 9(6), EX 31(6) EX 28 EX 27 EX 1 EX 3 EX 4(1) EX 5(1), EX 6(1) EX 5(3) EX 5(4) EX 5(5) EX 5(1), (2) EX 7(1), (5) EX 7(6) EX 7(7) EX 7(8) 2923 Schedule 23 Income Tax
 Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (5)(a)(iv) EX 7(9) (5)(a)(iv) proviso EX 7(10) (5)(b) EX 7(11) (6) (7) (8) (1) (2) (2)(a) (2)(b) (2)(c) (2)(d) (3) (4) (5) (6) (7) (1) EX 7(3) EX 4(2) EX 6(4) EX 8 EX 9(1)-(3), EX 31(1)-(3) EX 9(4), EX 31(4) EX 9(5), EX 31(5) EX 9(6), EX 31(6) EX 9(1), (2) EX 10 EX 11 EX 17 EX 16 EX 13 CQ 2(1), DN 2 CG 5 CG 6 2924 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CG 7 CG 7B CG 8 (1)(a) (1)(b) (1)(c) (2) (1) (2) (3) (4) (5) (6) (1) (2) (3) (4) (5) (6)(a) (6)(b) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CQ 2(1)(d), DN 2(d) EX 14 EX 19(5), EX 21(35) EX 15 CQ 2(1), DN 2 EX 18 EX 20 EX 19 CQ 5(2), (3), DN 6(2), (3), EX 46(1)-(3) CQ 2(3), EX 16(3) EZ 29 CD 34 CD 35 CD 36(1), (2) CD 40(1), (2) CD 36(3) CD 37(1) CD 37(2) 2925 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (6)(c)(i) (6)(c)(ii) (7) (8) (9) (10) (11) (12) (13) (14) (1) (2) (1) (2) (3) (3A) (3B) (3C) CG 9 CG 10 CG 11 2926 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CD 37(3) CD 37(4), (5) CD 38 CD 39(2)-(9) CZ 10(1), (2) CD 40(3), (4) CD 41 CZ 10(3), (4) CD 13(4), EX 16(3) CD 36(2), CD 37(2) EX 12 EX 26(1), (2), (4) EX 26(3) EX 21(1), (2) EX 21(3) EX 21(4) EX 21(5) EX 21(6) EX 21(7) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (3D) (4)(a) (4)(b) (5) (6) (7) (8) (9) (9)(a) (9)(b) (10) (11) (12) (13) (14) (15) (16) (17) (18) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EX 21(8) EX 21(10) EX 21(9) EX 21(11), (12) EX 21(13) EX 21(14) EX 21(15) EX 21(16) EX 21(17) EX 21(17) EX 21(18) EX 21(19) EX 21(20) EX 21(21) EX 21(22) EX 21(23) EX 21(13) omitted EX 21(24) 2927 Schedule
 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (19) (19)(a) (19)(b) (19)(c) (19)(d) (20) (21) (22) (23) (23A) (24) (25)(a) (25)(b) (25)(c) (1) (2) (3) (1) CG 12 CG 13 2928 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EX 21(26) EX 21(25) EX 21(25) EX 21(27) EX 21(27) EX 21(34) EX 21(28) EX 21(29) EX 21(30), (31) EX 21(30), (31) EX 21(32) EX 21(33) EX 46(4) EX 46(5) EX 25(1) EX 25(2) EX 25(3), (4) CQ 2(1), DN 2, EX 22, EX 24, EX 46(6) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CG 14 CG 15 (2) (1) (1)(a) (1)(b) (1)(c) (1)(ca) (1)(d) (1)(e) (2) (3) (4) (1) (1)(a) (1)(b) (1)(c) (2) (2)(a) (2)(b) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EX 23 EX 56(1) EX 56(2) EX 56(3)-(5) EX 56(6) EX 54(1), (2) EX 56(7) EX 56(8) omitted EX 36(3), (4) omitted CQ 5(1), DN 6(1), EX 30(1) EX 30(2), EX 31 EX 30(3) EX 30(4) CQ 5(1), DN 6(1) EX 32 EX 33 2929 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2)(c) (2)(d) (2)(e) (2)(f) (2)(g) (3) (4) (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11)(a) (11)(b) CG 16 2930 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EX 36(1) CQ 5(1)(d), DN 6(2) EX 34 EX 35 EX 37(1) omitted EX 37(4) EX 38(1) CQ 5(2), DN 6(2) omitted EX 52(2), (4)-(6) CQ 5(4), EX 16(3) EX 47 EX 39 EX 57(1), (2), (4) EX 57(5), (6) EX 57(3) EX 42(7) EX 44(7), EX 45(15) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (12) (1) (2) (3) (4) (5) (6) (7) (8) (9) (9)(a) (9)(b)(i) (9)(b)(ii) (9)(b)(iii)(A) (9)(b)(iii)(B) (10) (1) CG 17 CG 18 CG 19 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EX 42(7), EX 44(7), EX 45(15) EX 38(2) EX 40(1) EX 40(4) EX 40(2), (3) EX 40(3) EX 40(2) EX 41 EX 50(1), (2) EX 50(3) EX 50(4) EX 50(6) EX
 50(6) EX 50(5) EX 50(4) EX 50(7) EX 44(1)-(6) EX 45(1), (3), (4) 2931 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2) (3) (4) (5) (6) (7) (1) (2) (3) (3)(a) (3)(b) (1) (2)(a) (2)(b) (3) (4) (1) (2) CG 20 CG 21 CG 22 2932 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EX 45(10), (11) EX 45(13), (14) EX 45(2), (5), (6) EX 45(7)-(9) omitted omitted EX 42(1)-(4) EX 42(5), (6) EX 42(8) EX 42(9) EX 42(10) EX 43(1)-(4), (6), (7) CQ 2(2), EX 43(5) EX 43(6), (7) EX 43(8), (9) EX 43(10)-(12) EX 48(1)-(3), EX 49(1)-(3) EX 48(4), EX 49(4) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CG 23 CG 24 CG 25 Subpart CH CH 2 (1) (2) (3) (4) (5) (6) (7) (7A) (7B) (7C) (7D) (8) (9) (1) (2) (1) (2) (1) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EZ 7 EX 52(3), (4) EX 52(1), (2) EX 55 EX 59, GD 14(1), (2) EX 59, GD 14(3), (4) EX 53(1)-(4) EX 54(1) EX 54(2) EX 54(2) EX 54(3), (4) EX 53(5)-(8) EX 58 EX 51(1), (2) EX 51(3), (4) EX 60(1), (2) EX 60(3) CE 7, CZ 1 2933 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2)(a) (2)(b) (2)(c) (2)(d) (3) (4) (5) (6) (7) (8) (1) (2) (3)(a) (3)(b) (4) (1) (2) CH 3 Subpart CHA CHA 1 CHA 2 2934 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CE 2(2) CE 2(3) CE 2(4) CE 2(5) CE 2(6), (7), CE 3 CE 4 CE 6 CE 6 CE 7 CE 6 CE 1 CE 9(1), (2) CE 9(3) CE 9(5) CE 9(4) CE 9(4) CE 10 CE 10 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 Subpart CI CI 1 (a) (b) (c) (d) (e) (eb) (f) (g) (ga) (h) (i) (ia) (j) (ja) (k) (l) (la) CX 2 CX 6(1) CX 6(1) CX 9(1) CX 8 CX 13 CX 14 CX 15 CX 12 CX 11 CX 31 CX 9(2) CX 9(2) CX 9(2) CX 15, CZ 15 CX 12 CX 27 CX 23 2935
 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (m) (n) (na) (o)(i) (o)(ii) (o)(iii) (o)(iv) (o)(v) (o)(vi) (o)(vii) (o)(viii) (p) (q) (r) (s) (1) (2) (3) (4) CX 21 CX 22 CX 19 CX 4 CX 5(1) CX 5(2) CX 17 CX 17 omitted omitted omitted CX 24 CX 20 CX 25 CX 26(1) CX 2 CX 16(1) CX 16(2) CX 7 CI 2 2936 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CI 2A CI 3 (5) (6) (6A) (7) (8) (9) (1) (2) (3) (4) (5) (1) (1)(a) (1)(b) (1)(c) (2) (3) (4) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ND 1O ND 1N ND 1P(1) ND 1P(2) CX 10 CX 10 CD 12(1), CX 16(3), (4) CD 12(2), CX 16(3) CX 16(3) CX 16(5) omitted ND 1A(6) ND 1A(3) ND 1A(4) ND 1A(5) ND 1D ND 1E(1), (2) ND 1E(4) 2937 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (5) (6) (7) (8) (8A) (9) (9A) (10) (10A) (11) (1)(a) (1)(b) (1)(c) (2) (3) (4) (1) (2) CI 4 CI 5 2938 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ND 1E(3) ND 1C(1), (2) ND 1I ND 1H(1), ND 1I CX 15, ND 1C(3), ND 1H(2) ND 1J(1) ND 1J(2) ND 1K ND 1K ND 1L ND 1S ND 1T, ND 1U(2) ND 1V ND 1U(3), (4) ND 1U(5) CX 18 ND 1Q(1), (2) ND 1Q(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CI 6 CI 7 CI 8 CI 10 CI 11 (3) (1) (2) (3) (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ND 1Q(4), (5) ND 1F(1) ND 1F(2) ND 1F(2) ND 1R ND 1W ND 1W ND 1A(2), ND 1B(1) ND 1B(1) ND 1B(1) ND 1B(2) ND 1B(2) ND 1B(3) ND 1B(3) ND 1B(3) ND 1B(4) ND 1B(4) ND 1B(4) ND 1B(5) 2939 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (13) (14) (15) (16) (1) (2) (2)(a) (2)(b) (2)(c) (2)(d)
 (2)(e)(i) (2)(e)(ii) (3) (1) (2) (1) (2) Subpart CJ CJ 1 CJ 2 CJ 3 CJ 4 2940 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ND 1B(5) ND 1B(6) ND 1B(7) CX 6(1) CB 22, CB 25 CB 23(1) CB 23(2) CB 23(2) CB 23(2) CB 23(3) CB 23(3) DP 9(1) TAA s 44C(1), (2) CC 10(1) CC 10(3) CT 1 CX 37 CZ 8 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CJ 5 CJ 6 CJ 7 Subpart CK CK 1 CK 2 CK 3 Subpart CL CL 1 CL 2 CL 3 (1) (2) (3) (4) (1) (2) (3) (1) (2) (1)(a) (1)(b) CT 2 CX 36 CX 36 CX 36 omitted omitted CV 1 omitted CZ 7(1) CZ 7(2), (3) CZ 7(4) CV 2 CW 41(2) CX 42 CX 34 CS 2(8) CS 2(8) 2941 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (1)(c) (1)(d) (1)(e) (1)(f) (1)(g) (1)(h) (1)(i) (1)(j) (2) (3) (4) (5) (6) (1) (2) (3) (4) (5) (6) CS 2(1) CS 2(2) CS 2(4) CS 2(5) CS 2(5) CS 2(5) CS 2(6) CS 2(7) CS 2(9) CS 2(9) CS 2(3) CS 2(3) CS 2(4) CS 1(1) CS 1(2)-(5) CS 1(6) CS 1(6) CS 1(3)-(5) CS 1(3)-(5) CL 4 2942 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CL 5 CL 6 CL 7 CL 8 CL 9 CL 10 CL 11 CL 12 (1) (2) (1) (2) (3) (4) (5) (6) (7) (1) (2) (1) (2) (3) (1) (2) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CS 3(1) CS 3(2) CS 4 CS 5 CS 7(1) CS 7(3) CS 7(5) CS 7(4) CS 7(4) CS 7(6) OB 1 “withdrawal” CS 8 CS 9 OB 1 “withdrawal” CS 10(1) CS 10(2) CS 10(3) CS 6(1) CS 6(2) 2943 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (3) (1) (2) (3) (4) (1) (2) (1) (2) CL 13 CL 14 CL 15 CL 16 CL 17 CL 18 CL 19 CL 20 CL 21 Subpart CM CM 2 CM 3 2944 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CS 6(3) OB 1 “withdrawal” CS
 11(1) CS 11(2) CS 11(3) CS 11(4) CS 12 CS 13(1) CS 13(2) CS 14(1) CS 14(2) CS 15 CS 16 CS 17 CS 2(8) EY 8(2) CX 33 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 CM 5 CM 6 CM 7 (1) (2) (3) (4) (5) (1) (1)(a) (1)(b) (2) (3) (4) (5) (5)(a) (5)(b) (6) (1) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CR 1(2), EY 24(1), (3), EY 25 EY 29 EY 24(2), EY 26, EY 28 EY 30 EY 32 CR 1(1), EY 14(1), (2), EY 15, EY 17 EY 14(3) EY 14(4) EY 19 EY 14(2), EY 16, EY 18 EY 20 EY 21(1) EY 21(2) EY 21(3) EY 23 CR 1(3), EY 34, EY 35, EY 39(2) 2945 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EY 36 EY 37 EY 40 EY 3, EY 4(1)-(3) EY 4(4) EY 4(5) EY 4(6) EY 5 EY 6 CR 1(5), EY 45 EY 10(2), EY 11(2) EY 11 EY 11 CX 33 CX 33 EY 11, EY 22, EY 31 EY 22 EY 38(1), EY 39(1) (1)(a) (1)(b) (2) (1) (2)(a)(i) (2)(a)(ii) (2)(b) (2)(c) (3) (a) (b) (c) (d) (1)(a) (1)(b) (1)(c) (1)(c)(i) EY 39(2) CM 8 CM 10 CM 12 CM 13 2946 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (1)(c)(ii) EY 38(2), EY 39(3) (1)(d) (2) (1) (2) (3) (4) (1) (2) (1) (2) (1) (1A) (2) (3) (1) CM 14 CM 15 CM 16 CM 17 CM 18 Subpart CN CN 1 CN 2 EY 4(7) EY 47(1), (3), (4) EY 10(3)-(5) EY 41, EY 42(1)-(8) EY 42(9), (10) CR 1(4) EY 42(10) EY 47(1), (3), (4) EY 43 EY 47(1), (3), (4) EY 44(2), (3) EY 44(1) FC 18(1), (2) FC 20 FC 19 FC 18(1), (3) FC 21(1) 2947 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) proviso (2) (2A) (2B) (3) (4) (5) (1) (1A) (2) (1) (1)(a) (1)(b) (1)(c) (2) (3) CN 3 CN 4 2948 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 FC 21(4) FC 21(1) FC 21(3) FC 21(3) FC 21(2) omitted
 FC 21(1) EY 47(1), (3), (4) EY 47(1), (2), (4) omitted FC 14(2) FC 14(1) FC 13(5) FC 13(6) FC 15 FC 16(4)-(6) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (3A) (4)(a) (5) (1) (2) (1) (2) (3) (4) (5) (1) (2) (3) (4) (5) (1) CN 5 Subpart CZ CZ 1 CZ 2 CZ 3 CZ 4 CZ 4A Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 FC 17 FC 16(2), (3) FC 16(7) CX 35(2) CX 35(1) CZ 3(1) CZ 3(2) omitted CZ 3(4) CZ 3(5) CW 8(1), CZ 5, OE 4 omitted omitted omitted CZ 13(1) CZ 13(2) CZ 13(3) CZ 14(1) 2949 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 CZ 4B CZ 6 (2) (1) (2) (a) (b) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CZ 14(2) CZ 14(1), (3) CZ 14(3) omitted omitted (c)(i), (ii), (vi) DZ 10 (c)(iii)-(v) omitted (d)(i)-(iii), (vi), (vii) CZ 12 (d)(iv), (v) omitted PART D Subpart DB DB 1 Subpart DC DC 1 2950 (1) (2) (1) (2) (3) (4) (5) DB 1(1) DB 1(2) CX 41(1), DF 1(1) CX 41(2), DF 1(2) CX 41(2), DF 1(3) CX 41(1), DF 1(1) DF 1(4) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DC 2 (1) CF 2(2), (3) DC 3 (1) proviso (2) (3) (4) (5) (1) (2) (3) (4) (5) CF 2(3) CF 2(3) CF 2(3) CF 2(4) CF 2(1) CX 41(1), DF 2(1) DF 2(1), (2) DF 2(3) DF 3 OB 1 “grant-related suspensory loan” Subpart DD DD 1 (1)(a) (1)(b)(i), (ii) omitted DB 6 (1)(b)(iii) DB 8(1), (2) (1)(c) (2) (3) DB 14(1) DB 8(6) DB 7(1), (5), (6) 2951 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 DD 2 (4) (1) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DB 7(2)-(4) DX 1(1), (2), (4) (1) ﬁrst proviso DX 1(3) (1) second proviso DX 1(3) (2) (1) (2) (1) (2) (3) (4) (1) (2) DD 3 Subpart DE DE 1 Subpart DF DF 1 DF 2 DF 3 DF 4 2952
 DX 1(5) DB 8(3)-(5) omitted omitted DC 5(1), (2) DC 5(1), (2) DC 6(1), (2), EJ 19(1) omitted CG 5(1), (3) CG 5(2) DC 2(1), (2) DC 2(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 DF 5 DF 6 DF 7 DF 8 (1) (2) (1) (2) (2)(a) (2)(b) (2)(c) (2)(d) (2)(e) (2)(f) (2)(g) (2)(h) (2)(i) (2)(j) (2)(k) (3) (1) (2) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DC 1(1), (3) DC 1(2) omitted DC 11(1), (2) DC 11(1) DC 12(2) DC 12(2) DC 12(3) DC 12(3) DC 12(4) DC 12(4) DC 12(4) DC 12(5) DC 13 DC 12(7) DC 12(6) DC 14 DC 4(1), (3), (4) DC 4(2) 2953 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (3) DC 4(1), (5) DF 8A DF 8B DF 10 DF 11 Subpart DG DG 1 Subpart DH DH 1 DH 2 DH 3 2954 (1) (2) (3) (1) (2) (3) (4) (1) (2) (3) (1) (2) DC 3 DC 3 DC 9 DC 10 DC 10 EA 4(6) DD 1(1), DD 2(1) DD 1(2), DD 3 DD 2(1), (7), DD 10 DD 10 omitted DE 1(2) DE 2(1) DE 3, DE 5 DE 6 DE 7 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 DH 4 Subpart DI DI 1 DI 2 DI 3 (3) (4) (5) (6) (7) (7)(a) (7)(b) (1) (2) (1) (2) (2)(a) (2)(b) (2)(c) (2)(d) (2)(e) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DE 8 DE 10 DE 11 DE 9(1) DE 9(2) DE 9(3) DE 9(4) DE 4 DV 10(1), (2) DV 10(3) DV 11 DV 1 DV 2 DV 2(1) DV 2(1), (2) DV 2(6) DV 2(7), (8), DV 3 DV 2(9) 2955 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (3) (4) (5) (6) (7) (8) (9) (9)(a) (9)(b) (1) (2) (3) (4) (5) (6) (7) (8) (9) (1) DI 3B DI 3C 2956 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DV 4(2) DV 4(2), (4)-(6) DV 4(2), (3) DV 4(2), (4)-(6) DV 4(7) DV 2(3), DV 4(1) DV 4(1) DV 2(1) DV 4(1) DV 5(1), (2) DV 5(3) DV 5(3) DV 5(3) DV 5(5) DV 5(9) DV 7(1) DV 7(2)
 DV 5(5) DV 6(1) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (2) (3) (4) (a)(i) (a)(ii) (a)(iii) (a)(iv) (b) (c) (1) (2) (1) (2) DI 4 DI 5 DI 6 Subpart DJ DJ 1 DJ 2 DJ 3 DJ 4 DJ 5 DV 5(6) DV 5(8) DV 5(1) DV 12 DV 9(1) DV 9(2) DB 23(2)-(4) omitted DB 23(1) DB 23(5) DB 18 CG 4 DB 24 DB 4(1), (2) DB 4(3) DB 32 DB 3(1) CG 4 2957 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DB 3(2) DB 3(3) DB 28 DB 29(1), (2) DB 34 CG 4 DB 33(1)-(4) (3) (4) (1) (2) proviso (1) (1) proviso CG 4 (2) (1) (2) (1) (2) (3) (4) (5) (6) (7) DB 33(1), (2) DB 25(1) DB 25(2) DB 26(1)-(4), (9) DB 26(5) DB 26(8) DB 26(6) DB 26(7) DB 27(1) DB 27(1) DB 27(2) DJ 6 DJ 7 DJ 8 DJ 9 DJ 9A DJ 9B 2958 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 DJ 10 DJ 11 DJ 12 DJ 13 DJ 13A DJ 14 DJ 15 DJ 16 DJ 17 DJ 18 DJ 19 DJ 20 (1) (2) (1) (2) (3) (4) (1) (2) (3) (1) (2) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DB 37(1), (2) DB 37(3) DB 5(1), DB 13 omitted DB 17 DB 22, DP 10 DB 21 DB 21(3) DB 20 FB 4A DB 19 DZ 1 DV 8 DB 35(1) DB 35(1), (2) DB 35(3) DC 7(1), (2) DC 8(1) DC 8(2) 2959 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) (2) (3) (4) (1) (1)(a) (1)(b) (2) (3) (1) (2) DJ 21 DJ 22 Subpart DK DK 2 DK 3 DK 3A DK 3B DK 3C DK 3D DK 3E 2960 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DB 39(1) DB 39(2) DB 39(2) DB 39(5) DB 36 DT 15 DR 3(1) DR 1(1)-(3), EY 33 DR 2(1), (3), (4), EY 46 EZ 2 EY 46(2) DR 2(2) EZ 2 DZ 2(1), (2), EZ 1 DZ 2(1), EZ 1 DR 3(1), (2) EB 2 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in
 Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DK 4 DK 5 Subpart DL DL 1 (1) (2) (3) (4) (5) (6) (7) (8) (1) (2) (3)(a) (3)(b) (3)(c) (3)(d) (3)(e) (4) (5) DW 1 EZ 27(1) omitted EZ 27(4) EZ 27(4) EZ 27(5) EZ 27(2), (3) EZ 27(1) EZ 27(1) GD 15 DP 1(1) DP 1(1) DP 1(1) DP 1(1) DP 1(1) DP 1(1) DP 1(1) DP 2 2961 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (6) (7) (8) (9) (10) (11) (12) (13)(a)-(d) (13)(e) (14) (15) (1) (2) (3)(a) (3)(b) (3)(c) (1)(a) DL 2 DL 3 DL 4 DL 5 2962 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CG 4 DP 1, DP 10 DP 2 DP 6 TAA s 92AAA TAA s 92AAA CG 4, DP 1(1) omitted DP 1 omitted omitted DP 3(1), (2) DP 3(1), (3) omitted DP 3 omitted omitted CG 4 CW 3 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (1)(b) (1)(c) (1)(d) (1)(d)(i) (1)(d)(ii) (1)(d)(iii) (2) (1) (2)(a) (2)(b) (3) (1) (2)(a) DL 6 DL 7 Subpart DM DM 1 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DP 7(1), (2) DP 7(3) DP 8(1), (2) CW 1(1), (2) CW 1(3), DP 8(2), (3) CW 1(3), DP 8(2), (3) OB 1 “forestry company”, “Maori investment company”, “Maori owner”, “qualifying debenture” DP 4 CW 2 DP 5(1) CW 2(3), (4) DV 13(1), (2) DT 1, DT 5 DT 1(1) 2963 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (2)(b) DT 5(2), EJ 11 (3) (4) (4)(a) (4)(b) (5)(a) (5)(b) (5)(b) proviso (5)(c) (6) (7) (8) (9) (9)(a) (9)(b) (1) (2) (3) DZ 3(1), (2), (4), EZ 3 DT 17(3) DT 17(1) DT 17(2) EJ 12 EJ 13(1) EJ 13(2) DZ 4 DT 9, EJ 14 DT 10 DT 6 DT 7 CT 3 DT 7(2) DT 1(2), DT 2 DT 2(1) DT 2(2), (7) DM 1A 2964 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (4) (5) (6) (1) (2) (1) (2)(a)(i)
 (2)(a)(ii) (2)(b) (3) (1) (2) DM 1B DM 2 DM 3 DM 4 DM 5 DM 6 DM 7 DM 8 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DT 2(3), (7) DT 2(4) DT 2(5) DT 2(5) DT 16 DT 3, DT 8 DT 4 DT 14 DZ 5(1) DZ 5(2) DZ 5(3), (4) DZ 5(5), (6) DT 12 DT 13 CT 5, DT 20, DZ 7, EJ 16, EZ 3, GC 12(3), IH 3(2) TAA s 91(1A) omitted 2965 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 DM 9 DM 10 DM 11 Subpart DN DN 1 2966 (1) (1)(a) (1)(b) (2) (3) (4) (5) (6) (6)(a) (7)(a)(i) (7)(a)(ii) (7)(b) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CT 4, DT 19, DZ 6, EJ 15, EZ 3(3), GC 12(4) CT 4, DT 19, DZ 6, EJ 15, EZ 3(4), GC 12(5) omitted CU 22(1) CU 22(2) CU 22(3), (4) CU 1 DU 7 CU 2 DU 1(1), (3) DU 4(1), DU 9 DU 4(2)-(4) omitted DU 6(1) omitted DU 6(1) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (7)(c) (8) CU 10, DU 6(1), (3) (9) (9)(a) (9)(b) CU 3(3) CU 3(1) CU 3(1) (9) ﬁrst proviso CU 3(1) (9) second proviso CU 3(2) (10) (10)(a) (10)(b) (10)(c) (10)(d) (11) (12)(a) (12)(b) (13) (14) DU 2(1) CU 3(5), DU 2(4) CU 3(4), DU 2(2), (3) CU 3(5)-(7), DU 2(5), (6) CU 3(6), DU 2(5) CU 3(6), DU 2(5) DU 2(1) CU 3(3) CU 4, CU 5(1), (2), DZ 12 CU 5(3), CU 6, DU 3(1) CU 7 2967 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (14)(a) (14)(b) (14)(c)(i) (14)(c)(ii) (14)(d) (14)(e) (14)(f) (14)(g) (14)(h) (14)(i) (15)(a) (15)(b)(i) (15)(b)(ii) (15)(b)(iii) (15)(b)(iv) (15)(b)(v) (16) (17) (1) DN 2 2968 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CU 7 DU 3(1) DU 6(2) DU 3(1), (2) CU 8(1)-(4) CU 11(3), DU 8(3) CU 8(4), (5) DU 3(3)-(8) CU 8(4), (5) DU 5 CZ 2(1) CZ 2(1) CZ 2(2) CZ 2(2) CZ 2(2) CU 11(1), DU 8(1) CU 11(2), DU 8(2) DU 11(1), (2) Reprinted as at 29
 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (2) (3) (4) (5) (6) (7) (8) (9) (10) (1) (2) (3) DN 3 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CX 38 CU 15(1)-(3) CU 15(4)-(7) CU 16 CX 40 CU 14 CU 20 CX 39 CU 29, OB 1 “mining purposes”, “mining share”, “prescribed period” DU 12(2) omitted DU 12(1), (5), DZ 12 (3) ﬁrst proviso DU 12(3) (3) second proviso DU 12(4) (4) (5) (6) CU 19(1)-(3), (7) CU 19(4), (5) CU 18 2969 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CU 17 CU 17(1), CU 18, CU 19(1), (5) CU 19(6) DU 12(2) CZ 4, DZ 12 CU 29, OB 1 “loan”, “prescribed proportion” CU 12(1) DU 9(3) DU 9(5) CU 21(2), CU 23(4), CU 24(4), CU 25(2) CU 12, DU 9(1), (2), DZ 12 CZ 2(3) CU 12, DU 9(1), DZ 12 CU 21(2), CU 23(4), CU 24(4), CU 25(2) (2)(a) CU 13, DU 10 (7) (8) (9) (10) (11) (12) (1) (2) (3) (4) (5) (6) (7) (1) DN 4 DN 5 2970 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Subpart DO DO 1 DO 2 DO 3 DO 4 (2)(b) (2)(c) (a) (b) (1) (2) (a) (b) (c) (d) (e) (f) (g) (1) (2) (3)(a) (3)(b) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CZ 2(3) CU 13, DU 10 DW 2(2), (3) DW 2(1) EJ 2(1)-(5) EJ 2(6) DO 1(1), DO 2(1) DO 1(1) DO 1(1) DO 1(1) DO 1(1) DO 2(2) DO 2(2) DO 1(1) DO 4(1), (2) DO 4(1), (3) omitted DO 4(4), (5) 2971 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (3)(c) (4) (5) (1) (2) (3)(a) (3)(b) (3)(c) (1) (2) (3) (4) (1) (2) (3) (1) DO 5 DO 6 DO 7 DO 8 Subpart DP DP 1 DP 2 2972 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 omitted O 4(6) TAA s 44C(3), (4) DO 6(1), (2), (4), (5) DO 6(1), (3)-(5) omitted DO 6(4), (5) omitted DO 5 DO 3(1), (2) DO 3(2) omitted omitted DV 13(1), (2)
 DN 4(1) DN 4(3) DN 4(2) DN 5(1), DN 8(1) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (1A) (1B) (2) (3) (4) (1) (2) (1) (2) DP 3 Subpart DZ DZ 1 DZ 2 DZ 3 DZ 4 DZ 5 DZ 6 PART E Subpart EB EB 1 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DN 8(5) DN 8(6) DN 8(2) DN 8(3) DN 8(4) DN 5(1), DN 9(1), (2) DN 9(3) omitted omitted omitted omitted omitted omitted BD 3(4) omitted 2973 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (3) (4) (1) (2) (1) (2) (3) (4) (5) (6) (7) (1) (2) (1) (2) EB 2 EB 3 EB 4 EB 5 Subpart EC EC 1 Subpart ED ED 1 2974 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EI 8 EI 8 EI 6(1), (2) EI 6(3), (4) omitted EI 2(2) EI 2(1) EI 2(2) EI 2(3) EI 2(3) EI 2(2) EI 2(1), (2) CX 44 omitted CH 4, DB 43, EG 2 EF 3(1) EF 3(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 ED 1A ED 1B ED 2 ED 3 ED 4 (2A) (3) (4) (1) (1A) (2) (3) (3A) (4) (5) (1) (2) (3) (4) (1) (2) (3) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EF 3(2), (5) EF 3(3) omitted EF 3(1) EF 3(2), EZ 28(1) EF 3(4) EF 3(2) omitted EF 3(3) EZ 28(3) EF 3(1) EF 3(2) EF 3(3) EF 3(4) EF 1 EF 2 CX 1 DB 2(1) CH 5(2), DB 2(2) 2975 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (4) (4)(a) (4)(b) (5) (6)(a) (6)(b) (6)(c) (6)(d) (7) (1)(a) (1)(b) (2) (2)(a) (2)(b) (3) ED 5 ED 6 2976 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EE 45(1) EE 45(2), (3) EE 45(4) EZ 16(2) EE 38(1), (7) EE 45(2) EE 38(2)-(4), , (8) EE 38(5), (6) OB 1 “goods”, “GST”, “GST charged”, “GST payable” CC 8 EF 5(2) EF 5(1) EF 4(1) EF 4(2) EF 4(1) EF 4(2), EF 5(1), (2), (4) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act
 1994 (1) (2) (1)(a) (1)(b) (1)(c) (1)(d) (1)(e) (2) (3) (4) (1) (2) (3) (4) ED 6A ED 7 ED 8 Subpart EE EE 1 EE 2 EE 2A Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EZ 28(2) EZ 28(3) EF 5(3) EF 4(3) EF 4(3) EF 5(3) omitted EF 4(4), EF 5(5) EF 5(4) OB 1 “income tax liability” EF 6 EB 1 EA 1(1), EB 3(1) EA 1 EB 3(2) CH 1, DB 40(2), EA 1(2), (3) EB 23 2977 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) (2) (3) (1) (2) (3) (5) (6) (7) (1) (2) (3) (1) (2) (3) (1) (2) EE 3 EE 4 EE 5 EE 6 EE 7 EE 8 2978 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EB 4(1), EB 11(1) EB 21(1) ED 1(1) EB 2 EB 6(1) EB 6(2) EB 8, EB 17 EB 7, EB 16 EB 7, EB 16 EB 15 EB 7 EB 7 EB 22(2) EB 17(1), (2) EB 17(2) EB 18 EB 9(1), EB 19(1) EB 9(2), (7), EB 19(3), (6) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 EE 9 EE 10 EE 11 EE 12 EE 13 EE 14 (3) (4) (1) (2) (3) (4) (1) (2) (3) (4) (1) (2) (3) (1) (2) (3) (1) (2) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EB 9(7), EB 19(6) EB 9(7), EB 19(6) EB 9(4), (5) EB 9(1), EB 19(1) EB 9(6), EB 19(5) EB 9(7), EB 19(6) EB 9(7), EB 19(6) EB 10(1), EB 20(1) EB 10(2), EB 20(2) EB 10(2), EB 20(3) EB 20(3) EB 11(2), EB 21(2) EB 11(3), EB 21(2) EB 11(4), EB 21(2) ED 1(1), (6) ED 1(1), (6) ED 1(5) ED 2(1) ED 2(2) 2979 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2A) (3) (4) (1) (2) (1) (2) (3) (4) (5) (1) (2) EE 15 EE 16 EE 17 EE 18 EE 19 EE 20 EE 21 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ED 2(1) ED 2(3) CD 20, ED 2(4) EB 5(1), (2), EC 5(1), (2) EB 5(3), EC 5(3) EB 12, ED 1(3) EB 22(1) EB 21(1), EB 22(2), ED 1(4) EB 22(3), ED 1(4) EB 22(4), ED 1(4) omitted omitted CG 6 EB 13(2), (3) EB 9(5) EB 9(5) Subpart EF EF 1 2980 (1)(a) BD 4(2), EA 3 Reprinted
 as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (1)(b) (2) (3) (4) (5)(a) (5)(b) (5)(c) (5)(d) (5A) (6) (6A) (7) (8) (1) (1A) EF 1A EF 2 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 CH 2, CH 3, DB 41(2), DB 42, EA 3 EA 3 EA 3, TAA s 91AAA(1), (3) EA 3, TAA s 91AAA(2) EA 3 EA 3 EA 4 EA 3 EA 3 EA 4 EA 4 OB 1 “goods”, “services” omitted EA 4 EA 2(2) omitted 2981 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (2) (3) (4) (1) (2) (1) (2) (3) (4) (1) (2) (3) (1) (1)(a) (1)(b) (1)(c) (1)(d) (1)(e) Subpart EG EG 1 EG 1A EG 1B EG 2 2982 EA 2(1) omitted omitted EE 1(2) EE 11 EE 4 EE 4(2) EE 4(2) EE 5 EE 3(1) EE 3(2), (3) EE 3(1) EE 14 EE 16 EE 17 EE 15 DE 2 FB 7 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 EG 3 EG 4 EG 5 (2) (2A) (3) (1) (2) (3) (4) (5) (6) (1) (2) (3) (4) (5) (6) (7) (1) (2) (3) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EE 21(1) EE 10 EE 19 EE 9, EE 12(1), (2) EE 12(2)(b) EE 12(3), (4) EE 12(5), (6) EE 12(2)(c), EZ 8 EE 18 EE 25(1) TAA s 91AD(1) EE 25(4), (5) EE 25(3) EE 25(3) TAA s 91AD(2) TAA s 91AD(3), (4) EZ 12 EZ 13(1)-(3) EZ 13(5)-(9) 2983 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (4) EZ 13(4) EG 6 EG 7 EG 8 EG 9 EG 10 EG 11 2984 (1) (2) (3) (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (1) EE 26 EE 26 EE 27 EZ 14(1)-(5) EZ 14(6) EZ 14(7) TAA s 91AE(1) TAA s 91AE(2) TAA s 91AE(4) TAA s 91AF TAA s 91AE(5), (6) TAA s 91AG(1)-(3) TAA s 91AG(4) TAA s 91AH(1), (2) TAA s 91AH(3) EE 29(1) EE 29(2) EE 21(2)-(7) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income
 Tax Act 1994 (2) (3) (3A) (4)(a) (4)(b) (4)(c) (4A) (5) (6) (7) (8) (1) (2) (3)(a) (3)(b) (4) (5) (6) EG 12 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EE 21(1) EE 22(1) EE 22(2) EE 22(3) EE 22(5) EE 22(4) EE 22(6), EZ 9 EE 23 TAA s 91AJ(1), (3) TAA s 91AJ(2) EE 24 EE 32(1) EE 32(4) EE 32(5) EE 32(2) EE 39(1) EE 32(3) EE 32(3) EG 13 TAA s 91AK(1) 2985 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 EG 14 EG 15 EG 16 EG 16A EG 17 2986 (1) (2) (2)(b) (1) (2) (3) (4) (5) (1) (2) (3) (4) (1) (2) (3) (4) (5) (6) (1) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 TAA s 91AK(2) TAA s 91AK(3)-(6) TAA s 91AI EZ 16(1), (3) EZ 16(4) EZ 17 EZ 18 EZ 24 EE 31(1), (2) EE 31(4) EE 31(5), (6) EE 31(3) EE 8(1) EE 8(2) EE 8(3) EE 8(4) EE 8(5) EE 8(6) EE 33(1)-(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (2) (3) (3B) (4) (5) (6) (7) (8) (1) (2) (3) (4) (5) (6) (1) (2) (2A) (3) EG 18 EG 19 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EE 33(4) EE 33(4) EE 34(1) EE 33(5) EE 33(1) EE 35 EE 36 EE 33(1), (3)-(5), EE 35 EZ 15(1) EZ 15(3) EZ 15(1), (4) EZ 15(5) EZ 15(5) EZ 15(2) CZ 11, EE 39(1), (2) EE 41(1) omitted EE 41(2) 2987 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (4) (5) (6) (6A) (6B) (7) (8) (9) (10)(a) (10)(b) (10A) (10B) (11) (1) (2)(a) Subpart EH EH A1 to EH 18 EH 19 2988 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DE 2, EE 42, EZ 10, FB 7 EE 44(1), (2) EE 44(3) EE 38(5), (6) EE 43 EE 38(2)-(4), , (8), EZ 20 EE 2(2) EE 37, EE 40(2)-(5), , (7)-(10), EZ 20 EZ 19(2) EE 38(1) EE 38(7), EE 40(6) EE 38(7) omitted EZ 30-EZ 49 EW 10(1), (2) EW 10(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding
 provision in Income Tax Act 2004 or Tax Administration Act 1994 (2)(b) (3)(a) (3)(b) (1) (2) (3) (4)(a) (4)(b) (5) (1)(a) (1)(b) (2) (3) (4) (1) (2) EH 20 EH 21 EH 22 EH 23 EH 24 EW 10(5) EW 10(4) EW 10(6) EW 1(3) EW 9 EW 11 EW 9 EW 9 EW 9 EW 9 EW 3(1) EW 3(3) EW 3(2) EW 4(1), (2) EW 4(1), (2) EW 4(3), EW 6(1) EW 6(2) EW 6(3) EW 5(1) 2989 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (1)(a) (1)(b) (1)(c) (1)(d) (1)(e) (1)(f) (1)(g) (1)(h) (1)(i) (1)(j) (1)(k) (1)(l) (1)(m) (1)(n) (1)(o) (1)(p) (1)(q) (1)(r) (1)(s) EW 5(2) EW 5(19) EW 5(3) EW 5(8) EW 5(4) EW 5(5) EW 5(7) EW 5(6) EW 5(9) EW 5(16) EW 5(10) EW 5(17) EW 5(11) EW 5(18) EW 5(12) EW 5(20) EW 5(21) EW 5(13) EW 5(14) 2990 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 5(22) EW 5(23) EW 5(15) EW 3(4) EW 7(1) EW 7(2) EW 7(2) EW 37, EW 42 EW 8(1) EW 8(2) EW 8(2) EW 8(3) EW 8(5) EW 8(4) EW 2 EW 35(1) EW 35(2) (1)(t) (1)(u) (1)(v) (2) (3) (3)(a) (3)(b) (3)(c) (1) (2) (3) (4) (5) (6) (1) (2) (3) EH 25 EH 26 EH 27 EW 54(1), EW 56 (1)(a) EW 57(1) 2991 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1)(b) (2) (3) (4) (5) (6) (7) (8) (1) (2) (3) (4) (1) (2) (1) (2) (1) (2) EH 28 EH 29 EH 30 EH 31 2992 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 57(2) EW 57(3) EW 57(3) EW 57(4), (5), (7)-(9) EW 57(6) EW 58(1) EW 57(2) EW 54(2), EW 59 EW 58(5) EW 58(4), (5) EW 58(5) EW 58(3) EW 54(1) EW 60(1)-(3) EW 60(3) EW 58(2) EW 58(2) EW 61(1) EW 61(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (3) (4) (5) (6) (7) (1) (2) (3) (4) (5) (6) (7) (1) (2) (3) (4)(a) (4)(b) (1) EH 32 EH 33 EH 34
 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 61(2) EW 62(3) EW 61(4) EW 61(5), (6) EW 61(5) EW 62(1), (2), (4) EW 62(3) EW 62(5) EW 62(7), EW 63 EW 62(9) EW 62(8) EW 62(6) EW 14(1), (2) EW 12, EW 13(1) EW 15(1) EW 14(3) EW 13(3), EW 55(1) EW 13(2) EW 16(1), EW 19 2993 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2) (3) (1) (2) (3) (4) (5) (6) (1) (2) (3) (4) (1) (2) (3) EH 35 EH 36 EH 37 EH 38 EH 39 EH 40 2994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 16(2) EW 16(2) EW 17(1), EW 19 EW 19 EW 25(1), (2), EW 26(1) EW 25(3) EW 17(2) EW 17(2) EW 18 EW 18 EW 18, EW 19 EW 25(4), EW 26(1) EW 20(1), (2), EW 21 EW 20(1) EW 20(2) EW 20(2) EW 21 EW 22 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 EH 41 EH 42 EH 43 EH 44 EH 45 EH 46 (1) (2) (3) (1) (2) (1) (2) (3) (4) (1) (2) (3) (4) (5) (1) (2) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 24 EW 23(1), (2) EW 23(2) EW 23(3) EW 26(2) EW 26(3) EW 27(1), (2) EW 27(3)-(8) EW 26(4), EW 27(3)-(8) EW 26(3) EW 29(1)-(3), (5), (8)-(12), EW 55(2) EW 29(4) EW 29(6) EW 29(7) EW 29(13), EW 36, EW 41 EW 30(1) EW 30(2) 2995 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 30(3) EW 30(4), (5) EW 31(7) EW 31(1), (2), (5), (6), (9)-(11) EW 31(3), (4) EW 31(3) DB 9, EW 31(4) EW 15(2), EW 31(7), EW 48(2), EW 49 EW 32(1)-(6) EW 32(3)-(6) EW 32(3) EW 33(2) EW 45(5) EW 48(2) EW 39(2), EW 44(2) EW 38(1), (2), EW 43(1), (2) (2A) omitted (3) (4) (1) (2) (3) (4) (1) (2) (3) (4) (5) (6) (7) (8) (1) EH 47 EH 48 EH 49 2996 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 EH 50 EH 51 EH 52 (3) (4) (5) (1) (1A) (2) (2)(a) (2)(b)
 (3) (1) (2) (2A) (3)(a) (3)(b) (3A) (4) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 40(1) EW 40(3) EW 40(2) EW 36, EW 41 EW 37, EW 42 EW 36, EW 37, EW 41, EW 42 EW 37 EW 37(2) EW 37(2), EW 42(2) EW 47(1)-(4) EW 46, EW 51(1), (3) EW 51(1) EW 51(2) EW 51(6) EW 51(4) OB1 “beneﬁciary income” EW 51(5) 2997 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) (2) (3) (4) (5) (6) (7) (1) (2) (3) (4) (1) (2) (1) (2) (3) EH 53 EH 54 EH 55 EH 56 EH 57 2998 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DB 10(1), EW 45(1), EW 50(1) EW 45(3), EW 50(3) EW 45(4), EW 50(4) EW 45(4), EW 50(4) EW 45(2), EW 50(2) EW 45(5), EW 50(5) DB 10(1), EW 50(6) DB 23(2)-(4) DB 23(2) DB 23(3) DB 23(4) DB 11(1), (2), EW 52(1), (2) DB 11(3), (4), EW 52(3), (4) DB 12 EW 53(1), (2) EW 53(3) EW 53(4)-(6) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (4) (1) (2) (3) (1) (2) (3) (4) (5) (1) (2) (3) EH 58 EH 59 Subpart EI EI 1 EI 2 EI 3 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EW 53(5) EW 17(3), EW 25(5), EW 56(3) EW 47(3) EW 47(2) EW 47(2) EH 3, EH 4(4), (5), EH 66 EH 2, EH 5(1)-(3), (5), EH 67 EH 4(1)-(3), EH 66 CX 43, EH 8, EH 9, EH 70, EH 71 EH 5(4), (5), EH 67 EH 6(1), (2), (6) EH 6(3) EH 6(4), (5) DQ 1(1), (2), DQ 3(1), (2), EH 4(1), EH 7, EH 69 2999 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) (2) (3) (4) (5) (1) (1) proviso (2) (3) (1) (1) ﬁrst proviso (1) second proviso (2) EI 4 EI 5 EI 6 3000 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EH 12, EH 13(1), EH 72, EH 73 EH 13(2), EH 72, EH 73 EH 15(1), (2), EH 75 EH 15(3), (4), EH 75 EH 14, EH 16, EH 74, EH 76 EH 12, EH 17, EH 18(1), EH 48, EH 49(1) EH 18(2), (3), EH 49(2), (3) EH 18(4), EH 49(4) EH 27, EH 58 EH 12, EH 19, EH
 20, EH 50, EH 51 EH 21(1), (2), EH 52(1), (2) EH 22(1)-(4), , EH 53(1)-(4) EH 21(3), EH 22(5), EH 52(3), EH 53(5) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 EI 7 EI 8 EI 9 EI 10 EI 11 EI 12 (3) (1) (2) (1) (2) (1) (2) (3) (4) (5) (1) (2) (3)(a) (3)(b) (4) (5) (1) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EH 27, EH 58 EH 12, EH 23, EH 54 EH 24, EH 55 EH 12, EH 25, EH 56, EH 77 EH 26, EH 57, EH 78 EH 10, EH 11, EH 12 EH 29, EH 60 EH 28 EH 30, EH 31(1), EH 32, EH 33 EH 32 EH 31(2) EH 38, EH 39(1), (4) EH 40(1)-(3), , (5) EH 39(3) EH 39(2) CX 43, EH 43 EH 40(4) EH 41(1) 3001 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2) (3) (4) (1) (2) (3) (4) (1) (2) (1) (2) (3) (4) (1) (2) EI 13 EI 14 EI 15 EI 16 EI 17 Subpart EJ EJ 1 3002 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EH 41(2) EH 41(3), (4) EH 41(5) DQ 2(1), (2), EH 42 EH 45, EH 46 EH 47 EH 61(1)-(3) EH 61(4) EH 48-EH 58, EH 60 H 60 EH 59 EH 65, EH 66(1) CX 43, DQ 3(1), (2), EH 66-EH 79 EH 67 EH 81 EI 1 EJ 1 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 EJ 2 Subpart EK EK 1 Subpart EL EK 1 EK 2 ( (1) (2) (2) proviso (3) (1) (1)(a) (1)(b) (1)(c) (1)(d) (2) (3) (4) (1) (2) (2)(a) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 omitted EJ 3(1)-(3), (5) EJ 3(5) EJ 3(3) EJ 3(4), (6) EC 2, EC 3 omitted omitted EC 30 EC 6 EC 13 EC 4(1) EC 4(2) EC 7(1)-(3) EC 7(5) EC 9 3003 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2)(b) (2)(c) (2)(d) (2)(e) (2)(f) (2)(g) (3) (4) (5) (6) (7) (8) (1) (2) (3) (4) (1) (2) (3) EL 3 EL 3A 3004 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EC 10 EC 9 EC 8(1) EC 8(2) EC 9, EC 10 EC 9, EC 10 EC 11(1)-(3) EC 11, EC
 14(3) EC 11(4) EC 12 omitted EC 7(4) EC 25(1) EC 10 EC 10 EC 25(2) EC 23 TAA s 91AC TAA s 91AC Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 EL 4 EL 5 EL 6 (1) (2) (3) (4) (5) (6) (7) (8) (1) (2) (3) (4) (5) (6) (1) (2) (3) (4) (5) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EC 22(1), (2) EC 9 EC 9 EC 24(1) EC 24(2) TAA s 91AB TAA s 91AC TAA s 91AC EC 16(1) EC 16(2), (3) EC 14(1) EC 8(1) EC 8(2) EC 20, EC 21 EC 17(1), (3) EC 17(5), (6) EC 17(4) EC 18 EC 17(2) 3005 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (6) (7) (1) (2) (3) (4) (2) (3) (1) (2) (3) (4) (1) (2) (3) (4) (5) (6) EL 7 EL 8 EL 9 EL 10 3006 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EC 19(1), (2) EC 19(3) EC 26, EC 37 EC 9, EC 27 EC 10, EC 27, EC 37 EC 9, EC 10, EC 12 EC 15 TAA s 91AC TAA s 91AC EC 30 EC 31(2) EC 29 EC 31(1) EC 34(1) EC 36 EC 35 EC 35 EC 33 EC 32(2) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (7) omitted Subpart EM EM 1 EM 2 EM 3 (1)(a) (1)(ab) (1)(b) (1)(c) (2) (3) (4) (5) (1) (2) (3) (4) (5) (6) (7) (1) (2) EC 39 EC 39 EC 40 EC 44 EC 43 EC 45 EC 41, EC 42 EC 41, EC 42 EC 46(3) EC 46(2) EC 46(1), (4) EC 46(3) EC 46(4) EC 47(1) EC 47(2) EC 48(1), (2), (4) EC 48(1) 3007 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (2)(a) (2)(b) (3) (1) (2) Subpart EN EN 1 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EC 48(3), (4) EC 48(5), (6) EC 48(1), (7) CC 2(1) CC 2(1), (2) (2) proviso CC 2(3), EI 4(2), (4), (5) (3) (4) (5) (6) (7) (8) (1) (1) proviso (2) (3)(a) (3)(b) EI 4(3) EI 4(2) EI 5(1), (2) DB 16(1)-(3) EI 5(3) OB 1 “own” CB 26 omitted omitted DB 29(1), (3), (4) DB
 30(1)-(3) EN 2 3008 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (3)(c) (3A) (3B) (4) (5) (1) (2) (3) (4) (5) (6) (1) (2) (3) (1) (2) EN 3 EN 4 EN 5 EN 6 EN 7 EN 8 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DB 31(1)-(4) omitted omitted CB 26 omitted EI 3(1) EI 3(2), (5) EI 3(3), (5) omitted EI 3(4) EI 3(6) EI 7(1), (2) EI 7(3) EI 7(4), (5) CB 28(2) CB 28(2) CS 1(7) omitted CE 8(3) 3009 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Subpart EO EO 1 EO 2 EO 2A EO 3 EO 4 3010 (1) (2) (2A) (2B) (3) (4) (5) (6) (7) (8) (9) (1) (1B) (2) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 EJ 19 EJ 9 EJ 9 DS 1(1), (3)-(5) DS 1(3) omitted omitted DS 1(4) DS 1(1), EJ 4(1), (2) DS 1(1), EJ 5(1), (2), (4) EJ 4(5), EJ 5(3) DS 1(1), (4) omitted DS 1(3), EJ 4(3), (4), (6) DS 2(2) DS 2(3) DS 2(5) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 (2B) (3) (3A) (3B) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (1) (2) (2A) (2B) EO 4A Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DS 2(2) DS 2(5) omitted omitted DS 2(1), EJ 7(1), (2) DS 2(1), EJ 8(1), (2), (5) EJ 7(3), EJ 8(3) EJ 8(4) omitted EJ 6(1)-(3) EJ 6(5), (6) EJ 6(4), (7) GD 12A EJ 6(1) omitted DS 3(1), DS 4 DS 3(2), DZ 11(1), (2) DZ 11(1), (2) 3011 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (3) (4) (5) (6) (7) (8) (1) (2) (3) EO 4B EO 5 EO 6 EO 7 Subpart EP EP 1 Subpart EQ EQ 1 Subpart ES ES 1 ES 2 3012 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DS 3(1) DS 3(1) DS 3(4) DS 4 DS 4 DZ 11(3) DS 3(6) DB 15(1) DB 15(2)-(4), EJ 10 DB 15(2), EJ 10 DC 7(3) DB 39(4) EG 1 LE 4 GC 29 GC 30 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued
 Provision in Income Tax Act 1994 ES 3 Subpart EZ EZ 1 EZ 2 EZ 3 EZ 4 EZ 5 EZ 6 EZ 7 EZ 8 EZ 9 (1) (2) (3) (4) (5) (1) (2) (3) (4) (1) (2) Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 GC 31 omitted omitted omitted EZ 4(1)-(3) EZ 4(4) omitted omitted EZ 4(5) DZ 8(1), EZ 5(1), (2) EZ 5(2) DZ 8(2), EZ 5(3) DZ 8, EZ 5(1) DZ 9(1), EZ 6(1)-(4) DZ 9(1), EZ 6(5) omitted omitted omitted 3013 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) (2) (3) (4) EZ 10 EZ 11 Subpart FB FB 2 FB 3 FB 4 FB 6 Subpart FC FC 1 FC 2 FC 3 FC 4 FC 5 FC 6 FC 7 FC 8 3014 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 omitted EZ 11(1), (3), (4) EZ 11(2) EZ 11(5), (6) EZ 11(1), (3)-(6) FB 2 FB 3 FB 4 omitted FC 1 FC 2 FC 3 FC 4 FC 5 FC 6 FC 7 FC 8 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 FC 8A FC 8B FC 8C FC 8D FC 8E FC 8F FC 8G FC 8H FC 8I FC 9 FC 10 FC 12 Subpart FD FD 1 FD 2 FD 3 FD 4 FD 5 FD 6 FC 8A FC 8B FC 8C FC 8D FC 8E FC 8F FC 8G FC 8H FC 8I FC 9 FC 10 omitted FD 1 FD 2 FD 3 FD 4 FD 5 FD 6 3015 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 FD 7 FD 8 FD 9 FD 10 Subpart FDB FDB 1 FDB 2 FDB 3 FDB 4 FDB 5 FDB 6 Subpart FE FE 1 FE 2 FE 3 FE 4 FE 5 FE 6 FE 6B 3016 FD 7 FD 8 FD 9 FD 10 FDA 1 FDA 2 FDA 3 FDA 4 FDA 5 FDA 6 FE 1 FE 2 FE 3 FE 4 FE 5 FE 6 FE 6A Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 FE 7 FE 8 FE 9 FE 10 Subpart FF FF 1 FF 2 FF 3 FF 4 FF 5 FF 6 FF 7 FF 8 FF 9 FF 10 FF 11 FF 12 FF 13 FF 14 FE 7 FE 8 FE 9 FE 10 FF 1 FF 2 FF 3 FF 4 FF 5 FF
 6 FF 7 FF 8 FF 9 FF 10 FF 11 FF 12 FF 13 FF 14 3017 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) (1)(a) (1)(b) (2)(a) (2)(b) (3) FF 15 FF 16 FF 17 FF 18 FF 19 Subpart FG FG 1 FG 2 FG 3 FG 4 FG 5 FG 6 FG 7 FG 8 3018 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 FF 15 FF 16(1), (3), (5), (7) FF 16(2) FF 16(8), (9) FF 16(4) FF 16(6) FF 16(9) FF 17 FF 18 FF 19 FG 1 FG 2 FG 3 FG 4 FG 5 FG 6 FG 7 FG 8 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 FG 9 FG 10 Subpart FH FH 1 FH 2 FH 3 FH 4 FH 5 FH 6 FH 7 FH 8 Subpart FZ FZ 1 FZ 2 PART G Subpart GB GB 1 Subpart GC GC 1 FG 9 FG 10 FH 1 FH 2 FH 3 FH 4 FH 5 FH 6 FH 7 FH 8 FZ 1 FZ 2 GB 1 GC 1 3019 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 GC 2 GC 3 GC 4 GC 5 GC 6 GC 7 GC 8 GC 9 GC 10 GC 11 GC 12 GC 14 GC 14A GC 14B GC 14C GC 14D GC 14E GC 14F 3020 (3) (4) GC 2 GC 3 GC 4 GC 5 GC 6 GC 7 GC 8 GC 9 GC 10 GC 11A GC 11B GC 12 GC 14 GC 14A GC 14B GC 14C GD 14D GC 14E GC 14F Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 GC 15 GC 16 GC 17 GC 18 GC 19 GC 20 GC 21 GC 22 GC 23 GC 24 GC 25 GC 26 GC 27 GC 27B GC 28 Subpart GD GD 1 GD 2 GD 3 GC 15 GC 16 GC 17 GC 18 GC 19 GC 20 GC 21 GC 22 GC 23 GC 24 GC 25 GC 26 GC 27 GC 27A GC 28 GD 1 GD 2 GD 3 3021 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 (1) (2) GD 4 GD 5 GD 6 GD 7 GD 8 GD 9 GD 10 GD 11 GD 12 GD 13 Subpart GE GE 1 Subpart GZ GZ 1 GZ 2 PART H Subpart HB HB 1 3022 Corresponding provision in Income Tax Act 2004
 or Tax Administration Act 1994 GD 4 GD 5 GD 6 GD 7 GD 8 CB 13 omitted GD 10 GD 11 GD 12, GD 12B GD 13 GE 1 GZ 1 omitted HB 1 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 HB 2 Subpart HC HC 1 Subpart HD HD 1 Subpart HE HE 1 HE 2 Subpart HF HF 1 Subpart HG HG 1 HG 2 HG 3 HG 4 HG 5 HG 6 HG 7 HG 8 HB 2 HC 1 HD 1 HE 1 HE 2 HF 1 HG 1 HG 2 HG 3 HG 4 HG 5 HG 6 HG 7 HG 8 3023 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 HG 9 HG 10 HG 11 HG 12 HG 13 HG 14 HG 14A HG 15 HG 16 HG 17 HG 18 Subpart HH HH 1 HH 1A HH 2 HH 3 HH 3A HH 3B HH 3C 3024 HG 9 HG 10 HG 11 HG 12 HG 13 HG 14 HG 14A HG 15 HG 16 HG 17 HG 18 HH 1, OD 9 HH 1A HH 2 HH 3 HH 3A HH 3B HH 3C Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 HH 3D HH 3E HH 3F HH 4 HH 5 HH 6 HH 7 HH 8 Subpart HI HI 1 HI 2 HI 3 HI 4 HI 5 HI 6 HI 7 HI 8 HI 9 Subpart HJ HH 3D HH 3E HH 3F HH 4 HH 5 HH 6 HH 7 HH 8 HI 1 HI 2 HI 3 HI 4 HI 5 HI 6 HI 7 HI 8 HI 9 3025 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 HJ 1 Subpart HK HK 1 HK 2 HK 3 HK 4 HK 5 HK 6 HK 7 HK 8 HK 9 HK 10 HK 11 HK 12 HK 13 HK 16 HK 17 HK 18 HK 19 3026 HJ 1 HK 1 HK 2 HK 3 HK 4 HK 5 HK 6 HK 7 HK 8 HK 9 HK 10 HK 11 HK 12 HK 13 HK 16 HK 17 HK 18 HK 19 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 HK 20 HK 21 HK 22 HK 23 HK 24 HK 25 HK 26 Subpart HZ HZ 1 HZ 2 PART I Subpart ID ID 1 Subpart IE
 IE 1 IE 2 (1) (2) (3) (4) HK 20 HK 21 HK 22 HK 23 HK 24 HK 25 HK 26 HZ 1 HZ 2 ID 1 IE 1(1) IE 1(2) IE 1(3) CG 2, DB 38 IE 2 3027 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 IE 3 IE 4 Subpart IF IF 1 IF 2 IF 3 IF 4 IF 5 IF 6 IF 7 Subpart IG IG 1 IG 2 IG 3 IG 4 IG 5 IG 6 IG 7 IG 8 3028 IE 3 IE 4 IF 1 IF 2 IF 3 IF 4 IF 5 IF 6 IF 7 IG 1 IG 2 IG 3 IG 4 IG 5 IG 6 IG 7 IG 8 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 IG 9 IG 10 Subpart IH IH 1 IH 2 IH 3 IH 4 IH 5 Subpart II II 1 II 2 II 3 Subpart IZ IZ 1 IZ 2 IZ 3 IZ 4 IZ 5 IZ 6 IG 9 IG 10 IH 1 IH 2 IH 3 IH 4 IH 5 II 1 II 2 II 3 IZ 1 IZ 2 IZ 3 IZ 4 IZ 5 IZ 6 3029 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 IZ 7 PART K Subpart KB KB 2 KB 3 Subpart KC KC 1 KC 2 KC 3 KC 4 KC 5 Subpart KD KD A1 KD 1 KD 1A KD 2 KD 2AA KD 2AB KD 2A 3030 IZ 7 KB 2 KB 3 KC 1 KC 2 KC 3 KC 4 KC 5 KD A1 KD 1 KD 1A KD 2 KD 2AA KD 2AB KD 2A Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 KD 3 KD 3A KD 3B KD 4 KD 5 KD 5B KD 6 KD 7 KD 7B KD 8 KD 9 Subpart KE KE 1 Subpart KF KF 3 Subpart KG KG 1 Subpart KH KH 1 KD 3 KD 3A KD 3B KD 4 KD 5 KD 5B KD 6 KD 7 KD 7A KD 8 KD 9 KE 1 KF 3 KG 1 KH 1 3031 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 KH 2 Subpart KZ KZ 1 KZ 2 KZ 3 PART L Subpart LB LB 1 LB 1A LB 2 Subpart LC LC 1 LC 1A LC 2 LC 3 LC 4 LC 5 LC 6 LC 7 3032 KH 2
 KZ 1 KZ 2 KZ 3 LB 1 LB 1A LB 2 LC 1 LC 1A LC 2 LC 3 LC 4 LC 5 omitted omitted Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 LC 8 LC 9 LC 10 LC 11 LC 12 LC 13 LC 14 LC 14A LC 15 LC 16 Subpart LD LD 1 LD 2 LD 3 LD 3B LD 6 LD 7 LD 8 LD 9 LC 8 LC 9 LC 10 LC 11 LC 12 LC 13 LC 14 LC 14A LC 15 LC 16 LD 1 LD 2 LD 3 LD 3A LD 6 LD 7 LD 8 LD 9 3033 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 Subpart LE LE 1 LE 2 LE 3 Subpart LF LF 1 LF 2 LF 3 LF 4 LF 5 LF 6 LF 7 Subpart LG LG 1 PART M Subpart MB MB 1A MB 2 3034 LE 1 LE 2 LE 3 LF 1 LF 2 LF 3 LF 4 LF 5 LF 6 LF 7 LG 1 omitted MB 2 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 MB 2A MB 2B MB 3 MB 4 MB 5 MB 5A MB 6 MB 7 MB 8 MB 9 MB 9A MB 10 MB 11 MB 12 Subpart MBB MBB 1 MBB 2 MBB 3 MBB 4 MB 2A MB 2B MB 3 MB 4 MB 5 MB 5A MB 6 MB 7 MB 8 MB 9 MB 9A MB 10 MB 11 MB 12 MBA 1 MBA 2 MBA 3 MBA 4 3035 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 MBB 5 MBB 6 MBB 7 MBB 8 MBB 9 Subpart MC MC 1 Subpart MD MD 1 MD 2 MD 2A MD 2B MD 3 MD 5 Subpart ME ME 1 ME 1B ME 1C ME 2 3036 MBA 5 MBA 6 MBA 7 MBA 8 MBA 9 MC 1 MD 1 MD 2 MD 2A MD 2B MD 3 MD 5 ME 1 ME 1A ME 1B ME 2 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ME 3 ME 4 ME 5 ME 6 ME 7 ME 8 ME 9 ME 10 ME 11 ME 12 ME 13 ME 14 ME 15 ME 16 ME 17 ME 18 ME 19 ME 19A ME 20 ME 3 ME 4 ME 5 ME 6 ME 7 ME 8 ME 9 ME 10
 ME 11 ME 12 ME 13 ME 14 ME 15 ME 16 ME 17 ME 18 ME 19 ME 19A ME 20 3037 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ME 21 ME 22 ME 23 ME 24 ME 25 ME 26 ME 27 ME 28 ME 29 ME 30 ME 31 ME 32 ME 33 ME 34 ME 35 ME 36 ME 37 ME 38 ME 39 3038 ME 21 ME 22 ME 23 ME 24 ME 25 ME 26 ME 27 ME 28 ME 29 ME 30 ME 31 ME 32 ME 33 ME 34 ME 35 ME 36 ME 37 ME 38 ME 39 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ME 40 ME 41 Subpart MF MF 1 MF 2 MF 3 MF 4 MF 5 MF 6 MF 7 MF 8 MF 9 MF 10 MF 11 MF 12 MF 13 MF 14 MF 15 MF 16 ME 40 ME 41 MF 1 MF 2 MF 3 MF 4 MF 5 MF 6 MF 7 MF 8 MF 9 MF 10 MF 11 MF 12 MF 13 MF 14 MF 15 MF 16 3039 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 Subpart MG MG 1 MG 2 MG 3 MG 4 MG 5 MG 6 MG 7 MG 8 MG 9 MG 10 MG 11 MG 12 MG 13 MG 14 MG 15 MG 16 MG 16A MG 17 3040 MG 1 MG 2 MG 3 MG 4 MG 5 MG 6 MG 7 MG 8 MG 9 MG 10 MG 11 MG 12 MG 13 MG 14 MG 15 MG 16 MG 16A MG 17 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 Subpart MH MH 1 Subpart MI MI 1 MI 2 MI 3 MI 4 MI 5 MI 6 MI 7 MI 8 MI 9 MI 10 MI 11 MI 12 MI 13 MI 14 MI 15 MI 16 MH 1 MI 1 MI 2 MI 3 MI 4 MI 5 MI 6 MI 7 MI 8 MI 9 MI 10 MI 11 MI 12 MI 13 MI 14 MI 15 MI 16 3041 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 MI 17 MI 18 MI 19 MI 20 MI 21 MI 22 Subpart MJ MJ 1 MJ 2 MJ 3 MJ 4 MJ 5 MJ 6 MJ 7 MJ 8 Subpart MK MK 1 MK 2 MK 3 3042 MI 17
 MI 18 MI 19 MI 20 MI 21 MI 22 MJ 1 MJ 2 MJ 3 MJ 4 MJ 5 MJ 6 MJ 7 MJ 8 MK 1 MK 2 MK 3 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 MK 4 MK 5 MK 6 MK 7 MK 8 MK 9 Subpart MZ MZ 1 MZ 2 MZ 3 MZ 4 MZ 5 MZ 6 MZ 7 PART N Subpart NB NB 1 Subpart NBB NBB 1 MK 4 MK 5 MK 6 MK 7 MK 8 MK 9 MZ 1 MZ 2 MZ 3 MZ 4 MZ 5 MZ 6 omitted NB 1 NBA 1 3043 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 NBB 2 NBB 3 NBB 4 NBB 5 NBB 6 NBB 7 NBB 8 NBB 9 Subpart NC NC 1 NC 2 NC 3 NC 4 NC 5 NC 6 NC 7 NC 8 NC 8A NC 9 3044 NBA 2 NBA 3 NBA 4 NBA 5 NBA 6 NBA 7 NBA 8 NBA 9 NC 1 NC 2 NC 3 NC 4 NC 5 NC 6 NC 7 NC 8 NC 8A NC 9 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 NC 10 NC 11 NC 12 NC 12A NC 13 NC 14 NC 15 NC 16 NC 18 NC 19 NC 20 NC 21 Subpart ND ND 1 ND 2 ND 3 ND 4 ND 5 ND 5A NC 10 NC 11 NC 12 NC 12A NC 13 NC 14 NC 15 NC 16 NC 18 NC 19 NC 20 NC 21 ND 1 ND 2 ND 3 ND 4 ND 5 ND 5A 3045 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 ND 6 ND 7 ND 7A ND 8 ND 9 ND 10 ND 11 ND 12 ND 13 ND 14 ND 15 ND 16 Subpart NE NE 1 NE 2 NE 2AA NE 2AB NE 2A NE 3 3046 ND 6 ND 7 ND 7A ND 8 ND 9 ND 10 ND 11 ND 12 ND 13 ND 14 ND 15 ND 16 NE 1 NE 2 NE 2AA NE 2AB NE 2A NE 3 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 NE 4 NE 5 NE 6 NE 7 Subpart NEA NEA 1 Subpart NF NF 1 NF 2 NF 2A NF 2B NF 2C NF 2D NF 3 NF 4 NF 5 NF 6 NF 7 NF 8 NE 4 NE 5
 NE 6 NE 7 NEA 1 NF 1 NF 2 NF 2A NF 2B NF 2C NF 2D NF 3 NF 4 NF 5 NF 6 NF 7 NF 8 3047 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 NF 8B NF 9 NF 10 NF 11 NF 12 NF 13 Subpart NG NG 1 NG 2 NG 3 NG 4 NG 5 NG 6 NG 7 NG 8 NG 9 NG 10 NG 11 NG 12 3048 NF 8A NF 9 NF 10 NF 11 NF 12 NF 13 NG 1 NG 2 NG 3 NG 4 NG 5 NG 6 NG 7 NG 8 NG 9 NG 10 NG 11 NG 12 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 NG 13 NG 14 NG 15 NG 16 NG 16A NG 17 Subpart NH NH 1 NH 2 NH 3 NH 4 NH 5 NH 6 NH 7 Subpart NZ NZ 1 PART O Subpart OB OB 1 NG 13 NG 14 NG 15 NG 16 NG 16A NG 17 NH 1 NH 2 NH 3 NH 4 NH 5 NH 6 NH 7 NZ 1 OB 1 3049 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 OB 2 OB 3 OB 3B OB 6 OB 7 Subpart OC OC 1 OC 2 OC 3 OC 4 Subpart OD OD 1 OD 2 OD 3 OD 4 OD 5 OD 5A OD 5B OD 6 3050 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 OB 2 OB 3, OD 9 OB 3A OB 6 EW 34 OC 1 omitted OC 3 OC 4 OD 1, OD 9 OD 2 OD 3, OD 9 OD 4, OD 9 OD 5 OD 5A OD 5B OD 6 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 OD 7 OD 8 Subpart OE OE 1 OE 2 OE 3 OE 4 OE 5 OE 7 OE 8 Subpart OF OF 1 OF 2 Subpart OZ OZ 1 PART Y Subpart YB (1) (3) (4) OD 7, OD 9 OD 8, OD 9 OE 1 OE 2 EY 48 FC 13, OE 4 OE 5 OE 7 OE 8 OF 1 OF 2 OB 1 OB 6(3) omitted 3051 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Provision in Income Tax Act 1994 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 (1) (2) (3) (4) (5) YB 1 YB 2 YB 3 YB 4 YB 5 YB 6 YB 7 SCHEDULES schedule 1 schedule 2 schedule 3 schedule
 4 schedule 5 schedule 6 3052 YA 2 omitted YA 1 omitted omitted omitted omitted YA 3(1) YA 3(2) YA 6 omitted schedule 1 schedule 2 schedule 3 schedule 4 schedule 5 schedule 6 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 A—continued Provision in Income Tax Act 1994 schedule 6A schedule 7 schedule 8 schedule 9 schedule 10 schedule 11 schedule 12 schedule 13 schedule 14 schedule 15 schedule 16 schedule 17 schedule 18 schedule 19 schedule 20 schedule 21 schedule 22 schedule 23 Corresponding provision in Income Tax Act 2004 or Tax Administration Act 1994 DD 2, DD 4-DD 8, DD 11 schedule 7 schedule 8 schedule 9 schedule 10 schedule 11 schedule 12 schedule 13 schedule 14 schedule 15 schedule 16 schedule 17 schedule 18 schedule 19 schedules 21, 22 schedule 20 schedule 20 schedule 23 3053 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 A—continued Schedule 23 Part A was variously amended, as from 1 April 2005, by section 269(1) and (3)Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) with application as from the 2005–06 income year.
Schedule 23 Part A was variously amended, as from 1 April 2005, by section 93(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.

Schedule 23 part A was amended, as from 1 April 2005, by section 208(a) Taxation (De- preciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3) by substituting the expression “EX 36(1)” for the entry in column 3 cor- responding to “section CG 15(2)(c)”.
Schedule 23 part A was variously amended, as from 1 April 2005, by section 167(a) and (b) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81).
B Income Tax Act 2004: corresponding provisions in Income Tax Act 1994 Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 A 1 A 2 PART A AA 1 AA 2 AA 3 PART B Subpart BA BA 1 Subpart BB BB 1 3054 A 1(1) A 1(2), (3) AA 1 AA 3(2) AA 4 BA 1 BB 1 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 BB 2 BB 3 Subpart BC BC 1 BC 2 BC 3 BC 4 BC 5 BC 6 BC 7 BC 8 BC 9 BC 10 Subpart BD BD 1 BD 2 BD 3 BD 4 Subpart BE BE 1 Subpart BF BB 2 BB 3 BC 1(1), BC 2 BC 4 BC 5 BC 6 BC 7 BC 8(1)-(5) BC 3 BC 8(6), BC 10(1) BC 1(2), BC 9(1) BC 9(2), (3), BC 10(2) BD 1 BD 2 BD 3(1)-(4), EB 1(1) BD 4, EF 1(1)(a) BE 1 3055 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 BF 1 Subpart BG BG 1 Subpart BH BH 1 PART C Subpart CA CA 1 CA 2 Subpart CB CB 1 CB 2 CB 3 CB 4 CB 5 CC 6 CC 7 CC 8 CB 9 CB 10 CB 11 3056 BF 1 BG 1 BH 1 BD 1(1), CD 5 new CD 3 CD 4 CD 4 CD 4 CD 1(2)(a) CD 1(2)(b)(i), (c)(i), (d)(i) CD 1(2)(b)(ii) CD 1(2)(c)(ii) CD 1(2)(d)(ii) CD 1(2)(f) CD 1(2)(g) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CB 12 CB 13 CB 14 CB 15 CB 16 CB 17 CB 18 CB 19 CB 20 CB 21 CB 22 CB 23 CB 24 CB 25 CB 26 CB 27 CB 28 CD 1(2)(e) CD 1(11), GD 9(1) CD 1(3)(b) CD 1(2)(f)(iv), (6) CD 1(4)(a)(ii), (b)(ii) CD 1(3)(a) CD 1(2)(f)(iii) CD 1(7) CD 1(4)(a)(i), (b)(i), (c) CD 1(2)(f)(v) CJ 1(1) CJ 1(2)(a)-(d), (e)(i) new CJ 1(1) EN 2(1), (4) CD 3A CD 6(1), (2), EN 5(1), (2) Subpart CC CC 1 CC 2 CC 3 CE 1(1)(e) EN 1(1), (2) CE 1(1)(c) 3057 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CE 1(1)(a) CE 1(1)(a) CE 1(2)(d) CE 1(1)(b), (2)(a)-(c) ED 5 CD 2, OB 1 “royalty” CJ 2 CE 1(1)(a), CF 1 new CF 2(1)(a)-(e), (g)-(l), (1A), (3), (7), (10) CF 2(1)(a)-(e), (g)-(1), (1A),
 (3), (10) CF 2(1)(g), (k), (1), (2), (7) CF 2(1)(f), (6)(a) CF 2(1)(f), (6)(b), CF 8 CF 2(1)(1) CF 6(1) CF 7A CF 6(2), CF 7 CC 4 CC 5 CC 6 CC 7 CC 8 CC 9 CC 10 Subpart CD CD 1 CD 2 CD 3 CD 4 CD 5 CD 6 CD 7 CD 8 CD 9 CD 10 CD 11 3058 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CD 12 CD 13 CD 14 CD 15 CF CD 16 CD 17 CD 18 CD 19 CD 20 CD 21 CD 22 CD 23 CD 24 CD 25 CD 26 CD 27 CD 28 CD 29 CF 2(1A), CI 2A(1), (2), OB 1 “non-executive director shareholder” CF 2(16), CG 8(13) CF 3(1)(b), (2)(c), (14) 3(2)(b), OB 1 “available subscribed capital per share”, “available subscribed capital per share cancelled” CF 3(1)(e), (f), OB 1 “available subscribed capital” CF 3(1)(d), (da), (3), (3A) CF 3(1)(c), (i), (4) CF 2(13)-(14) EE 14(4) CF 3(1)(a) CF 2(1)(e), (21) CF 3(1)(g), (h) CF 3(1)(ia), (j), (4) CF 5(a) CF 3(1)(k) CF 2(l)(c)-(e) CF 2(11), (12), (19) CF 2(8) 3059 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CD 30 CD 31 CD 32 CD 33 CD 34 CD 35 CD 36 CD 37 CD 38 CD 39 CD 40 CD 41 CD 42 Subpart CE CE 1 CE 2 3060 CF 2(9), (10) CF 2(9A) CF 3(2)(a), (14), CF 4, OBI “available subscribed capital”, “fully credited”, “ineligible capital amount”, “qualifying share premium”, “transitional capital amount” CF 3(2)(b), (6){ 12), (14) “excess return amount”, CF 5(b), OB 1 “capital gain amount” CG 8(1) CG 8(2) CG 8(3), (5), (14) “tangible property” CG 8(6), (14) “qualiﬁed transitory property” CG 8(7) CF 2(17), (18), CG 8(8) CG 8(4), (10) CG 8(11) CF 2(15) CH 3, OB 1 “monetary remuneration” CH 2(2), (3) ﬁrst proviso, second proviso Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 Income Tax Act 2004: CE 3 CE 4 CE 5 CE 6 CE 7 CE 8 CE 9 CE 10 Subpart CF CF 1 CF 2 Subpart CG CG 1 CG 2 CG 3 CG 4 CG 5 CG 6 Subpart CH B—continued Corresponding provisions in Income Tax Act 1994 CH 2(3)(a),
 (b), third proviso CH 2(4) OB 1 “expenditure on account of an employee”, “speciﬁed fund” CH 2(5), (6), (8) CH 2(1) , (7) CD 7, EN 8 CHA 1 CHA 2 CC 1 DC 2 new CE 4(1), (2), IE 1(4)(d) CE 1(1)(d) DJ 1(c), DJ 5(2), DJ 7, DJ 8(1), DL 1(6), (12), DL 4 DF 3(3), (4) EE 19 3061 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EE 2(4) EF 1(1)(b) EF 1(1)(b) EC 1 ED 4(3) CG 1(a) CG 6(1)(a), CG 7(1), (6), CG 13(1), CG 21(2)(a) new CG 1(b) CG 7(5), CG 15(1), (2), CG 16(2), (5) new CM 5(1), CM 6(1), CM 7(1), CM 10, CM 15(3) new CL 4, EN 6 CL 3, CL 21 CL 5 CH 1 CH 2 CH 3 CH 4 CH 5 Subpart CQ CQ 1 CQ 2 CQ 3 CQ 4 CQ 5 CQ 6 Subpart CR CR 1 CR 2 Subpart CS CS 1 CS 2 CS 3 3062 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CS 4 CS 5 CS 6 CS 7 CS 8 CS 9 CS 10 CS 11 CS 12 CS 13 CS 14 CS 15 CS 16 CS 17 Subpart CT CT 1 CT 2 CT 3 CT 4 CT 5 CL 6 CL 7 CL 12 CL 8(1)-(6) CL 9 CL 10(1) CL 11 CL 14 CL 15 CL 16 CL 17 CL 18 CL 19 CL 20 CJ 3 CJ 5 DM 1(9)(a) DM 9, DM 10 DM 7(1) 3063 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Corresponding provisions in Income Tax Act 1994 OB 1 “development operations”, “further processing”, “petroleum miner” OB 1 “development operations”, “further processing”, “permit speciﬁc asset”, “petroleum mining asset” Income Tax Act 2004: CT 6 CT 7 Subpart CU CU 1 CU 2 CU 3 CU 4 CU 5 CU 6 CU 7 CU 8 CU 9 CU 10 CU 11 CU 12 CU 13 CU 14 CU 15 3064 DN 1(2) DN 1(4) DN 1(9)-(12)(b) DN 1(13) DN 1(13), (14) DN 1(14) DN 1(14)(a), (b) DN 1(14)(e), (g), (i) DN 1(6) DN 1(8) DN 1(14)(f), (16), (17) DN 4(1), (5), (7) DN 5(2)(a), (c) DN 2(7), (8)(c) DN 2(3), (4) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CU 16 CU 17 CU 18 CU 19 CU 20 CU 21 CU 22 CU 23 CU 24 CU 25 CU 26 CU 27
 CU 28 CU 29 DN 2(5) DN 3(7), (8) DN 3(6), (8) DN 3(4), (5), (8), (9) DN 2(8) DN 4(4), DN 5(1), OB 1 “gross income from mining” DN 1(1) DN 4(4), DN 5(1), OB 1 “development expenditure” (d) DN 4(4), DN 5(1), OB 1 “exploration expenditure” (c) DN 4(4), DN 5(1), OB 1 “mining operations” OB 1 “mining venture” OB 1 “active miner”, “resident mining operator” OB 1 “speciﬁed mineral” DN 2(10), DN 3(12), OB 1 Subpart CV CV 1 CV 2 Subpart CW CK 1 CK 4(1) 3065 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CW 1 CW 2 CW 3 CW 4 CW 5 CW 6 CW 7 CW 8 CW 9 CW 10 CW 11 CW 12 CW 13 CW 14 CW 15 CW 16 CW 17 CW 18 CW 19 CW 20 CW 21 3066 DL 5(1)(d)(i)-(iii) DL 6(2)(a), (3) DL 5(1)(a) CB 9(f) CB 1(1)(b) CB 1(1)(c), (2) CB 2(1)(e) CB 2(1)(b), CZ 2 CB 10(1) CB 10(2), (3) CB 10(4), (5) CB 7(a), (b) CB 12(1), (3), (3B), (3C) CB 12(2)-(4) CB 2(1)(c) CB 2(1)(a) CB 2(1)(f), (3B), (4) CB 2(1)(d), (3), (4) CB 11 CB 9(b) CB 6(b) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CW 22 CW 23 CW 24 CW 25 CW 26 CW 27 CW 28 CW 29 CW 30 CW 31 CW 32 CW 33 CW 34 CW 35 CW 36 CW 37 CW 38 CW 39 CW 40 CW 41 CB 6(c) CB 5(1)(a), (f), (fa), (o) CB 7(c) CB 7(d) CB 9(a) CB 5(1)(e), (1), (m), (q), CB 6(a), (e) CB 5(1)(b), (c), (g), (h), (j), (k), (n), (p) CB 9(d) CB 9(i) CB 3(a), (c), (e) CB 3(b), (c) CB 4(1)(j), (1), (3) CB 4(1)(c), (e), (3) CB 4(1)(e), (3) CB 4(1)(d) CB 4(1)(a) CB 5(1)(ib) CB 4(1)(h), (2) CB 4(1)(i), (2) CB 4(1)(b), (2), CK 4(2) 3067 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CW 42 CW 43 CW 44 CW 45 CW 46 CW 47 CW 48 CW 49 CW 50 CW 51 Subpart CX CX 1 CX 2 CX 3 CX 4 CX 5 CX 6 CX 7 CX 8 CX 9 3068 CB 4(1)(f), (2) CB 4(1)(g), (2) CB 4(1)(m) CB 14 CB 15 CB 8 CB 9(c), (ca) CB 9(h) CB 9(e) BD 1(2)(a) ED 4(1), ED
 4(3)(b), (g), (7) CI 1, CI 2(1) new CI 1(o)(i) CI 1(o)(ii), (iii) CI 1(a), (b), CI 11(16), OB 1 “private use or enjoyment” CI 2(4) CI 1(d) CI 1(c), (i), (ia), (j), OB 1 “owing” Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CX 10 CX 11 CX 12 CX 13 CX 14 CX 15 CX 16 CX 17 CX 18 CX 19 CX 20 CX 21 CX 22 CX 23 CX 24 CX 25 CX 26 CX 27 CI 2(8), (9) CI 1(ga) CI 1(g), (k) CI 1(e) CI 1(eb) CI 1(f), (ja), CI 3(8A), OB 1 “policy of life insurance”, “policy of pension insurance”, “policy of personal accident or sickness insurance” CI 2(2), (3), CI 2A CI 1(o)(iv), (v) CI 4(4) CI 1(na) CI 1(q) CI 1(m) CI 1(n) CI 1(la) CI 1(p) CI 1(r) CI 1(s), OB 1 “distinctive work clothing” CI 1(1) 3069 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 OB 1 “emergency call” OB 1 “share loan beneﬁt” OB 1 “private use or enjoyment” CI 1(h) OB 1 “work-related vehicle” CM 3, CM 12(c), (d) CL 2 CN 5 CJ 6 CJ 4(1) DN 2(2) DN 2(9) DN 2(6) DC 1, DC 3(1) CL 1, OB 1 “monetary remuneration” EI 1(4), EI 11(4), EI 17(2) EB 5(1) BD 1(2)(b) BD l(1) CX 28 CX 29 CX 30 CX 31 CX 32 CX 33 CX 34 CX 35 CX 36 CX 37 CX 38 CX 39 CX 40 CX 41 CX 42 CX 43 CX 44 CX 45 Subpart CY CY 1 Subpart CZ 3070 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 CZ 1 CZ 2 CZ 3 CZ 4 CZ 5 CZ 6 CZ 7 CZ 8 CZ 9 CZ 10 CZ 11 CZ 12 CZ 13 CZ 14 CZ 15 CZ 16 CZ 17 CZ 18 CZ 19 PART D Subpart DA CH 2(1) DN 1(15)(b), DN 4(6), DN 5(2)(b) CZ 1(1), (2), (4), (5) DN 3(11) CB 2(5), CZ 2 CE 3 CK 3 CJ 4(2) CF 3(6), OB 1 “capital gain amount” CG 8(9), (12) EG 19(1)(a)(ii) CZ 6(d)(i)-(iii), (vi), (vii) CZ 4(3)-(5) CZ 4A(1), (2), CZ 4B(1), (2) CI 1(ja) CB 1(1)(d) CB 10(6) CB 4(1)(ab) CB 4(1)(n) 3071 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income
 Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DA 1 DA 2 DA 3 DA 4 Subpart DB DB 1 DB 2 DB 3 DB 4 DB 5 DB 6 DB 7 DB 8 DB 9 DB 10 DB 11 DB 12 DB 13 DB 14 DB 15 DB 16 3072 BD 2(1)(b)(i), (ii) BD 2(2) BD 2(1)(b)(iii), (2)(e) BD 2(1)(a) DB 1 ED 4(2), (3), (7) DJ 5(1), (3), (4) DJ 3 DJ 11 DD 1(1)(b)(i), (ii) BD 2A, DD 1(3), (4) DD 1(1)(b)(iii), (2), DD 3 EH 47(4) EH 53(1), (7) EH 55 EH 56 DJ 11 DD 1(1)(c) EO 5 EN 1(6), (8) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DB 17 DB 18 DB 19 DB 20 DB 21 DB 22 DB 23 DB 24 DB 25 DB 26 DB 27 DB 28 DB 29 DB 30 DB 31 DB 32 DB 33 DB 34 DB 35 DB 36 DB 37 DJ 13 DJ 1(b) DJ 15 DJ 14(3) DJ 14(1), (2) DJ 13A DJ 1(a)(i), (iii), (iv), EH 54 DJ 2 DJ 9 DJ 9A(1) -(5) DJ 9A(6), (7), DJ 9B DJ 6(1) DJ 6(2), EN 2(3)(a) EN 2(3)(b) EN 2(3)(c) DJ 4 DJ 8 DJ 7 DJ 18 DJ 22 DJ 10 3073 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DB 38 DB 39 DB 40 DB 41 DB 42 DB 43 Subpart DC DC 1 DC 2 DC 3 DC 4 DC 5 DC 6 DC 7 DC 8 DC 9 DC 10 DC 11 DC 12 DC 13 DC 14 3074 IE 1(4)(g) DJ 21, EO 7 EE 2(4) EF 1(l)(b) EF 1(1)(b) EC 1 DF 5 DF 4 DF 8A, DF 8B DF 8 DF 2 DF 3(1) DJ 19, EO 6 DJ 20 DF 10 DF 11 DF 7(1) DF 7(2)(a)-(h), (j), (k) DF 7(2)(i) DF 7(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Corresponding provisions in Income Tax Act 1994 Income Tax Act 2004: Subpart DD DD 1 DD 2 DD 3 DD 4 DD 5 DD 6 DD 7 DD 8 DD 9 DD 10 DD 11 Subpart DE DE 1 DE 2 DE 3 DE 4 DE 5 DE 6 DG 1 DG 1(1), (3), schedule 6A, part A, cls 1-4, part B, cl 4(a) DG 1(2) schedule 6A, part B, cls 1-5 schedule 6A, part B, cls 6, 8, 10, 12 schedule 6A, part B, cls 9, 11 schedule 6A, part B, cl 7 schedule 6A, part B, cls 13, 14 CI 1(r) DG 1(3), (4) schedule 6A “business”, “business contacts”, “business premises” DH 1 DH 1(3), EG 2(1)(d), EG 19(4) DH 2 DH 4 DH 2 DH
 3(1) 3075 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DH 3(2) DH 3(3) DH 3(6), (7) DH 3(4) DH 3(5) new DC 1 DC 3(1)-(3) DC 3(4) CG 1(a) CG 6(1), CG 7(1), CG 13(1) new DP 1 DP 2(1), DP 3(1) CG 7(5), CG 15(1), (2), CG 16(2) new DP 2 DP 3 DE 7 DE 8 DE 9 DE 10 DE 11 DE 12 Subpart DF DF 1 DF 2 DF 3 Subpart DN DN 1 DN 2 DN 3 DN 4 DN 5 DN 6 DN 7 DN 8 DN 9 Subpart DO 3076 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DO 1 DO 2 DO 3 DO 4 DO 5 DO 6 Subpart DP DP 1 DP 2 DP 3 DP 4 DP 5 DP 6 DP 7 DP 8 DP 9 DP 10 Subpart DQ DQ 1 DQ 2 DQ 3 DO 3(a)-(d), (g) DO 3(e), (f) DO 7(1), (2)(e) DO 4(1)-(3)(b), (4) DO 6 DO 5(1)-(3)(b), OB 1 “aquaculture” DL 1(2)-(4), (7), (12), (13)(e) DL 1(5), (8) DL 2(1)-(3)(b) DL 6(1) DL 6(2)(b) DL 1(9) DL 5(1)(b), (c) DL 5(1)(d)(ii), (iii) CJ 1(2)(e)(ii), OB 1 “cost” DJ 13A, DL 1(7) EI 3 EI 13 EI 3, EI 17(2) 3077 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Corresponding provisions in Income Tax Act 1994 Income Tax Act 2004: Subpart DR DR 1 DR 2 DR 3 Subpart DS DS 1 DS 2 DS 3 DS 4 Subpart DT DT 1 DT 2 DT 3 DT 4 DT 5 DT 6 DT 7 DT 8 DT 9 DT 10 DT 11 3078 DK 3A DK 3B(1), (2) DK 3, DK 3D EO 3(1)-(5), (7), (9) EO 4(1){5) EO 4A(2) -(5), EO 4B EO 4A(2), (6), (7) DM 1(1), (2)(a), DM 1A(l) DM 1A, DM 1B DM 3(1) DM 3(2) DM 1(1), (2)(b) DM 1(8) DM 1(9)(b) DM 3(1) DM 1(6) DM 1(7)(a) DM 1(7)(b) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DT 12 DT 13 DT 14 DT 15 DT 16 DT 17 DT 18 DT 19 DT 20 Subpart DU DU 1 DU 2 DU 3 DU 4 DU 5 DU 6 DU 7 DU 8 DU 9 DM 5 DM 6 DM 4(1) DK 2 DM 1(1), DM 2 DM 1(4) OB 1 “petroleum permit” DM 9, DM 10 DM 7(1) DN 1(5) DN 1(10)-(12) DN 1(14)(c)(i), (d), (h) DN 1(6) DN 1(15)(a) DN 1(7)(a)(ii), (c), (8)(c), (14)(c)(ii) DN
 1(3), OB 1 “mining outgoing excess” DN 1(14)(f), (16), (17) DN 4(2), (3), (5), (7), OB 1 “prescribed amount” 3079 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DN 5(2)(a), (c) DN 2(1) DN 3(1), (3), (10) DI 3(1) DI 3(2), (8), (9)(a) DI 3(2)(d) DI 3(3)-(9) DI 3B(l H 6), (9), DI 3C(2}-(4) DI 3C(1) DI 3B(7), (8) DJ 17 DI 5, DI 6 DI 1(1) DI 2 DI 4 DL 7, DO 8 DK 4 DO I DU 10 DU 11 DU 12 Subpart DV DV 1 DV 2 DV 3 DV 4 DV 5 DV 6 DV 7 DV 8 DV 9 DV 10 DV 11 DV 12 DV 13 Subpart DW DW 1 DW 2 Subpart DX 3080 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 DX 1 Subpart DY DY 1 DY 2 Subpart DZ DZ 1 DZ 2 DZ 3 DZ 4 DZ 5 DZ 6 DZ 7 DZ 8 DZ 9 DZ 10 DZ 11 DZ 12 DZ 13 DD 2 new BD 2(2)(f) DJ 16 DK 3C, OB 1 “superannuation policy” DM 1(3) DM 1(5)(c), OB 1 “seal and abandonment” DM 4(2), (3) DM 9, DM 10 DM 7(1) EZ 5(1), (3), (4) EZ 6 CZ 6(c)(i), (ii), (vi) EO 4A(2A), (2B), (8) DN 1(13)(a), DN 3(3), (11), DN 4(5), (7) new 3081 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 PART E Subpart EA EA 1 EA 2 EA 3 EA 4 Subpart EB EB 1 EB 2 EB 3 EB 4 EB 5 EB 6 EB 7 EB 8 EB 9 EB 10 EB 11 EB 12 EB 13 3082 EE 2(2), (4) EF 2(1), (2) EF 1(1)-(4), (5)(a), (b), (d), (5A) DF 11(3), EF 1(5)(c), (6), (6A), EF 1A EE 1 DK 3E, EE 4, OB 1 “trading stock” EE 2(1), (3) EE 3(1) EE 15 EE 5(1), (2) EE 5(5), (6), EE 6(1), (2) EE 5(3) EE 8, EE 10 EE 11(1)-(3) EE 3(1), EE 12 EE 16(1) EE 20, OB 1 “small taxpayer” Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EB 14 EB 15 EB 16 EB 17 EB 18 EB 19 EB 20 EB 21 EB 22 EB 23 Subpart EC EC 1 EC 2 EC 3 EC 4 EC 5 EC 6 EC 7 EC 8 EC 9 new EE 5(7) EE 5(5), (6) EE 5(3), EE 7(1), (2) EE 7(3) EE 8-EE 10, EE 21
 EE 11 EE 3(2), EE 12, EE 16(3) EE 6(3), EE 16(2)-(5) EE 2A EE 2(1) EL 1(1) EL 1(1) EL 1(3), (4) EE 15 EL 1(1)(d) EL 2(1), (8) EL 2(2)(d), (e), EL 5(4), (5) EL 2(2)(a), (c), (0, (g), EL 4(2), (3), EL 7(2), (4)(a) 3083 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EC 10 EC 11 EC 12 EC 13 EC 14 EC 15 EC 16 EC 17 EC 18 EC 19 EC 20 EC 21 EC 22 EC 23 EC 24 EC 25 EC 26 EC 27 EC 28 EC 29 3084 EL 2(2)(b), (f), (g), EL 3(2), (3), EL 7(3), (4)(a) EL 2(3)-(5) EL 2(6), EL 7(4)(b) EL 1(2) EL 2(4) EL 8 EL 5(1), (2) EL 6(1)-(3), (5) EL 6(4) EL 6(6), (7) EL 5(6) EL 5(6) EL 4(1) EL 3A(1) EL 4(4), (5) EL 3(1), (4), EL 7(2) EL 7(1) EL 7(2), (3)(b) new EL 9(3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EC 30 EC 31 EC 32 EC 33 EC 34 EC 35 EC 36 EC 37 EC 38 EC 39 EC 40 EC 41 EC 42 EC 43 EC 44 EC 45 EC 46 EC 47 EC 48 EL 1(1)(c), EL 9(1) EL 9(2), (4) EL 10(6) EL 10(5), OB 1 “assigned percentage” EL 10(1), OB 1 “speciﬁed writedown”, “diminishing value equivalent” EL 10(3), (4) EL 10(2) EL 7(1), (3)(b) new EM 1(1)(a), (ab) EM 1(1)(b), (ba) EM 1(4), (5) EM 1(4), (5) EM 1(2) EM 1(1)(c) EM 1(3) EM 2(1)-(5) EM 2(6), (7) EM 3 3085 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Corresponding provisions in Income Tax Act 1994 EE 3(3), EE 13, EE 16 EE 14 EG 1(1) EG 19(8) EG 1B EG 1A(1)-{3) EG 1 A(4) OB 1 “depreciable property” OB 1 “depreciable property” EG 16A EG 3 EG 2(2A) EG 1(2) EG 3(1)-(4) new EG 2(1) EG 2(1)(c) EG 2(1)(a) EG 2(1)(b) Income Tax Act 2004: Subpart ED ED 1 ED 2 Subpart EE EE 1 EE 2 EE 3 EE 4 EE 5 EE 6 EE 7 EE 8 EE 9 EE 10 EE 11 EE 12 EE 13 EE 14 EE 15 EE 16 EE 17 3086 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EE 18 EE 19 EE 20 EE 21 EE 22 EE 23 EE 24 EE 25
 EE 26 EE 27 EE 28 EE 29 EE 30 EE 31 EE 32 EE 33 EE 34 EE 35 EE 36 EE 37 EG 3(6) EG 2(3) new EG 2(2), EG 11(1), (2) EG 11(3)-(4A) EG 11(5) EG 11(8) EG 4(1), (3)-(5) EG 6, EG 7 EG 8 new EG 10(10), (11) new EG 16, OB 1 “low value property” EG 12(1)-(3), (5), (6) EG 17(1)-(5), (8) EG 17(3B), FE 5(2) EG 17(6), (8) EG 17(7) EG 19(9)(b) 3087 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EE 38 EE 39 EE 40 EE 41 EE 42 EE 43 EE 44 EE 45 EE 46 EE 47 EE 48 EE 49 EE 50 EE 51 EE 52 EE 53 EE 54 EE 55 EE 56 3088 ED 4(6)(a), (c), (d), EG 19(6A), (7), (10)(b)-( 10B) EG 12(4), EG 19(1) EG 19(9), (10A) EG 19(2), (3) EG 19(4) EG 19(6B) EG 19(5), (6) ED 4(4), (6)(b) OB 1 “adjusted tax value” OB 1 “adjusted tax value” OB 1 “adjusted tax value” (a)(i) OB 1 “adjusted tax value” (a)(iii) OB 1 “adjusted tax value” (a)(iv) OB 1 “adjusted tax value” (a) “ad” OB 1 “annual depreciation rate” OB 1 “depreciable intangible property” OB 1 “estimated useful life” OB 1 “excluded depreciable property” OB 1 “maximum pooling value” Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EE 57 EE 58 Subpart EF EF 1 EF 2 EF 3 EF 4 EF 5 EF 6 Subpart EG EG 1 EG 2 Subpart EH EH 1 EH 2 EH 3 EH 4 EH 5 EH 6 EH 7 EH 8 OB 1 “poolable property” OB 1 see compare note ED 2 ED 3 ED 1-ED lB ED 6(2), (3), ED 7(l)(b), (c), (2) ED 6(1), (3), ED 7(1)(a), (d), (2), (3) ED 8 EP 1 EC 1 new EI 1(2) EI 1(1) EI 1(3), EI 3 EI 1(2), (5) EI 2 EI 3 EI 1(4) 3089 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EH 9 EH 10 EH 11 EH 12 EH 13 EH 14 EH 15 EH 16 EH 17 EH 18 EH 19 EH 20 EH 21 EH 22 EH 23 EH 24 EH 25 EH 26 EH 27 EH 28 3090 EI 1(4) EI 9 EI 9 EI 4(1), EI 5(1), EI 6(1), EI 7(1), EI 8(1), EI 9 EI 4(1), (2) EI 4(5) EI 4(3), (4) EI 4(5) EI 5(1) EI 5(1),
 (2) EI 6(1) EI 6(1) EI 6(1), (2) EI 6(1), (2) EI 7(1) El 7(2) EI 8(1) EI 8(2) EI 5(3), EI 6(3) EI 10(2) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EH 29 EH 30 EH 31 EH 32 EH 33 EH 34 EH 35 EH 36 EH 37 EH 38 EH 39 EH 40 EH 41 EH 42 EH 43 EH 44 EH 45 EH 46 EH 47 EH 48 EH 49 EI 10(1) EI 10(3) EI 10(3), (5) EI 10(3), (4) EI 10(3) OB 1 “gross income from forestry” OB 1 “maximum deposit” (a) OB 1 “self-assessed adverse event” OB 1 “ﬁshing”, “speciﬁed period” EI 11(1) EI 11(1), (3) EI 11(2), (5) EI 12 EI 13 EI 11(4) new EI 14(1) EI 14(1) EI 14(2) EI 5(1), EI 15 EI 5(1), (2), EI 15 3091 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EH 50 EH 51 EH 52 EH 53 EH 54 EH 55 EH 56 EH 57 EH 58 EH 59 EH 60 EH 61 EH 62 EH 63 EH 64 EH 65 EH 66 EH 67 EH 68 EH 69 3092 EI 6(1), EI 15 EI 6(1), EI 15 EI 6, EI 15 EI 6, EI 15 EI 7, EI 15 EI 7, EI 15 EI 8, EI 15 EI 8, EI 15 EI 5(3), EI 6(3), EI 15 EI 16(2) EI 10(1), EI 15, EI 16(1) EI 14(3), (4) OB 1 “maximum deposit” (b) OB 1 “self-assessed adverse event” OB 1 “adverse event income equalisation account” EI 17(1) EI 1(1), (3), EI 17(1), (2) EI 1(2), (5), EI 17(2), (3) EI 2, EI 17(2) EI 3, EI 17(2) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EH 70 EH 71 EH 72 EH 73 EH 74 EH 75 EH 76 EH 77 EH 78 EH 79 EH 80 EH 81 Subpart EI EI 1 EI 2 EI 3 EI 4 EI 5 EI 6 EI 7 EI 8 EI 1(4), EI 17(2) EI 1(4), EI 17(2) EI 4(1), (2), EI 17(2) EI 4(1), (2), EI 17(2) El 4(5), EI 17(2) EI 4(3), (4), EI 17(2) EI 4(5), EI 17(2) EI 8(1), EI 17(2) EI 8(2), EI 17(2) EI 17(2) OB 1 “maximum deposit” (a) EI 17(4), OB 1 “speciﬁed period” (a) EJ 1(1) EB 4 EN 3(1)-(3), (5), (6) EN 1(2)-(4), (8) EN 1(5), (7), (8) EB 2 EN 4 EB 1(3), (4) 3093 Schedule 23 Income Tax Act 2004 Reprinted as
 at 29 August 2011 B—continued Corresponding provisions in Income Tax Act 1994 EJ 1(2) DO 2 EK 1 EO 3(4), (6), (9), OB 1 “residual value” EO 3(5), (6) EO 4(9)-(11), (13) EO 4(4), (6) EO 4(5)-(7) EO 2, EO 2A EO 5(2), (3) DM 1(2)(b) DM 1(5)(a) DM 1(5)(b) DM 1(6) DM 9, DM 10 DM 7(1) OB 1 “development operations”, “further processing”, “offshore development” Income Tax Act 2004: Subpart EJ EJ 1 EJ 2 EJ 3 EJ 4 EJ 5 EJ 6 EJ 7 EJ 8 EJ 9 EJ 10 EJ 11 EJ 12 EJ 13 EJ 14 EJ 15 EJ 16 EJ 17 3094 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 Income Tax Act 2004: EJ 18 EJ 19 Subpart EW EW 1 EW 2 EW 3 EW 4 EW 5 EW 6 EW 7 EW 8 EW 9 EW 10 EW 11 EW 12 EW 13 EW 14 EW 15 EW 16 B—continued Corresponding provisions in Income Tax Act 1994 OB 1 “development operations”, “further processing”, “onshore development” DF 3(1), EO 1 EH 20, OB 1 “accrual rules” EH 26 EH 22, EH 24(2) EH 22(2)-(4) EH 24 EH 22(4), EH 23 EH 24(3) EH 25 EH 21(1), (3)-(5) EH 19 EH 21(2) EH 33(1) EH 33(1), (4) EH 33 EH 33(2), EH 48(1) EH 34 3095 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Corresponding provisions in Income Tax Act 1994 EH 35(1), (5), (6), EH 58 EH 36(1)-(3) EH 34(1), EH 35(1), (2), EH 36(3) EH 37, EH 38 EH 37, EH 39 EH 40 EH 42 EH 41 EH 35(3), (4), EH 36(4), EH 58 EH 35(3)(b), EH 36(4), EH 43(1), (2), EH 44(3), (4) EH 44(1)-(3) new EH 45 EH 46 EH 47, EH 48(1) EH 48(2)-(4) EH 48(5) OB 7 EH 26(2), (3) EH 45(5)(a), EH 50(1), (2) Income Tax Act 2004: EW 17 EW 18 EW 19 EW 20 EW 21 EW 22 EW 23 EW 24 EW 25 EW 26 EW 27 EW 28 EW 29 EW 30 EW 31 EW 32 EW 33 EW 34 EW 35 EW 36 3096 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 Income Tax Act 2004: EW 37 EW 38 EW 39 EW 40 EW 41 EW 42 EW 43 EW 44 EW 45 EW 46 EW 47 EW 48 EW 49 EW 50 EW 51 EW 52 EW 53 EW 54 EW 55 EW 56 EW 57 B—continued Corresponding provisions in Income Tax Act 1994 EH 24(3), EH 50(1A), (2) EH 49(1) EH 48(8) EH 49(3)-(5) EH 45(5)(a), EH 50(1), (2) EH 24(3)(c), EH 50(1A), (2) EH 49(1) EH
 48(8) EH 48(6), EH 53 EH 52(1) EH 51, EH 59 EH 48(1), (7) EH 48(1) EH 53 EH 52 EH 55 EH 57 EH 27, EH 29 EH 33(4)(a), EH 45(1) EH 27, EH 58 EH 27(1)-(5), (7) 3097 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Corresponding provisions in Income Tax Act 1994 EH 27(6), EH 28, EH 30 EH 27(8) EH 29 EH 31 EH 31(4), EH 32 EH 32(4) CG 4(1) new CG 4(2) CG 4(3), (7) CG 3(c), CG 4(4), CG 5(2) CG 3(b), CG 4(8) CG 4(5), (6) CG 5(1) CG 3(c), CG 5(2) CG 5(3) CG 5(4) CG 9 CG 5(7) CG 6(1)(b) Income Tax Act 2004: EW 58 EW 59 EW 60 EW 61 EW 62 EW 63 Subpart EX EX 1 EX 2 EX 3 EX 4 EX 5 EX 6 EX 7 EX 8 EX 9 EX 10 EX 11 EX 12 EX 13 EX 14 3098 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EX 15 EX 16 EX 17 EX 18 EX 19 EX 20 EX 21 EX 22 EX 23 EX 24 EX 25 EX 26 EX 27 EX 28 EX 29 EX 30 EX 31 EX 32 EX 33 CG 6(2) CG 5(6), CG 7(6), CG 8(13), CG 16(5) CG 5(5) CG 7(2) CG 6(1)(c), CG 7(4) CG 7(3) CG 6(1)(c), CG 11 CG 13(1) CG 13(2) CG 13(1)(a) CG 12 CG 10 CG 3(e) CG 3(d) new CG 15(1), OB 1 “entitlement of the person to beneﬁt” CG 3(c), CG 5(2), CG 15(1)(a) CG 15(2)(a) CG 15(2)(b) 3099 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EX 34 EX 35 EX 36 EX 37 EX 38 EX 39 EX 40 EX 41 EX 42 EX 43 EX 44 EX 45 EX 46 EX 47 EX 48 EX 49 EX 50 EX 51 EX 52 3100 CG 15(2)(e) CG 15(2)(f) CG 14(3), CG 15(2)(c), OB 1 “interest in an employment-related foreign superannuation scheme” CG 15(2)(g), (4), OB 1 “qualifying private foreign annuity” CG 16(1), CG 17(1) CG 16(7) CG 17(2)-(6) CG 17(7) CG 16(11)(a), (12), CG 20 CG 21 CG 16(11)(b), (12), CG 18 CG 16(11)(b), (12), CG 19(1)-(5) CG 7(5), CG 11(25)(b), (c), CG 13(1) CG 16(6) CG 22 CG 22 CG 17(8)-(10) CG 24 CG 16(4), CG 23(2), (3) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in
 Income Tax Act 1994 EX 53 EX 54 EX 55 EX 56 EX 57 EX 58 EX 59 EX 60 Subpart EY EY 1 EY 2 EY 3 EY 4 EY 5 EY 6 EY 7 EY 8 EY 9 EY 10 EY 11 EY 12 CG 23(7), (8) CG 14(1)(ca), CG 23(7A)-(7D) CG 23(4) CG 14(1) CG 16(8)-(10) CG 23(9) CG 23(5), (6) CG 25 OB 1 “life insurance rules”, OZ 1(1) new CM 8(1) CM 8(1), (2)(a), (b), CM 13(1)(d) CM 8(2)(c) CM 8(3) OB 1 “claim” CM 2, OB 1 “life insurance” new CM 12, CM 14, OB 1 “life insurer” CM 12, CM 13(1)(a) new 3101 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EY 13 EY 14 EY 15 EY 16 EY 17 EY 18 EY 19 EY 20 EY 21 EY 22 EY 23 EY 24 EY 25 EY 26 EY 27 EY 28 EY 29 EY 30 EY 31 EY 32 EY 33 3102 new CM 6(1), (3) CM 6(1) CM 6(3) CM 6(1) CM 6(3) CM 6(2) CM 6(4) CM 6(5) CM 13(1)(a), (b) CM 6(6) CM 5(1), (3) CM 5(1) CM 5(3) CM 5(1) CM 5(3) CM 5(2) CM 5(4) CM 13(1)(a) CM 5(5) DK 3A Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EY 34 EY 35 EY 36 EY 37 EY 38 EY 39 EY 40 EY 41 EY 42 EY 43 EY 44 EY 45 EY 46 EY 47 EY 48 Subpart EZ EZ 1 EZ 2 EZ 3 CM 7(1) CM 7(1) CM 7(1)(a) CM 7(1)(b) CM 13(1)(c)(ii) CM 7(1), CM 13(1)(c)(i) CM 7(2) CM 15(1) CM 15(1), (2), (4), OB 1 “underwriting result” CM 17(1) CM 18 CM 10 DK 3B(1), (3) CM 13(2), CM 16, CM 17(2), CN 3(1), (1A) OE 3 DK 3C DK 3B(1) DM 1(3), DM 7(1), DM 9, DM 10 3103 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 EZ 4 EZ 5 EZ 6 EZ 7 EZ 8 EZ 9 EZ 10 EZ 11 EZ 12 EZ 13 EZ 14 EZ 15 EZ 16 EZ 17 EZ 18 EZ 19 EZ 20 EZ 21 EZ 22 EZ 23 EZ 24 3104 EZ 4(1), (2), (5) EZ 5 EZ 6 CG 23(1) EG 3(5) EG 11(4A) EG 19(4) EZ 11 EG 5(1) EG 5(2)-(4) EG 9 EG 18 ED 4(5), EG 15(1), (2) EG 15(3) EG 15(4) EG 19(9), (10)(a) EG 19(7)(d), (9) OB 1 “adjusted tax value” (a)(i)-(iii) OB 1 “new asset” OB 1 “New Zealand-new asset” EG 15(5) Reprinted
 as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Corresponding provisions in Income Tax Act 1994 OB 1 “qualifying improvement” OB 1 “qualifying asset” DK 5 ED 1A(1A), (5), ED 6A CG 7B Income Tax Act 2004: EZ 25 EZ 26 EZ 27 EZ 28 EZ 29 EZ 30-EZ 49 EH A1-EH 18 PART F Subpart FB FB 2 FB 3 FB 4 FB 4A FB 7 Subpart FC FC 1 FC 2 FC 3 FC 4 FC 5 FC 6 FC 7 FB 2 FB 3 FB 4 DJ 14(4) EG 2(1)(e), EG 19(4) FC 1 FC 2 FC 3 FC 4 FC 5 FC 6 FC 7 3105 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 FC 8 FC 8A FC 8B FC 8C FC 8D FC 8E FC 8F FC 8G FC 8H FC 8I FC 9 FC 10 FC 13 FC 14 FC 15 FC 16 FC 17 FC 18 FC 19 FC 20 FC 21 3106 FC 8 FC 8A FC 8B FC 8C FC 8D FC 8E FC 8F FC 8G FC 8H FC 81 FC 9 FC 10 CN 4(1)(b), (c), OB 1, OE 4(1)(o) CN 4(1) CN 4(2) CN 4(3)-(5) CN 4(3A) CN 1(1), (3) CN 1(2) CN 1(1A) CN 2 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Corresponding provisions in Income Tax Act 1994 Income Tax Act 2004: Subpart FD FD 1 FD 2 FD 3 FD 4 FD 5 FD 6 FD 7 FD 8 FD 9 FD 10 FD 11 Subpart FDA FDA 1 FDA 2 FDA 3 FDA 4 FDA 5 FDA 6 Subpart FE FE 1 FD 1 FD 2 FD 3 FD 4 FD 5 FD 6 FD 7 FD 8 FD 9 FD 10 CG 2 FDB 1 FDB 2 FDB 3 FDB 4 FDB 5 FDB 6 FE 1 3107 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 FE 2 FE 3 FE 4 FE 5 FE 6 FE 6A FE 7 FE 8 FE 9 FE 10 Subpart FF FF 1 FF 2 FF 3 FF 4 FF 5 FF 6 FF 7 FF 8 FF 9 FF 10 3108 FE 2 FE 3 FE 4 FE 5 FE 6 FE 6B FE 7 FE 8 FE 9 FE 10 FF 1 FF 2 FF 3 FF 4 FF 5 FF 6 FF 7 FF 8 FF 9 FF 10 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 FF 11 FF 12 FF 13 FF 14 FF 15 FF 16 FF 17 FF 18 FF 19 Subpart FG FG 1 FG 2 FG 3 FG 4 FG 5 FG 6 FG 7 FG 8 FG 9 FG 10 Subpart FH FF 11 FF 12 FF 13 FF 14 FF 15 FF 16 FF 17 FF 18 FF 19 FG 1 FG 2 FG 3 FG 4 FG 5 FG 6
 FG 7 FG 8 FG 9 FG 10 3109 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 FH 1 FH 2 FH 3 FH 4 FH 5 FH 6 FH 7 FH 8 Subpart FZ FZ 1 FZ 2 PART G Subpart GB GB 1 Subpart GC GC 1 GC 2 GC 3 GC 4 GC 5 GC 6 3110 FH 1 FH 2 FH 3 FH 4 FH 5 FH 6 FH 7 FH 8 FZ 1 FZ 2 GB 1 GC 1 GC 2 GC 3 GC 4 GC 5 GC 6 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 GC 7 GC 8 GC 9 GC 10 GC 11A GC 11B GC 12 GC 14 GC 14A GC 14B GC 14C GC 14D GC 14E GC 14F GC 15 GC 16 GC 17 GC 18 GC 19 GC 20 GC 21 GC 7 GC 8 GC 9 GC 10 GC 11(3) GC 11(4) DM 7, DM 9, DM 10, GC 12 GC 14 GC 14A GC 14B GC 14C GC 14D GC 14E GC 14F GC 15 GC 16 GC 17 GC 18 GC 19 GC 20 GC 21 3111 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 GC 22 GC 23 GC 24 GC 25 GC 26 GC 27 GC 28 GC 29 GC 30 GC 31 Subpart GD GD 1 GD 2 GD 3 GD 4 GD 5 GD 6 GD 7 GD 8 GD 10 GD 11 3112 GC 22 GC 23 GC 24 GC 25 GC 26 GC 27 GC 28 ES 1 ES 2 ES 3 GD 1 GD 2 GD 3 GD 4 GD 5 GD 6 GD 7 GD 8 GD 10 GD 11 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 GD 12 GD 12A GD 12B GD 13 GD 14 GD 15 Subpart GE GE 1 Subpart GZ GZ 1 PART H Subpart HB HB 1 HB 2 Subpart HC HC 1 Subpart HD HD 1 Subpart HE HE 1 HE 2 GD 12(1), (1A) EO 4(12) GD 12(2) GD 13 CG 23(5), (6) DL 1(1) GE l GZ 1 HB 1 HB 2 HC 1 HD 1 HE 1 HE 2 3113 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 Subpart HF HF 1 Subpart HG HG 1 HG 2 HG 3 HG 4 HG 5 HG 6 HG 7 HG 8 HG 9 HG 10 HG 11 HG 12 HG 13 HG 14 HG 14A HG 15 HG 16 HG 17 3114 HF 1 HG 1 HG 2 HG 3 HG 4 HG 5 HG 6 HG 7 HG 8 HG 9 HG 10 HG 11 HG 12 HG 13 HG 14 HG 14A HG 15 HG 16 HG 17 Reprinted as at
 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 HG 18 Subpart HH HG 18 HH 1 HH 1A HH 2 HH 3 HH 3A HH 3B HH 3C HH 3D HH 3E HH 3F HH 4 HH 5 HH 6 HH 7 HH 8 Subpart HI HI 1 HI 2 HI 3 HH 1, CF 2(3A)(b) HH 1A HH 2 HH 3 HH 3A HH 3B HH 3C HH 3D HH 3E HH 3F HH 4 HH 5 HH 6 HH 7 HH 8 HI 1 HI 2 HI 3 3115 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 HI 4 HI 5 HI 6 HI 7 HI 8 HI 9 Subpart HJ HJ 1 Subpart HK HK 1 HK 2 HK 3 HK 4 HK 5 HK 6 HK 7 HK 8 HK 9 HK 10 HK 11 HK 12 3116 HI 4 HI 5 HI 6 HI 7 HI 8 HI 9 HJ 1 HK 1 HK 2 HK 3 HK 4 HK 5 HK 6 HK 7 HK 8 HK 9 HK 10 HK 11 HK 12 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 HK 13 HK 16 HK 17 HK 18 HK 19 HK 20 HK 21 HK 22 HK 23 HK 24 HK 25 HK 26 Subpart HZ HZ 1 HZ 2 PART I Subpart ID ID 1 Subpart IE IE 1 IE 2 HK 13 HK 16 HK 17 HK 18 HK 19 HK 20 HK 21 HK 22 HK 23 HK 24 HK 25 HK 26 HZ 1 HZ 2 ID 1 IE 1 IE 2 3117 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 IE 3 IE 4 Subpart IF IF 1 IF 2 IF 3 IF 4 IF 5 IF 6 IF 7 Subpart IG IG 1 IG 2 IG 3 IG 4 IG 5 IG 6 IG 7 IG 8 IG 9 IG 10 3118 IE 3 IE 4 IF 1 IF 2 IF 3 IF 4 IF 5 IF 6 IF 7 IG 1 IG 2 IG 3 IG 4 IG 5 IG 6 IG 7 IG 8 IG 9 IG 10 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Corresponding provisions in Income Tax Act 1994 IH 1 IH 2 DM 7(1), IH 3 IH 4 IH 5 II 1 II 2 II 3 IZ 1 IZ 2 IZ 3 IZ 4 IZ 5 IZ 6 IZ 7 KB 2 Income Tax Act 2004: Subpart IH IH 1 IH 2 IH 3 IH 4 IH 5 Subpart II II l II 2 II 3 Subpart IZ IZ 1 IZ 2 IZ 3 IZ 4 IZ 5 IZ 6 IZ 7 PART K Subpart KB KB 2 3119 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act
 1994 KB 3 Subpart KC KC 1 KC 2 KC 3 KC 4 KC 5 Subpart KD KD Al KD 1 KD 1A KD 2 KD 2AA KD 2AB KD 2A KD 3 KD 3A KD 3B KD 4 KD 5 KD 5B 3120 KB 3 KC 1 KC 2 KC 3 KC 4 KC 5 KD Al KD 1 KD 1A KD 2 KD 2AA KD 2AB KD 2A KD 3 KD 3A KD 3B KD 4 KD 5 KD 5B Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 KD 6 KD 7 KD 7A KD 8 KD 9 Subpart KE KE 1 Subpart KF KF 3 Subpart KG KG 1 Subpart KH KH 1 KH 2 Subpart KZ KZ 1 KZ 2 KZ 3 PART L Subpart LB LB 1 KD 6 KD 7 KD 7B KD 8 KD 9 KE 1 KF 3 KG 1 KH 1 KH 2 KZ 1 KZ 2 KZ 3 LB 1 3121 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 LB 1A LB 2 Subpart LC LC 1 LC 1A LC 2 LC 3 LC 4 LC 5 LC 8 LC 9 LC 10 LC 11 LC 12 LC 13 LC 14 LC 14A LC 15 LC 16 Subpart LD LD 1 3122 LB 1A LB 2 LC 1 LC 1A LC 2 LC 3 LC 4 LC 5 LC 8 LC 9 LC 10 LC 11 LC 12 LC 13 LC 14 LC 14A LC 15 LC 16 LD 1 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 LD 2 LD 3 LD 6 LD 7 LD 8 LD 9 Subpart LE LE 1 LE 2 LE 3 LE 4 Subpart LF LF 1 LF 2 LF 3 LF 4 LF 5 LF 6 LF 7 Subpart LG LG 1 LD 2 LD 3 LD 6 LD 7 LD 8 LD 9 LE 1 LE 2 LE 3 EQ 1 LF 1 LF 2 LF 3 LF 4 LF 5 LF 6 LF 7 LG 1 3123 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 PART M Subpart MB MB 2 MB 2A MB 2B MB 3 MB 4 MB 5 MB 5A MB 6 MB 7 MB 8 MB 9 MB 9A MB 10 MB 11 MB 12 Subpart MBA MBA 1 MBA 2 MBA 3 3124 MB 2 MB 2A MB 2B MB 3 MB 4 MB 5 MB 5A MB 6 MB 7 MB 8 MB 9 MB 9A MB 10 MB 11 MB 12 MBB 1 MBB 2 MBB 3 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 MBA 4 MBA 5 MBA 6 MBA 7 MBA 8 MBA 9 Subpart MC MC 1 Subpart MD MD 1 MD 2 MD 2A MD 3 MD 5 Subpart ME ME 1 ME 1A ME 1B ME 2 ME
 3 ME 4 MBB 4 MBB 5 MBB 6 MBB 7 MBB 8 MBB 9 MC 1 MD 1 MD 2 MD 2A MD 3 MD 5 ME 1 ME 1B ME 1C ME 2 ME 3 ME 4 3125 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 ME 5 ME 6 ME 7 ME 8 ME 9 ME 10 ME 11 ME 12 ME 13 ME 14 ME 15 ME 16 ME 17 ME 18 ME 19 ME 5 ME 6 ME 7 ME 8 ME 9 ME 10 ME 11 ME 12 ME 13 ME 14 ME 15 ME 16 ME 17 ME 18 ME 19 ME 19A ME 19A ME 20 ME 21 ME 22 ME 23 ME 24 3126 ME 20 ME 21 ME 22 ME 23 ME 24 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 ME 25 ME 26 ME 27 ME 28 ME 29 ME 30 ME 31 ME 32 ME 33 ME 34 ME 35 ME 36 ME 37 ME 38 ME 39 ME 40 ME 41 Subpart MF MF 1 MF 2 MF 3 ME 25 ME 26 .ME 27 ME 28 ME 29 ME 30 ME 31 ME 32 ME 33 ME 34 ME 35 ME 36 ME 37 ME 38 ME 39 ME 40 ME 41 MF 1 MF 2 MF 3 3127 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 MF 4 MF 5 MF 6 MF 7 MF 8 MF 9 MF 10 MF 11 MF 12 MF 13 MF 14 MF 15 MF 16 Subpart MG MG 1 MG 2 MG 3 MG 4 MG 5 MG 6 MG 7 3128 MF 4 MF 5 MF 6 MF 7 MF 8 MF 9 MF 10 MF 11 MF 12 MF 13 MF 14 MF 15 MF 16 MG 1 MG 2 MG 3 MG 4 MG 5 MG 6 MG 7 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 MG 8 MG 9 MG 10 MG 11 MG 12 MG 13 MG 14 MG 15 MG 16 MG 16A MG 17 Subpart MH MH 1 Subpart MI MI 1 MI 2 MI 3 MI 4 MI 5 MI 6 MI 7 MG 8 MG 9 MG 10 MG 11 MG 12 MG 13 MG 14 MG 15 MG 16 MG 16A MG 17 MI 1 MI 2 MI 3 MI 4 MI 5 MI 6 MI 7 3129 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 MI 8 MI 9 MI 10 MI 11 MI 12 MI 13 MI 14 MI 15 MI 16 MI 17 MI 18 MI 19 MI 20 MI 21 MI 22 Subpart MJ MJ 1 MJ 2 MJ 3 MJ 4 MJ 5 3130 MI 8 MI 9 MI 10 MI 11 MI 12 MI 13 MI 14 MI 15 MI 16 MI 17 MI 18 MI 19 MI 20
 MI 21 MI 22 MJ 1 MJ 2 MJ 3 MJ 4 MJ 5 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 MJ 6 MJ 7 MJ 8 Subpart MK MK 1 MK 2 MK 3 MK 4 MK 5 MK 6 MK 7 MK 8 MK 9 Subpart MZ MZ 1 MZ 2 MZ 3 MZ 4 MZ 5 MZ 6 MJ 6 MJ 7 MJ 8 MK 1 MK 2 MK 3 MK 4 MK 5 MK 6 MK 7 MK 8 MK 9 MZ 1 MZ 2 MZ 3 MZ 4 MZ 5 MZ 6 3131 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 PART N Subpart NB NB 1 Subpart NBA NBA 1 NBA 2 NBA 3 NBA 4 NBA 5 NBA 6 NBA 7 NBA 8 Subpart NC NC 1 NC 2 NC 3 NC 4 NC 5 NC 6 NC 7 NC 8 3132 NB 1 NBB 1 NBB 2 NBB 3 NBB 4 NBB 5 NBB 6 NBB 7 NBB 8 NC 1 NC 2 NC 3 NC 4 NC 5 NC 6 NC 7 NC 8 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 NC 8A NC 9 NC 10 NC 11 NC 12 NC 12A NC 13 NC 14 NC 15 NC 16 NC 18 NC 19 NC 20 NC 21 Subpart ND ND 1 ND 1A ND 1B ND 1C ND 1D ND 1E NC 8A NC 9 NC 10 NC 11 NC 12 NC 12A NC 13 NC 14 NC 15 NC 16 NC 18 NC 19 NC 20 NC 21 ND 1 CI 3(1), CI 11(1) Cl 11 CI 3(6), (8A) CI 3(2) CI 3(3)-(5) 3133 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 ND 1F ND 1G ND 1H ND lI ND 1J ND 1K ND 1L ND 1M ND IN ND 10 ND 1P ND 1Q ND 1R ND 1S ND 1T ND 1U ND IV ND 1W ND 2 ND 3 ND 4 3134 CI 6 OB 1 “prescribed interest” CI 3(8), (8A) CI 3(7), (8) CI 3(9), (9A) Cl 3(10), (10A) CI 3(11) OB 1 “identical goods” CI 2(6) CI 2(5) CI 2(6A), (7) CI 5 CI 7 CI 4(1)(a) CI 4(1) CI 4(1)(b), (2), (3) CI 4(1)(c) CI 8, CI 10 ND 2 ND 3 ND 4 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 ND 5 ND 5A ND 6 ND 7 ND 7A ND 8 ND 9 ND 10 ND 11 ND 12 ND 13 ND 14 ND 15 ND 16 Subpart NE NE 1 NE 2 NE 2AA NE 2AB NE 2A NE 3 ND 5 ND 5A ND 6 ND 7 ND 7A ND
 8 ND 9 ND 10 ND 11 ND 12 ND 13 ND 14 ND 15 ND 16 NE 1 NE 2 NE 2AA NE 2AB NE 2A NE 3 3135 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 NE 4 NE 5 NE 6 NE 7 Subpart NEA NEA 1 Subpart NF NF 1 NF 2 NF 2A NF 2B NF 2C NF 2D NF 3 NF 4 NF 5 NF 6 NF 7 NF 8 NF 8A NF 9 3136 NE 4 NE 5 NE 6 NE 7 NEA 1 NF 1 NF 2 NF 2A NF 2B NF 2C NF 2D NF 3 NF 4 NF 5 NF 6 NF 7 NF 8 NF 8B NF 9 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 NF 10 NF 11 NF 12 NF 13 Subpart NG NG 1 NG 2 NG 3 NG 4 NG 5 NG 6 NG 7 NG 8 NG 9 NG 10 NG 11 NG 12 NG 13 NG 14 NG 15 NG 16 NF 10 NF 11 NF 12 NF 13 NG 1 NG 2 NG 3 NG 4 NG 5 NG 6 NG 7 NG 8 NG 9 NG 10 NG 11 NG 12 NG 13 NG 14 NG 15 NG 16 3137 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 NG 16A NG 17 Subpart NH NH 1 NH 2 NH 3 NH 4 NH 5 NH 6 NH 7 Subpart NZ NZ 1 PART O Subpart OB OB 1 OB 2 OB 3 OB 3A OB 6 Subpart OC OC 1 3138 NG 16A NG 17 NH 1 NH 2 NH 3 NH 4 NH 5 NH 6 NH 7 NZ 1 OB 1 OB 2 OB 3 OB 3B OB 6, OZ 1(3) OC 1 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 OC 3 OC 4 Subpart OD OD 1 OD 2 OD 3 OD 4 OD 5 OD 5A OD 5B OD 6 OD 7 OD 8 OD 9 Subpart OE OE 1 OE 2 OE 4 OE 5 OC 3 OC 4 OD 1 OD 2 OD 3 OD 4 OD 5 OD 5A OD 5B OD 6 OD 7 OD 8 CG 3(a), HH 1(1)(a), OB 1 “nominee”, “relative” (b), OB 3(2), OD 1(2)(a), OD 3(3)(b), OD 4(3)(b), OD 7(2)(a), OD 8(5) OE 1 OE 2 CZ 2, OE 4 OE 5 3139 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 OE 7 OE 8 Subpart OF OF 1 OF 2 PART Y Subpart YA YA 1 YA 2 YA 3 YA 4 YA 5 YA 6 SCHEDULES schedule 1 schedule 2 schedule 3 schedule 4 schedule 5 schedule 6 schedule 7
 3140 OE 7 OE 8 OF 1 OF 2 YB 3 YB 1 YB 5(4), (5) new new YB 6 schedule 1 schedule 2 schedule 3 schedule 4 schedule 5 schedule 6 schedule 7 Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 B—continued Income Tax Act 2004: Corresponding provisions in Income Tax Act 1994 schedule 8 schedule 9 schedule 10 schedule 11 schedule 12 schedule 13 schedule 14 schedule 15 schedule 16 schedule 17 schedule 18 schedule 19 schedule 20 schedule 21 schedule 22 schedule 8 schedule 9 schedule 10 schedule 11 schedule 12 schedule 13 schedule 14 schedule 15 schedule 16 schedule 17 schedule 18 schedule 19 schedules 21, 22 schedule 20 schedule 20 schedule 22A new schedule 23 schedule 23 Schedule 23 Part B was variously amended, as from 1 April 2005, by section 269(4)Tax- ation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111) with ap- plication as from the 2005–06 income year.
Schedule 23 Part B was variously amended, as from 1 April 2005, by section 93(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 (2005 No 79) with application as from the 2005–06 income year.
Schedule 23 part B was amended, as from 1 April 2005, by section 208(b) Taxation (De- preciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 3141 Schedule 23 Income Tax Act 2004 Reprinted as at 29 August 2011 B—continued (2006 No 3) by substituting the expression “CG 15(2)(e)” for the entry in column 2 corresponding to “section EX 34”.
Schedule 23 part B was amended, as from 1 April 2005, by section 167(c)(i) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substi- tuting the expression “EG 17(1)-(5), (8)” for the entry in column 2 corresponding to “EE 33”.
Schedule 23 part B was amended, as from 1 April 2005, by section 167(c)(ii) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81) by substi- tuting the expression “EG 17(3B), FE 5(2)” for the entry in column 2 corresponding to “EE 34”.
C New provisions in Tax Administration Act 1994: corresponding provisions in Income Tax Act 1994 New provision in Tax Administration Act 1994 Corresponding provision in Income Tax Act 1994 14 14B 14C 44C 91(1B) 91AAC 91 AAD 91AAE 91 AAF 91AAG 91 AAH 3142 OB 1 “notice” OB 1 “notice” new CJ 1(3), DO 4(5) DM 7(2) EF 1(3), (4) EL 4(6) EL 3A(2), (3), EL 4(7), (8), EL 8(2), (3) EG 4(2), (6), (7) EG 10(1)-(3), (5) EG 10(4) Reprinted as at 29 August 2011 Income Tax Act 2004 Schedule 23 91 AAI 91AAJ 91AAK 91AAL 91 AAM 92AAA 108(3B) 113B 113C C—continued EG 10(6), (7) EG 10(8), (9) EG 14(2)(b) EG 11(6), (7) EG 13, EG 14 DL 1(10), (11) CF 6(5) CF 2(8)(a)(i) CF 2(17)(d) Schedule 23 Part C was variously amended, as from 1 April 2005, by section 269(2) and 269(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
3143 Income Tax Act 2004 Reprinted as at 29 August 2011 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Public Act Date of assent Commencement 2006 No 3 3 April 2006 see section 2 Title This Act is the Taxation (Depreciation, Payment Dates Align- ment, FBT, and Miscellaneous Provisions) Act 2006.

Commencement This Act comes into force on the date on which it receives the Royal assent, except as provided in this section.
Sections 267 and 279(6) are treated as coming into force on 1 April 1995.

Sections 274 and 278 are treated as coming into force on 1 April 2003.

Section 231 is treated as coming into force on 25 November 2003.

Sections 121 and 122 are treated as coming into force on 4 June 2004.

Section 281 is treated as coming into force on 1 July 2004.

Sections 230(1), 234, and 270 are treated as coming into force on 21 December 2004.
Sections 11(1), 12, 40, 57, 65, 80, 93, 104, 105, 143(5), 180(1), (2), and (3), 187, 191(9), (12), (21), (49), and (60), 193, 199, 202, 206, 207, 208, 210(19), 211(1) to (4) and (6) to (8), 212, 223 to 229, 237, 240, 257, 284(1) and (3), 287(4) and (5), and 303 are treated as coming into force on 1 April 2005.

Section 73 is treated as coming into force on 19 May 2005.

1 2 (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) Sections 144(1) and (7), 146, and 191(5) are treated as coming into force on 21 July 2005.
(11) Sections 13, 15(2) and (3), 21, 22, 23, 25, 50, 51, 53, 68, 75, 81, 83(2), 84, 85, 87, 88, 94, 95, 100, 106, 113, 116, 117(1) 3144 Reprinted as at 29 August 2011 Income Tax Act 2004 and (2), 120, 123, 141, 150, 188, 191(10), (15), (17), (18) to (20), (43), (46), (47), (53), (57), and (69), and 198 are treated as coming into force on 1 October 2005.

(12) Section 191(2) and (72) is treated as coming into force on 21 December 2005.
(13) Sections 8(2), 15(1), 16, 17, 28, 29 to 37, 45, 91, 92, 97, 98, 111, 125, 131 to 134, 166 to 178, 191(6), (11), (22), (31), (51), and (70), 194(1) and (2), 197(a), and 200 come into force on 1 April 2006.
(14) Sections 7, 8(1), 14, 20, 39, 41, 44, 59, 66, 67, 83(1), 86, 110, 112, 124, 128 to 130, 142, 143(1) and (3), 145, 147(2) and (4), 148(1) and (3), 152, 153, 155, 156, 179, 180(1) and (6), 181 to 184, 185(1), 186, 191(8), (27), (28), (38), (40), (42), (52), (55), (58), and (59), 197(b), 205, and 214 come into force on 1 July 2006.
(15) Sections 5, 42, 43, 103, 108, 117(3), 119, 191(48), (54), and (68), 210(3), (9), and (11), 211(2), (5), (7), (8)(a), and (9), 221, 222, 230(2), 254, 255, and 256 come into force on 1 October 2006.

(16) Sections 292, 293, and 297(1)(a) come into force on 31 March 2007.

(17) Section 180(7) comes into force on 1 April 2007.
(18) Sections 77, 114, 115, 118, 137 to 140, 143(2) and (4), 147(1) and (3), 148(2), 149, 160 to 163, 165, 190, 191(4), (7), (16), (26), (29), (30), (44), (45), (50), (56), (61), and (65) to (67), 194(3), 204, 210(4), (5) to (7), (8), (10), (12), (14), (17), and (18), 217, 218, 241 to 251, 258 to 260, 283(4) to (9), 291, 294 to 296, and 300 come into force on 1 October 2007.

(19) Sections 18, 19, 26, 47, 49, 127, 192, 215, 216, and 297(1)(b) come into force on 1 April 2008.
(20) Sections 61 to 64, 101, 301, and 302 come into force on 1 August 2006.

Part 1 Amendments to Income Tax Act 2004 77 (1) ACC levies and premiums Amendment incorporated in the principal Act.

3145 Income Tax Act 2004 Reprinted as at 29 August 2011 (2) (3) (4) Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (1) to (3) apply for income years corresponding to the 2008–09 and subsequent tax years.
114 Returns, assessments, and liability of consolidated group (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.

115 Payment of qualifying company election tax Amendment incorporated in the principal Act.

(1) Subsection (1) applies for income years corresponding to the (2) 2008–09 and subsequent tax years.

118 Application of other provisions to withdrawal tax Amendment incorporated in the principal Act.
(1) Subsection (1) applies for income years corresponding to the (2) 2008–09 and subsequent tax years.

137 Subpart MB replaced (1) (2) Amendments incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the income years corresponding to the 2008–09 and subsequent tax years.

138 Payment of terminal tax (1) (2) (3) Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.


Subsections (1) and (2) apply for income years corresponding to the 2008–09 and subsequent tax years.

139 Limit on refunds and allocations of tax (1) In section MD 2, (a) (b) Amendment incorporated in the principal Act Amendment incorporated in the principal Act 3146 Reprinted as at 29 August 2011 Income Tax Act 2004 (2) Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.
140 Limits on refunds of tax in relation to Maori authorities (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.

143 Debits arising to imputation credit account (1) (2) (3) (4) (5) (6) Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.


Amendment incorporated in the principal Act.

Subsections (2) and (4) apply for income years corresponding to the 2008–09 and subsequent tax years.

Subsection (5) applies for income years corresponding to the 2005–06 and subsequent tax years.

(7) 147 Credits arising to imputation credit account of group (1) (2) (3) (4) (5) Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.


Amendments incorporated in the principal Act.

Subsections (1) and (3) apply for income years corresponding to the 2008–09 and subsequent tax years.

148 Debits arising to imputation credit account of group Amendments incorporated in the principal Act.

(1) Amendment incorporated in the principal Act.

(2) Amendments incorporated in the principal Act.

(3) Subsection (2) applies for income years corresponding to the (4) 2008–09 and subsequent tax years.
3147 Income Tax Act 2004 Reprinted as at 29 August 2011 149 Debiting and crediting between consolidated imputation (1) (2) group and individual companies Amendment incorporated in the principal Act.

Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.

160 Credits arising to Maori authority credit account Amendment incorporated in the principal Act.

(1) Subsection (1) applies for income years corresponding to the (2) 2008–09 and subsequent tax years.
161 Debits arising to Maori authority credit account Amendments incorporated in the principal Act.

(1) Subsection (1) applies for income years corresponding to the (2) 2008–09 and subsequent tax years.

162 New section MZ 8 added (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.

163 New section MZ 9 added (1) (2) Amendment incorporated in the principal Act.
Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.

165 Application of other provisions to amounts payable under (1) (2) PAYE rules Amendment incorporated in the principal Act.

Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.

190 Application of other provisions to non-resident withholding tax Amendment incorporated in the principal Act.
Subsection (1) applies for income years corresponding to the 2008–09 and subsequent tax years.

(1) (2) 3148 Reprinted as at 29 August 2011 Income Tax Act 2004 191 Deﬁnitions This section amends section OB 1.

(1) Amendment incorporated in the principal Act.

(2) Amendment incorporated in the principal Act.

(3) Amendment incorporated in the principal Act.

(4) Amendment incorporated in the principal Act.

(5) Amendment incorporated in the principal Act.

(6) Amendment incorporated in the principal Act.


(7) Amendment incorporated in the principal Act.

(8) (9) Amendment incorporated in the principal Act.

(10) Amendment incorporated in the principal Act.

(11) Amendment incorporated in the principal Act.

(12) Amendments incorporated in the principal Act.

(13) Amendments incorporated in the principal Act.

(14) Amendment incorporated in the principal Act.

(15) Amendment incorporated in the principal Act.

(16) Amendment incorporated in the principal Act.


(17) Amendment incorporated in the principal Act.

(18) Amendment incorporated in the principal Act.

(19) Amendment incorporated in the principal Act.

(20) Amendment incorporated in the principal Act.

(21) Amendment incorporated in the principal Act.

(22) Amendment incorporated in the principal Act.

(23) Amendments incorporated in the principal Act.

(24) Amendment incorporated in the principal Act.

(25) Amendment incorporated in the principal Act.


(26) Amendment incorporated in the principal Act.

(27) Amendment incorporated in the principal Act.

(28) Amendment incorporated in the principal Act.

(29) Amendment incorporated in the principal Act.

(30) Amendment incorporated in the principal Act.

(31) Amendment incorporated in the principal Act.

(32) Amendment incorporated in the principal Act.

(33) Amendment incorporated in the principal Act.


3149 Income Tax Act 2004 Reprinted as at 29 August 2011 (34) Amendment incorporated in the principal Act.

(35) Amendments incorporated in the principal Act.

(36) Amendment incorporated in the principal Act.

(37) Amendment incorporated in the principal Act.

(38) Amendment incorporated in the principal Act.

(39) Amendment incorporated in the principal Act.

(40) Amendments incorporated in the principal Act.


(41) Amendment incorporated in the principal Act.

(42) Amendment incorporated in the principal Act.

(43) Amendment incorporated in the principal Act.

(44) Amendments incorporated in the principal Act.

(45) Amendment incorporated in the principal Act.

(46) Amendment incorporated in the principal Act.

(47) Amendments incorporated in the principal Act.

(48) Amendment incorporated in the principal Act.

(49) Amendment incorporated in the principal Act.


(50) Amendment incorporated in the principal Act.

(51) Amendment incorporated in the principal Act.

(52) Amendment incorporated in the principal Act.

(53) Amendment incorporated in the principal Act.

(54) Amendment incorporated in the principal Act.

(55) Amendment incorporated in the principal Act.

(56) Amendment incorporated in the principal Act.

(57) Amendment incorporated in the principal Act.

(58) Amendments incorporated in the principal Act.


(59) Amendments incorporated in the principal Act.

(60) Amendment incorporated in the principal Act.

(61) Amendment incorporated in the principal Act.

(62) Amendment incorporated in the principal Act.

(63) Amendment incorporated in the principal Act.

(64) Amendments incorporated in the principal Act.

(65) Amendment incorporated in the principal Act.

(66) Amendment incorporated in the principal Act.

(67) Amendment incorporated in the principal Act.


3150 Reprinted as at 29 August 2011 Income Tax Act 2004 (68) Amendment incorporated in the principal Act.

(69) Amendment incorporated in the principal Act.

(70) Amendment incorporated in the principal Act.

(71) Amendments incorporated in the principal Act.

(72) Amendment incorporated in the principal Act.

(73) Subsections (14) and (63) apply to expenditure incurred on and after 1 April 2005.
(74) Subsections (9), (10), (12), (13), (18) to (20), (21), (48), (49), (53), and (60) apply for income years corresponding to the 2005–06 and subsequent tax years.

(75) Subsections (47) and (69) apply for (a) (b) a person who becomes a transitional resident on or after 1 April 2006; and income years corresponding to the 2005–06 and subse- quent tax years.

(76) Subsections (6), (11), (22), (31), and (51) apply for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
(77) Subsections (17) and (57) apply for income years correspond- ing to the 2005–06 and subsequent tax years.

(78) Subsections (48) and (54) apply for income years correspond- ing to the 2006–07 and subsequent tax years.

(79) Subsections (4), (7), (16), (26), (29), (30), (44), (45), (50), (56), (61), (65), (66) , and (67) apply for income years corres- ponding to the 2008–09 and subsequent tax years.

194 Meaning of income tax (1) (2) (3) (4) Amendment incorporated in the principal Act.


Amendment incorporated in the principal Act.

Subsection (2) applies for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.

Subsection (3) applies for income years corresponding to the 2008–09 and subsequent tax years.

(5) 3151 Income Tax Act 2004 Reprinted as at 29 August 2011 204 Schedule 13–Months for payment of provisional tax and (1) (2) (3) terminal tax Amendment incorporated in the principal Act.


Subsections (1) and (2) apply for income years corresponding to the 2008–09 and subsequent tax years.

3152 Reprinted as at 29 August 2011 Income Tax Act 2004 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Public Act Date of assent Commencement 2006 No 81 18 December 2006 see section 2 1 2 (1) (2) (3) (4) (5) (6) (7) (8) (9) Title This Act is the Taxation (Savings Investment and Miscellan- eous Provisions) Act 2006.
Commencement This Act comes into force on the date on which it receives the Royal assent, except as provided in this section.

Section 209 is treated as coming into force on 30 November 1993.

Section 201 is treated as coming into force on 1 April 1995.

Section 207(2) is treated as coming into force on 26 July 1996.

Section 207(4) is treated as coming into force on 20 May 1999.

Section 206 is treated as coming into force on 1 April 2000.
Section 218(1), (3), (4), and (5) is treated as coming into force on 1 October 2001.

Section 205 is treated as coming into force on 26 March 2003.

Sections 202, 204, and 207(3) are treated as coming into force on 1 April 2003.

(10) Section 25(1), (2), (4), (5), and (7) are treated as coming into force on 1 February 2004.
(11) Sections 6, 12, 13, 16, 17, 20(1)(a), 27, 31, 40, 58, 59(1), 60, 62, 63, 77(4), 78(1)(a), (3), (4)(a), (6), and (7), 80(1)(c) and (2), 82, 85, 88, 94, 96, 129, 138, 139, 140, 141, 152(1) and (3), 155(3), (4), (10), (11), (17), (19)(a), (21), (22), (36), and (45), 156, 158(2)(a), 166, 167, 169(3), 170, 171, 172, 179, 183, and 218(2) are treated as coming into force on 1 April 2005.

(12) Sections 19 and 195 are treated as coming into force on 21 June 2005.
(13) Sections 14, 32, 33, 37, 38, 43, 48, 49, 50, 54, 55, 56, 77(3), 86, 87, 90, 91, 92(1), (2), (4), and (6), 95, 102, 147(1) and (2), 3153 Income Tax Act 2004 Reprinted as at 29 August 2011 148, 155(2), (9), and (33), 159, and 163 are treated as coming into force on 1 October 2005.

(14) Sections 22, 110, 119, 137, 155(23), and 161(2) are treated as coming into force on 1 April 2006.
(15) Sections 34, 35, 36, 135, 136, 149, 153, 155(32), 157, 177, 186, 187, and 208 are treated as coming into force on 3 April 2006.

(16) Sections 29, 39, 44, 45, 46, 92(3), (5), and (7), and 131(1) are treated as coming into force on 17 May 2006.

(17) Sections 117, 132, 151, 155(24), and 178 are treated as coming into force on 1 July 2006.

(18) Section 11 comes into force 3 months after the date on which this Act receives the Royal assent.

(19) Sections 191 and 216 come into force on 31 March 2007.
(20) Sections 5(1) and (2), 8(2), (3), (4), and (5), 24(1), 25(3), (6), (8), and (9), 26(1), 61(1), 64(1) to (3), 65(1) to (3), 66(1), 67(1) and (2), 68(1), 69(1) to (3), 70(1), 71(1), 72(1), 73(1), 74(1) to (3), 75(1) to (3), 76(1) to (3), 77(1), (2), and (6), 78(1)(b), (2), (4)(b), (5), and (8), 79(1), 80(1)(a) and (b), (3), (4), and (5), 81(1) and (2), 83(1), 89(1), 93(1) and (2), 99(1), 101(1) and (2), 142, 143, 144, 145(1), 155(5), (7), (13), (15), (16), (18), (19)(b), (29), (42), (44), and (46), 160, 162, 181, 189, and 193 come into force on 1 April 2007.
(21) Sections 145(2) to (6), 146, 155(26) and (27), and 220 to 227 come into force on 1 July 2007.

(22) Sections 4, 7, 10, 15, 18, 21, 28, 51, 97, 98, 100, 103(1), 112, 113, 114, 115, 116, 118, 120, 121, 122, 123, 124, 125, 126, 127, 128, 131(2), 133, 134, 147(3), 150, 152(2), 154, 155(20), (25), (30), (35), (37), (39), (43), and (47), 158(2)(b), 165, 176, 180, 182, 184, 185, 188, 196, 197, 198, 199, 214, 215, 219, 229, 230, 232, 233, 240, 241, 243, 244, 246, and 247 come into force on 1 October 2007.
3154 Reprinted as at 29 August 2011 Income Tax Act 2004 Part 1 Amendments to Income Tax Act 2004 97B Application under section HL 11 Despite section 2(22), a person may make an application under section HL 11 as if section 97 came into force on 1 April 2007 Section 97B: inserted, on 1 April 2007, by section 72 Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19).

120 Provisional tax payable in instalments (1) (2) Amendments incorporated in the principal Act.
Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

121 Example: Section MB 13 (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

122 Example: Section MB 14 (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.
123 Choosing to use GST ratio (1) (2) Amendments incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

124 Changing determination method (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

125 Calculating residual income tax in transitional years Amendments incorporated in the principal Act.
(1) Subsection (1) applies for provisional tax payments for the (2) 2008–09 and later income years.

3155 Income Tax Act 2004 Reprinted as at 29 August 2011 126 Example: Sections MB 20 to MB 24 (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

127 Examples: Sections MB 26 and MB 27 (using March (1) (2) balance dates) Amendment incorporated in the principal Act.
Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

128 Application of provisions of Tax Administration Act 1994 (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

131 Companies required to maintain imputation credit (1) (2) (3) account Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.


Subsection (1) applies for income years beginning on or after 1 October 2007.

147 Application of RWT rules (1) (2) (3) (4) Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.

Amendments incorporated in the principal Act.

Subsections (1) and (2) apply for the 2005–06 and later income years.

152 Application of NRWT rules (1) (2) (3) (4) Amendment incorporated in the principal Act.


Amendments incorporated in the principal Act.

Subsections (1) and (3) apply for the 2005–06 and later income years.

3156 Reprinted as at 29 August 2011 Income Tax Act 2004 155 Deﬁnitions This section amends section OB 1.

(1) Amendment incorporated in the principal Act.

(2) Amendments incorporated in the principal Act.

(3) Amendments incorporated in the principal Act.

(4) Amendment incorporated in the principal Act.


(5) Amendments incorporated in the principal Act.

(6) Amendment incorporated in the principal Act.

(7) Amendments incorporated in the principal Act.

(8) (9) Amendment incorporated in the principal Act.

(10) Amendment incorporated in the principal Act.

(11) Amendments incorporated in the principal Act.

(12) Amendment incorporated in the principal Act.

(13) Amendment incorporated in the principal Act.

(14) Amendment incorporated in the principal Act.


(15) Amendment incorporated in the principal Act.

(16) Amendment incorporated in the principal Act.

(17) Amendment incorporated in the principal Act.

(18) Amendment incorporated in the principal Act.

(19) Amendments incorporated in the principal Act.

(20) Amendment incorporated in the principal Act.

(21) Amendments incorporated in the principal Act.

(22) Amendment incorporated in the principal Act.

(23) Amendment incorporated in the principal Act.


(24) Amendment incorporated in the principal Act.

(25) Amendment incorporated in the principal Act.

(26) Amendment incorporated in the principal Act.

(27) Amendment incorporated in the principal Act.

(28) Amendment incorporated in the principal Act.

(29) Amendment incorporated in the principal Act.

(30) Amendment incorporated in the principal Act.

(31) Amendment incorporated in the principal Act.

(32) Amendment incorporated in the principal Act.


(33) Amendment incorporated in the principal Act.

3157 Income Tax Act 2004 Reprinted as at 29 August 2011 (34) Amendment incorporated in the principal Act.

(35) Amendments incorporated in the principal Act.

(36) Amendment incorporated in the principal Act.

(37) Amendment incorporated in the principal Act.

(38) Amendment incorporated in the principal Act.

(39) Amendment incorporated in the principal Act.


(40) Amendments incorporated in the principal Act.

(41) Amendments incorporated in the principal Act.

(42) Amendment incorporated in the principal Act.

(43) Amendment incorporated in the principal Act.

(44) Amendment incorporated in the principal Act.

(45) Amendment incorporated in the principal Act.

(46) Amendment incorporated in the principal Act.

(47) Amendment incorporated in the principal Act.


(48) Subsections (9), (10), (11), (17), (19)(a), (21), (22), and (45) apply for the 2005–06 and later income years.
(49) Subsections (5), (7), (15), (16), and (29) apply for income years beginning on or after 1 April 2007— (a) (b) beginning with the ﬁrst day of the ﬁrst income year for a person who does not make an election under paragraph (b); or beginning with the later of the ﬁrst day of the ﬁrst income year and 1 October 2007 for a person that is a company, group investment fund, or superannuation fund that intends to be a portfolio investment entity and chooses to delay the application to the person of changes made by this Act to the rules relating to FIFs by giving a notice to the Commissioner— (i) before 1 April 2007, if the person exists before that date; or (ii) within 1 month of the day on which the person comes into existence, if the person comes into existence on or after 1 April 2007 and before 1 October 2007.
(50) Subsections (18), (19)(b), (30), (42), and (46) apply for in- come years beginning on or after 1 October 2007.

3158 Reprinted as at 29 August 2011 Income Tax Act 2004 165 Schedule 13—Months for payment of provisional tax and (1) (2) terminal tax Amendments incorporated in the principal Act.

Subsection (1) applies for income years corresponding to the 2008–09 and later tax years.
3159 Income Tax Act 2004 Reprinted as at 29 August 2011 Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 Public Act Date of assent Commencement 2007 No 19 21 May 2007 see section 2 Title This Act is the Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007.

Commencement This Act comes into force on the date on which it receives the Royal assent, except as provided in this section.

Section 72 is treated as coming into force on 1 April 2007.
Sections 6, 39, 49(2), (3), (5), (6), (7), (9), and (11), 56, 58, 63 to 69, and 73 come into force on 1 July 2007.

Sections 4, 5, 7 to 26, 27, 28 to 38, 40 to 48, 49(8), (10), (12), (13), (14), (15), (16), and (17), 50(1)(d), 52 to 55, and 70 come into force on 1 October 2007.

Part 1 Amendments to Income Tax Act 2004 Portfolio entity tax liability and rebates of portfolio tax rate entity for period Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.


Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.

Subsection (6) applies for the 2008–09 and later income years.

New sections MZ 10 to MZ 12 Amendments incorporated in the principal Act.
1 2 (1) (2) (3) (4) 27 (1) (2) (3) (4) (5) (6) (7) (8) 47 (1) 3160 Reprinted as at 29 August 2011 Income Tax Act 2004 (2) Subsection (1) applies for the 2008–09 and later income years.

Deﬁnitions 49 This section amends section OB 1.

(1) Amendment incorporated in the principal Act.

(2) Amendment incorporated in the principal Act.

(3) Amendment incorporated in the principal Act.

(4) Amendment incorporated in the principal Act.

(5) Amendments incorporated in the principal Act.


(6) Amendment incorporated in the principal Act.

(7) Amendment incorporated in the principal Act.

(8) (9) Amendments incorporated in the principal Act.

(10) Amendment incorporated in the principal Act.

(11) Amendment incorporated in the principal Act.

(12) Amendments incorporated in the principal Act.

(13) Amendments incorporated in the principal Act.

(14) Amendment incorporated in the principal Act.

(15) Amendment incorporated in the principal Act.


(16) Amendment incorporated in the principal Act.

(17) Amendments incorporated in the principal Act.

(18) Amendments incorporated in the principal Act.

(19) Subsection (4) applies, for a superannuation fund and an em- ployee’s superannuation accumulation, on and after 1 July 2007, unless the fund is approved by the Government Actu- ary as a complying superannuation fund before 17 May 2007.
If subsection (4) does not apply, because of subsection (19), the law that would apply if subsection (4) did not exist applies instead.

(20) (21) Subsections (13)(a) and (17)(a) apply,— (a) (b) for a portfolio tax rate entity to which section HL 21 or HL 23 of the Income Tax Act 2004 applies, on and after 1 April 2008: for a portfolio tax rate entity to which section HL 22 of the Income Tax Act 2004 applies, for the 2008–09 and later income years.
3161 Income Tax Act 2004 Reprinted as at 29 August 2011 (22) Subsection (18) applies for the 2008–09 and later income years.

3162 Reprinted as at 29 August 2011 Income Tax Act 2004 Income Tax Act 2007 Public Act Date of assent Commencement 2007 No 97 1 November 2007 see section 2 A 1 Title This Act is the Income Tax Act 2007.

Compare: 2004 No 35 s A 1 A 2 Commencement 1 April 2008 This Act comes into force on 1 April 2008.
(1) Charitable entities (1B) Despite subsection (1), sections CW 41(2) and CW 42(1)(b) come into force on 1 July 2008.

Act effective for 2008–09 income year and later (2) However, except when the context requires otherwise, this Act applies only with respect to the tax on income derived in the 2008–09 income year and later income years.
Deﬁned in this Act: income year, tax Compare: 2004 No 35 s A 2 Section A 2(1B): inserted, on 1 April 2008, by section 307 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).

Part Z Repeals, amendments, and savings ZA 1 Repeals Schedule 48 Amendments incorporated into principal Act and regulations.
(1) Repeals effective only for 2008–09 income year and later (2) However, unless the context requires otherwise, the repeals listed in schedule 48 apply only in relation to the tax on income derived in the 2008–09 income year and later income years.
Deﬁned in this Act: income, income year, tax Compare: 2004 No 35 s YA 1 3163 Income Tax Act 2004 Reprinted as at 29 August 2011 ZA 3 Transitional provisions When reference to this Act includes earlier Act (1) A reference in an enactment or document to this Act, or to a provision of it, is to be interpreted as a reference to the Income Tax Act 2004, or the Income Tax Act 1994, or the Income Tax Act 1976, or to the corresponding provision of the earlier Act, to the extent necessary to reﬂect sensibly the intent of the enactment or document.
When reference to earlier Act includes this Act (2) A reference in an enactment or document to the Income Tax Act 2004, or the Income Tax Act 1994, or the Income Tax Act 1976, or to a provision of that earlier Act, is to be interpreted as a reference to this Act, or to the corresponding provision in this Act, to the extent necessary to reﬂect sensibly the intent of the enactment or document.
(3) Intention of new law The provisions of this Act, including any amendments made by this Act to the Tax Administration Act 1994, are the provi- sions of the Income Tax Act 2004 in rewritten form, and are intended to have the same effect as the corresponding provi- sions of the Income Tax Act 2004.

Subsection (5) overrides this subsection.
Using old law as interpretation guide (4) Unless a limit in subsection (5) applies, in circumstances where the meaning of a taxation law that comes into force at the commencement of this Act (the new law) is unclear or gives rise to absurdity— (a) the wording of a taxation law that is repealed by section ZA 1 and that corresponds to the new law (the old law) must be used to determine the correct meaning of the new law; and it can be assumed that a corresponding old law provision exists for each new law provision.
(b) Limits to subsections (3) and (4) Subsections (3) and (4) do not apply in the case of— (a) a new law listed in schedule 51 (Identiﬁed changes in legislation); or (5) 3164 Reprinted as at 29 August 2011 Income Tax Act 2004 (b) a new law that is amended after the commencement of this Act, with effect from the date on which the amend- ment comes into force.
Deﬁned in this Act: taxation law Compare: 2004 No 35 s YA 3 ZA 4 Saving of binding rulings (1) When, and extent to which, this section applies This section applies when, and to the extent to which,— (a) either— (i) an applicant has applied for a private ruling, a product ruling, or a status ruling, before the be- ginning of the 2008–09 income year on an ar- rangement that is entered into, or that the appli- cant seriously contemplates will be entered into before the commencement of this Act; or a public ruling is issued before the beginning of the 2008–09 income year; and (b) (c) (d) the binding ruling is about— (i) a taxation law that is repealed by section ZA 1 (the old law); or a taxation law in the Income Tax Act 1994 that preceded and corresponded to the old law; and a new taxation law that corresponds to the old law (the new law) comes into force at the commencement of this Act; and in the absence of this section, the commencement of this Act would mean that the binding ruling would cease to apply because of section 91G of the Tax Administration Act 1994.
(ii) (ii) (2) (3) Ruling about new law The binding ruling is treated as if it were made about the new law, so that the effect of the ruling at the commencement of this Act is the same as its effect before the commencement.
No conﬁrmation rulings To the extent to which a binding ruling continued by subsec- tion (2) exists and applies to an arrangement, or to a person 3165 Income Tax Act 2004 Reprinted as at 29 August 2011 and an arrangement, the Commissioner must not make a bind- ing ruling on how— (a) the new law applies to the arrangement or to the person and the arrangement; or this subsection applies to the arrangement or to the per- son and the arrangement.
(b) Deﬁned in this Act: arrangement, binding ruling, commencement of this Act, Commissioner, taxation law Compare: 2004 No 35 s YA 4 ZA 5 Saving of accrual determinations When, and extent to which, this section applies This section applies when— (a) a determination has been made before the beginning of the 2008–09 income year under— (i) section 90 or 90AC of the Tax Administration Act 1994; or section 64E of the Income Tax Act 1976; and (ii) the determination has not been cancelled before the be- ginning of the 2008–09 income year; and the determination is about— (i) a taxation law that is repealed by section ZA 1 (the old law); or a taxation law in the Income Tax Act 1994 or the Income Tax Act 1976 that preceded and corre- sponded to the old law; and (ii) a new taxation law that corresponds to the old law (the new law) comes into force at the commencement of this Act; and in the absence of this section, the commencement of this Act would mean that that determination would cease to apply because the taxation law to which it applied had ceased to exist.
(b) (c) (d) (e) Determination about new law The determination is treated as if it were made about the new law, so that the effect of the determination at the commence- ment of this Act is the same as its effect before the commence- ment.

(1) (2) 3166 Reprinted as at 29 August 2011 Income Tax Act 2004 (3) No conﬁrmation determinations To the extent to which a determination continued by subsection (2) applies, the Commissioner must not make a determination on how the new law applies.
Deﬁned in this Act: commencement of this Act, Commissioner, taxation law Compare: 2004 No 35 s YA 5 3167 Income Tax Act 2004 Reprinted as at 29 August 2011 Income Tax (Family Tax Credit) Order 2007 (SR 2007/349) At Wellington this 12th day of November 2007 Present: His Excellency the Governor-General in Council Pursuant to section KD 5C of the Income Tax Act 2004, His Excellency the Governor-General, acting on the advice and with the consent of the Executive Council, makes the following order.
1 2 3 (1) (2) Order Title This order is the Income Tax (Family Tax Credit) Order 2007.

Commencement This order comes into force on 1 April 2008.

Increase of amount of family tax credit Amendment incorporated in the principal Act Subclause (1) applies in respect of the 2008-09 tax year.

Clause 3(2): amended, on 1 April 2009, by clause 4 of the Income Tax (Minimum Family Tax Credit) Order 2008 (SR 2008/384).

Diane Morcom, Clerk of the Executive Council.

Date of notiﬁcation in Gazette: 15 November 2007.


3168 Reprinted as at 29 August 2011 Income Tax Act 2004 Taxation (Business Taxation and Remedial Matters) Act 2007 Public Act Date of assent Commencement 2007 No 109 19 December 2007 see section 2 1 Title This Act is the Taxation (Business Taxation and Remedial Matters) Act 2007.

(4) 2 (1) (2) (3) Commencement This Act comes into force on the date on which it receives the Royal assent, except as provided in this section.
Section 284 is treated as coming into force on 1 April 1995.

Sections 286 and 287 are treated as coming into force on 1 April 1997.

Sections 241(1) and (3) and 269(1) are treated as coming into force on 1 April 1999.

Sections 281 and 282(3) are treated as coming into force on 1 April 2001.

Section 273(2), (4), and (5) are treated as coming into force on 24 October 2001.

Section 285 is treated as coming into force on 1 April 2002.

(7) Section 269(3) is treated as coming into force on 1 April 2003.
(8) (9) Section 133(1) is treated as coming into force on 4 June 2004.

(10) Section 288(3) is treated as coming into force on 16 November (5) (6) 2004.

(11) Sections 6, 7, 8, 9, 10, 13, 18, 19, 22, 23, 24, 25, 35, 39, 40, 41, 54, 55, 56, 76, 77, 79, 102, 128, 154, 165, 167, 182(25), (28), (33), and (55), 185(2), 230(1) and (2), and 272(1) are treated as coming into force on 1 April 2005.

(12) Section 129(1) is treated as coming into force on 1 July 2005.
(13) Sections 176 and 177 are treated as coming into force on 1 April 2006.

(14) Sections 130, 182(44), and 185(1) are treated as coming into force on 1 December 2006.
3169 Income Tax Act 2004 Reprinted as at 29 August 2011 (15) Sections 135(2), 136, 138, 140, 153, 178, 179(1) and (3), 181, 182(5), (6), (7), (8), (9), (10), (11), (12), (13), (14), (15), (16), (18), (19), (20), (22), (24), (27), (29), (30), (43), (45), (46), (47), (48)(a) and (b), (49), (50), (51), (52), (53), (54), and (56), 184, 189(2) and (5), 192, 193(1), 194(1), 202, 210, 224(1) and (4), 227(1), 228(1) and (3), 231(1), 252(2), 262(1), 295, 299, 300, 302, 304, and 305 are treated as coming into force on 1 April 2007.
(16) Sections 156(1) and (2), 256, 258, 273(1) and (3), and 274 are treated as coming into force on 17 May 2007.

(17) Sections 50, 51, 52, 78, 101, and 182(17), (26), and (59) are treated as coming into force on 20 June 2007.
(18) Sections 135(1), 139, 141, 142, 143, 144, 145, 146, 147, 148, 149, 150, 151, 152, 157, 158, 159, 160, 161, 162, 163, 164(2), 166(2), 168, 169, 170, 171, 172, 173, 174, 175, 179(2), 180, 182(2), (4), (23), (31), (35), (36), (37), (38), (39), (40), (41), and (42), 186, 190, 195, 196(1), (2), and (4), 207(2), (5), (6), (8), and (9), 208(1), 236, 237, 238, 239, 240, 245, 246, 247, 248, 249, and 279(1) are treated as coming into force on 1 October 2007.
(19) Section 275 is treated as coming into force on 30 November 2007.
(20) Sections 191, 193(2) and (3), 194(2) and (3), 196(3) and (5), 201, 203(2), 204(1), 205, 206(2) and (3), 207(1), (3) , (4) , (7), and (10), 208(2), 211, 212, 213, 214, 215, 216, 217, 218, 219, 222, 223, 224(2), (3), and (5), 227(2), 228(2), 231(2) to (4), 241(2), 242, 243, 244, 250(1) to (3), 251, 252(1), (3), and (4), 253, 254, 255, 257, 259, 260, 261, 262(2), 263, 264, 265, 266, 267, 269(2) and (4), 272(2), 278, 279(2), 290, 294, 307 to 318, 321 to 328, 330 to 342, 344 to 437, 438(1), 439 to 538, 540 to 549, 550(2) to (41) and (43) to (68), 551 to 553, 554(1) and (2), and 555 to 562 come into force on 1 April 2008.
3170 Reprinted as at 29 August 2011 Income Tax Act 2004 (21) Sections 14, 15, 21, 36, 37, 137, 182(32), 183, 197(1) to (3), 198, 303, 319, 320, 329, 343, 438(2), 539, 550(42), and 554(3) come into force on 1 July 2008.

(22) Sections 220(1), 293, 297, and 298 come into force on the earlier of the following: (a) a date to be ﬁxed by the Governor-General by Order in Council: 1 April 2009.
(b) (a) (23) Section 229 comes into force on the earlier of the following: a date to be ﬁxed by the Governor-General by Order in Council: 1 April 2010.

(b) 3 6 (1) (2) 7 (1) (2) Part 1 Amendments to Income Tax Act 2004 Income Tax Act 2004 Sections 4 to 186 amend the Income Tax Act 2004.

New section CB 5A inserted Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.
(b) Disposal: amount from major development or division and not already in income Amendment incorporated in the principal Act.
Subsection (1) applies for— (a) a disposal of land occurring on or after the date on which this Act receives the Royal assent: a person and a disposal of land occurring before the date on which this Act receives the Royal assent, if the person— (i) (ii) is the person disposing of the land; and takes a tax position relating to the disposal in a return for the income year of the disposal; and in taking the tax position, relies on the law that would apply if subsection (1) applied for the dis- posal; and (iii) 3171 Income Tax Act 2004 Reprinted as at 29 August 2011 (iv) provides the return to the Commissioner by the due date for the return.
(b) (b) Business exclusion from section CB 10 Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsection (2) applies for— (a) a disposal of land occurring on or after the date on which this Act receives the Royal assent: a person and a disposal of land occurring before the date on which this Act receives the Royal assent, if the person— (i) (ii) is the person disposing of the land; and takes a tax position relating to the disposal in a return for the income year of the disposal; and in taking the tax position, relies on the law that would apply if subsection (2) applied for the dis- posal; and provides the return to the Commissioner by the due date for the return.
(iii) (iv) Investment exclusion from section CB 10 Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsection (2) applies for— (a) a disposal of land occurring on or after the date on which this Act receives the Royal assent: a person and a disposal of land occurring before the date on which this Act receives the Royal assent, if the person— (i) (ii) is the person disposing of the land; and takes a tax position relating to the disposal in a return for the income year of the disposal; and in taking the tax position, relies on the law that would apply if subsection (2) applied for the dis- posal; and provides the return to the Commissioner by the due date for the return.
(iii) (iv) 9 (1) (2) (3) 10 (1) (2) (3) 3172 Reprinted as at 29 August 2011 Income Tax Act 2004 13 When does a person have attributed repatriation from a CFC?

Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

(1) (2) 18 Meaning of petroleum miner (1) (2) (3) (4) (5) Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.

Amendments incorporated in the principal Act.


Subsections (1) to (4) apply for the 2005–06 and later income years.

19 (1) (2) 25 (1) (2) 31 (1) (2) (3) (4) (5) (6) New section CT 6B inserted Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

New heading and sections CW 49C and CW 49D inserted Amendments incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.
Research or development Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.


Subsections (1) to (5) apply for— (a) (b) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.

32 (1) Some deﬁnitions Amendment incorporated in the principal Act.
3173 Income Tax Act 2004 Reprinted as at 29 August 2011 (2) (3) 35 (1) (2) (3) (4) (5) 40 (1) (2) (3) 41 (1) (2) Amendment incorporated in the principal Act.

Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.
(b) Sale of business: transferred employment income obligations Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (1) to (4) apply for the 2005–06 and later income years.

Film production expenditure Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.
New section DS 2B inserted Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

42 Maori authorities: donations (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for the 2008–09 and later income years.

Cost Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.


Amendments incorporated in the principal Act.

43 (1) (2) (3) (4) (5) 3174 Reprinted as at 29 August 2011 Income Tax Act 2004 (6) 44 (1) (2) (3) 45 (1) (2) (3) 46 (1) (2) (3) Subsections (1) to (5) apply for— (a) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.
Discounted selling price Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.

Valuing closing stock consistently Amendment incorporated in the principal Act.


Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.

(b) (b) (b) Discounted selling price for low-turnover traders Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.


Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income (b) 3175 47 (1) (2) (3) 48 (1) (2) (3) (4) 49 (1) (2) (3) Income Tax Act 2004 Reprinted as at 29 August 2011 years, if that ﬁrst income year is before the 2007–08 income year.
Valuing closing stock consistently for low-turnover traders Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.
(b) Reduction: bloodstock not previously used for breeding in New Zealand Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (2) and (3) apply to bloodstock acquired on or after 1 August 2007.

Valuation of excepted ﬁnancial arrangements Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.


Subsections (1) and (2) apply for— (a) (b) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.

54 (1) Expenditure incurred in acquiring ﬁlm rights in feature ﬁlms Amendment incorporated in the principal Act.
3176 Reprinted as at 29 August 2011 Income Tax Act 2004 (2) Subsection (1) applies for the 2005–06 and later income years.

55 (1) (2) 56 (1) (2) (3) 57 (1) (2) (3) Expenditure incurred in acquiring ﬁlm rights in ﬁlms other than feature ﬁlms Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

Film production expenditure for New Zealand ﬁlms Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.


Subsections (1) and (2) apply for the 2005–06 and later income years.

Film production expenditure for ﬁlms other than New Zealand ﬁlms Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (1) and (2) apply for the 2005–06 and later income years.

58 What spreading methods do (1) (2) (3) (4) Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) to (3) apply for— (a) (b) (c) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
3177 Income Tax Act 2004 Reprinted as at 29 August 2011 59 What is included when spreading methods used Amendment incorporated in the principal Act.

(1) Amendment incorporated in the principal Act.

(2) Amendment incorporated in the principal Act.
(3) Subsections (1) to (3) apply for— (4) (a) (b) (c) (b) (c) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
New sections EW 15B to EW 15E inserted Amendment incorporated in the principal Act.
Subsection (1) applies for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Yield to maturity method or alternative Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
60 (1) (2) 61 (1) (2) (3) 3178 Reprinted as at 29 August 2011 Income Tax Act 2004 (4) 62 (1) (2) (3) Subsections (1) to (3) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRS s for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Straight-line method Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c)X applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
(b) (c) (b) (c) 63 Market valuation method (1) (2) (3) Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or 3179 Income Tax Act 2004 Reprinted as at 29 August 2011 (b) (c) the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Choice among ﬁrst 3 spreading methods Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) (b) (c) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Determination method or alternative Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) to (3) apply for— (a) (b) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 64 (1) (2) (3) 65 (1) (2) (3) (4) 3180 Reprinted as at 29 August 2011 Income Tax Act 2004 (c) income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
66 (1) (2) 67 (1) (2) (3) Section EW 21 repealed Amendment incorporated in the principal Act.
Subsection (1) applies for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Default method Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and (b) (c) (b) (c) 3181 Income Tax Act 2004 Reprinted as at 29 August 2011 the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Failure to use method for ﬁnancial reporting purposes Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Consistency of use of spreading method Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
(b) (c) (b) (c) 68 (1) (2) (3) 69 (1) (2) (3) 3182 Reprinted as at 29 August 2011 Income Tax Act 2004 70 (1) (2) 71 (1) (2) (3) New section EW 25B inserted Amendment incorporated in the principal Act.
Subsection (1) applies for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Change of spreading method Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
(b) (c) (b) (c) 72 When calculation of base price adjustment required (1) (2) (3) Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) and (2) apply for— 3183 Income Tax Act 2004 Reprinted as at 29 August 2011 (a) (b) (c) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Base price adjustment formula Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.
Subsections (1) and (2) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
New heading and new section EW 48B inserted Amendment incorporated in the principal Act.
Subsection (1) applies for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS (b) (c) (b) 73 (1) (2) (3) 74 (1) (2) 3184 Reprinted as at 29 August 2011 Income Tax Act 2004 76 (1) (2) 77 (1) (2) 79 (1) (2) 98 (1) (2) (3) (c) taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
Options and similar rights in certain cases Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

Associates and 10% threshold Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

CFC rules exemption Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

Policyholder income formula Amendment incorporated in the principal Act.
Subsections (1) and (2) apply to a life insurer,— (a) (b) (c) for the 2008–09 and later income years, unless they make an election under paragraph (b) or (c); or on and after 1 October 2007, if they make an election under this paragraph, stating the relevant date in a notice received by the Commissioner before 1 April 2008; or for an income year beginning on or after 1 April 2007, if they make an election under this paragraph, stating the relevant date in a notice received by the Commissioner before 1 April 2008.
99 (1) (2) New sections EY 42B and EY 42C inserted Amendments incorporated in the principal Act.

Subsection (1) applies to a life insurer for the 2008–09 and later income years, unless they make an election under sub- section (3) or they choose that subsection (1) does not apply 3185 Income Tax Act 2004 Reprinted as at 29 August 2011 (3) to them by furnishing a return of income for the 2008–09 tax year that ignores subsection (1).
Subsection (1) applies— (a) on and after 1 October 2007, if the life insurer makes an election under this paragraph, stating the relevant date in a notice received by the Commissioner before 1 April 2008; or for an income year beginning on or after 1 April 2007, if the life insurer makes an election under this paragraph, stating the relevant date in a notice received by the Com- missioner before 1 April 2008.

(b) 101 Sections FC 8H and FC 8I replaced (1) (2) Amendments incorporated in the principal Act.
Subsection (1) applies for leases entered on or after 20 May 1999 and for income years including 20 June 2007 and later income years.

102 Variations in control or income interests in foreign companies Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

(1) (2) 128 Net loss offset between group companies (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.
129 Rebate in respect of gifts of money (1) (2) (3) Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.

Subsection (2) applies for the 2007–08 and later tax years.

130 New section KC 6 inserted (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for redundancy payments paid on or after 1 December 2006.
3186 Reprinted as at 29 August 2011 Income Tax Act 2004 131 Amendments to subpart KD made in schedule 1 Amendment incorporated in the principal Act.

(1) Subsection (1) applies for the 2007–08 and later income years.

(2) 133 Calculation of subpart KD credit (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for the income year corresponding to the 2006–07 and later tax years.

143 Estimation method (1) (2) Amendment incorporated in the principal Act.
Subsection (1) applies for provisional tax payments for the 2008–09 and later tax years.

144 GST ratio method (1) (2) (3) Amendment incorporated in the principal Act.

Amendments incorporated in the principal Act.

Subsections (1) and (2) apply for provisional tax payments for the 2008–09 and later income years.

145 Provisional tax payable in instalments (1) (2) (3) (4) Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.


Subsections (1), (2), and (3) apply for provisional tax pay- ments for the 2008–09 and later income years.

146 Calculating amount of instalment under standard and (1) (2) estimation methods Amendment incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

147 Who may use GST ratio?

(1) (2) (3) Amendments incorporated in the principal Act.

Amendment incorporated in the principal Act.


Amendment incorporated in the principal Act.

3187 Income Tax Act 2004 Reprinted as at 29 August 2011 (4) Subsections (1), (2), and (3) apply for provisional tax pay- ments for the 2008–09 and later income years.

148 Changing determination method (1) (2) (3) Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (1) and (2) apply for provisional tax payments for the 2008–09 and later income years.
149 Disposal of assets (1) (2) Amendments incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

150 Paying provisional tax in transitional years (1) (2) Amendments incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

151 Consequences of change in balance date (1) (2) Amendment incorporated in the principal Act.
Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

152 Registering for GST or cancelling registration (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

153 Refund of excess tax (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for the 2007–08 and later income years.
155 Companies electing to maintain imputation credit account (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for the 2005–06 and later income years.

3188 Reprinted as at 29 August 2011 Income Tax Act 2004 165 Use of credit to reduce dividend withholding payment, or (1) (2) (3) use of debit to satisfy income tax liability Amendments incorporated in the principal Act.
Subsection (1) applies for a person for the 2005–06 and later income years, unless the person has, for the relevant income year, taken a tax position in a return of income furnished to the Commissioner before 17 May 2007 that ignores the existence of subsection (1).

If subsection (1) does not apply to a person for an income year because of subsection (2), the person may treat subsection (1) as not existing.
167 Use of consolidated group credit to reduce dividend (1) (2) (3) withholding payment, or use of group or individual debit to satisfy income tax liability Amendments incorporated in the principal Act.

Subsection (1) applies for a person for the 2005–06 and later income years, unless the person has, for the relevant income year, taken a tax position in a return of income furnished to the Commissioner before 17 May 2007 that ignores the existence of subsection (1).
If subsection (1) does not apply to a person for an income year because of subsection (2), the person may treat subsection (1) as not existing.

176 Private use of motor vehicle: when schedular value not (1) (2) (3) (4) used Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Amendment incorporated in the principal Act.

Subsections (1) to (3) apply for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.
177 Private use of motor vehicle: when schedular value used (1) (2) Amendment incorporated in the principal Act.

Subsection (1) applies for a person’s liability for fringe beneﬁt tax for a period beginning on or after 1 April 2006.

3189 Income Tax Act 2004 Reprinted as at 29 August 2011 180 Resident withholding tax deductions from dividends deemed to be dividend withholding payment credits Amendment incorporated in the principal Act.
Subsection (1) applies— (a) (1) (2) for the 2008–09 and later income years, unless para- graph (b) applies: on and after 1 April 2008 for a portfolio tax rate entity that does not choose to be subject to section HL 22.

(b) 182 Deﬁnitions This section amends section OB 1.

(1) Amendment incorporated in the principal Act.

(2) Amendment incorporated in the principal Act.

(3) Amendment incorporated in the principal Act.

(4) Amendment incorporated in the principal Act.


(5) Amendment incorporated in the principal Act.

(6) Amendment incorporated in the principal Act.

(7) Amendment incorporated in the principal Act.

(8) (9) Amendment incorporated in the principal Act.

(10) Amendment incorporated in the principal Act.

(11) Amendment incorporated in the principal Act.

(12) Amendment incorporated in the principal Act.

(13) Amendment incorporated in the principal Act.

(14) Amendment incorporated in the principal Act.


(15) Amendment incorporated in the principal Act.

(16) Amendment incorporated in the principal Act.

(17) Amendments incorporated in the principal Act.

(18) Amendment incorporated in the principal Act.

(19) Amendment incorporated in the principal Act.

(20) Amendment incorporated in the principal Act.

(21) Amendment incorporated in the principal Act.

(22) Amendments incorporated in the principal Act.

(23) Amendments incorporated in the principal Act.


(24) Amendments incorporated in the principal Act.

(25) Amendment incorporated in the principal Act.

3190 Reprinted as at 29 August 2011 Income Tax Act 2004 (26) Amendment incorporated in the principal Act.

(27) Amendment incorporated in the principal Act.

(28) Amendment incorporated in the principal Act.

(29) Amendment incorporated in the principal Act.

(30) Amendments incorporated in the principal Act.


(31) Amendment incorporated in the principal Act.

(32) Amendment incorporated in the principal Act.

(33) Amendment incorporated in the principal Act.

(34) Amendment incorporated in the principal Act.

(35) Amendments incorporated in the principal Act.

(36) Amendment incorporated in the principal Act.

(37) Amendment incorporated in the principal Act.

(38) Amendment incorporated in the principal Act.

(39) Amendment incorporated in the principal Act.


(40) Amendments incorporated in the principal Act.

(41) Amendments incorporated in the principal Act.

(42) Amendments incorporated in the principal Act.

(43) Amendments incorporated in the principal Act.

(44) Amendment incorporated in the principal Act.

(45) Amendments incorporated in the principal Act.

(46) Amendment incorporated in the principal Act.

(47) Amendment incorporated in the principal Act.


(48) Amendment incorporated in the principal Act.

(49) Amendments incorporated in the principal Act.

(50) Amendment incorporated in the principal Act.

(51) Amendment incorporated in the principal Act.

(52) Amendment incorporated in the principal Act.

(53) Amendment incorporated in the principal Act.

(54) Amendment incorporated in the principal Act.

(55) Amendment incorporated in the principal Act.

(56) Amendment incorporated in the principal Act.


(57) Subsection (25) applies for the 2005–06 and later income years.

(58) Subsections (12), (13), (18), (19), (22), (29), (30), and (52) apply for— 3191 Income Tax Act 2004 Reprinted as at 29 August 2011 (a) (b) the 2007–08 and later income years, unless paragraph (b) applies; or the ﬁrst income year for which a person adopts IFRS s for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year.
(59) Subsection (17) applies for leases entered on or after 20 May 1999 and for income years including 20 June 2007 and later income years.

(60) Subsections (5), (6), (7), (8), (9), (10), (11), (14), (15), (16), (24), (27), (43), (46), (47), (48)(a), (51), (53), and (54) apply for the 2007–08 and later income years.

186 Schedule 13—Months for payment of provisional tax and (1) (2) terminal tax Amendment incorporated in the principal Act.
Subsection (1) applies for provisional tax payments for the 2008–09 and later income years.

3192 Reprinted as at 29 August 2011 Income Tax Act 2004 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Public Act Date of assent Commencement 2009 No 34 6 October 2009 see section 2 1 2 (1) (2) (3) (4) (5) (6) (7) (8) Title This Act is the Taxation (International Taxation, Life Insur- ance, and Remedial Matters) Act 2009.
Commencement This Act comes into force on the day on which it receives the Royal assent, except as provided in this section.

Sections 74, 108, 319, 320, 322, 323, 502, 510, 546, 549, 557(26), (45), (53), (132), (145), and (147), 605(1), and (3), 606, 610, 682, 862, and 863 are treated as coming into force 3 months after this Act receives the Royal assent.
Section 704(5) is treated as coming into force— (a) in relation to the Parliamentary Service, on 1 October 1986: in relation to the Ofﬁce of the Clerk of the House of Representatives, on 1 August 1988.

(b) Section 855 is treated as coming into force on 1 April 1993.

Section 850 is treated as coming into force on 1 April 1995.

Sections 851 and 860 are treated as coming into force on 1 April 1997.

Sections 847, 848, 849, 852, 853, 854, and 856 are treated as coming into force on 1 October 2001.
Sections 628(1), 646(1) and (4), 647(1), (3), and (6), 712, 735, 736, 738, 741, 742, 743, 746, 747, 748, 749, 750, 751, 754, 759, 760, 761, 764(2), 767, 769, 770, 771, 772, 773, 789(2) and (4), 832, 844(2), (9), (15), (23), (25), (31), and (33), 845, 858(1) and (3), and 864 are treated as coming into force on 1 April 2005.

3193 Income Tax Act 2004 Reprinted as at 29 August 2011 (9) Section 647(2) is treated as coming into force on 1 October 2005.
(10) Sections 744, 768, and 844(3), (13), (14), (22), and (32) are treated as coming into force on 1 April 2006.

(11) Sections 646(2) and 647(4) are treated as coming into force on 3 April 2006.

(12) Sections 706, 739, 779, 780, 781, 782, 783, 784, 785, 786, 787, 788, 789(1) and (3), 793, 794, 795, 796, 797, 798, 799, 800, 801, 802, 819(2), 841, and 844(8), (11), (18), (21), and (35) are treated as coming into force on 1 April 2007.

(13) Section 684 is treated as coming into force on 17 May 2007.
(14) Sections 720, 731, 733(2) and (4), and 844(6) and (17) are treated as coming into force on 1 July 2007.

(15) Sections 612, 625, 675, 677, 756, 808, 809, 811, 812, 813, 814, 815, 816, 817, 818, 819(1), 820, 821, 822, 823, 824, 825, 826, 827, 828, 829, 833, 834, 835, 836, 837, 838, 839, 840, 842, 843, and 844(26) are treated as coming into force on 1 October 2007.

(16) Section 764(1) and (3) is treated as coming into force on 1 December 2007.
(17) Sections 638(2), 757, 830, and 831 are treated as coming into force on 19 December 2007.

(18) Section 758 is treated as coming into force on 1 January 2008.

(19) Section 737, 740, 755, 762, 790, 791, 792, 803, 804, 805, 806, 807, 810, and 844(4), (5), (7), (10), (12), (16), and (27) to (30) are treated as coming into force on 25 February 2008.

(20) Section 763 is treated as coming into force on 4 March 2008.
(21) Sections 5(1), (2), (4), (5), and (7), 11, 12, 15(1)(b), 16, 18, 19(1), (2), (3) and (5), 20(3), 24, 25, 26, 32, 34, 35, 36, 37, 38, 41(1) and (2), 42, 43, 44, 45, 47, 48, 52, 53, 54, 56(1) and (4), 60, 62, 68, 72, 73(3), 76, 81, 82, 83, 84, 85, 93, 96(1) and (3), 97, 98(1), (3), and (4), 99, 100, 101, 102(1), (3), (5), and (7), 103(1), (3), and (5), 104(1) and (3), 105(1), (3), and (5), 106(1), (3), and (5), 107, 109, 111, 117, 118, 119, 120, 121, 127, 128, 129, 130, 131, 133, 134, 135, 136(1) and (3), 137(1), (2), (3), and (5), 138, 140, 141, 142, 143, 144, 145, 146, 147, 150, 151, 152(1), 161(7) and (15), 166, 167, 168, 169, 170, 171, 172, 173(1) to (3), (5) to (7), and (11), 174, 3194 Reprinted as at 29 August 2011 Income Tax Act 2004 176(1), 177(1), (2) to (4), and (6) to (10), 178(1) to (5), and (7) to (11), 179, 180(1), 181(1), (2), and (5), 182, 183, 188, 196, 197, 198, 201, 202(1) and (3), 203, 204, 205(1), (4), and (5), 209(2), (3), and (5), 211(3) and (6), 215(1) and (3), 218(1), (4), (5), (7), and (9), 227, 230(4), 232, 233, 234, 235, 236, 238(1) and (4), 239(1), 241, 242(1), 251, 253, 254, 255, 256, 257, 258, 261, 262(1), 263, 264(2) and (4), 265, 266, 268, 269, 270, 271, 272, 273, 274, 275, 277, 280, 281, 282(1), (3), (4), and (5), 283, 284(1), (2), (4), and (6), 285, 286, 287, 288, 289, 290, 291, 293, 294, 296(2), (3), and (8), 297(2) and (5), 298(1) and (4), 299, 300, 302(2) and (4), 304, 306, 308(1), 309, 311, 312, 314, 317, 318, 321, 324(1), (2), (4), and (6), 329, 330, 331, 332, 333, 334, 335, 336(1), (3), (5), and (6), 337, 338, 339, 340(1), (3), (4), and (7), 341, 344, 345, 349, 350, 352, 353, 354, 355, 356, 357, 358, 359, 360(1) and (3), 361, 362, 363, 364, 365, 366, 367, 368, 369, 370, 371, 376, 378(1), (2), (4), (5), and (7), 379, 381(2) and (4), 383, 387, 388(2) and (5), 389(2) and (3), 390, 391, 393, 394, 397, 398, 399(1), (4), and (8), 400(2) and (6), 409, 420(1) and (3), 421(1) and (3), 422, 427, 431(1) and (3), 440, 441, 442, 443, 444, 446, 447(2) and (5), 452(3) and (6), 453,
 455, 457, 460(2), (4), and (7), 466, 470, 486, 489, 490(2), (3) and (5), 491(1), (3), and (5), 492(1) and (5), 493, 494, 495, 496, 497, 500, 503(2), (3), and (4), 504, 505, 506, 507, 509, 511, 512, 513, 514(1) to (4), (7), and (9) to (11), 515, 516, 517(1) and (3) to (5), 518(1) and (3) to (5), 519(1) to (6) and (8) to (13), 520, 521, 522, 523, 524, 525, 526, 529, 530, 531(1), (2), and (4) to (7), 532, 533, 534, 536, 537, 538, 539, 541, 542, 543, 544, 545, 547, 548, 554, 555, 556, 557(5), (7), (10), (25), (28), (29), (36), (37), (39), (42), (49), (50), (51), (52), (54), (55), (57), (58), (59), (62), (63), (64), (68), (69), (76), (84), (85), (88), (93), (95), (98), (99), (109), (114), (118), (119), (130), (134), (137), (138), (139), (140), (141), (142), (143), (144), (146), (149), (156), (157), (164), (170), (171), (175), (176), (184), (187), (191), (193), (195), (197), (198), (199), (200), (202), (204), (210), (214), (217), (219), (222), (224), (225), and (228), 559, 560, 561, 562, 564, 567, 568, 569, 570, 571(1) and (3), 572, 573, 574, 575, 576, 579(3) to (8), 580, 581, 582, 583, 585, 590, 591, 592, 593, 596(3), (4), (7), and (8), 597(4), 598(1) and (3), 599(1), 3195 Income Tax Act 2004 Reprinted as at 29 August 2011 609, 614, 615, 616(2), 619(2), (3), (6), and (7), 620, 624, 627, 628(2) to (4), 630(1), 631, 632, 633, 636, 637, 640, 642, 643, 644, 646(3) and (5), 647(5) and (7), 648, 649, 650, 651(1) and (3), 654, 659, 660, 661, 664, 665, 669, 671, 672, 673, 680, 683, 690, 691, 693, 701, 702, 715(1) to (3), 717, 719, 724, 725, 726, 727, 729, 730, 733(3) and (5), 765, 766, 774, 775, 776, 777, 778, 844(19), (20), (24), and (34), 858(2) and (4), 859, and 865 are treated as coming into force on 1 April 2008.
(22) Sections 88, 315, 316, 360(2), 503(1), 557(148), 732, 867, and 868 are treated as coming into force on 1 July 2008.

(23) Sections 40, 58, 61, 243, 244, 745, 752, and 753 are treated as coming into force on 26 September 2008.

(24) Section 137(4) and (6) are treated as coming into force on 1 October 2008.
(25) Sections 10, 80, 112(2) and (3), 115, 116, 132(2) and (4), 173(8), (13), and (15), 557(32), (48), (60), (82), (105), (127), (131), (159), (160), (181), (186), and (206), and 704(2) and (4) are treated as coming into force on 1 January 2009.
(26) Sections 9, 27, 50, 64, 92, 114, 136(2), (4), (5), and (6), 139, 173(9), 176(2) and (3), 181(4) and (8), 184, 276, 278, 279, 282(2), 284(3), (5), (7), and (8), 301, 347(1), 399(2) and (6), 445(1) and (4), 462, 463, 464, 465, 492(2), 508, 514(5), (6), and (8), 517(2), 518(2), 519(7), 550, 557(92), (158), (165), (166), (188), and (209), 571(2), (4), and (5), 587, 607, 608, 619(1), (4), and (5), 623, 715(4), and 721 are treated as coming into force on 1 April 2009.
(27) Sections 5(3), (6), and (8), 6, 14, 17(2), (3) and (5), 20(1), (2), and (4), 22, 23, 29, 30, 39, 41(3) and (6), 69, 70, 71, 79, 90, 91, 110, 152(2) and (3), 153, 154, 155, 156, 160, 161(1) to (6), (9) to (14), (16), and (17), 162, 163, 164, 165, 175, 180(2) to (4), 195, 202(2) and (4), 206, 207, 208, 209(1) and (4), 210, 211(1), (2), (4), (5), and (7), 212, 213, 214, 215(2), (4), and (5), 216, 217, 218(3) and (10), 219, 220, 221, 222, 223, 224, 225, 226, 228, 229, 230(1) to (3), and (5) to (7), 231, 237, 238(2), (3), and (5), 240, 246, 247, 248, 249, 250, 252, 259, 260, 302(1) and (3), 303, 305, 340(2), (5), and (6), 342, 343, 346, 377, 385, 395, 399(3) and (7), 400(3) and (7), 401(2) and (5), 403, 404, 405, 406, 407, 408, 412, 413, 414, 415, 416, 3196 Reprinted as at 29 August 2011 Income Tax Act 2004 417, 419, 421(2) and (4), 423, 424, 425, 426, 428, 429, 430, 431(2) and (4), 432, 433, 434, 435, 436, 437, 448, 456, 459(1) and (3), 460(3) and (8), 461(1) and (3), 468, 469(1) and (3), 471, 472, 473, 474, 475, 476, 477, 478, 479, 480, 481, 482, 485, 488, 490(1) and (4), 491(2), (4) and (6), 492(3), (4), and (6), 527, 528, 540, 557(8), (9), (11), (14), (16), (22), (23), (30), (34), (38), (40), (41), (43), (61), (70), (71), (74), (75), (77), (78), (79), (80), (89), (94), (96), (104), (117), (123), (128), (129), (182), (183), (185), (203), (208), (211), (212), (213), (215), (216), and (229), 558, 577(2), 584, 586, 596(5) and (9), 597(1) to (3), (5) and (6), 605(2) and (4), 617, 634, 635, 651(2) and (5), 652, 655, 656, 657, 658, 666, 668, 674, 676, 678, 686, 687, 688, 695, 697, and 700 are treated as coming into force on 30 June 2009.
(28) Sections 46, 56(2), (3), and (5), 59, 86, 87, and 89 come into force on 1 October 2009.

(29) Sections 95, 123, 124, 125, 126, 557(108), and (110) come into force on 1 January 2010.
(30) Sections 4, 7, 8, 13, 15(1)(a) and (2), 17(1) and (4), 19(4), (6), and (7), 21, 28, 41(4), (5), and (7), 51, 63, 65, 66, 67, 73(1), (2), and (4), 75, 77, 78, 96(2), (4), and (5), 98(2), (5), and (6), 102(2), (4), (6), and (8), 103(2), (4), and (6), 104(2) and (4), 105(2), (4), and (6), 106(2), (4), and (6), 112(1), 113, 122, 149, 157, 158, 159, 161(8) and (18), 173(4), (10), (12), and (14), 177(5), (11), and (12), 178(6), (12), and (13), 181(3), (6), and (7), 191, 192, 218(2), (6), (8), and (11), 239(2) and (3), 242(2) to (4), 245, 262(2) and (3), 264(1) and (3), 267, 292, 295, 296(4), (6), and (9), 298(2), (3), and (5), 308(2) and (3), 313, 324(3), (5), and (7), 328, 336(2), (4), and (7), 347(2), 348, 351, 378(3), (6), and (8), 384, 401(1), (3), and (4), 438, 498, 531(3) and (8), 535, 557(2), (3), (4), (13), (15), (17), (18), (19), (21), (24), (31), (44), (66), (73), (81), (83), (91), (97), (100), (101), (102), (103), (106), (107), (111), (115), (116), (121), (126), (133), (136), (150), (154), (155), (167), (177), (179), (180), (192), (196), (220), (221), (223), and (227), 563, 565, 566, 579(1) and (2), 588, 594, 599(2), 611, 613, 618, 621, 622, 626, 628(5) and (6), 645, 651(4) and (6), 679, 681, 710(3), 713, and 861 come into force on 1 April 2010.
(31) Sections 200 and 487 come into force on 30 June 2010.
3197 Income Tax Act 2004 Reprinted as at 29 August 2011 (32) Sections 33, 49, 55, 94, 132(1), (3), (5), and (6), 185, 186, 187, 189, 190, 193, 194, 199, 296(1), (5), and (7), 297(1), (3), and (4), 307, 310, 325, 326, 327, 372, 373, 374, 375, 380, 381(1), (3), and (5), 382, 386, 388(1), (3), and (4), 392, 396, 399(5) and (9), 400(1), (4), and (5), 402, 410, 411, 418, 420(2) and (4), 439, 445(2), (3), and (5), 447(1), (3), and (4), 449, 450, 451, 452(1), (2), (4), and (5), 454, 458, 459(2) and (4), 460(1), (5), and (6), 461(2) and (4), 467, 469(2) and (4), 483, 484, 557(6), (12), (20), (27), (33), (35), (46), (56), (65), (67), (72), (87), (90), (112), (113), (120), (122), (124), (151), (152), (153), (161), (162), (163), (168), (169), (172), (178), (189), (190), (194), (201), (205), (207), (218), and (226), 577(1) and (3), 629, and 663 come into force on 1 July 2010.
Part 5 Amendments to Income Tax Act 2004 735 New section CC 8B inserted (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

736 What is a transfer of value?

(1) (2) (3) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

738 Treasury stock acquisitions (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for the 2005–06 and later income years.

744 New section CR 3 added (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the ﬁrst income year for which an insurer adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if the person chooses to use IFRS 4 in a return of income for that ﬁrst year.
3198 Reprinted as at 29 August 2011 Income Tax Act 2004 746 Expenditure on account, and reimbursement, of (1) (2) (3) (4) employees Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).


Subsection (2) does not apply in relation to a tax position taken by a person— (a) (b) in the period from 1 April 2005 to 31 March 2008; and in relation to a deduction for an amount of depreciation loss; and relying on section CW 13 in the absence of the amend- ment made by subsection (2).

(c) 750 Section CX 24 replaced (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.
751 Government grants to businesses (1) (2) (3) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Subsections (1) and (2) apply for the 2005–06 and later income years.

754 Determining tax liabilities (1) (2) (3) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

757 Gifts of money by company (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for the 2007–08 and later income years.

759 Criteria for approval of share purchase schemes: before period of restriction ends Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

(1) (2) 3199 Income Tax Act 2004 Reprinted as at 29 August 2011 763 New section DT 1A inserted (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for expenditure incurred on or after 4 March 2008.
764 Arrangement for petroleum exploration expenditure and (1) (2) (3) sale of property Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Subsection (1) applies for expenditure incurred on or after 1 December 2007.

765 Petroleum development expenditure (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for expenditure incurred on or after 1 April 2008.

766 Disposal of petroleum mining asset to associate Amendment(s) incorporated in the Act(s).
(1) Amendment(s) incorporated in the Act(s).

(2) Subsections (1) and (2) apply for expenditure incurred on or (3) after 1 April 2008.

767 Amount written off by holding company (1) (2) (3) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

768 New section DW 3 added (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for the ﬁrst income year for which an insurer adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if the person chooses to use IFRS 4 in a return of income for that ﬁrst year.

770 Pool method: calculating amount of depreciation (1) Amendment(s) incorporated in the Act(s).

3200 Reprinted as at 29 August 2011 Income Tax Act 2004 (2) Subsection (1) applies for the 2005–06 and later income years.
771 Economic rate for plant, equipment, or building, with high residual value Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

(1) (2) 772 Annual rate for item acquired in person’s 1995–96 or later income year Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

(1) (2) 773 Meaning of adjusted tax value (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for the 2005–06 and later income years.

774 Section EJ 11 replaced (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for expenditure incurred on or after 1 April 2008.

775 Relinquishing petroleum permit (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for expenditure incurred on or after 1 April 2008.

776 New sections EJ 12B and EJ 12C inserted (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for expenditure incurred on or after 1 April 2008.

777 Disposal of petroleum mining asset (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for expenditure incurred on or after 1 April 2008.

3201 Income Tax Act 2004 Reprinted as at 29 August 2011 778 Sections EJ 17 and EJ 18 replaced (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for expenditure incurred on or after 1 April 2008.
779 What spreading methods do (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2007–08 and later income years.

IFRS taxpayer method Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).
Subsections (1) and (2) apply for— (a) (b) (c) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
IFRS method Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).
Subsections (1) to (3) apply for–– (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income (b) 780 (1) (2) (3) (4) 781 (1) (2) (3) (4) (5) 3202 Reprinted as at 29 August 2011 Income Tax Act 2004 years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
(6) Despite subsection (5), subsection (3) does not apply for a tax- (c) payer and an income year if the taxpayer has,— (a) before 30 June 2009, ﬁled a return of income for the income year; and taken a tax position in the return which ignores subsec- tion (3).

(b) 782 Determination alternatives to IFRS (1) (2) (3) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).
Subsections (1) and (2) apply for— (a) (b) (c) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
783 Expected value method and equity-free fair value method (1) (2) (3) (4) (5) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).
3203 Income Tax Act 2004 Reprinted as at 29 August 2011 (6) Subsections (1) to (4) apply for— (a) (b) (c) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
784 New section EW 21 inserted (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2007–08 and later income years.

785 Default method (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2007–08 and later income years.

786 Failure to use method for ﬁnancial reporting purposes (1) (2) (3) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Subsections (1) and (2) apply for the 2007–08 and later income years.
787 Change of spreading method (1) (2) (3) (4) (5) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).
Subsections (1) to (4) apply for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or 3204 Reprinted as at 29 August 2011 Income Tax Act 2004 (b) (c) the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or the 2008–09 and later income years, if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
788 When calculation of base price adjustment required (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for— (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
789 Base price adjustment formula (1) (2) (3) Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).
Subsection (1) applies for–– (a) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or 3205 (b) (c) (b) Income Tax Act 2004 Reprinted as at 29 August 2011 (c) if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
(4) Subsection (2) applies for the 2005–06 and later income years.

805 New section FC 2B inserted (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies if a debt security is stapled to a share on or after 25 February 2008.

832 Use of consolidated group credit to reduce dividend withholding payment, or use of group or individual debit to satisfy income tax liability Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).


Subsections (1) and (2) apply for the 2005–06 and later income years.

(1) (2) (3) 841 Retirement scheme contributors (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2007–08 and later income years.

844 Deﬁnitions Amendment(s) incorporated in the Act(s).

(1) Amendment(s) incorporated in the Act(s).

(2) Amendment(s) incorporated in the Act(s).

(3) Amendment(s) incorporated in the Act(s).


(4) Amendment(s) incorporated in the Act(s).

(5) Amendment(s) incorporated in the Act(s).

(6) Amendment(s) incorporated in the Act(s).

(7) Amendment(s) incorporated in the Act(s).

(8) (9) Amendment(s) incorporated in the Act(s).

(10) Amendment(s) incorporated in the Act(s).

(11) Amendment(s) incorporated in the Act(s).

(12) Amendment(s) incorporated in the Act(s).


3206 Reprinted as at 29 August 2011 Income Tax Act 2004 (13) Amendment(s) incorporated in the Act(s).

(14) Amendment(s) incorporated in the Act(s).

(15) Amendment(s) incorporated in the Act(s).

(16) Amendment(s) incorporated in the Act(s).

(17) Amendment(s) incorporated in the Act(s).

(18) Amendment(s) incorporated in the Act(s).

(19) Amendment(s) incorporated in the Act(s).

(20) Amendment(s) incorporated in the Act(s).


(21) Amendment(s) incorporated in the Act(s).

(22) Amendment(s) incorporated in the Act(s).

(23) Amendment(s) incorporated in the Act(s).

(24) Amendment(s) incorporated in the Act(s).

(25) Amendment(s) incorporated in the Act(s).

(26) Amendment(s) incorporated in the Act(s).

(27) Amendment(s) incorporated in the Act(s).

(28) Amendment(s) incorporated in the Act(s).

(29) Amendment(s) incorporated in the Act(s).


(30) Amendment(s) incorporated in the Act(s).

(31) Amendment(s) incorporated in the Act(s).

(32) Subsections (3), (13), (14), and (22) apply for the ﬁrst income year for which an insurer adopts IFRSs for the purposes of ﬁ- nancial reporting and later income years, if the person chooses to use IFRS 4 in a return of income for that ﬁrst year.

(33) Subsections (15) and (25) apply for the 2005–06 and later in- come years.
(34) Subsections (19), (20), and (24) apply for expenditure incurred on or after 1 April 2008.
(35) Subsections (8), (18), and (21) apply for— (a) (b) the 2007–08 and later income years, unless paragraph (b) or (c) applies; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or 3207 Income Tax Act 2004 Reprinted as at 29 August 2011 (c) if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
845 Schedule 16—Depreciable land improvements Amendment(s) incorporated in the Act(s).

(1) Subsection (1) applies for the 2005–06 and later income years.
(2) 3208 Reprinted as at 29 August 2011 Income Tax Act 2004 Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 Public Act Date of assent Commencement 2009 No 63 7 December 2009 see section 2 1 Title This Act is the Taxation (Consequential Rate Alignment and Remedial Matters) Act Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009.
(5) (2) 2 (1) (3) (4) Commencement This Act comes into force on the day after the date on which it receives the Royal assent, except as provided in this section.

Sections 102 and 118(20) come into force on the day that the New Zealand Superannuation and Retirement Income Amend- ment Act 2009 comes into force.

Section 164 is treated as coming into force on 1 April 1995.
Sections 149, 150, 151, 152, 153, 155, 157, 158, 160, 161, 162(2), (5), (6), (7), (8), and (9), and 163, and schedule 2, rows 1, and 3 to 13 are treated as coming into force on 1 April 2005.

Sections 146 and 162(3) are treated as coming into force on 1 July 2007.

Section 159 and schedule 2, row 2 are treated as coming into force on 1 October 2007.

Section 154 is treated as coming into force on 19 December 2007.

Section 162(4) is treated as coming into force on 25 February 2008.
(9) Section 156 is treated as coming into force on 4 March 2008.
(10) Sections 80(1), 84, 85, 86, 87, 88, 89, 90, 91, 92, 93, 94, 95, 96, 97, 98, 99, 100, 101, 104(1), (8) (6) (7) 3209 Income Tax Act 2004 Reprinted as at 29 August 2011 105, 106, 107, 110, 111, 112, 113, 116, 117, 118(2), (3), (4), (7), (8), (9), (10), (11), (12), (13), (14), (15), (16), (17), (24), (26), (27), (29), (31), (32), and (33), 121, 122(1), 123(1), 125, 126, 135, 139, and schedule 1, rows 2 to 17, 20, 22, 23, and 27 to 44 are treated as coming into force on 1 April 2008.
(11) Sections 19, 30, 43, and schedule 1, row 21 are treated as com- ing into force on 1 April 2009.

(12) Sections 23, 24, 25, 27, 28, and schedule 1, row 18 are treated as coming into force on 30 June 2009.

(13) Sections 147 and 165 are treated as coming into force on 1 July 2009.

(14) Sections 166 and 167 are treated as coming into force on 7 October 2009.

(15) Sections 74, 75, and 76 come into force on 7 January 2010.
(16) Sections 78(1), 114, 115, 118(21), and schedule 1, row 35 come into force on 1 February 2010.

(17) Sections 8, 9, 21, 22, 39, 46, 47, 48, 49, 50, 51, 52, 83, 103, 104(2), 108, 109, 118(5), (18), (22), (23), (25), and (36), 120, 122(2), (4), (5), and (6), 123(2) and (3), 124, 130, 131, 132, 133, and 134(1), (2), (3), (4), (5), (6), and (7), and schedule 1, rows 24 to 26 come into force on 1 April 2010.
(18) Sections 32, 33, 34, 35, 36, 37, 38, 118(6), (19), (28), and (34), and schedule 1, row 19 come into force on 1 July 2010.

(19) Sections 77, 78(2), (3), and (5), 118(35), 119, 122(3), and schedule 1, row 37 comes into force on 1 April 2011.

(20) Sections 73, 78(4) and (6), 79, 80(2), 81, 82, 118(30) and (40), and schedule 1, row 36 come into force on 1 April 2013.

Part 4 Amendments to Income Tax Act 2004 152 Research or development (1) (2) (3) Amendment(s) incorporated in the Act(s).


Subsections (1) and (2) apply for the 2007–08 income year, or if the person has chosen to adopt IFRSs for ﬁnancial reporting purposes for an earlier income year, from that earlier income year.

3210 Reprinted as at 29 August 2011 Income Tax Act 2004 155 Section DP 10 replaced (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for the 2007–08 income year, or if the person has chosen to adopt IFRSs for ﬁnancial reporting pur- poses for an earlier income year, from that earlier income year.

157 Branch equivalent income or loss: calculation rules (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.

158 Accounting proﬁts method (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.
However, subsection (1) does not apply to a person in relation to a tax position taken by the person in a return of income ﬁled before the date of Royal assent of this Act in relation to the calculation of an income interest in a FIF, relying on section EX 42(5) before the amendment made by this section.

161 New section NF 2E inserted (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1) applies for the 2005–06 and later income years.
162 Deﬁnitions (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) Subsections (2), (5), and (9) apply for the 2005–06 and later This section amends section OB 1.

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

Amendment(s) incorporated in the Act(s).

income years.
income years.

3211 Income Tax Act 2004 Reprinted as at 29 August 2011 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Public Act Date of assent Commencement 2010 No 109 7 September 2010 see section 2 1 2 (1) (2) (3) (4) (5) (6) (7) (8) (9) Title This Act is the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010.
Commencement This Act comes into force on the day on which it receives the Royal assent, except as provided in this section.

Section 195(2) is treated as coming into force on 24 May 1999.

Section 198 is treated as coming into force on 21 December 2004.

Section 192 is treated as coming into force on 1 January 2005.

Sections 199, 202, 207(1) and (3), 208, and 211(1) and (3) are treated as coming into force on 1 April 2005.

Sections 200, 201, and 207(2) are treated as coming into force on 1 April 2007.
Sections 66, 131, 134, 135, 170, 204, 205, and 206 are treated as coming into force on 1 October 2007.

Sections 197 and 203 are treated as coming into force on 19 December 2007.
Sections 5, 10, 11, 17, 25, 26, 27, 30, 31, 36, 37, 38, 42, 52, 53, 54, 55, 57, 58, 59, 60, 61, , 63, 64, 65, 75, 81, 82, 83, 84, 86, 87, 89, 90, 92, 95, 97, 98, 99, 100, 105,106, 107, 108, 112, 116, 117(2), (4), (5), (8), (10), (23), (28), and (33), 118, 119, 121(1), (2), and (4), 127, 128, 130(1) to (3), 136, 138, 145, 195(5), and 211(2) and (4) are treated as coming into force on 1 April 2008.

(10) Section 195(4) is treated as coming into force on 1 July 2008.
3212 Reprinted as at 29 August 2011 Income Tax Act 2004 (11) Section 56 is treated as coming into force on 26 September 2008.

(12) Sections 6(1), (2), (3), and (5)(b), 20, 21, 28(1) and (5)(b) and 117(9), (18), (22), and (24) are treated as coming into force on 1 January 2009.

(13) Section 117(12) is treated as coming into force on 1 April 2009.

(14) Sections 43, 44, 103, 104, 109, 110, and 149(1) are treated as coming into force on 30 June 2009.
(15) Sections 178, 179, and 180 are treated as coming into force on 7 October 2009.

(16) Section 14 is treated as coming into force on 31 December 2009.

(17) Sections 23, 32 to 35, 117(11) and (14), and 126(3) are treated as coming into force on 1 January 2010.

(18) Sections 101 and 102 are treated as coming into force on 1 March 2010.
(19) Sections 7, 8, 9, 19, 24, 67, 70, 72(3) and (4), 73, 74, 80, 91, 93, 113, 115, 117(13), (15), (19), (20), (21), (29), and (34), 120, 121(3), 122, 123, 124, 126(6), 129, 130(4) and (5), 137, and 186 are treated as coming into force on 1 April 2010.

(20) Sections 76, 77, 78, 79, and 117(6), (25), and (31) are treated as coming into force on 1 June 2010.
(21) Sections 6(4) and (5)(a), 18, 22, 28(2), (3), (4), and (5)(a), 29, 45, 46, 47, 48, 49, 50, 85, 117(7), (26), and (35), 189(3), and 191 are treated as coming into force on 1 July 2010.

(22) Sections 39 to 41 and 51 come into force on 26 September 2010.

(23) Sections 69, 71, 72(1) and (2), and 111 come into force on 1 October 2010.

(24) Sections 12, 16, 68, 88, 96, 114, 117(16), (27), (30), and (32), 132, 133, and 173 come into force on 1 April 2011.
(25) Sections 13, 94, 117(3) and (17), 176(1) and (3), 183, 184, 188, and 189(1), (2), (4), and (5) come into force on the ﬁrst day of the second month after the month in which the Gov- ernments of Australia and New Zealand exchange notes, as 3213 Income Tax Act 2004 Reprinted as at 29 August 2011 provided by clause 21 of the Arrangement between them on trans-Tasman retirement savings portability.
Part 5 Amendments to other Acts and regulations Income Tax Act 2004 198 Beneﬁts provided to employees who are shareholders or (1) (2) investors Amendment(s) incorporated in the Act(s).
Subsection (1)— (a) (b) applies for the 2005–06 and later income years, except if paragraph (b) applies: does not apply for a person or an income year in relation to a tax position taken by the person for their 2005–06 or later income year— (i) in the period from 12 December 2004 to the date of the Royal assent of this Act; and relating to a return of income, an FBT return, or a GST return ﬁled before the date of the Royal assent of this Act; and relying upon section CX 16(4) as it was before the amendment made by subsection (1).
(ii) (iii) 200 Determination alternatives to IFRS (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for— (a) the 2007–08 and later income years, except if paragraph (b) or (c) applies; or the ﬁrst income year for which the person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and (b) (c) 3214 Reprinted as at 29 August 2011 Income Tax Act 2004 the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
201 Expected value method and equity-free fair value method (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for— (a) the 2007–08 and later income years, except if paragraph (b) or (c) applies; or the ﬁrst income year for which the person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income year starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
202 Meaning of CFC (1) (2) Amendment(s) incorporated in the Act(s).

Subsection (1)— (a) applies for the 2005–06 and later income years, except if paragraph (b) applies: does not apply for a person in relation to a tax position taken by the person— (i) (ii) before 19 November 2009; and relying on the provision amended by this sec- tion as it was immediately before the amendment made by this section.
(b) (c) (b) 3215 Income Tax Act 2004 Reprinted as at 29 August 2011 Taxation (Tax Administration and Remedial Matters) Act 2011 Public Act Date of assent Commencement 2011 No 63 29 August 2011 see section 2 Title This Act is the Taxation (Tax Administration and Remedial Matters) Act 2011.

Commencement This Act comes into force on the date on which it receives the Royal assent, except as provided in this section.

Sections 219 and 222 are treated as coming into force on 1 April 1995.
Sections 220 and 221 are treated as coming into force on 1 April 1997.

Sections 192, 193, 194, 195, 196, 197, 198, 201, 206, 207, and 208 are treated as coming into force on 1 April 2005.

Sections 199, 200, and 202 are treated as coming into force on 1 April 2007.

Sections 203, 204, and 205 are treated as coming into force on 1 October 2007.
Sections 4, 7, 12, 13, 17, 18, 19, 20, 22, 31, 32, 33, 34, 35, 40, 41, 45(1), (3), (4), and (6), 46, 48, 49, 50, 91, 92(1) and (3), 93, 94(1), (3), (7), (8), and (10), 96(1), (3), (4), and (5), 97(1), (2), (3), (6), and (8), 98, 99, 100, 101, 102, 103, 104, 108, 112, 113, 114, 115, 116, 117, 118, 119, 120, 121, 122, 124, 130(3), (5), (10), (15), (16), and (19), 131, 133, 135, 140, 161, and 210 are treated as coming into force on 1 April 2008.
Section 130(14) is treated as coming into force on 1 January 2009.

Sections 21(1) and (3), 37(1), (3), and (5), 39, 42, 44(1) and (3), 94(4), (5), (6), (9), and (11), 95, 96(2) and (6), 97(5), (7), and (9), and 130(6), (8), and (17) come into force on 30 June 2009.

1 2 (1) (2) (3) (4) (5) (6) (7) (8) (9) 3216 Reprinted as at 29 August 2011 Income Tax Act 2004 (10) Sections 109 and 110 come into force on 5 January 2010.
(11) Sections 53, 54(1) and (5), 59(1) and (2), 65, 80(1), (3), (4), and (5), 106(1) and (3), and 130(9) and (18) are treated as coming into force on 1 April 2010.

(12) Section 237 comes into force on 1 July 2010.

(13) Sections 5, 11, 23, 24, 25, 26, 27, 43, and 188 are treated as coming into force on 4 September 2010.

(14) Sections 47, 130(2), and 160 are treated as coming into force on 30 September 2010.

(15) Section 136(8) is treated as coming into force on 1 October 2010.
(16) Section 45(2) and (5) are treated as coming into force on the day of introduction for the Taxation (Tax Administration and Remedial Matters) Bill.

(17) Sections 28, 29, 30, 88, 89, 107, 134, 136(1), (2), (3), (6), (7), and (9), 139, 209, 235(1)(b) and (c), (2), and (3), 236, 238, 239, 240, 241, 243, 244(2) and (3) are treated as coming into force on 1 April 2011.

(18) Section 132 is treated as coming into force on 1 May 2011.
(19) Sections 92(2), 94(2) and (12), and 97(4) and (10) come into force on 1 July 2011.

(20) Section 245 comes into force on 1 October 2011.

(21) Sections 9(3) and (5), 71, 81, 106(2) and (4), 123, 130(13) and (20), 136(4) and (5), and 138 come into force on 1 April 2012.

(22) Sections 21(2) and (4), 37(2), (4), and (6), and 44(2) and (4) come into force on 30 June 2013.
Part 3 Remedial matters and abolition of gift duty Amendments to Income Tax Act 2004 194 New section DB 3B (1) (2) Amendment(s) incorporated in the Act(s).
Subsection (1) applies for the 2005–06 and later income years but only in relation to an amount of interest imposed under 3217 Income Tax Act 2004 Reprinted as at 29 August 2011 Part 7 of the Tax Administration Act 1994 that the person has treated as a deduction— (a) in a return of income that they have furnished on or before 24 November 2010: in a notice of proposed adjustment that is issued on or before 24 November 2010.
(b) 199 What is included when spreading methods used (1)–(2) Amendment(s) incorporated in the Act(s).
Subsections (1) and (2) apply for— (3) (a) the 2007–08 and later income years, if paragraphs (b) and (c) do not apply; or the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or if a person’s the 2008–09 and later income years, 2008–09 income starts before 1 January 2008 and the person has not adopted IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
IFRS method Amendment(s) incorporated in the Act(s).
Subsection (1)— (a) applies for the 2007–08 and later income years, unless paragraph (b) or (c) applies; or applies for the ﬁrst income year for which a person adopts IFRSs for the purposes of ﬁnancial reporting and later income years, if that ﬁrst income year is before the 2007–08 income year and the person chooses to apply the IFRS taxpayer method in a return of income for that ﬁrst year; or does not apply if a person’s 2008–09 income year starts before 1 January 2008 and the person has not adopted (b) (c) (b) (c) 200 (1) (2) 3218 Reprinted as at 29 August 2011 Income Tax Act 2004 IFRSs for the purposes of ﬁnancial reporting before 1 January 2007.
3219 Notes Income Tax Act 2004 Reprinted as at 29 August 2011 Contents 1 2 3 General About this eprint List of amendments incorporated in this eprint (most recent ﬁrst) General This is an eprint of the Income Tax Act 2004.

The eprint incorporates all the amendments to the Act as at 29 August 2011.

The list of amendments at the end of these notes speciﬁes all the amendments incorporated into this eprint since 3 September 2007.
Relevant provisions of any amending enactments that contain transitional, savings, or application provisions that cannot be compiled in the eprint are also included, after the principal enactment, in chronological order.

eprint has not been ofﬁcialised.

About this eprint This For more information about eprints and ofﬁcialisation, please see http://www.pco.parliament.govt.nz/eprints/.
List of amendments incorporated in this eprint (most recent ﬁrst) Taxation (Tax Administration and Remedial Matters) Act 2011 (2011 No 63): sections 192–208 Taxation (GST and Remedial Matters) Act 2010 (2010 No 130): sections 164–170 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109): sections 197–208 Taxation (Deﬁnitions of Dependent Child) Act 2010 (2010 No 104): section 6 Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63): sections 149–163 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34): sections 735–845 Climate Change Response (Emissions Trading) Amendment Act 2008 (2008 No 85): sections 58–66 Taxation (KiwiSaver) Act 2007 (2007 No 110): sections 3–12 Notes 1 2 3 3220 Reprinted as at 29 August 2011 Income Tax Act 2004 Notes Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109): Part 1 Income Tax (Family Tax Credit) Order 2007 (SR 2007/349): clause 3 Income Tax Act 2007 (2007 No 97): section ZA 1 State-Owned Enterprises (AsureQuality Limited) Order 2007 (SR 2007/330): clause 4 State-Owned Enterprises (Asure New Zealand Limited) Order 2007 (SR 2007/273): clause 3 Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 (2007 No 19): Part 1 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 (2006 No 81): Part 1 Insolvency Act 2006 (2006 No 55): section 445 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 (2006 No 3): Part 1 Lawyers and Conveyancers Act 2006 (2006 No 1): section 348 Charities Act 2005 (2005 No 39): sections 65–68 3221