Tax Administration Act 1994

1: Short Title and commencement
1: This Act may be cited as the Tax Administration Act 1994.
2: This Act shall come into force on 1 April 1995, and shall, where appropriate, apply with respect to the tax on income derived in the 1995–96 tax year
3: This Act shall also apply with respect to late 1994–95 income years to the extent specified in section YB 7 of the Income Tax Act 1994 Section 1(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 1(3) inserted 10 April 1995 Tax Administration Amendment Act 1995
1: Purpose and construction
2: Purpose of Act
1: The purpose of this Act is to re-enact the administrative provisions contained in the Income Tax Act 1976 Inland Revenue Department Act 1974
2: The reorganisation of the provisions and the changes of style and language carried out by this Act in relation to the provisions of those Acts are not intended to affect the interpretation or effect of those provisions as they are included in this Act.
3: A reference in this Act to the time of commencement of a provision shall be construed as a reference to the time of commencement of the corresponding provision in the Income Tax Act 1976 Inland Revenue Department Act 1974
4: Section 2(4) repealed 17 July 2013 section 107 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013
3: Interpretation
1: In this Act, unless the context otherwise requires,— abusive tax position section 141D(7) Part 9 and section 177C acceptable tax position accepted software package accident compensation legislation section 143E(5) accounting period section 107 section YA 1 activities undertaken as an airport operator section 42 airport operator activities in section HR 7 agency section 18E(6) section 18F amount payable section 157(10) applicant clause 46(2) applicant information clause 46(2) apply section 14C approved advisor group section 20B(5) approved credit reporting agency clause 33(10) approved organisation
a: whose members include natural persons—
i: who are subject to a professional code of conduct; and
ii: who are subject to a disciplinary process intended to enforce compliance with the code; and
b: whose members—
i: typically provide trustee services in the course of their business activities:
ii: satisfy other criteria acceptable to the Commissioner; and
c: that has been approved by the Commissioner for the purposes of this definition approved research and development cap section 68CD approved research provider section 124ZH arrangement
a: means a contract, agreement, plan or understanding, whether enforceable or unenforceable, including all steps and transactions by which it is carried into effect:
b: for the purpose of Part 5A ask section 14B assessment
a: an assessment of tax made under a tax law by a taxpayer or by the Commissioner:
b: an assessment of a net loss for the purposes of the Income Tax Act 2007
c: an assessment of terminal tax or a refund for the purposes of the Income Tax Act 2007
d: an assessment of a refund due under the Goods and Services Tax Act 1985
e: an amendment by the Commissioner of an assessment authorised officer
a: schedule 7, part C, subpart 1, clause 25(4)
b: schedule 7, part C, subpart 2, clause 41(9)
c: schedule 7, part C, subpart 2, clause 43(8)
d: schedule 7, part C, subpart 2, clause 45(7) authorised officer of the Ministry clause 44(6) authorised officer of the Police clause 44(6) award section 130(6) bank section 157(10) bank account
a: that the person holds with a registered bank, or with a licensed NBDT as defined in section 4
b: for which the relevant reporting entity, under the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 Act base amount section YA 1 basis of exemption section 208(1)﻿(f) is the basis of exemption referred to in section 32E(2) beneficiary clause 41(9) beneficiary information clause 41(9) bill of exchange section 144 Bills of Exchange Act 1908 binding ruling
a: public ruling made under section 91D
b: private ruling made under section 91E
bb: short-process ruling made under section 91EK
c: product ruling made under section 91F
d: status ruling made under section 91GA business section 152(18) business group amnesty section 226B challenge
a: to commence proceedings under Part 8A
ab: to commence proceedings under section 89K(6)
b: the proceedings,— as the context requires challenge notice section 89P chief executive
a: schedule 7, part C, subpart 1, clause 35(4)
b: schedule 7, part C, subpart 2, clause 43(8) civil penalty
a: a late filing penalty; or
b: a late payment penalty; or
c: a shortfall penalty; or
cb: a promoter penalty; or
cc: a penalty under section 142H , 142I
cd: a penalty under section 141EE
d: a non-electronic filing penalty; or
e: a civil penalty under section 215 collective agreement section 130(6) combined tax and earner-related payment
a: unless paragraph (b) applies, has the same meaning as in section YA 1
b: is defined in section 167(4) commercial production section 91(1)﻿(d) section YA 1 Commission clause 35(4) Commissioner of Inland Revenue Commissioner Commissioner-set instalment date section 139C Commissioner's official opinion
a: means, for a taxpayer,—
i: an opinion of the Commissioner concerning the tax affairs of the taxpayer communicated by the Commissioner
ii: a finalised official statement of the Commissioner notifying the taxpayer
b: does not include a private binding ruling Commissioner's statement of position section 89M(8) section 89M(11) company clause 35(4) competent authority
a: has the meaning provided in a double tax agreement or in a tax recovery agreement; and
b: includes the Commissioner competent objection for the purposes of Part 8 section 126 consideration section 91 paragraph (a) of the definition of that term in section YA 1 contact address schedule 3 schedule 4 schedule 6 section 14G contested act of assistance section 173B contract payment section 141AA section YA 1 co-operative company section 64 section YA 1 Corporation clause 41(9) correct tax position cost of living payments scheme COVID-19 resurgence support payments scheme COVID-19 support payments scheme
a: established and administered by the Crown to provide support to persons financially affected by a public health measure, business circumstance, or matter that is related to COVID-19, or by a group of such measures, circumstances, or matters; and
b: activated by an Order in Council made under section 7AAC credit report clause 33(11) CRS applied standard section 185O CRS publication Standard for Automatic Exchange of Financial Account Information in Tax Matters CRS standard Common Standard on Reporting and Due Diligence for Financial Account Information
a: developed by the Organisation for Economic Co-operation and Development and the Group of Twenty countries; and
b: agreed by the Council for the Organisation for Economic Co-operation and Development on 15 July 2014; and
c: contained in Part IIB of the CRS publication CSP terms section 7AAB(9) date interest starts section 120C Part 7 day of determination of final liability
a: for the purposes of Part 8
i: where the Commissioner receives from the taxpayer a notice
ii: where the objection to an assessment is deemed to be withdrawn under subsection (8) of section 136
iii: where the objection to an assessment is otherwise deemed to be withdrawn by or under this Act, the expiry of the period of 2 calendar months following the day on which the objection is deemed to be withdrawn:
iv: where the objection is determined by a Taxation Review Authority and not by a court, the day on which the Taxation Review Authority determines the objection:
v: where the objection is determined as a result of proceedings taken in a court, whether or not by way of appeal, the day on which the objection is finally determined, whether in those proceedings or, as the case may be, on an appeal:
vi: where the taxpayer does not, within the period of 2 months immediately succeeding the date on which the notice of disallowance of the taxpayer's objection is given to the taxpayer by or on behalf of the Commissioner, by notice
A: that the objection be heard and determined by a Taxation Review Authority; or
B: the Commissioner to state a case for the opinion of the High Court, specifying in the notice the registry of that court in which the taxpayer requires the case to be filed,— the day on which there expires that period of 2 months:
vii: where, and to the extent that, an objection is allowed by the Commissioner, the day on which the notice of that allowance (to that extent) is given
b: for the purposes of Part 8A
i: the day on which the Commissioner is notified
ii:
iii: if a challenge is determined by a Taxation Review Authority in its general jurisdiction, and not by a court, the day on which the Authority determines the challenge:
iv: if a challenge is determined by a court, whether or not by way of appeal, the day on which the challenge is finally determined, whether in those proceedings or in a subsequent appeal:
v: to the extent the Commissioner concedes a challenge, the day on which the Commissioner notifies the disputant decision deferrable tax
a: an amount of tax, assessed under a tax law as payable by the person, in relation to which the person makes a competent objection under Part 8 Part 8A
b: goods and services tax, payable (as defined in section 20A(1) Part 8 Part 8A
c: an amount of tax assessed under a tax law as payable by the person and described in section RP 17B(3)﻿(bb) 2007:
d: an amount of tax for which the person’s liability depends on the liability of another person (the disputant section RP 17B(3)﻿(bb) department disclosure notice section 89M discovery obligation discretion section 91B Part 5A disposition section 65 paragraph (e) of the definition of dispose in section YA 1 disputable decision
a: an assessment:
b: a decision of the Commissioner under a tax law, except for a decision—
i: to decline to issue a binding ruling under Part 5A
ii: that cannot be the subject of an objection under Part 8
iii: that cannot be challenged under Part 8A
iv: to issue a Commissioner's notice of proposed adjustment under section 89B section 89M challenge notice; or
v: to issue, or to decline to issue, a Commissioner’s COVID-19 response variation under section 6I
vb: to make, or to decline to make, a grant under the cost of living payments scheme under section 7AAA
vi: to grant, or to decline to grant, a loan under the small business cashflow scheme under section 7AA
vii: to make, or to decline to make, a grant under the COVID-19 resurgence support payments scheme , or another COVID-19 support payments scheme, section 7AAB disputant
a: who may issue a notice of proposed adjustment to the Commissioner; or
b: to whom the Commissioner issues a notice of proposed adjustment or an assessment; or
c: who may challenge a disputable decision— under a tax law disputant's statement of position section 89M(6) section 89M(11) disqualifying offence section 141FB(3) section 141FB disqualifying penalty section 141FB(3) section 141FB document
a: a thing that is used to hold, in or on the thing and in any form, items of information:
b: an item of information held in or on a thing referred to in paragraph (a):
c: a device associated with a thing referred to in paragraph (a) and required for the expression, in any form, of an item of information held in or on the thing DRCD deferral date section RA 6(6) due date
a: to pay tax; or
b: to provide a tax return; or
c: to provide a tax form; or
d: to do any other thing under a tax law— before being liable to pay a penalty or (in the case of paragraph (a)) interest under Part 7 earnings as a self-employed person clause 42(3) earnings as a shareholder-employee clause 42(3) earnings-related compensation clause 41(9) electronic sales suppression tool
a: that can hide, conceal, modify, falsify, destroy, or prevent the creation of a record that—
i: a person is required under a tax law to make or keep; and
ii: is, or would be, created by a system that is or includes an electronic point of sale system; and
b: the use of which would lead to a reasonable conclusion that 1 of its principal functions is to facilitate the concealment, modification, falsification, destruction, or prevention of the creation of a record employee
a: is defined in section 23L(6)
b: is defined in section 143E(5) employer
a: in section 47 section YA 1
b: is defined in schedule 7, part C, subpart 2, clause 42(3) employment income information section 23C subpart 3C sections 23 36 47 80D 108AB 108B 124Q 139A 139AA(4) 141AA 141ED 142 142G 227C schedules 3 4 encumbrance ESS deferral date section CE 2(9) exceptional circumstance
a: is defined in section 89K(3)
b: is defined in section 89L(3)
c: is defined in section 138D(2) exploratory well section 91(1)﻿(e) section YA 1 exploratory well expenditure section 91(1) section YA 1 family notice notice section 80KD family scheme section YA 1 family trust section 173M(5) FATCA agreement Agreement between the Government of New Zealand and the Government of the United States of America to Improve International Tax Compliance and to Implement FATCA Double Tax Agreements (United States of America—FATCA) Order 2014 final account section 22D(6) Part 3 subpart 3B sections 4A 33 37 38 42C 89D 106 110 143 tax return taxpayer’s tax position fines defaulter clause 43(8) fines defaulter information clause 43(8) first payment period section 47 173 section YA 1 FMA Part 2 Financial Markets Authority Act 2011 foreign account information-sharing agreement section YA 1 foreign exemption trust test period section HC 33
a: no settlor is resident in New Zealand at any time in the period—
i: starting on the later of 17 December 1987 and the date on which a settlement was first made on the trust; and
ii: ending at the end of the test period:
b: the trustee takes a tax position that an amount of income derived by the trustee in or before the test period is exempt income under section HC 26 fringe benefit section 22 section CX 2 Income Tax Act 2007 full and complete inspection
a: includes use as evidence in court proceedings:
b: does not include removal to make copies under sections 17C 17D gift-exempt body sections 18K 32 58
a: any society, institution, association, organisation, trust, or fund specifically named in Schedule 32
b: any other person who has RWT-exempt status following an application made under section 32E(2)﻿(k) or (l) government agency
a: in section 6 Public Finance Act 1989 Income Tax Act 2007
b: is defined in schedule 7, part C, subpart 1, clause 23B(6) government screen production payment
a: is in the nature of a large budget screen production grant, post-production digital and visual effects grant, or New Zealand screen production incentive; and
b: is authorised by the New Zealand Film Commission in relation to a company that—
i: is resident in New Zealand:
ii: has a permanent establishment in New Zealand GST GST payable section 2 GST ratio section YA 1 hearing authority
a: a Taxation Review Authority; or
b: the High Court income other than reportable income Part 3 subpart 3B tax position other income income tax section 157(10) incremental late payment penalty section 139B(2)﻿(b) individual section 22D(1) Part 3 subpart 3B sections 22 33 37 38 42C 89D 92 106 110 143 227G schedule 8 final account pre-populated account tax return taxpayer’s tax position inflation-indexed instrument section YA 1 inform section 14B information Part 11B information demand section 17B information holder section 20B(1) sections 20B to 20F initial late payment penalty section 139B(2)﻿(a) Inland Revenue Acts Schedule 1 Schedule 1 of the Inland Revenue Department Act 1974 instalment date sections 120KB to 120KE section YA 1 integrity of the tax system section 6(2) interest concession provisional taxpayer section 120KBB(4) Part 7 interest instalment date section YA 1 interest liability period section 121 interest paid to a taxpayer section 120C Part 7 interest period section 120C Part 7 investment income section 25C subpart 3E sections 142G 227E schedule 6 investment income information section 25D subpart 3E sections 32H 57 57B 139AA 142G 227E schedule 6 sections RA 11 RA 12 RM 8 issuing officer section 17D(6) large multinational group section 78G
a: has a member resident in New Zealand or income with a source in New Zealand; and
b: has a member resident in a country or territory other than New Zealand; and
c: in the preceding income year or period, has annual consolidated group revenue equal to or exceeding the exemption threshold referred to in paragraph 5.52 late filing penalty section 139A 139AAA late payment penalty
a: a civil penalty imposed under section 139B
b: for sections 157 183A 183D
i:
ii:
iii:
iv:
v:
vi: interest on unpaid racing duty under section 12
vii: interest on unpaid gaming machine duty under section 12F
viii: interest on unpaid casino duty under section 12Q legal personal representative clause 15(2) legal practitioner section 20 life insurer section 112 paragraph (a) of the definition of that term in section YA 1 maintain
a: if the financial account is a custodial account, holding custody over the assets in the financial account, including by holding assets in street name for an account holder in the financial institution:
b: if the financial account is a depository account, having an obligation to make payments with respect to the financial account, other than as agent for another financial institution:
c: if the financial account is an equity or debt interest, being the financial institution in which the interest is held:
d: if the account is a cash value insurance contract or an annuity contract, having an obligation to make payments with respect to the contract Maori authority distribution penalty tax section 140CB Minister Ministry clause 44(6) natural person
a: does not include a natural person who is acting in the capacity of trustee:
b: for the purposes of sections 177 177A new provisional taxpayer section YA 1 New Zealand superannuation qualification age New Zealand Superannuation and Retirement Income Act 2001 nominated person
a: is nominated under section 124F
i: their tax affairs:
ii: their social policy entitlements and obligations; and
b: is treated by the Commissioner as a nominated person; and
c: does not later have their status as a nominated person disallowed by the Commissioner non-filing taxpayer
a: a person whose only income having a source in New Zealand for the tax year is a schedular payment derived in their capacity as a non-resident entertainer and who chooses not to file a return of income for the tax year; or
b: a person who for the tax year, derives only non-resident passive income referred to in section RF 2(3)
c: a person whose only income having a source in New Zealand for the tax year is a payment derived in their capacity as a non-resident seasonal worker non-qualifying objection for the purposes of Part 8 section 126
a: the return of income furnished by the taxpayer or the other particulars supplied together with the return of income, being the return and the other particulars from and by reference to which the assessment has been made, is deficient or, as the case may be, are deficient or insufficient; or
b: the assessment has been made, under section 106
c: non-resident seasonal worker section YA 1 notice section 14C 14D notice of proposed adjustment in the prescribed form
a: issued by the Commissioner to a disputant under section 89B
b: issued by a disputant to the Commissioner under either section 89D section 89DA notify
a: means to give notice; and
b: for a mode of communication, has the meaning set out in section 14C 14D obvious error section 6G subpart 2B officer for the purposes of sections 89C 141F 141G 142C 147 taxpayer in section 157(10)
a: a director or secretary or other statutory officer of the corporate body:
b: a receiver or a manager of any property of the corporate body, or a person having powers or responsibilities, similar to those of such a receiver or manager, in relation to the corporate body:
c: a liquidator of the corporate body officer of the department offshore payment section 17F(7) offshore person
a: for an individual,—
i: a New Zealand citizen who is outside New Zealand and has not been in New Zealand within the last 3 years:
ii: a person who holds a residence class visa granted under the Immigration Act 2009
iii: a person who is not a New Zealand citizen and who does not hold a residence class visa granted under the Immigration Act 2009
b: for a body corporate or an unincorporated body of persons, including a trust or a unit trust, a person who would be an overseas person under section 7(2)﻿(b) to (k) on time
a: except if paragraph (b) applies, on or before the relevant due date:
b: if the Commissioner sets a new due date for performing the tax obligation, on or before the new due date other income section 22D(4) Part 3 subpart 3B section 141JA schedule 8 outstanding tax sections 139BA 176 177 177A 177B 177C parental leave clause 46(2) passive income
a: a dividend:
b: interest:
c: income equivalent to interest:
d: rent or a royalty, other than rent or a royalty derived in the active conduct of a business conducted, partly or wholly, by employees of the person or entity:
e: an annuity:
f: for financial assets that give rise to amounts included under paragraphs (a) to (e), the amount by which gains from the sales or exchanges of the financial assets in the period exceed losses from the sales or exchanges:
g: the amount by which gains from the transactions in financial assets in the period exceed losses from the transactions:
h: the amount by which gains from the foreign currency transactions in the period exceed losses from the transactions:
i: the amount by which gains from the swaps in the period exceed losses from the swaps:
j: an amount received under a cash value insurance contract payday subpart 3C schedule 4 PAYE period means first payment period second payment period payment in section 120U section 25G schedule 6 paragraph (a) of the definition of pay in section YA 1 payroll software section 23P section 23F period of deferral
a: the day on which the notice of an assessment of tax, to which a competent objection is made under Part 8 Part 8A or the Commissioner
b: the day that immediately succeeds the due date and ends at the expiry of the day that, in relation to the deferrable tax, is the day of determination of final liability permit area section 91(1)﻿(d) section YA 1 permitted disclosure section 16C(5) subpart 3A schedule 7 personal information clause 45(7) petroleum mining operations section 91 section YA 1 petroleum permit section 91
a: a petroleum permit under section YA 1
b: a replacement permit under section YA 1 policyholder net loss section 112 section YA 1 pre-populated account section 22D(5) Part 3 subpart 3B sections 4A 106 section CX 27 prescribed Income Tax Act 2007 primary employment earnings
a: the payment is derived by the employee in the pay period from 1 employer:
b: the payment is the largest payment derived by the employee in the pay period, if the employee derives payments in the period from 2 or more employers:
c: the payment is derived in the pay period and is of the same amount as another payment that the employee chooses, if the employee derives payments in the period from 2 or more employers and 2 or more of the payments are of the same amount private domestic worker clause 42(3) private dwelling section 17(5) section 17D proceedings Part 8 Part 8A professional trustee promoter section 141EC property section paragraph (b) of the definition of that term in section YA 1 property or documents section 17(5) sections 16 16B proposed adjustment
a: an adjustment or amendment the Commissioner or a disputant proposes in respect of 1 or more disputable decisions; or
b: the way the Commissioner proposes to treat differently a tax position or tax positions taken by a disputant in 1 or more tax returns,— for the purposes of 1 or more return periods; and, where the context permits, an adjustment proscribed question
a: whether a fact is correct or exists:
b: what is a person’s purpose or intention, for the purpose of any provision of the Income Tax Act 2007 refers to a person’s purpose or intention
c: what is the value of a thing:
d: what is commercially acceptable practice, for the purposes of any provision of that Act that expressly refers to commercially acceptable practice:
e: a question related to research and development tax credits under subpart LY provider of digital services provisional tax associate section 120KBB(4) Part 7 provisional tax interest avoidance arrangement section 120KBB(4) Part 7 provisional tax paid section 139C provisional tax payable section 139C provisional taxpayer section RC 3 public services section 18E(5) sections 16B 18F qualifying individual section 22D(2) Part 3 subpart 3B sections 4A 22 120C date interest starts schedule 8 ratio instalment date section YA 1 record
a: is defined in section 152(18)
b: is defined in section 22(7) section 22AAB record holder section 220(18) registered person section 2(1) registration Act section 169(11) reject Parts 4A 8A relative section 173M(5) relief company
a: the taxpayer owns 50% or more of the shares:
b: the taxpayer and 1 other person jointly own 50% or more of the shares:
c: the taxpayer is a shareholder-employee, and the company satisfies paragraphs (a) and (c) of the definition of close company section YA 1 relinquishment section 91 section YA 1 reportable income section 22D(3) Income Tax Act 2007 reportable unpaid tax clause 33(12) representative
a: is eligible under section 124D(2)
b: is approved by the Commissioner as a representative; and
c: does not later have their approval of representative status disallowed by the Commissioner request section 14B research and development certificate section 124ZI residual income tax
a: is defined in section 120KB(4) Part 7
b: for the purposes of any other provision of this Act, has the same meaning as in section YA 1 response period section 89AB responsible department clause 46(2) restricted information sections 87 205 return period
a: the period covered by a tax return, or which would be covered by a tax return if one were provided:
b: for a tax return that relates to a transaction, the time within which the transaction must be returned revenue information section 16C(2) Part 3, subpart 3A schedule 7 revenue law section 16C(1) Part 3, subpart 3A schedule 7 revenue officer section 16C(4) Part 3, subpart 3A RWT rate Income Tax Act 2007, in Schedule 1 second payment period sections 47 173(1)﻿(b) section YA 1 secondary employment earnings
a: is derived by the employee in the pay period from an employer; and
b: is not—
i: a payment of primary employment earnings; or
ii: a schedular payment; or
iii: an extra pay security section 7A self-employed person clause 42(3) sensitive revenue information section 16C(3) Part 3 subpart 3A schedule 7 serious threat section 18J(2) sex offence clause 44(6) short-process ruling sections 91EK to 91ET shortfall penalty sections 141AA social security agreement clause 45(7) standard-cost household service section 91AA status ruling section 91GA student allowance section 645 tax
a: means—
i: a tax, levy, or duty of any type imposed by a tax law, regardless of how the tax, levy, or duty is described:
ii: an amount deemed by a tax law to be a tax, levy, or duty:
iii: any other amount payable to the Commissioner under a tax law, including:
A:
B: an amount imposed under section 157 section 43
C: an amount payable by a payer (as defined in section 153 Part 10
CB: an amount required to be deducted under subpart 1 of Part 3
CC: KiwiSaver Act 2006
CD: an amount of compulsory employer contributions unpaid, specified in a notice under section 141(5)
D: a salary or wage deduction (as defined in section 4(1) section 193
iv: a credit of tax under a tax law:
v: a tax of the general character described in any of paragraphs (i) to (iv)
A: that is imposed on or payable by a taxpayer in a country or territory other than New Zealand; or
B: that is relevant under a tax law for the purposes of determining a tax position: but does not include—
vi: interest imposed under Part 7
vii: subject to paragraph (b), a civil penalty:
viii:
ix: financial support (as defined in section 2(1)
x: an end-of-year repayment obligation section 4(1)
xi:
xii: is a tax prescribed in section 173D
xiii:
xiv: a fee described in section 226C
xv: a registration fee referred to in section 59B
xvi: a return filing fee referred to in section 59D
ab: for the purposes of the application of this Act in relation to a regulation made under section CV 8
b: for the purposes of section 4A Parts 7 8 8A 9 10 11
c: for the purposes of sections 6 6A 6B
i: revenue collected under, entitlements arising from, or amounts paid or payable under the Inland Revenue Acts; and
ii: loan interest charged on a loan balance (as those terms are defined in section 4(1)
iii: contributions administered by the Commissioner under the KiwiSaver Act 2006
ca: for the purpose of Part 10B
i: financial support, as defined in section 2(1)
ii: a repayment obligation, as defined in section 4(1)
iii:
cb: for the purposes of sections 156 to 165
cc: for the purposes of Part 10B sections 6 6A 6B 156 to 165 174AA 176 177 177A to 177CA
cd: for the purposes of sections 6 to 6B 156 to 165 173L 173M 173S 173T 174AA 176 to 177CA or another COVID-19 support payments scheme
ce: for the purposes of sections 6 to 6B 156 to 165 174AA 176 to 177CA
d: for the purpose of sections 176 , 177 177A to 177D
i: a tax, levy or duty of any type imposed by a tax law, regardless of how the tax, levy or duty is described:
ii: an amount deemed by a tax law to be a tax, levy or duty:
iii: any other amount payable to the Commissioner under a tax law, including:
A:
B: an amount imposed under section 157 section 43
C: an amount payable by a payer, as defined in section 153 Part 10
CB: an amount of short payment under Part 3
CC: an amount of compulsory employer contributions unpaid, specified in a notice under section 101I(5)
D: a salary or wage deduction (as defined in section 4(1) section 193
iv: a tax prescribed in section 173D
v: interest imposed under Part 7
vi: a civil penalty: but does not include—
vii:
viii: financial support, as defined in section 2(1)
viiib: an amount of short payment under Part 3
ix: an end-of-year repayment obligation section 4(1) tax advice document section 20B(3) tax advisor section 20B(4) tax agent
a: is eligible under section 124C(3)
b: is listed by the Commissioner as a tax agent; and
c: is not later removed by the Commissioner from the list of tax agents tax code section 24B(1) tax contextual information section 20F(3) tax file number tax form
a: to complete; and
b: to provide to a person other than the Commissioner tax law
a: a provision of an Inland Revenue Act other than the Unclaimed Money Act 1971
b: an Order in Council or a regulation made under another tax law:
c: a non-disputable decision:
d: in relation to an obligation to provide a tax return or a tax form, also includes a provision of the Accident Rehabilitation and Compensation Insurance Act 1992 or the Accident Insurance Act 1998 or the Accident Compensation Act 2001 tax paid section 120C Part 7 tax payable section 120C Part 7 tax position a position or approach with regard to
a: a liability for an amount of tax, or the payment of an amount of tax:
b: an obligation to deduct or withhold an amount of tax, or the deduction or withholding of an amount of tax:
c: a right to a tax refund, or to claim or not to claim a tax refund:
d: a right to a credit of tax, or to claim or not to claim a credit of tax:
e: the provision of a tax return, or the non-provision of a tax return:
f: the derivation of an amount of
g: the incurring of an amount of expenditure or loss, or the allowing or denying
h: the availability of a tax loss component or loss balance, or the use of a tax loss component or loss balance:
i: the attaching of a credit of tax, or the receipt of or lack of entitlement to receive a credit of tax:
j: the balance of a tax account or memorandum account of any type or description, or a debit or credit to such an account:
k: the estimation of the provisional tax payable:
kb: the use of the AIM method for provisional tax and the software product of an approved AIM provider:
l: whether the taxpayer must provide information to the Commissioner on the income other than reportable income that they derive for a tax year:
m: the application of Part 3 subpart 3B
n: a right to a tax credit
o: tax recovery agreement section 173B tax return
a: means a form or document that a taxpayer is required to complete and return to the Commissioner
ab: includes an individual’s final account that is treated under section 22I(1)﻿(a)
b: includes a tax form issued by another taxpayer that the taxpayer provides to the Commissioner; but
bb: does not include a report required by section 185N
c: does not include the prescribed form or electronic format under section 185K tax shortfall
a: the difference between the tax effect of a taxpayer’s tax position for the return period and the correct tax position for that period, when the taxpayer’s tax position—
i: results in too little tax paid or payable by the taxpayer or another person:
ii: overstates a tax benefit, credit, or advantage of any type or description whatever by or benefiting the taxpayer or another person; but
b: for a person that has taken a tax position for section 23K tax position section RD 7B tax to pay section 139B taxation law section 91B Part 5A Taxation Review Authority Authority Taxation Review Authorities Act 1994 taxpayer
a: is liable to perform, or to comply with, a tax obligation; or
b: may take a tax position,— whether as principal, or as an agent or employee or officer of another person, or otherwise taxpayer identification number taxpayer's paying rate section 120C Part 7 taxpayer's tax position
a:
i: a tax return; or
ii: an individual’s final account that is treated under section 22I(1)﻿(a)
iii: a due date
b: taxpayer's total tax figure section 141B TIN unacceptable tax position section 141B unpaid tax
a: is not properly refundable; or
b: is in excess of any amount of tax that is refundable,— under the tax law victim clause 44(6) workplace legislation
a: Electricity Act 1992
b: Employment Relations Act 2000
c: Equal Pay Act 1972
d: Gas Act 1992
e: Hazardous Substances and New Organisms Act 1996
f: Health and Safety in Employment Act 1992
g: Health and Safety at Work Act 2015
h: Holidays Act 2003
i: Machinery Act 1950
j: Minimum Wage Act 1983
k: Parental Leave and Employment Protection Act 1987
l: Volunteers Employment Protection Act 1973
m: Wages Protection Act 1983
n: WorkSafe New Zealand Act 2013
o: an Act under or in relation to which a labour inspector or an employee of WorkSafe New Zealand or designated agency exercise their functions:
p: any regulations made under the Acts listed in paragraphs (a) to (o).
2: Unless the context otherwise requires, and having regard to the context where there is more than 1 definition of the same term, other terms used in this Act have the same meanings as they have in the Income Tax Act 2007
3:
4: Section 3(1) abusive tax position inserted 26 July 1996 section 3(1) Tax Administration Amendment Act (No 2) 1996 Section 3(1) abusive tax position amended 17 October 2002 section 73(2) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 3(1) acceptable interpretation repealed 26 March 2003 section 82(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) acceptable tax position inserted 26 March 2003 section 82(3) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) accepted software package inserted 2 June 2016 section 76(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) accident compensation legislation inserted 18 March 2019 section 5(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) accounting period amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) activities as an airport operator repealed 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) activities undertaken as an airport operator inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) activities undertaken as an airport operator amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) additional tax repealed 26 July 1997 section 3(2) Tax Administration Amendment Act (No 2) 1996 Section 3(1) agency inserted 18 March 2019 section 5(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) applicant inserted 18 March 2019 section 5(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) applicant information inserted 18 March 2019 section 5(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) apply inserted 2 June 2016 section 76(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) approved advisor group inserted 21 June 2005 section 120(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 3(1) approved credit reporting agency replaced 18 March 2019 section 5(5) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) approved organisation inserted 1 October 2006 section 210(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) approved research and development cap inserted 1 April 2019 section 24(2) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 3(1) approved research provider inserted 1 April 2019 section 24(3) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 3(1) arrangement replaced 26 March 2003 section 82(4) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) ask inserted 2 June 2016 section 76(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) assessment inserted 26 March 2003 section 82(5) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) assessment amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) assessment amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) authorised officer replaced 18 March 2019 section 5(6) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) authorised officer of the Ministry inserted 18 March 2019 section 5(7) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) authorised officer of the Police inserted 18 March 2019 section 5(7) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) authorised savings institution repealed 2 June 2016 section 76(4) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) bank account inserted 1 October 2015 section 4(2) Tax Administration Amendment Act 2015 Section 3(1) base amount inserted 1 October 2007 section 210(4) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) base amount amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) basis of exemption amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) beneficiary replaced 18 March 2019 section 5(8) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) beneficiary information replaced 18 March 2019 section 5(9) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) benefit repealed 31 August 2017 section 299(7) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) benefit amended 31 August 2017 section 299(6) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) bill of exchange inserted 26 July 1996 section 3(4) Tax Administration Amendment Act (No 2) 1996 Section 3(1) binding ruling inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 3(1) binding ruling inserted 1 October 2019 section 5(10) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) binding ruling inserted 20 May 1999 section 62(1)﻿(a) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) book and document book or document repealed 29 August 2011 section 142(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 3(1) business amended 26 July 1996 section 3(5) Tax Administration Amendment Act (No 2) 1996 Section 3(1) business group amnesty inserted 19 December 2007 section 188(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 3(1) cardholder repealed 31 August 2017 section 299(8) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) cardholder information repealed 31 August 2017 section 299(9) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) certificate of exemption repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) challenge inserted 26 July 1996 section 3(6) Tax Administration Amendment Act (No 2) 1996 Section 3(1) challenge inserted 29 August 2011 section 142(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 3(1) challenge notice inserted 29 August 2011 (applying for a dispute initiated by a taxpayer issuing a notice of proposed adjustment after 29 August 2011) section 142(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 3(1) Charities Commission repealed 1 July 2012 section 16(2) Charities Amendment Act (No 2) 2012 Section 3(1) chief executive inserted 18 March 2019 section 5(11) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) civil penalty replaced 23 September 1997 section 68(1) Taxation (Remedial Provisions) Act 1997 Section 3(1) civil penalty amended 7 October 1998 section 3(1)﻿(b) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 3(1) civil penalty inserted 26 March 2003 section 82(6) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) civil penalty inserted 1 July 2017 section 9(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) civil penalty amended 1 April 2023 section 162(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 3(1) civil penalty inserted 30 March 2022 section 180(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 3(1) civil penalty replaced 1 December 2006 section 231 KiwiSaver Act 2006 Section 3(1) civil penalty inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 3(1) civil penalty amended 1 April 2009 section 15 Taxation (KiwiSaver) Act 2007 Section 3(1) combined tax and earner premium deduction combined tax and earner levy deduction repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) combined tax and earner-related payment inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) commercial production amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) Commission inserted 18 March 2019 section 5(12) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) Commissioner-set instalment date inserted 26 July 1996 section 3(7) Tax Administration Amendment Act (No 2) 1996 Section 3(1) Commissioner's official opinion inserted 7 September 2010 section 126(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 3(1) Commissioner’s official opinion amended 2 June 2016 section 76(5)﻿(a) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) Commissioner’s official opinion amended 2 June 2016 section 76(5)﻿(b) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) Commissioner's statement of position inserted 26 July 1996 section 3(7) Tax Administration Amendment Act (No 2) 1996 Section 3(1) company inserted 18 March 2019 section 5(13) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) competent authority replaced 1 July 2014 section 151(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 3(1) competent objection amended 26 July 1996 section 3(9) Tax Administration Amendment Act (No 2) 1996 Section 3(1) consideration amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) consideration amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) contact address inserted 1 April 2020 section 261(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) contested act of assistance inserted 20 May 1999 section 62(1)﻿(b) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) contested tax repealed 8 December 2009 section 128 Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 Section 3(1) contract payment inserted 21 December 2004 section 88(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 3(1) contract payment amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) co-operative company amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) Corporation replaced 18 March 2019 section 5(14) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) correct tax position inserted 26 July 1996 section 3(10) Tax Administration Amendment Act (No 2) 1996 Section 3(1) cost of living payments scheme inserted 25 May 2022 section 4(2) Taxation (Cost of Living Payments) Act 2022 Section 3(1) COVID-19 resurgence support payments scheme inserted 18 February 2021 section 4(2) Taxation (COVID-19 Resurgence Support Payments and Other Matters) Act 2021 Section 3(1) COVID-19 support payments scheme inserted 25 November 2021 section 4(2) Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Act 2021 Section 3(1) CRS applied standard inserted 1 July 2017 section 9(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) CRS publication inserted 1 July 2017 section 9(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) CRS standard inserted 1 July 2017 section 9(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) credit report replaced 18 March 2019 section 5(15) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) CSP terms inserted 25 November 2021 section 4(3) Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Act 2021 Section 3(1) date interest starts inserted 26 July 1996 section 3(10) Tax Administration Amendment Act (No 2) 1996 Section 3(1) day of determination of final liability replaced 26 July 1996 section 3(11) Tax Administration Amendment Act (No 2) 1996 Section 3(1) day of determination of final liability amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) day of determination of final liability amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) day of determination of final liability amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) day of determination of final liability repealed 29 August 2011 section 142(6) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 3(1) decision inserted 26 July 1996 section 3(12) Tax Administration Amendment Act (No 2) 1996 Section 3(1) debtor repealed 31 August 2017 section 299(10) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) debtor information repealed 31 August 2017 section 299(11) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) deferrable tax replaced 24 February 2016 section 245(1) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 3(1) deferrable tax amended 30 March 2021 section 144(2)﻿(a) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) deferrable tax inserted 30 March 2021 section 144(2)﻿(b) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) deficient tax repealed 26 July 1996 section 3(14) Tax Administration Amendment Act (No 2) 1996 Section 3(1) Deputy Commissioner of Inland Revenue Deputy Commissioner repealed 10 April 1995 Tax Administration Amendment Act 1995 Section 3(1) determination repealed 24 October 2001 section 189(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) determination of loss repealed 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) determination of loss carried forward repealed 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) determination of net loss repealed 24 October 2001 section 189(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) determination of net loss carried forward repealed 24 October 2001 section 189(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) disclosure notice inserted 26 July 1996 section 3(15) Tax Administration Amendment Act (No 2) 1996 Section 3(1) discovery obligation inserted 6 October 2009 section 596(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 3(1) discretion inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 3(1) District Commissioner of Inland Revenue repealed 10 April 1995 (1995 No 24). Section 3(1) disposition replaced 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) disposition amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) disputable decision inserted 26 July 1996 section 3(16) Tax Administration Amendment Act (No 2) 1996 Section 3(1) disputable decision replaced 20 May 1999 section 62(1)﻿(c) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) disputable decision amended 1 April 2005 section 88(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 3(1) disputable decision replaced 29 August 2011 section 142(7) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 3(1) disputable decision amended 30 April 2020 section 17 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 3(1) disputable decision inserted 30 April 2020 section 17 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 3(1) disputable decision inserted 25 May 2022 section 4(3) Taxation (Cost of Living Payments) Act 2022 Section 3(1) disputable decision inserted 30 April 2020 section 17 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 3(1) disputable decision amended 18 February 2021 section 4(3)﻿(a) Taxation (COVID-19 Resurgence Support Payments and Other Matters) Act 2021 Section 3(1) disputable decision inserted 18 February 2021 section 4(3)﻿(b) Taxation (COVID-19 Resurgence Support Payments and Other Matters) Act 2021 Section 3(1) disputable decision amended 25 November 2021 section 4(4) Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Act 2021 Section 3(1) disputant inserted 26 July 1996 section 3(16) Tax Administration Amendment Act (No 2) 1996 Section 3(1) disputant's statement of position inserted 26 July 1996 section 3(16) Tax Administration Amendment Act (No 2) 1996 Section 3(1) disqualifying offence inserted 21 December 2004 section 88(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 3(1) disqualifying penalty inserted 21 December 2004 section 88(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 3(1) dividend repealed 26 July 1996 section 3(17) Tax Administration Amendment Act (No 2) 1996 Section 3(1) dividend treated as interest repealed 1 April 2020 section 261(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) document inserted 29 August 2011 section 142(5) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 3(1) DRCD deferral date inserted 31 March 2023 section 162(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 3(1) due date inserted 26 July 1996 section 3(18) Tax Administration Amendment Act (No 2) 1996 Section 3(1) duty of the Commissioner repealed 18 March 2019 section 5(16) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) earnings as a self-employed person inserted 18 March 2019 section 5(17) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) earnings as a shareholder-employee inserted 18 March 2019 section 5(17) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) earnings-related compensation replaced 18 March 2019 section 5(18) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) electronic sales suppression tool inserted 30 March 2022 section 180(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 3(1) employee replaced 18 March 2019 section 5(19) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) employee amended 1 April 2019 section 261(4) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) employer replaced 18 March 2019 section 5(20) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) employment income information inserted 1 April 2019 section 261(5) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) employment income information amended 30 March 2022 section 180(4) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 3(1) encumbrance replaced 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) entitlement card repealed 31 August 2017 section 299(12) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) ESS deferral date inserted 1 April 2019 section 261(6) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) exceptional circumstance inserted 26 July 1996 section 3(20) Tax Administration Amendment Act (No 2) 1996 Section 3(1) excess tax repealed 26 July 1996 section 3(21) Tax Administration Amendment Act (No 2) 1996 Section 3(1) exempt person repealed 1 April 2020 section 261(8) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) exploratory well amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) exploratory well expenditure amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) family certificate of entitlement repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) family notice of entitlement inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) family notice of entitlement amended 1 July 2018 section 25(a) Families Package (Income Tax and Benefits) Act 2017 Section 3(1) family scheme inserted 1 July 2018 section 25(b) Families Package (Income Tax and Benefits) Act 2017 Section 3(1) family support certificate of entitlement repealed 1 July 1996 Tax Administration Amendment Act 1996 Section 3(1) family support credit of tax repealed 1 July 1996 Tax Administration Amendment Act 1996 Section 3(1) family tax credit repealed 24 May 1999 section 15 Taxation (Parental Tax Credit) Act 1999 Section 3(1) family trust inserted 17 October 2002 section 73(3) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 3(1) FATCA agreement inserted 1 July 2017 section 9(4) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) final account inserted 1 April 2019 section 5(21) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) fines defaulter inserted 18 March 2019 section 5(22) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) fines defaulter information inserted 18 March 2019 section 5(22) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) first instalment date repealed 26 July 1996 section 3(22) Tax Administration Amendment Act (No 2) 1996 Section 3(1) first PAYE period repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) first payment period inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) floating charge repealed 1 May 2002 section 191(1) Personal Property Securities Act 1999 Section 3(1) FMA inserted 1 May 2011 section 82 Financial Markets Authority Act 2011 Section 3(1) foreign account information-sharing agreement inserted 1 July 2014 section 151(2) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 3(1) foreign exemption trust inserted 1 April 2023 section 162(5) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 3(1) foreign tax repealed 24 October 2001 section 189(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) fringe benefit amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) fringe benefit amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) fringe benefit tax repealed 26 July 1996 section 3(23) Tax Administration Amendment Act (No 2) 1996 Section 3(1) full and complete inspection inserted 18 December 2006 section 169(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 3(1) full and complete inspection amended 18 March 2019 section 5(23) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) gift-exempt body amended 1 April 2019 section 5(24) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) gift-exempt body amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) gift-exempt body replaced 1 April 2020 section 261(9) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) government agency replaced 25 March 2020 section 32 COVID-19 Response (Taxation and Social Assistance Urgent Measures) Act 2020 Section 3(1) government screen production payment inserted 7 September 2010 section 126(3) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 3(1) GST inserted 26 July 1996 section 3(24) Tax Administration Amendment Act (No 2) 1996 Section 3(1) GST payable inserted 1 April 2005 section 88(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 3(1) GST ratio inserted 1 October 2007 section 210(5) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) GST ratio amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) hearing authority inserted 26 July 1996 section 3(24) Tax Administration Amendment Act (No 2) 1996 Section 3(1) holder repealed 20 May 1999 section 62(1)﻿(i) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) implementation date repealed 20 May 1999 section 62(1)﻿(i) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) income other than reportable income inserted 1 April 2019 section 5(25) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) income statement repealed 1 April 2019 section 5(26) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) income tax payable repealed 26 July 1996 section 3(25) Tax Administration Amendment Act (No 2) 1996 Section 3(1) income year repealed 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) incremental late payment penalty inserted 26 July 1996 section 3(26) Tax Administration Amendment Act (No 2) 1996 Section 3(1) incremental late payment penalty amended 19 December 2007 section 188(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 3(1) incremental tax repealed 26 July 1996 section 3(27) Tax Administration Amendment Act (No 2) 1996 Section 3(1) individual inserted 1 April 2019 section 5(27) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) inflation-indexed instrument inserted 30 June 2014 section 151(3) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 3(1) inform inserted 2 June 2016 section 76(6) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) information inserted 1 July 2017 section 9(5) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) information demand inserted 18 March 2019 section 5(28) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) information holder inserted 21 June 2005 section 120(3) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 3(1) information requisition repealed 18 March 2019 section 5(29) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) initial late payment penalty inserted 26 July 1996 section 3(28) Tax Administration Amendment Act (No 2) 1996 Section 3(1) initial late payment penalty amended 19 December 2007 section 188(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 3(1) Inland Revenue officer repealed 18 March 2019 section 5(30) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) instalment date amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) instalment date amended 1 October 2007 section 210(6) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) instalment portion repealed 26 July 1996 section 3(30) Tax Administration Amendment Act (No 2) 1996 Section 3(1) instrument repealed 26 July 1996 section 3(31) Tax Administration Amendment Act (No 2) 1996 Section 3(1) instrument instrument of conveyance instrument of nomination of shares repealed 20 May 1999 section 7 Stamp Duty Abolition Act 1999 Section 3(1) integrity of the tax system inserted 26 June 2019 section 82(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 3(1) interest concession provisional taxpayer inserted 1 April 2017 section 101(4) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) interest instalment date inserted 1 October 2007 section 210(7) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) interest instalment date amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) interest paid to a taxpayer inserted 26 July 1996 section 3(32) Tax Administration Amendment Act (No 2) 1996 Section 3(1) interest period inserted 26 July 1996 section 3(32) Tax Administration Amendment Act (No 2) 1996 Section 3(1) investment income inserted 1 April 2020 section 261(10) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) investment income information inserted 1 April 2020 section 261(10) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) IR5 taxpayer repealed 24 February 2016 section 245(2) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 3(1) issuer repealed 20 May 1999 section 62(1)﻿(i) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) issuing officer replaced 18 March 2019 section 5(31) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) judicial officer repealed 1 September 2013 section 302(2) Search and Surveillance Act 2012 Section 3(1) large multinational group inserted 18 March 2019 section 5(32) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) large multinational group amended 31 March 2023 section 162(6) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 3(1) late filing penalty replaced 6 October 2009 section 596(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 3(1) late payment penalty replaced 20 May 1999 section 62(1)﻿(d) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) late payment penalty amended 27 March 2001 section 44(4) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 3(1) late payment penalty repealed 24 February 2016 section 245(3) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 3(1) late payment penalty repealed 24 February 2016 section 245(3) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 3(1) late payment penalty repealed 24 February 2016 section 245(3) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 3(1) late payment penalty repealed 21 December 2010 section 143(2) Taxation (GST and Remedial Matters) Act 2010 Section 3(1) late payment penalty repealed 21 September 2021 section 32 Racing Reform Act 2019 Section 3(1) late payment penalty amended 21 December 2004 section 88(6) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 3(1) legal personal representative replaced 18 March 2019 section 5(33) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) life insurer amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) maintain inserted 1 July 2017 section 9(6) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) Maori repealed 26 March 2003 section 82(8) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) Maori authority distribution penalty tax inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) Ministry inserted 18 March 2019 section 5(34) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) natural person inserted 29 March 2018 section 261(11) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) new provisional taxpayer replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) new return date repealed 18 December 2006 section 169(3)﻿(a) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 3(1) New Zealand superannuation qualification age inserted 30 March 2021 section 144(3) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) New Zealand tax repealed 24 October 2001 section 189(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) nominated person inserted 18 March 2019 section 5(35) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) non-exempt person repealed 1 April 2020 section 261(12) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) non-filing taxpayer inserted 1 April 2019 section 5(36) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) non-qualifying objection amended 26 July 1996 section 3(35) Tax Administration Amendment Act (No 2) 1996 Section 3(1) non-qualifying objection repealed 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) non-resident seasonal worker inserted 30 June 2014 section 151(4) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 3(1) notice replaced 2 June 2016 section 76(7) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) notice of proposed adjustment inserted 26 July 1996 section 3(36) Tax Administration Amendment Act (No 2) 1996 Section 3(1) notice of proposed adjustment amended 26 November 1998 section 25(1) Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 3(1) notice of proposed adjustment amended 24 October 2001 section 189(4) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) notify inserted 2 June 2016 section 76(8) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) obvious error inserted 26 June 2019 section 82(3) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 3(1) officer amended 26 July 1996 section 3(37) Tax Administration Amendment Act (No 2) 1996 Section 3(1) offshore payment amended 18 March 2019 section 5(37) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) offshore person inserted 1 October 2015 section 4(3) Tax Administration Amendment Act 2015 Section 3(1) offshore person amended 5 July 2021 section 40 Overseas Investment Amendment Act 2021 Section 3(1) on time inserted 26 July 1996 section 3(38) Tax Administration Amendment Act (No 2) 1996 Section 3(1) original return date repealed 18 December 2006 section 169(3)﻿(b) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 3(1) other income inserted 1 April 2019 section 5(38) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) other income repealed 20 August 1997 section 12 Taxation (Superannuitant Surcharge Abolition) Act 1997 Section 3(1) outstanding tax inserted 17 October 2002 section 73(4) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 3(1) paid repealed 26 July 1996 section 3(39) Tax Administration Amendment Act (No 2) 1996 Section 3(1) parental leave inserted 18 March 2019 section 5(39) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) passive income inserted 1 July 2017 section 9(7) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) payday inserted 1 April 2019 section 261(13) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) PAYE period amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) payment amended 1 April 2020 section 261(14) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) payment amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) payroll software inserted 1 April 2019 section 261(15) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) penal tax repealed 26 July 1996 section 3(41) Tax Administration Amendment Act (No 2) 1996 Section 3(1) penalty repealed 26 July 1996 section 3(42) Tax Administration Amendment Act (No 2) 1996 Section 3(1) period of deferral replaced 26 July 1996 section 3(43) Tax Administration Amendment Act (No 2) 1996 Section 3(1) period of deferral amended 24 October 2001 section 189(5)﻿(a) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) period of deferral amended 24 October 2001 section 189(5)﻿(b) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) permit area amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) permitted disclosure inserted 18 March 2019 section 5(40) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) person repealed 26 July 1996 section 3(44) Tax Administration Amendment Act (No 2) 1996 Section 3(1) person incorrectly assumed to be a provisional taxpayer repealed 18 March 2019 section 5(41) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) person incorrectly assumed to be a taxpayer repealed 26 July 1996 section 3(45) Tax Administration Amendment Act (No 2) 1996 Section 3(1) person to whom this section applies repealed 18 March 2019 section 5(41) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) person with access to restricted information repealed 18 March 2019 section 5(41) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) personal information inserted 18 March 2019 section 5(42) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) petroleum mining operations amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) petroleum permit replaced 2 November 2012 section 170(2) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 3(1) petroleum permit amended 2 November 2012 section 170(3)﻿(a) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 3(1) petroleum permit amended 2 November 2012 section 170(3)﻿(b) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 3(1) policyholder loss repealed 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) policyholder net loss inserted 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) policyholder net loss amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) pre-populated account inserted 1 April 2019 section 5(43) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) pre-populated account amended 23 March 2020 section 192(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 3(1) prescribed amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) primary employment earnings inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) private domestic worker inserted 18 March 2019 section 5(44) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) private dwelling replaced 18 March 2019 section 5(45) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) proceedings inserted 26 July 1996 section 3(46) Tax Administration Amendment Act (No 2) 1996 Section 3(1) professional trustee inserted 16 November 2015 section 20 Taxation (Bright-line Test for Residential Land) Act 2015 Section 3(1) professional trustee amended 1 April 2023 section 162(8)﻿(a) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 3(1) professional trustee amended 1 April 2023 section 162(8)﻿(b) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 3(1) promoter inserted 7 September 2010 section 126(4) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 3(1) property amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) property amended 20 May 1999 section 62(1)﻿(e) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) property or documents inserted 18 March 2019 section 5(46) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) proposed adjustment inserted 26 July 1996 section 3(47) Tax Administration Amendment Act (No 2) 1996 Section 3(1) proscribed question inserted 7 September 2010 section 126(5) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 3(1) proscribed question amended 30 March 2022 section 180(5) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 3(1) proscribed question amended 1 October 2019 section 5(47) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) proscribed question inserted 1 April 2019 section 24(4) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 3(1) provider of digital services inserted 18 March 2019 section 5(48) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) provisional tax associate inserted 1 April 2017 section 101(5) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) provisional tax interest avoidance arrangement inserted 1 April 2017 section 101(6) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) provisional tax paid inserted 26 July 1996 section 3(47) Tax Administration Amendment Act (No 2) 1996 Section 3(1) provisional tax payable inserted 26 July 1996 section 3(47) Tax Administration Amendment Act (No 2) 1996 Section 3(1) provisional taxpayer replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) public services inserted 18 March 2019 section 5(49) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) qualifying individual inserted 1 April 2019 section 5(50) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) qualifying person repealed 31 August 2017 section 299(13) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 3(1) qualifying resident foreign trustee repealed 21 February 2017 section 9(8) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) qualifying tax in dispute repealed 26 July 1996 section 3(48) Tax Administration Amendment Act (No 2) 1996 Section 3(1) ratio instalment date inserted 1 October 2007 section 210(10) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) ratio instalment date amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) reconciliation statement repealed 1 April 2020 section 261(16) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) record amended 26 July 1996 section 3(49) Tax Administration Amendment Act (No 2) 1996 Section 3(1) record amended 1 April 2020 section 261(17) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) record holder amended 1 April 2020 section 261(18) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) Regional Controller of Inland Revenue Regional Controller repealed 10 April 1995 Tax Administration Amendment Act 1995 Section 3(1) registered person replaced 29 March 2018 section 261(19) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) registration Act inserted 25 November 2003 section 103(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 3(1) registration Act to which the property is subject repealed 25 November 2003 section 103(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 3(1) reject inserted 26 July 1996 section 3(50) Tax Administration Amendment Act (No 2) 1996 Section 3(1) relative inserted 17 October 2002 section 73(5) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 3(1) relief company inserted 30 June 2014 section 151(5) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 3(1) relinquishment amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) reportable income inserted 1 April 2019 section 5(51) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) reportable unpaid tax replaced 18 March 2019 section 5(52) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) representative inserted 18 March 2019 section 5(53) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) request inserted 2 June 2016 section 76(8) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) research and development certificate inserted 1 April 2020 section 43(2) section 38 Taxation (Research and Development Tax Credits) Act 2019 Section 3(1) resident foreign trustee repealed 1 April 2023 section 162(10) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 3(1) residual income tax replaced 26 July 1996 section 3(51) Tax Administration Amendment Act (No 2) 1996 Section 3(1) residual income tax amended 1 October 2007 section 210(12) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) residual income tax amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) residual income tax amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) response period replaced 6 October 2009 section 596(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 3(1) responsible department inserted 18 March 2019 section 5(55) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) return date repealed 18 December 2006 section 169(3)﻿(c) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 3(1) return period replaced 20 May 1999 section 62(1)﻿(f) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) revenue information inserted 18 March 2019 section 5(56) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) revenue law inserted 18 March 2019 section 5(56) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) revenue officer inserted 18 March 2019 section 5(56) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) RWT exemption certificate repealed 1 April 2020 section 261(21) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) RWT rate inserted 7 September 2010 section 126(6) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 3(1) second instalment date repealed 1 October 2007 section 210(14) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) second PAYE period repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) second payment period inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) secondary employment earnings inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) security inserted 26 July 1996 section 3(55) Tax Administration Amendment Act (No 2) 1996 Section 3(1) self-employed person inserted 18 March 2019 section 5(57) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) sensitive revenue information inserted 18 March 2019 section 5(58) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) serious threat inserted 18 March 2019 section 5(58) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) sex offence inserted 18 March 2019 section 5(58) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) separated person repealed 17 October 2002 section 73(6) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 3(1) settlement repealed 21 February 2017 section 9(9) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) settlor repealed 21 February 2017 section 9(10) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) short-process ruling inserted 1 October 2019 section 5(59) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) shortfall penalty inserted 26 July 1996 section 3(56) Tax Administration Amendment Act (No 2) 1996 Section 3(1) shortfall penalty amended 21 June 2005 section 120(4) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 3(1) social security agreement inserted 18 March 2019 section 5(60) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) special account repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) special tax code certificate repealed 1 April 2019 section 261(22) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) special tax code notification repealed 1 April 2019 section 261(22) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) specified dividends repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) specified rate of additional tax repealed 26 July 1996 section 3(58) Tax Administration Amendment Act (No 2) 1996 Section 3(1) specified rate of interest repealed 26 July 1996 section 3(59) Tax Administration Amendment Act (No 2) 1996 Section 3(1) standard-cost household service inserted 25 November 2003 section 103(2) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 3(1) START tax type repealed 1 April 2022 section 180(7) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 3(1) status ruling inserted 20 May 1999 section 62(1)﻿(g) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) student allowance inserted 21 December 2004 section 88(9) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 3(1) student allowance amended 1 August 2020 section 668 Education and Training Act 2020 Section 3(1) tax replaced 26 July 1996 section 3(60) Tax Administration Amendment Act (No 2) 1996 Section 3(1) tax repealed 6 October 2009 section 596(5) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 3(1) tax replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) tax inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 3(1) tax replaced 1 April 2021 section 144(4)﻿(a) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) tax inserted 1 April 2008 section 14(a) Taxation (KiwiSaver) Act 2007 Section 3(1) tax amended 1 April 2021 section 144(4)﻿(b) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) tax replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 3(1) tax replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) tax repealed 1 April 2021 section 144(4)﻿(c) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) tax replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 3(1) tax amended 30 March 2013 section 52(2) Student Loan Scheme Amendment Act 2013 Section 3(1) tax repealed 1 April 2019 section 5(62)﻿(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) tax inserted 8 September 1999 section 58(1) Taxation (Remedial Matters) Act 1999 Section 3(1) tax repealed 1 April 2020 section 261(24) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) tax inserted 29 August 2011 section 142(10) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 3(1) tax inserted 30 March 2021 section 144(4)﻿(d) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) tax inserted 30 March 2021 section 144(4)﻿(d) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) tax inserted 21 December 2005 section 9 Taxation (Urgent Measures) Act 2005 Section 3(1) tax amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) tax replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 3(1) tax inserted 17 October 2002 section 73(7)﻿(a) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 3(1) tax amended 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 3(1) tax repealed 1 April 2019 section 5(62)﻿(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) tax inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) tax inserted 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 3(1) tax amended 30 March 2021 section 144(4)﻿(e) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) tax inserted 18 February 2021 section 4(4) Taxation (COVID-19 Resurgence Support Payments and Other Matters) Act 2021 Section 3(1) tax amended 25 November 2021 section 4(5) Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Act 2021 Section 3(1) tax inserted 25 May 2022 section 4(4) Taxation (Cost of Living Payments) Act 2022 Section 3(1) tax inserted 10 October 2000 section 60(4) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 3(1) tax amended 17 October 2002 section 73(7)﻿(b) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 3(1) tax repealed 6 October 2009 section 596(5) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 3(1) tax inserted 1 April 2008 section 14(c) Taxation (KiwiSaver) Act 2007 Section 3(1) tax inserted 1 April 2008 section 14(c) Taxation (KiwiSaver) Act 2007 Section 3(1) tax replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 3(1) tax repealed 27 March 2001 section 44(5)﻿(b) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 3(1) tax inserted 1 April 2008 section 14(d) Taxation (KiwiSaver) Act 2007 Section 3(1) tax replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 3(1) tax amended 30 March 2013 section 52(2) Student Loan Scheme Amendment Act 2013 Section 3(1) tax advice document inserted 21 June 2005 section 120(5) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 3(1) tax advisor inserted 21 June 2005 section 120(5) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 3(1) tax agent replaced 19 December 2007 section 188(6) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 3(1) tax agent amended 18 March 2019 section 5(63)﻿(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) tax agent replaced 18 March 2019 section 5(63)﻿(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) tax code inserted 1 April 2019 section 261(25) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) tax code certificate repealed 1 April 2019 section 261(26) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) tax code notification repealed 1 April 2019 section 261(26) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) tax contextual information inserted 21 June 2005 section 120(6) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 3(1) tax deduction repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) tax file number inserted 1 October 2015 section 4(3) Tax Administration Amendment Act 2015 Section 3(1) tax form inserted 26 July 1996 section 3(61) Tax Administration Amendment Act (No 2) 1996 Section 3(1) tax law inserted 26 July 1996 section 3(61) Tax Administration Amendment Act (No 2) 1996 Section 3(1) tax law replaced 30 March 2021 section 144(5) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 3(1) tax law amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 3(1) tax law amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 3(1) tax law amended 19 December 1998 Accident Insurance Act 1998 Section 3(1) tax or duty repealed 26 July 1996 section 3(60) Tax Administration Amendment Act (No 2) 1996 Section 3(1) tax paid inserted 26 July 1996 section 3(61) Tax Administration Amendment Act (No 2) 1996 Section 3(1) tax payable inserted 26 July 1996 section 3(61) Tax Administration Amendment Act (No 2) 1996 Section 3(1) tax position inserted 26 July 1996 section 3(61) Tax Administration Amendment Act (No 2) 1996 Section 3(1) tax position amended 26 March 2003 section 82(9)﻿(a) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) tax position amended 26 March 2003 section 82(9)﻿(b) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) tax position replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) tax position amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) tax position replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 3(1) tax position amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 3(1) tax position replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) tax position replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) tax position inserted 23 September 1997 section 68(3) Taxation (Remedial Provisions) Act 1997 Section 3(1) tax position inserted 1 April 2018 section 49(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) tax position replaced 1 April 2019 section 5(64)﻿(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) tax position replaced 1 April 2019 section 5(64)﻿(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) tax position inserted 7 October 1998 section 3(1)﻿(d) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 3(1) tax position amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(1) tax position repealed 1 April 2020 section 261(27) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) tax recovery agreement inserted 20 May 1999 section 62(1)﻿(b) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) tax return replaced 1 July 2014 section 151(6) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 3(1) tax return amended 2 June 2016 section 76(12) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) tax return inserted 1 April 2019 section 5(65) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) tax return inserted 21 February 2017 section 9(11) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) tax shortfall replaced 29 March 2018 section 261(28) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 3(1) tax shortfall amended 30 March 2022 section 180(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 3(1) tax to pay inserted 26 July 1996 section 3(61) Tax Administration Amendment Act (No 2) 1996 Section 3(1) taxation law inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 3(1) taxpayer replaced 26 July 1996 section 3(62) Tax Administration Amendment Act (No 2) 1996 Section 3(1) taxpayer identification number inserted 21 February 2017 section 9(12) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) taxpayer's paying rate inserted 26 July 1996 section 3(62) Tax Administration Amendment Act (No 2) 1996 Section 3(1) taxpayer's tax position replaced 7 October 1998 section 3(1)﻿(e) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 3(1) taxpayer's tax position amended 24 October 2001 section 189(7)﻿(a) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) taxpayer’s tax position replaced 1 April 2019 section 5(66) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) taxpayers tax position repealed 24 October 2001 section 189(7)﻿(b) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 3(1) taxpayer's total tax figure inserted 26 July 1996 section 3(62) Tax Administration Amendment Act (No 2) 1996 Section 3(1) third instalment date repealed 1 October 2007 section 210(17) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) TIN inserted 21 February 2017 section 9(13) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 3(1) trade credit repealed 20 May 1999 section 62(1)﻿(i) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 3(1) trustee income repealed 1 October 2007 section 210(18) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(1) unacceptable tax position inserted 26 March 2003 section 82(10) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 3(1) underestimation penalty repealed 23 September 1997 section 68(6) Taxation (Remedial Provisions) Act 1997 Section 3(1) unpaid tax inserted 26 July 1996 section 3(65) Tax Administration Amendment Act (No 2) 1996 Section 3(1) victim inserted 18 March 2019 section 5(67) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(1) withdrawal tax repealed 2 June 2016 section 76(13) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 3(1) workplace legislation inserted 18 March 2019 section 5(68) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 3(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 3(3) repealed 3 April 2006 section 210(19) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 3(4) repealed 3 April 2006 section 210(19) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006
4: Construction of statutory references
Except where there is express provision to the contrary,—
a: a reference in this Act to a particular Part, or section, is to be construed as a reference to a Part, or section, of this Act; and
b: a reference in this Act to some other particular element is to be construed as a reference to that element in its immediate context. For example, a reference to paragraph (f) is to be construed as a reference to paragraph (f) of the section, subsection, definition, or clause in which that paragraph is contained.
4A: Construction of certain provisions
1: In this Act—
a: a provision referring to a tax liability or to a tax obligation, or to something a person must do, refers to a taxpayer's liability or obligation under a tax law:
b: a provision referring to a taxpayer taking a tax position or to a taxpayer's tax position, also refers to the taxpayer's—
i: claiming or returning or not claiming or returning the tax position; or
ii: paying, deducting, or withholding, or not paying, not deducting, or not withholding, an amount of tax; or
iii: being placed in the tax position,— whether knowingly or intentionally or involuntarily:
c: a provision referring to a tax position taken in a tax return refers to a tax position taken explicitly or implicitly in the tax return:
ca: a provision referring to a tax position taken under Part 3 subpart 3B
d: a provision referring to a taxpayer's obligation to pay an amount of tax refers to the taxpayer's obligation to pay tax to the Commissioner:
e: a provision referring to a taxpayer's obligation to provide a tax return refers to the taxpayer's obligation to complete and provide the tax return to the Commissioner:
f: a provision referring to a taxpayer's obligation to provide a tax form refers to the taxpayer's obligation to complete and provide the tax form to the person entitled to it:
g: a provision referring to any tax (including, for the avoidance of doubt, a penalty) or interest is to be taken to be a reference to all, or part, or the relevant part, of the tax or interest.
2: For the purposes of this Act—
a:
b: an amount of tax is deemed to be withheld when payment is made of the net amount of a PAYE income payment:
bb: a contribution deduction under the KiwiSaver Act 2006
c: the amount withheld or deducted paragraph (b) or paragraph (bb)
d: if the amount withheld or deducted paragraph (b) or paragraph (bb) unpaid tax:
e: despite paragraph (d), and only for the purposes of Part 10B
3: References in this Act to tax liabilities for withholding or deducting an amount of tax, or making or accounting for amounts deducted or amounts withheld, under the PAYE rules, to the extent necessary, are also to be construed as including references to liabilities for withholding, deducting, making, or accounting for,—
a: deductions of premiums payable under the Accident Rehabilitation and Compensation Insurance Act 1992 or the Accident Insurance Act 1998
aa: deductions of levies under the Accident Compensation Act 2001
b: deductions under the Child Support Act 1991
bb: deductions under the KiwiSaver Act 2006
bc: amounts of KiwiSaver Act 2006 unpaid and section 141(5)
c: salary or wage deductions under the Student Loan Scheme Act 2011 where the relevant liabilities arise or are to be performed at the same time as the tax liabilities under the PAYE rules.
4: When a taxpayer has an obligation under any of sections RA 5 RA 6 RA 10 RA 15 to RA 19 RD 2 RD 4 RD 22 RE 20 RE 21 or RF 13
a: furnishes a return that shows a liability to pay tax under that section; and
b: the tax is required to be paid by a due date for a return period; and
c: the liability shown in the return is greater than the tax that the taxpayer paid by the due date— the taxpayer's tax position in respect of the due date is the tax paid and not the amount of tax shown as payable in the tax return.
5: If a taxpayer does not provide a tax return for a return period, the taxpayer is deemed, in relation to each type of tax, to take, in respect of every due date that would be covered by a tax return for the return period if a return were provided, a tax position that is based on the tax of that type paid by the taxpayer for that return period.
6: Where—
a: a provision (in this subsection referred to as the relevant provision
b: it is necessary or appropriate for the purposes of another provision of this Act that applies with respect to objections or challenges, but not to both, that the relevant provision apply,— the relevant provision is to be read as if it referred with respect to both objections and challenges. Section 4A inserted 26 July 1996 section 4 Tax Administration Amendment Act (No 2) 1996 Section 4A(1)﻿(b)﻿(ii) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 4A(1)﻿(ca) replaced 1 April 2019 section 6(1) section 6(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 4A(2)﻿(a) repealed 6 October 2009 section 597(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 4A(2)﻿(b) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 4A(2)﻿(bb) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 4A(2)﻿(c) amended 6 October 2009 section 597(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 4A(2)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 4A(2)﻿(c) amended 1 December 2006 section 231 KiwiSaver Act 2006 Section 4A(2)﻿(c) amended 23 September 1997 section 69(1) Taxation (Remedial Provisions) Act 1997 Section 4A(2)﻿(d) amended 6 October 2009 section 597(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 4A(2)﻿(d) amended 6 October 2009 section 597(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 4A(2)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 4A(2)﻿(d) amended 1 December 2006 section 231 KiwiSaver Act 2006 Section 4A(2)﻿(d) amended 23 September 1997 section 69(2) Taxation (Remedial Provisions) Act 1997 Section 4A(2)﻿(e) inserted 6 October 2009 section 597(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 4A(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 4A(3)﻿(a) amended 19 December 1998 Accident Insurance Act 1998 Section 4A(3)﻿(aa) inserted 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 4A(3)﻿(aa) amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 4A(3)﻿(bb) inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 4A(3)﻿(bc) replaced 1 April 2021 section 145 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 4A(3)﻿(bc) amended 1 April 2023 section 163 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 4A(3)﻿(c) replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 4A(4) replaced 23 September 1997 section 69(3) Taxation (Remedial Provisions) Act 1997 Section 4A(4) amended 6 October 2009 section 597(5) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 4A(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007
4AB: Status of examples
Examples are included in this Act only as an interpretational aid. If there is conflict between an example and a provision of this Act, the provision prevails. Section 4AB inserted 28 October 2021 section 3 Secondary Legislation Act 2021
4B: Application of Act in relation to Australian wine producer rebate
1: This section governs the application of this Act in relation to the rights and obligations of a person under a regulation made under section CV 8
2: This Act applies to the rights and obligations as if—
a: a person's claim for approval in respect of an Australian wine producer rebate were an application made by the person to the Commissioner for registration in respect of the administration of a tax imposed by an Inland Revenue Act:
b: a person's claim for a payment of an Australian wine producer rebate were an application by the person to the Commissioner for a refund of a tax imposed by an Inland Revenue Act:
c: a decision concerning an entitlement of the person to a payment of an Australian wine producer rebate were a decision by the Federal Commissioner of Taxation for Australia concerning an entitlement of the person to a refund of a tax imposed by the Commonwealth of Australia:
d: a payment to the person of an Australian wine producer rebate were a refund by the Federal Commissioner of Taxation for Australia of a tax imposed by the Commonwealth of Australia. Section 4B inserted 21 December 2005 section 10 Taxation (Urgent Measures) Act 2005 Section 4B(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007
2: Commissioner and department
2A: Commissioner and department
Subpart 2A heading inserted 26 June 2019 section 83 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
5: Inland Revenue Department
There shall continue to be a department of State, to be known as the Inland Revenue Department, which shall be the same department as the Inland Revenue Department continued under the Inland Revenue Department Act 1974 1974 No 133 s 3(1)
5B: Commissioner of Inland Revenue
The person appointed as chief executive of the department under the Public Service Act 2020 Section 5B inserted 26 June 2019 section 84 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 5B amended 7 August 2020 section 135 Public Service Act 2020
2B: Care and management of tax system
Subpart 2B heading inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Responsibilities and duties Heading inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
6: Responsibility of Ministers and officials to protect integrity of tax system
Best endeavours to protect integrity of tax system
1: Every Minister and every officer of any government agency having responsibilities under this Act or any other Act in relation to the collection of tax and for the other functions under the Inland Revenue Acts must at all times use their best endeavours to protect the integrity of the tax system. Meaning of integrity of tax system
2: Without limiting its meaning, the integrity of the tax system
a: the public perception of that integrity; and
b: the rights of persons to have their liability determined fairly, impartially, and according to law; and
c: the rights of persons to have their individual affairs kept confidential and treated with no greater or lesser favour than the tax affairs of other persons; and
d: the responsibilities of persons to comply with the law; and
e: the responsibilities of those administering the law to maintain the confidentiality of the affairs of persons; and
f: the responsibilities of those administering the law to do so fairly, impartially, and according to law. Section 6 replaced 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
6A: Commissioner’s duty of care and management
Care and management
1: The Commissioner is charged with the care and management of the taxes covered by the Inland Revenue Acts and with such other functions as may be conferred on the Commissioner. Highest net revenue practicable within the law
2: In collecting the taxes committed to the Commissioner’s charge, and despite anything in the Inland Revenue Acts, it is the duty of the Commissioner to collect over time the highest net revenue that is practicable within the law having regard to—
a: the resources available to the Commissioner; and
b: the importance of promoting compliance, especially voluntary compliance, by all persons with the Inland Revenue Acts; and
c: the compliance costs incurred by persons. Section 6A replaced 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
6B: Directions to Commissioner
Order for directions
1: The Governor-General may, by Order in Council and with due regard to this subpart and the provisions of the Public Service Act 2020 Public Finance Act 1989 Limitations
2: Subsection (1) does not authorise the giving of directions concerning the tax affairs of individual persons or the interpretation of tax law. Secondary legislation
3: An order under subsection (1)—
a: is secondary legislation ( see Part 3
b: becomes binding on the Commissioner in accordance with subsection (4) (even if it is not yet published). Order laid before House of Representatives
3B: If an order is made under subsection (1), the Minister of Revenue must ensure that any accompanying statement of the reasons for the order, and any advice of the Commissioner in relation to it, is laid before the House of Representatives as soon as practicable after it is made. Binding after 7 days
4: An order made under subsection (1) becomes binding on the Commissioner on the 7th day after the date on which it is made. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives and comply with subsection (3B) LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 6B replaced 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 6B(1) amended 7 August 2020 section 135 Public Service Act 2020 Section 6B(3) heading replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6B(3) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6B(3B) heading inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6B(3B) inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Remedial powers Heading inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
6C: Powers to modify provisions of Inland Revenue Acts
Nature of remedial powers
1: Sections 6D to 6G sections 6 and 6A Purpose of remedial powers
2: The purpose of sections 6D to 6G
a: due to an obvious error in the provision:
b: to give effect to the intended purpose or object of the provision, to resolve ambiguity, or to reconcile inconsistencies. General application
3: A modification or exemption applies generally unless it is expressly stated that it applies only to a particular class of persons or circumstances. Optional application
4: Despite subsection (3), a person to whom a modification or exemption is available may choose whether or not to apply the modification or exemption by the means set out in the modification or exemption under section 6D or 6E Effect of not applying modification or exemption
5: If a person chooses not to apply a modification or exemption, the law applies as if the modification or exemption did not exist in relation to the person. Section 6C inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
6D: Modifications made by Order in Council
Orders in Council
1: The Governor-General may, by Order in Council made on the recommendation of the Minister of Revenue, modify the application of the Inland Revenue Acts by providing that a provision of the Inland Revenue Acts does not apply or applies with conditions. Content of modifications
2: A modification made under subsection (1)—
a: must specify a period for which the modification applies; and
b: must, despite section 6C(3)
c: may—
i: be subject to terms and conditions:
ii: state whether the modification applies generally or is limited to a particular class of persons or circumstances:
iii: provide for transitional, savings, and related matters; and
d: may be made by—
i: stating an alternative means of complying with the provision:
ii: substituting a discretionary power to be exercised by the Commissioner. Application periods for modifications
3: For the purposes of subsection (2)﻿(a), a period for which a modification applies—
a: must end no later than the end of the second income year after the income year corresponding to the tax year in which the modification comes into force; and
b: may include a period before the date on which the modification comes into force, but any period of retrospective application must not extend back more than 5 income years before the income year corresponding to the tax year in which the modification comes into force; and
c: subject to paragraph (b), may include a period before the date on which this section comes into force. Opt-out or opt-in modifications permitted
4: For the purposes of subsection (2)﻿(b), a modification may provide that it applies to a person to whom it is available—
a: unless the person chooses not to apply it; or
b: only if the person chooses to apply it. Minister’s recommendations
5: Before making a recommendation referred to in subsection (1), the Minister of Revenue must be satisfied that—
a: the modification is reasonably necessary to do 1 or more of the following:
i: to remedy or mitigate the effect of an obvious error in a provision of the Inland Revenue Acts:
ii: to give effect to the intended purpose or object of a provision of the Inland Revenue Acts, or to resolve ambiguity:
iii: to reconcile an inconsistency between certain provisions of the Inland Revenue Acts, or between the relevant provision and an administrative practice of the Commissioner; and
b: the modification does not materially affect the intended scope or effect of the provisions to which it applies; and
c: the modification is not inconsistent with the intended purpose or object of the relevant provision; and
d: the modification is the most appropriate way of addressing or resolving the issue at the time; and
e: the extent of the modification is not broader than is reasonably necessary to address or resolve the issue that gave rise to it; and
f: for a modification that applies to a person unless they choose not to apply it, the person has a reasonable opportunity to choose not to apply it; and
g: a consultative process has been undertaken as described in section 6F section 6F(3)
h: making the modification will not, in substance, have the effect of extending the period for which a modification previously made under this section, or an exemption previously granted under section 6E Secondary legislation
6: An order under this section is secondary legislation ( see Part 3 Publication of modifications
7: The Minister of Revenue’s reasons for recommending a modification, and an explanation of the way in which the modification complies with this section, must be published together with an order under this section. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Subsection (7) must also be complied with Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 6D inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 6D(6) heading replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6D(6) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6D(7) heading inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6D(7) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
6E: Exemptions granted by Commissioner
Exemptions
1: Subject to subsection (2), the Commissioner may grant an exemption from a provision of the Inland Revenue Acts if the Commissioner is satisfied that the exemption is reasonably necessary to do 1 or more of the following:
a: to remedy or mitigate the effect of an obvious error in a provision of the Inland Revenue Acts:
b: to give effect to the intended purpose or object of a provision of the Inland Revenue Acts, or to resolve ambiguity:
c: to reconcile an inconsistency between certain provisions of the Inland Revenue Acts, or between the relevant provision and an administrative practice of the Commissioner. Limitations
2: The Commissioner may grant the exemption only if the Commissioner is satisfied that—
a: the exemption—
i: does not materially affect the intended scope or effect of the provisions to which it applies; and
ii: is not inconsistent with the intended purpose or object of the relevant provision; and
iii: has no, or has only negligible, fiscal implications for the Crown; and
iv: is the most appropriate way of addressing or resolving the issue at the time; and
b: the extent of the exemption is not broader than is reasonably necessary to address or resolve the issue that gave rise to it; and
c: for an exemption that applies to a person unless they choose not to apply it, the person has a reasonable opportunity to choose not to apply it; and
d: a consultative process has been undertaken as described in section 6F, unless the Commissioner has dispensed with the consultative process under section 6F(3)
e: granting the exemption will not, in substance, have the effect of extending the period for which a modification previously made under section 6D Content of exemptions
3: An exemption made under subsection (1)—
a: must specify a period for which the exemption applies; and
b: must, despite section 6C(3)
c: may—
i: include terms and conditions as the Commissioner thinks fit:
ii: state whether the exemption applies generally or is limited to a particular class of persons or circumstances:
iii: provide for transitional, savings, and related matters. Application periods for exemptions
4: For the purposes of subsection (3)﻿(a), a period for which an exemption applies—
a: must end no later than the end of the second income year after the income year corresponding to the tax year in which the exemption comes into force; and
b: may include a period before the date on which the exemption comes into force, but any period of retrospective application must not extend back further than the start of the income year corresponding to the tax year in which the exemption comes into force; and
c: subject to paragraph (b), may include a period before the date on which this section comes into force. Opt-out or opt-in exemptions permitted
5: For the purposes of subsection (3)﻿(b), an exemption may provide that it applies to a person to whom it is available—
a: unless the person chooses not to apply it; or
b: only if the person chooses to apply it. Secondary legislation
6: An exemption under this section is secondary legislation ( see Part 3 Publication of exemptions
7: The Commissioner’s reasons for granting an exemption, and an explanation of the way in which the exemption complies with this section, must be published together with the exemption. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Subsection (7) must also be complied with Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 6E inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 6E(6) heading replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6E(6) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6E(7) heading replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6E(7) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
6F: Consultation on proposed modifications and exemptions
Consultative process
1: Before the Minister of Revenue recommends that a modification be made under section 6D section 6E
a: the proposed modification or exemption, as applicable; and
b: an explanation of the way in which, as applicable,—
i: the modification would comply with the requirements of section 6D(5)
ii: the exemption would comply with the requirements of section 6E(2) Period of consultation
2: The consultative process must provide a period of consultation of at least 6 weeks. Cases of urgency
3: Despite subsections (1) and (2), the Minister or Commissioner, as applicable, may, if satisfied that a case of urgency exists, either reduce the period of consultation or dispense with the consultative process in relation to a modification or an exemption. Section 6F inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
6G: Meaning of obvious error
For the purposes of this subpart, obvious error
a: the intended purpose or object of the relevant provision is clear; and
b: the intended purpose or object cannot be carried into effect by the relevant provision; and
c: the substance of the provision that Parliament would have made, had the error become known or had the circumstances been allowed for, is clear. Section 6G inserted 26 June 2019 section 85 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 COVID-19 response variations Heading inserted 30 April 2020 section 18 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020
6H: COVID-19 response: powers to vary provisions of Inland Revenue Acts
Commissioner’s discretionary power
1: Section 6I extend or otherwise modify Purpose of section 6I
2: The purpose of section 6I Supplementary discretionary power
3: The discretionary power to make a variation under section 6I Application of section 6I
4: Section 6I section 6I Extended meaning of Inland Revenue Acts
5: For the purpose of this section and section 6I Unclaimed Money Act 1971 Secondary legislation
6: An order under subsection (4) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 6H inserted 30 April 2020 section 18 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 6H(1) amended 6 August 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act (No 2) 2020 Section 6H(6) heading inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6H(6) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
6I: COVID-19 response: Commissioner’s variations
Power to vary
1: The Commissioner may vary the application of a provision in an Inland Revenue Act by—
a: extending or otherwise modifying
i: a person must comply with a requirement set out in the provision:
ii: a person must make an election under the provision:
iii: a person’s entitlements, rights, or obligations are affected:
b: modifying a procedural or administrative requirement that a person must meet under the provision, for example Meaning of modifying
1B: For the purposes of subsection (1), modifying a due date, deadline, time period, or timeframe may include shortening or reducing it if the Commissioner considers it would be advantageous for persons generally or for a particular class of persons. Person treated as meeting requirements
2: A person who complies with a variation made under this section is treated as having met their requirements under the relevant Act. General application
3: A variation made under subsection (1) applies generally unless it is expressly stated that the variation—
a: applies to a particular class of persons or circumstances; or
b: requires certain conditions to be met for the variation to apply. Optional application
4: Despite subsection (3), a person to whom a variation is available may choose whether or not to apply the variation by taking a tax position, for example Secondary legislation
5: A variation under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in a manner chosen by the maker LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 6I inserted 30 April 2020 section 18 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 6I extended for a further period that starts on 1 October 2022 and ends on 30 September 2023 30 September 2022 clause 3 Tax Administration (COVID-19 Response Variations) Order 2022 Section 6I(1)﻿(a) amended 6 August 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act (No 2) 2020 Section 6I(1B) heading inserted 6 August 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act (No 2) 2020 Section 6I(1B) inserted 6 August 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act (No 2) 2020 Section 6I(5) heading replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 6I(5) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
2C: Functions and powers of Commissioner
Subpart 2C heading inserted 26 June 2019 section 86 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
7: Delegation of powers by Commissioner
1: The Commissioner may delegate in accordance with clauses 2 to 4
a: the delegation of functions or powers delegated to the Commissioner by a Minister requires the prior written approval of that Minister; and
b: the delegation of functions or powers delegated to the Commissioner by the Public Service Commissioner Public Service Commissioner
2: However, the Commissioner may not delegate to a person outside the public service (as described in clause 2(5)
a: the Commissioner’s functions or powers in relation to obtaining information from and about taxpayers ( sections 16 to 17L
b: the Commissioner’s functions or powers in relation to imposing civil and criminal penalties on taxpayers in various circumstances ( Part 9 subpart 3 Part 12
c: the Commissioner’s functions or powers in relation to deducting amounts from payments due ( section 157 section 193 section 154
d: the Commissioner’s functions or powers in relation to tax recovery agreements negotiated between the government of a territory outside New Zealand and the Government of New Zealand ( Part 10A
3: Clauses 2 to 4 clause 2 of that schedule Section 7 replaced 18 July 2013 section 61 State Sector Amendment Act 2013 Section 7(1) amended 7 August 2020 section 135 Public Service Act 2020 Section 7(1)﻿(b) amended 7 August 2020 section 135 Public Service Act 2020 Section 7(2) amended 7 August 2020 section 135 Public Service Act 2020 Section 7(2)﻿(a) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 7(3) replaced 7 August 2020 section 135 Public Service Act 2020
7AAA: Administration of cost of living payments scheme
1: It is a function of the Commissioner to administer the cost of living payments scheme (the scheme
2: If a person who receives a grant under the scheme from the Commissioner does not qualify for the grant under the eligibility requirements of the scheme, the person must immediately repay to the Commissioner the total amount of the grant.
3: The Commissioner must publish, on an internet site administered by the Commissioner, the eligibility requirements referred to in subsection (2). Section 7AAA inserted 25 May 2022 section 5 Taxation (Cost of Living Payments) Act 2022
7AA: Authorisation to make payments under small business cashflow loan scheme
1: The Commissioner, on behalf of the Crown, may grant a loan under the small business cashflow scheme (the scheme
a: meets the eligibility requirements for a loan under the scheme; and
b: makes a loan application to the Commissioner; and
c: enters into a loan contract with the Commissioner.
2:
3: The person in whose name the loan application is made—
a: must provide the information to the Commissioner required by the loan contract; and
b: is bound by the terms of the loan contract and must pay or repay all amounts payable by the person under the loan contract at the times and in the manner provided in the loan contract.
4: If a person who receives a payment from the Commissioner does not meet the required eligibility requirements, the person , or an associated person who receives the benefit of the payment other than as adequate consideration for a supply of goods or services,
4B: For the purposes of this section, the chief executive of the Ministry of Social Development is authorised to provide the Commissioner with any information relating to the wage subsidy scheme administered by the Ministry.
4C: The Commissioner may use the information provided under subsection (4B) in connection with the exercise or performance of any of the Commissioner’s duties, powers, or functions under the Inland Revenue Acts.
5: A loan contract under this section is not a credit contract or a consumer credit contract for the purposes of the Credit Contracts and Consumer Finance Act 2003
6: For the purposes of this section,— loan contract
a: is provided by or on behalf of the Commissioner to a person in whose name a loan application has been made; and
b: records the terms on which a loan under the small business cashflow scheme is, or will be, made small business cashflow scheme wage subsidy scheme
7: Eligibility requirements under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it on an internet site administered by the maker LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 7AA inserted 30 April 2020 section 19 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 7AA(2) repealed 28 October 2021 section 3 Secondary Legislation Act 2021 Section 7AA(4) amended 30 March 2022 section 181 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 7AA(4B) inserted 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 7AA(4C) inserted 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 7AA(6) small business cashflow scheme replaced 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 7AA(6) wage subsidy scheme inserted 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 7AA(7) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
7AAB: Authorisation to make COVID-19 support payments
1: The purpose of this section is to authorise the making of payments under a COVID-19 support payments scheme (the CSP scheme COVID-19 circumstance
2: The Commissioner, on behalf of the Crown, may make a grant under the CSP scheme (a grant
a: the CSP scheme is declared active for the COVID-19 circumstance or group of COVID-19 circumstances affecting the person by an Order in Council made under section 7AAC
b: for the period of activation of the CSP scheme,—
i: the person meets the eligibility requirements referred to in subsection (3)﻿(b)﻿(i) for a grant; and
ii: the person, or another person on their behalf, applies to the Commissioner for the grant.
3: For the purposes of subsection (2) and an activation period, the Commissioner—
a: must set out the procedure required for a person to make an application for a grant:
b: must determine—
i: the eligibility requirements that a person must meet to qualify for a grant:
ii: the terms and conditions that apply to a grant:
c: must publish, on an internet site administered by the Commissioner, the eligibility requirements referred to in paragraph (b)﻿(i).
4: If a person applies for a grant on behalf of another person, both the person and the person in whose name the application is made must provide information as required by the Commissioner.
5: The person in whose name an application is made is bound by the CSP terms of the grant.
6: The total amount of a grant paid to the person, together with any amount payable under the CSP terms, must be repaid to the Commissioner if the CSP terms require repayment.
7: If a person who receives a grant from the Commissioner does not meet the eligibility requirements referred to in subsection (3)﻿(b)﻿(i), the person , or an associated person who receives the benefit of the grant, other than as adequate consideration for a supply of goods or services
8: The persons referred to in subsection (4) must keep records referred to in section 22
9: For the purposes of this section and section 7AAC CSP terms
a: the terms and conditions applying in relation to a person’s eligibility for the grant at the time the grant is made, and any other terms and conditions determined by the Commissioner under subsection (3)﻿(b)﻿(ii):
b: the terms set out in an application for the grant that is made by or on behalf of a person, including the contents of a declaration, consent, or other representation made by or on behalf of the person:
c: the terms and conditions set out in an agreement between the Commissioner and the person receiving the grant.
10: The COVID-19 resurgence support payments scheme is a CSP scheme and the CRSP terms of a grant under that scheme are CSP terms of the grant. Section 7AAB replaced 25 November 2021 section 5(1) Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Act 2021 Section 7AAB(7) amended 30 March 2022 section 182 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
7AAC: Orders in Council related to COVID-19 support payments scheme
1: For the purposes of section 7AAB
a: declare the activation of a COVID-19 support payments scheme (the CSP scheme
b: specify the period for which, or the circumstances in which, the CSP scheme is to operate in relation to the COVID-19 circumstance or group of COVID-19 circumstances:
c: describe a class or classes of persons who may apply for a grant under the CSP scheme and the amount of the grant to which they may be entitled:
d: specify amendments to the CSP scheme, the CSP terms of a grant, or the matters referred to in section 7AAB(3)﻿(a) and (b)
e: extend, renew, or replace a time limit referred to in schedule 7, part A, clause 13B(2)﻿(b)
2: For an order made under the power given in subsection (1)﻿(e), the order—
a: expires if not renewed or replaced under paragraph (b), after—
i: the period set out in the order, if applicable; or
ii: if no period is set out, 6 months after the order comes into force:
b: may be renewed or replaced by an Order in Council made on or before the date on which the order would otherwise expire.
3: An Order in Council made under subsection (1) or (2)﻿(b) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 7AAB replaced 25 November 2021 section 5(1) Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Act 2021
7A: Authorisation to take securities
1: The Commissioner may—
a: accept securities to secure the performance of tax obligations; and
b: require that securities be given on such terms (including the manner of payment of any costs and disbursements associated with the security) as the Commissioner specifies; and
c: require that securities be transferred into the name of, and be held by, the Commissioner until the performance of a tax obligation or obligations; and
d: if the Commissioner considers that the existing securities are or may be or become inadequate or insufficient, call for additional or substitute securities; and
e: enforce a security if a taxpayer defaults in the performance of the tax obligation in respect of which the security was taken; and
f: grant discharges, releases, or transfers of securities on terms the Commissioner considers appropriate; and
g: recover from a taxpayer the costs of accepting, enforcing, discharging, releasing, or transferring any security.
2: The Commissioner is not to be liable for any loss suffered in relation to an asset or right that is the subject of a security, unless the Commissioner is guilty of wilful misconduct in dealing with the asset or right.
3: For the purposes of this section, the Commissioner and the Commissioner's successors in office—
a: are deemed to be a corporation sole; and
b: as such corporation sole, are to have and may exercise all the rights, powers, and privileges, and may incur all the liabilities and obligations, of a natural person of full age and capacity.
4: Nothing in subsection (1) limits—
a: any tax law which specifies the Commissioner's entitlement to a charge or other security; or
b: the Commissioner's rights under the terms of a document evidencing or constituting a security; or
c: the Commissioner's other rights to collect or recover tax or other amounts. Section 7A inserted 1 October 1996 section 5 Tax Administration Amendment Act (No 2) 1996
8: Deputy Commissioners of Inland Revenue
Section 8 repealed 10 April 1995 Tax Administration Amendment Act 1995
9: Regional Controllers of Inland Revenue
Section 9 repealed 10 April 1995 Tax Administration Amendment Act 1995
10: District Commissioners of Inland Revenue
Section 10 repealed 10 April 1995 Tax Administration Amendment Act 1995
11: Appointment of other officers
Section 11 repealed 10 April 1995 Tax Administration Amendment Act 1995
12: Official seal
1: There shall be an official seal of the Inland Revenue Department, which shall be in the custody of the Commissioner.
2: Section 12(2) repealed 10 April 1995 Tax Administration Amendment Act 1995
13: Proof of signature of Commissioner
1: The printed or electronic signature
2: Any certificate, notice, or other document purporting to bear the written, printed, or electronic signature
3: Judicial notice shall be taken of every such signature and of the fact that the person whose signature it purports to be holds or has held office as Commissioner or other relevant officer of the department, as the case may require. Section 13 replaced 10 April 1995 Tax Administration Amendment Act 1995 Section 13(1) amended 2 June 2016 section 77(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 13(2) amended 2 June 2016 section 77(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
13B: Use of electronic signatures for tax administration purposes
1: Subject to meeting the criteria and requirements set out in the guidelines referred to in subsection (2) and the provisions of Part 4
2: The Commissioner must make
a: the use of a valid electronic signature on documents provided to the Commissioner:
b: the nature of, and circumstances in which, the Commissioner accepts information under an electronic signature.
3: When the Commissioner receives a document bearing the electronic signature of a person, unless there are reasonable grounds to suppose otherwise,—
a: the document is treated as signed by the person; and
b: the person is treated as complying with both the guidelines referred to in subsection (2) and section 228
4: Guidelines under subsection (2) are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 13B inserted 2 June 2016 section 78 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 13B(1) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017 Section 13B(2) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 13B(3)﻿(b) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017 Section 13B(4) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
13C: Annual report
1: The Commissioner shall, as soon as practicable after the close of each financial year, furnish to the Minister a report on the administration of the Inland Revenue Acts during the financial year.
2: Every such report shall be laid before Parliament as soon as practicable after it has been received by the Minister. 1974 No 133 s 22 Section 13C renumbered 18 March 2019 section 7 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
2D: Modes of communication
Subpart 2D heading inserted 26 June 2019 section 87 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
14: Modes of communication: general provisions
1: Sections 14B to 14E Income Tax Act 2007 Goods and Services Tax Act 1985 person A person B
a: asking or requesting:
b: informing:
c: applying:
d: notifying:
e: formally notifying.
2: Sections 14F 14G post, or electronic means
3: Despite sections 6 14B(2)﻿(c) 14C(2)﻿(a) sections 220 224
4: Despite subsection (1) and the references to this Act, the Income Tax Act 2007 Goods and Services Tax Act 1985 sections 14C to 14G Section 14 replaced 2 June 2016 section 79 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 14(2) amended 30 March 2022 section 183 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 14(3) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017 Section 14(4) amended 30 March 2017 section 300 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
14B: Asking, requesting, or informing
1: This section applies when a provision in this Act, the Income Tax Act 2007 Goods and Services Tax Act 1985
a: asking person B for something:
b: requesting something from person B:
c: informing person B about something.
2: Person A may communicate—
a: by telephone; or
b: orally in person in a manner acceptable to the Commissioner; or
c: by electronic means, if person A complies with the provisions of Part 4 section 14F
d: in print and delivered in a way referred to in section 14F
e: in another manner permitted by the Commissioner.
3: However, communication under this section does not include communication on the internet or by other electronic means, if person B is not directly alerted to the communication in some manner.
4: Section 14E Section 14B replaced 2 June 2016 section 79 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 14B(2)﻿(c) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017
14C: Applying or notifying
1: This section applies when a provision in this Act, the Income Tax Act 2007 Goods and Services Tax Act 1985
a: applying to person B for something:
b: notifying person B about something.
2: Person A may communicate—
a: by electronic means, if person A complies with the provisions of Part 4 section 14F
b: in print and delivered in a way referred to in section 14F
c: in another manner permitted by the Commissioner.
3: However, communication under this section does not include communication on the internet or by other electronic means, if person B is not directly alerted to the communication in some manner.
4: Section 14E Section 14C replaced 2 June 2016 section 79 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 14C(2)﻿(a) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017
14D: Formally notifying
1: If a provision in this Act, the Income Tax Act 2007 Goods and Services Tax Act 1985
2: However, communication under this section does not include communication by email, the internet, or other electronic means.
3: Section 14E Section 14D inserted 2 June 2016 section 79 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
14E: Overriding provisions
1: A specific provision in this Act, the Income Tax Act 2007 Goods and Services Tax Act 1985 sections 14B to 14D
a: specifying the way in which a person gives information or communicates a matter:
b: prescribing the manner, form, or format for giving information or communicating a matter:
c: providing for the Commissioner to prescribe the manner, form, or format for giving information or communicating a matter.
2: Sections 14B to 14D section BH 1 Section 14E inserted 2 June 2016 section 79 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
14F: Giving information by personal delivery,
post, or electronic means
1: This section applies when a provision in this Act, the Income Tax Act 2007 Goods and Services Tax Act 1985 requires person A to communicate with person B by delivering the information in the way set out in subsections (2) to (5)
2: When the Commissioner is person A, the Commissioner may communicate with person B—
a: if person B is not a corporate body,—
i: by personal delivery to person B; or
ii: by personal delivery to person B’s usual or last known place of residence; or
b: if person B is a corporate body, by personal delivery to person B’s office during working hours; or
c: by delivery to person B’s contact address as described in section 14G
3: When the Commissioner is person B, person A may communicate with the Commissioner—
a: by electronic means if, in delivering the communication, person A complies with Part 4
b:
c: by personal delivery during working hours to an office of the department that is available to accept communication of the information; or
d: by post—
i: to the street address of an office of the department; or
ii: to the post office box number of the department.
4: When the Commissioner is neither person A nor person B, person A may communicate with person B—
a: if person B is not a corporate body, by personal delivery to person B; or
b: if person B is a corporate body, by personal delivery to person B’s office during working hours; or
c: by delivery to person B’s contact address as described in section 14G
5: For the purposes of subsection (2), the Commissioner may communicate with—
a: the person; or
b: a representative authorised to act on behalf of the person in relation to the relevant matter.
6: A communication by post is treated as having been given at the time the communication would have been delivered in the ordinary course of the post.
7: Section 214
8: Section 14F inserted 2 June 2016 section 79 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 14F heading amended 30 March 2022 section 184(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 14F(1) amended 30 March 2017 section 301 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 14F(3)﻿(a) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017 Section 14F(3)﻿(b) repealed 30 March 2022 section 184(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 14F(7) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017 Section 14F(8) repealed 30 March 2022 section 184(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
14G: Contact addresses
1: For the purposes of section 14F(2) and (4)
a: for delivery by electronic means to a person who is not a corporate body,—
i: an email or other electronic address that they have provided:
ii: their last known email or other electronic address:
iii: an email or other electronic address of the person that is otherwise available, if there are reasonable grounds to suppose that the person will receive the communication:
b: for delivery by electronic means to a person who is a corporate body,—
i: an email or other electronic address of the corporate body provided by a person acting for or on behalf of the corporate body in relation to the relevant matter:
ii: the last known email or other electronic address of a person acting for or on behalf of the corporate body in relation to the relevant matter:
iii: an email or other electronic address of the corporate body that is otherwise available, if there are reasonable grounds to suppose that a person acting for or on behalf of the corporate body in relation to the relevant matter will receive the communication:
c: for delivery by post,—
i: the street address of their usual or last known place of residence; or
ii: the street address of any of their usual or last known places of business; or
iii: any other address of the person, if they have notified the Commissioner that they accept delivery at the address.
d:
2: For the purposes of the delivery of income information, a person’s contact address is the address described in subsection (1)﻿(a) to (c). Section 14G inserted 2 June 2016 section 79 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 14G(1)﻿(d) repealed 30 March 2022 section 185 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 14G(2) inserted 1 April 2019 section 262 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
2A: Taxpayer's tax obligations
Part 2A inserted 26 July 1996 section 6 Tax Administration Amendment Act (No 2) 1996
15A: Purpose of this Part
The purpose of this Part is to outline the primary obligations of taxpayers under the tax laws. Section 15A inserted 26 July 1996 section 6 Tax Administration Amendment Act (No 2) 1996
15B: Taxpayer's tax obligations
A taxpayer must do the following:
aa: if required under a tax law, make an assessment:
a: unless the taxpayer is a non-filing taxpayer, correctly
b: deduct or withhold the correct amounts of tax from payments or receipts of the taxpayer when required to do so by the tax laws:
c: pay tax on time:
d: keep all necessary information (including books and records) and maintain all necessary accounts or balances required under the tax laws:
e: disclose to the Commissioner in a timely and useful way all information (including books and records) that the tax laws require the taxpayer to disclose:
f: to the extent required by the Inland Revenue Acts, co-operate with the Commissioner in a way that assists the exercise of the Commissioner's powers under the tax laws:
g: comply with all the other obligations imposed on the taxpayer by the tax laws.
h:
i: Section 15B inserted 26 July 1996 section 6 Tax Administration Amendment Act (No 2) 1996 Section 15B(aa) inserted 24 October 2001 section 190(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 15B(a) amended 27 March 2001 section 45(1) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 15B(h) repealed 1 April 2019 section 8 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 15B(i) repealed 1 April 2019 section 8 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
2B: Intermediaries for PAYE, provisional tax, and resident passive income
Part 2B heading repealed 18 March 2019 section 9(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
15U: Requirements for applications to establish tax pooling accounts
Section 15U repealed 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
15V: Winding up tax pooling accounts
Section 15V repealed 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 RWT proxies Heading repealed 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
15W: RWT proxies
Section 15W repealed 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
3: Information, record-keeping, and returns
3A: Commissioner’s powers to obtain information
Subpart 3A heading replaced 1 April 2019 section 269 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Commissioner's powers to obtain information Heading repealed 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
16: Purposes of subpart
The purposes of this subpart are—
a: to provide the Commissioner with the necessary powers to enable—
i: the collection of all taxes or duties imposed by the Inland Revenue Acts:
ii: the carrying into effect of any of the Inland Revenue Acts:
iii: the carrying out of functions lawfully conferred on the Commissioner:
b: to enable the collection by the Commissioner of revenue information, including the power to—
i: gain access to property or documents; and
ii: remove documents to make copies; and
iii: remove and retain documents for review:
c: to require a person or entity to produce documents or to provide or allow access to information to the Commissioner:
d: to set out the Commissioner’s powers to copy, remove, or retain documents:
e: to provide a regulation-making power for the regular collection of bulk data:
f: to describe how revenue information may be used:
g: to protect the confidentiality of sensitive revenue information:
h: to facilitate efficient and effective government administration and law enforcement by allowing permitted disclosures of sensitive revenue information for certain specific or appropriate purposes. Section 16 replaced 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
16B: Principles on which subpart based
Purpose of collection of revenue information
1: The collection of revenue information may be made for 1 or more of the following purposes:
a: to protect the integrity of the tax system:
b: to carry into effect the revenue laws:
c: to carry out or support a function lawfully conferred on the Commissioner:
d: to encourage compliance with the revenue laws:
e: for any other function lawfully conferred on the Commissioner. Necessary or relevant for stated purposes
2: In collecting revenue information, the Commissioner may access property or documents only if taking that action is—
a: necessary or relevant for a purpose set out in subsection (1); and
b: considered likely to provide the information required. Protection of information
3: Revenue information that is held by the Commissioner must be protected by such security safeguards as it is reasonable in the circumstances to take, against—
a: loss:
b: unauthorised instances of access, use, modification, or disclosure:
c: misuse. Non-disclosure of sensitive revenue information
4: A revenue officer may not disclose sensitive revenue information unless the disclosure is a permitted disclosure made—
a: for the purposes of carrying into effect a revenue law or carrying out a function lawfully conferred on the Commissioner:
b: under certain agreements or regulations:
c: to a person in relation to their own revenue information:
d: for the following and certain other specified purposes:
i: public services purposes:
ii: international purposes:
iii: risk of harm purposes. Collection of information
5: For the purposes of subsection (2), the collection of information includes the compilation, collation, synthesis, or generation of information by the Commissioner. Commissioner, authorised officers, accompanying persons, and particular offices
6: For the purposes of this subpart, and section 227F
a: a reference to the Commissioner includes a reference to an officer of the department authorised by the Commissioner:
b: a reference to the Commissioner in sections 17(1) and (2) 17C(1)﻿(d)
c: when a provision requires information to be produced, filed, or delivered to the Commissioner, the Commissioner may require that the information is produced, filed, or delivered to a particular office of the department. Section 16B replaced 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
16C: Key terms
Meaning of revenue law
1: For the purposes of this subpart and schedule 7 revenue law
a: the Inland Revenue Acts:
b: the Accident Compensation Act 2001 Accident Insurance Act 1998 Accident Rehabilitation and Compensation Insurance Act 1992 Accident Compensation Act 1982
c: the New Zealand Superannuation Act 1974
d: any Act that imposes taxes or duties payable to the Crown. Meaning of revenue information
2: For the purposes of this subpart and schedule 7 revenue information
a: in connection with a revenue law and for a purpose set out in section 16B(1)
b: under an information-sharing agreement. Meaning of sensitive revenue information
3: For the purposes of this subpart and schedule 7 sensitive revenue information
a: means revenue information
i: that identifies, or is reasonably capable of being used to identify, a person or entity
ii: that might reasonably be regarded as private, commercially sensitive, or otherwise confidential; or
iii: the release of which could result in loss, harm, or prejudice to a person to whom, or an entity to which, it relates
b: does not include aggregate or statistical data that may contain information about the person or entity to the extent to which the information does not meet the requirements of paragraph (a):
c: does not include information if the only person or entity that it identifies is the Commissioner or chief executive of the Inland Revenue Department, unless it relates to the application of the Inland Revenue Acts to the Inland Revenue Department as a taxpayer. Meaning of revenue officer
4: For the purposes of this subpart and schedule 7 revenue officer
a: means a person who is employed in or seconded to Inland Revenue; and
b: includes—
i: a person employed in the service of the Government of an overseas country or territory who is for the time being seconded to Inland Revenue:
ii: a person formerly employed in or seconded to Inland Revenue. Meaning of permitted disclosure
5: For the purposes of this subpart and schedule 7 permitted disclosure section 18 sections 18D to 18J schedule 7 New Zealand superannuation
6: For the purposes of subsection (1)﻿(c), the New Zealand Superannuation Act 1974 Part 1 of the Superannuation Schemes Act 1976 Section 16C replaced 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 16C(2)﻿(a) replaced 30 March 2022 section 186(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 16C(3)﻿(a) amended 30 March 2022 section 186(2)﻿(a) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 16C(3)﻿(a)﻿(i) amended 30 March 2022 section 186(2)﻿(b) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 16C(3)﻿(a)﻿(iii) amended 26 June 2019 section 88 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 16C(3)﻿(c) inserted 30 March 2022 section 186(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Collection of information Heading inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17: Commissioner may obtain information by accessing property or documents
Access to property or documents
1: Despite anything in any other Act but subject to subsection (2), the Commissioner may access any property or documents for the purpose of inspecting a document, property, process, or matter that the Commissioner considers—
a: is necessary or relevant for the purposes and principles set out in sections 16 16B
b: is likely to provide information that would otherwise be required for the purposes of the Inland Revenue Acts and any function lawfully conferred on the Commissioner. Consents or warrants required for private dwellings
2: The Commissioner must not enter a private dwelling to access any property or documents except with the consent of an occupier or under a warrant issued under section 17D Providing assistance and answering questions
3: Despite section 103(3)﻿(b)﻿(ii) and (7)
a: provide the Commissioner with all reasonable facilities and assistance for the effective exercise of the powers under this section and section 17C
b: answer all proper questions relating to the effective exercise of the powers under this section as, and in the manner, required by the Commissioner. Accompanying persons
4: A person whose presence at a place is considered by the Commissioner to be necessary for the effective exercise of the powers under this section may accompany the Commissioner to a place. Definitions for this section
5: In this section, and sections 16 16B 17D property or documents
a: all lands, buildings, places, or other premises:
b: a document, whether in the custody or under the control of a public officer, or a body corporate, or any other person private dwelling
a: a garage, shed, and other building used in connection with the private dwelling; and
b: any business premises that are, or are within, a private dwelling. Section 17 replaced 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17A: Court orders for production of information or return
Section 17A repealed 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17B: Commissioner may require information or production of documents
Requiring information or production of documents
1: A person must, when notified by the Commissioner in an information demand, provide any information that the Commissioner considers necessary or relevant for any purpose relating to—
a: the administration or enforcement of an Inland Revenue Act:
b: the administration or enforcement of any matter arising from, or connected with, a function lawfully conferred on the Commissioner. Documents included
2: In this section and in sections 17 17G to 17H Requirements
3: The Commissioner may require that information provided under this section be—
a: verified by statutory declaration or otherwise:
b: provided to a particular office of the Commissioner:
c: provided in a manner acceptable to the Commissioner. Persons included
4: For the purposes of this section and section 17L
a: an officer employed in, or in connection with, a department of the government or a public authority:
b: any other public officer. Particular requirements for information demands and inquiries
5: Sections 17F 17G 17H to 17K Section 17B inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 17B(2) amended 30 March 2021 section 146(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 17B(4) amended 30 March 2022 section 187 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 17B(5) amended 30 March 2021 section 146(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
17C: Commissioner’s powers in relation to documents
Taking extracts, making copies, removing for inspection
1: In relation to a document accessed under section 17 or produced under 1 or more of sections 17B 17GB 17H(6) 17I
a: take an extract from the document:
b: make a copy of the document:
c: remove the document from a place to make a copy:
d: remove the document from a place and retain it for a full and complete inspection. Copying and returning documents
2: When a document is removed and a copy made under subsection (1)﻿(c), the copy must be made and the document then returned as soon as practicable. Removing documents with consent or under warrant
3: The Commissioner may remove and retain a document under subsection (1)﻿(d) for a full and complete inspection for as long as is necessary to undertake the inspection if the Commissioner has—
a: the consent of an occupier:
b: a warrant issued under section 17D No charge for copies
4: For the purposes of subsection (1)﻿(a) to (c), the Commissioner may take an extract from or make a copy of a document without charge. Owner’s inspection
5: The owner of a document that is
a: at the time the document is removed to the premises:
b: at all reasonable times subsequently. Evidence
6: A copy of a document certified by or on behalf of the Commissioner is admissible in evidence in court as if it were the original. Section 17C inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 17C(1) amended 30 March 2021 section 147(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 17C(1) amended 30 March 2021 section 147(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 17C(5) amended 30 March 2021 section 147(3) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
17D: Warrants
When this section applies
1: This section applies for the purposes of sections 17 17C
a: an application is made for a search warrant under Part 4, subpart 3
b: an issuing officer is satisfied that the issue of the warrant is required for the exercise of a function lawfully conferred on the Commissioner. Warrants for entry
2: The issuing officer may issue a warrant to the Commissioner to enter a private dwelling when physical access to the dwelling is required. Warrants for removal of documents
3: The issuing officer may issue a warrant to the Commissioner to remove a document from a place and retain it when a full and complete inspection of the document is required. Exercising warrants
4: A person exercising the power of entry conferred by a warrant issued under subsection (2) or a warrant for removal of a document under subsection (3) must produce the warrant and evidence of their identity on first entering the private dwelling or the place and whenever subsequently reasonably required to do so. Relationship with Search and Surveillance Act 2012
5: For the purposes of this section, and of sections 17 17C(1)﻿(d), (3), (5), and (6) subparts 1 3 4 7 9 10 sections 102 103(3)﻿(b)﻿(ii) 115(1)﻿(b) 118 119 130(4) Definition for this section
6: In this section, issuing officer section 3 Section 17D inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 17D(5) amended 26 June 2019 section 90 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
17E: Information or documents treated as in persons’ knowledge, possession, or control
Non-residents
1: For the purposes of sections 17B(1) 17GB(1) 143(2) 143A(2)
a: a New Zealand resident is treated as holding anything held by a person who—
i: is resident in New Zealand and is associated with the New Zealand resident:
ii: is a controlled foreign company and is associated with the New Zealand resident:
b: a law of a foreign country that relates to the secrecy of information is ignored. Large multinational groups
2: For the purposes of sections 17B(1) 17GB(1) 139AB Section 17E inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 17E(1) amended 30 March 2021 section 148(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 17E(2) amended 30 March 2021 section 148(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 17E(2) amended 26 June 2019 section 91 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Particular information demands and inquiries Heading inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17F: Commissioner may require information about offshore payments
When this section applies
1: This section applies when—
a: the Commissioner notifies a person in an information demand that they are required under section 17B
b: the person fails to provide a response, or a sufficient response, to the information demand by the date that is 3 months after the information demand (the demand date Deduction disallowed
2: The Commissioner may disallow the deduction, in whole or in part, in the course of making an assessment, and the person who has the deduction ( person A Part 8 Part 8A Information not admissible in evidence
3: In relation to an assessment referred to in subsection (2), when the information demand was given to person A, or to another person ( person B Part 8 Part 8A
a: is provided or identified in either person A or person B’s response to the information demand:
b: is provided or identified in person A’s response to the copy of the information demand as described in subsection (6):
c: is contained in other material in the possession of the Commissioner at the time the Commissioner issued the information demand and can reasonably be verified by the Commissioner. Notice of insufficient response
4: The rule against admissibility in subsection (3) applies only if the Commissioner gives person A a separate notice, before or at the time of making the assessment, stating that the Commissioner does not consider that either person A or person B has provided a sufficient response to the information demand. Commissioner’s evidence
5: Subsection (3) does not apply to prevent the Commissioner from producing any evidence in any proceedings. Notices
6: When a notice under subsection (1), (3), or (4) is given to person B, a copy must be provided to person A. A notice or copy of a notice given by the Commissioner to a person in their capacity as an agent for a partnership or as a partner in a partnership is treated as a notice given to every partner in the partnership. Meaning of offshore payment
7: For the purposes of this section, an offshore payment
a: a person outside New Zealand; or
b: a person, whether in or outside New Zealand, associated with, acting for or on behalf of, or in a fiduciary capacity in relation to, a person outside New Zealand; or
c: a person in New Zealand who, in the opinion of the Commissioner, may in consequence of the expenditure or loss incurred by the taxpayer, whether or not in consequence of any other thing and whether or not as an immediate or eventual consequence, make a payment to—
i: a person outside New Zealand; or
ii: a person in New Zealand making a payment as described in this paragraph. Section 17F inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17G: Commissioner may require information from large multinational groups
When this section applies
1: This section applies when the Commissioner notifies a member of a large multinational group in an information demand that the member is required under section 17B
a: fails to provide by the date that is 3 months after the information demand (the demand date
b: provides, by the demand date, a response that the Commissioner considers to be misleading because it contains misleading information or omits relevant information:
c: provides, by the demand date, a response that the Commissioner considers omits information, whether or not in the knowledge, possession, or control of the member, required by the information demand for the calculation of—
i: an arm’s length amount for a cross-border transaction:
ii: an amount of profit attributable to a permanent establishment in New Zealand of the member or another member of the large multinational group:
d: provides, by the demand date, a response that the Commissioner considers does not fulfil the requirements of the information demand. Consequences of failing to provide satisfactory responses
2: The Commissioner must notify the member by a further notice that if the member does not provide a satisfactory response to the information demand before the date (the information deadline
a: the Commissioner may rely on the information held by the Commissioner in exercising the Commissioner’s power to prosecute, penalise, assess, or reassess the member or other members of the large multinational group for a tax year to which the information required by the information demand relates; and
b: information required by the information demand and not provided to the Commissioner by the information deadline will not be allowed as evidence for use by the member or other members of the large multinational group in a dispute concerning an action of the Commissioner referred to in paragraph (a). Treatment of information in disputes
3: If a member of a large multinational group disputes a prosecution, imposition of a penalty, assessment, or reassessment, relating to a tax year, and information that is required by an information demand and relates to the tax year is not provided to the Commissioner before the information deadline, the information that is not the subject of a court order under subsection (4) is not—
a: allowed as evidence for use by the member in a disputes procedure under Part 4A
b: admissible as evidence for the member in proceedings under Part 8 Part 8A When court overrules treatment of information
4: A member of a large multinational group is allowed to use information in a way that would otherwise be prevented by subsection (3) if a court or Authority—
a: determines that obtaining the information in response to the information demand would have required an investment by the member of time and resources that would have been unreasonable in relation to the relevance of the information to the tax issues involved; and
b: determines that admission of the evidence is necessary to avoid manifest injustice to the member; and
c: orders that the information be allowed or admissible as evidence in the proceedings. Section 17G inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17GB: Commissioner may require information or production of documents for tax policy development
1: A person must, when notified by the Commissioner that the person is required to provide information under this section, provide any information that the Commissioner considers relevant for a purpose relating to the development of policy for the improvement or reform of the tax system.
2: The Commissioner must not use, as evidence in proceedings against a person, information provided by the person in response to a notice under subsection (1)
3: Subsection (2) Section 17GB inserted 7 December 2020 section 33 Taxation (Income Tax Rate and Other Amendments) Act 2020
17H: Court may make order for provision of information
Applying to Court for orders
1: When a person does not fully comply with a notice under section 17B 17GB Application as alternative remedy
2: The Commissioner may make an application under subsection (1) as well as, or instead of, prosecuting the person. Notifying persons affected
3: The Commissioner must notify the person in relation to whom the order is sought of the application, and must notify any other person, as the Court directs. Hearing
4: The Commissioner and every person notified of the application is entitled to appear and be heard on the hearing of the application. Court review
5: The Court may—
a: order the information to be provided to the Court; and
b: review the information to determine—
i: whether to make an order requiring the person to provide the information to the Commissioner; and
ii: whether the information is the subject of legal professional privilege, whether within the meaning of section 20
iii: whether the information is contained in a tax advice document, and if so, whether it is required to be disclosed under section 20E 20F 20G Court orders
6: The Court may order the person named in the application to provide the information, or a part of the information, to the Commissioner if and to the extent to which the Court is satisfied that the information—
a: is likely to be relevant for a purpose relating to the administration or enforcement of a revenue law or a matter arising from, or connected with, a function lawfully conferred on the Commissioner; and
b: is not the subject of legal professional privilege, whether within the meaning of section 20 Returns
7: The Court may order the person named in the application to provide a tax return. Undocumented information
8: A person who is required to provide information under this section must, if the information is not kept in a document, make the necessary arrangements to ensure that the information can be viewed and copied. Overriding provision
9: This section applies despite any enactment or rule of law that may oblige a person to keep information secret, or not to disclose information, or not to perform an obligation. Compliance with a court order under this section is not a breach of the enactment, rule, or obligation. No excuse
10: A person is not excused from having to comply with this section on the ground that—
a: providing the information could or might prove a breach of a tax obligation or subject the person to a fine, penalty, or conviction; or
b: the person could claim another privilege in relation to the provision of the information in proceedings in a court. Offences
11: For offences under this section, see section 143G Section 17H inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 17H(1) amended 30 March 2021 section 149 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
17I: Commissioner may conduct inquiries
When this section applies
1: This section applies for the purposes of obtaining information—
a: in relation to a person’s tax liability under an Inland Revenue Act:
b: that is required—
i: for the purposes of the administration or enforcement of an Inland Revenue Act:
ii: in carrying out a function lawfully conferred on the Commissioner. Inquiry by Commissioner
2: The Commissioner may notify a person that they are required to attend and provide information to the Commissioner or to produce documents in their possession or control that contain the information or that the Commissioner considers are likely to contain the information. Evidence
3: The Commissioner may require a person to give evidence on oath, and orally or otherwise, and for that purpose, the Commissioner or an authorised officer may administer an oath. Offences
4: For offences under this section, see section 143F Section 17I inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17J: Commissioner may apply for District Court Judge to conduct inquiries
When this section applies
1: This section applies when the Commissioner considers that an inquiry is necessary for the purposes of obtaining information—
a: in relation to a person’s tax liability under an Inland Revenue Act:
b: that is required—
i: for the purposes of the administration or enforcement of an Inland Revenue Act:
ii: in carrying out a function lawfully conferred on the Commissioner. Inquiries before District Court Judge
2: The Commissioner may apply to a District Court Judge to hold an inquiry for the purposes of obtaining the information. Summoning and examination of persons
3: The Judge may—
a: summon a person that the Commissioner or another interested person requires to be examined; and
b: examine the person on oath in chambers regarding any matter relevant to the subject matter of the inquiry. Judge’s jurisdiction and person’s rights
4: The Judge has all jurisdiction and authority in relation to the summons and examination of the person that they would have in relation to a witness in a civil action within the Judge’s ordinary jurisdiction. Subject to the Inland Revenue Acts, the person has all the rights that the person would have and is subject to the liabilities that the person would be if the person were the witness. Commissioner’s powers
5: The Commissioner—
a: may cross-examine a person summoned:
b: may be represented by a barrister or solicitor who may examine, cross-examine, and re-examine a person summoned according to ordinary practice. Persons interested
6: A person interested in the subject matter of the inquiry may be represented and may examine, cross-examine, and re-examine a person summoned according to ordinary practice. Statements
7: The statement of a person examined under this section must be recorded in a document, signed by the person in the presence of the Judge, and delivered to the Commissioner. The statement does not form part of court records. Offences
8: For offences under this section, see section 143F Section 17J inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17K: Questions and statements made in inquiries
When this section applies
1: This section applies when a person is summoned and examined by either the Commissioner under section 17I section 17J No excuse
2: No person summoned or examined is excused from answering a question on the ground that the answer may incriminate them or render them liable to a penalty or forfeiture. Statements not admissible in evidence
3: A statement made by a person in answer to a question put to them is not admissible in criminal proceedings against the person, except on a charge of perjury. The provisions of the Crimes Act 1961 section 17I Travelling expenses
4: A person who has been summoned is entitled to receive an amount on account of travelling expenses and loss of time. The amount is a reasonable amount determined by the Commissioner or the Judge, as applicable. Offences
5: For offences under this section, see section 143F Section 17K inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Regulations Heading inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17L: Regulations providing for regular collection of bulk data
What this section does
1: This section provides a regulation-making power in relation to the administration of this Act and the other Inland Revenue Acts to authorise the Commissioner to collect bulk information in the form of datasets from a person who is the holder of the information if the collection of the information is considered necessary or relevant for a purpose relating to the administration or enforcement of a matter arising from or connected with a function lawfully conferred on the Commissioner. Orders in Council
2: The Governor-General may, by Order in Council on the recommendation of the Minister of Revenue, make regulations—
a: authorising the Commissioner to collect on a continuing and regular basis, information in the form of datasets from a person, or a class of persons:
b: prescribing—
i: the type of information that may be collected:
ii: the person or the class of persons to whom the regulations apply:
iii: the frequency of reporting by the person or class of persons:
iv: the form of the information:
v: the specifications for the reporting method that must be used:
c: setting out the way in which the information is necessary for the purposes set out in subsection (1):
d: specifying a person or class of persons who may be given an exemption from some or all of a requirement under paragraph (a), (b), or (c):
e: prescribing how provisions of this Act or another Inland Revenue Act must be applied or modified for the purpose set out in section 17B Secondary legislation
2B: An order under this section is secondary legislation ( see Part 3 Requirements
3: The Minister may recommend the making of regulations under this section only if satisfied that—
a: the regulations are necessary for a purpose relating to—
i: the administration or enforcement of any of the Inland Revenue Acts:
ii: the administration or enforcement of any matter arising from or connected with a function lawfully conferred on the Commissioner; and
b: the proposed use of the information is consistent with the purposes of the Inland Revenue Acts; and
c: the type and quantity of information collected is no more than is necessary for a purpose relating to—
i: the administration or enforcement of any of the Inland Revenue Acts:
ii: the administration or enforcement of any matter arising from or connected with a function lawfully conferred on the Commissioner; and
d: the regulations do not unreasonably impinge on the privacy of individuals, and contain safeguards that adequately protect the privacy of individuals; and
e: a consultative process has been undertaken that—
i: includes the distribution of draft regulations and an explanation of the way in which the regulations would meet the requirements of paragraphs (a), (b), (c), and (d) to the Privacy Commissioner, information holders, and other persons or organisations with whom the Commissioner considers it is reasonable to consult for the purposes of this section; and
ii: provides a period of consultation of at least 6 weeks. Review
4: Within the period of time set out in subsection (5), the Commissioner must—
a: review the operation of this section; and
b: assess the impact of this section, in consultation with the Privacy Commissioner; and
c: consider whether amendments to the law are necessary or desirable, and in particular, whether this section is needed; and
d: report the findings to the Minister of Revenue. Timing of review
5: The review must occur after the expiry of 5 years from the commencement of this section but before the expiry of 6 years from the commencement of this section. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 17L inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 17L(2B) heading inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 17L(2B) inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Use of information Heading inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
17M: Use of information
Purposes
1: Despite anything in any other Act, nothing prevents the Commissioner from—
a: using information obtained under this Act for the purposes of—
i: carrying into effect any of the Inland Revenue Acts:
ii: carrying out or supporting a function lawfully conferred on the Commissioner; or
b: using information obtained under any of the Inland Revenue Acts for the purposes of—
i: carrying into effect the provisions of this Act:
ii: carrying out or supporting a function lawfully conferred on the Commissioner. Permitted disclosures
2: For the purposes of subsection (1), the use of information by the Commissioner includes its use in a permitted disclosure. Re-use of information
3: In this section, the use of information includes the re-use of the information. Section 17M inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Confidentiality of information Heading inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18: Confidentiality of sensitive revenue information
Confidentiality requirements for revenue officers
1: A revenue officer must keep confidential all sensitive revenue information and must not disclose the information unless the disclosure is a permitted disclosure that meets the requirements of sections 18D to 18J Confidentiality requirements for other persons
2: A person, other than a revenue officer, who has access to, or obtains sensitive revenue information must keep it confidential and must not disclose the information unless the disclosure is—
a: authorised by the Commissioner as a permitted disclosure that meets the requirements of sections 18D to 18J
b: authorised by the Commissioner for a purpose, and only to the extent authorised:
c: permitted under the agreement under which the information is accessed or obtained. Other revenue information
3: Despite sections 18D to 18J schedule 7 Offences and penalties
4: For the offences and related penalties,—
a: by revenue officers, see section 143C
b: by persons other than revenue officers, see sections 143D to 143EB Section 18 replaced 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18B: Requirements for revenue officers and other persons
Declarations by revenue officers
1: For the purposes of section 18(1) Certificates by other officers
2: For the purposes of section 18(2) sensitive revenue information Making declarations
3: The declaration under subsection (1) may be made before—
a: the Commissioner; or
b: a revenue officer; or
c: a person authorised by or under the Oaths and Declarations Act 1957 Revenue officers treated as making declaration
4: A revenue officer who has made a declaration described in subsection (1) under an earlier taxation secrecy or fidelity provision corresponding to this provision, or who was treated as making that declaration under an earlier provision, is treated as having made a declaration under this section. Other persons treated as making declaration
5: A person other than a revenue officer who has completed a certificate as described in subsection (2) under an earlier taxation secrecy or fidelity provision corresponding to this provision, or who was treated as completing that certificate under an earlier provision, is treated as having completed a certificate under this section. Section 18B inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 18B(2) amended 31 March 2023 section 164 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Permitted disclosures Heading inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18C: Permitted disclosures
Sections 18D to 18J section 18 permitted disclosures Section 18C inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18D: Disclosures made in carrying into effect revenue laws
Carrying into effect revenue law
1: Section 18 part A Carrying out function conferred on Commissioner
2: Section 18
a: a disclosure of sensitive revenue information is made in carrying out or supporting a function lawfully conferred on the Commissioner to—
i: administer the tax system:
ii: implement the tax system:
iii: improve, research, or reform the tax system; and
b: the Commissioner considers the disclosure is reasonable for the purposes described in paragraph (a), having regard to—
i: the Commissioner’s obligation at all times to use best endeavours to protect the integrity of the tax system; and
ii: the importance of promoting compliance with the law, especially voluntary compliance; and
iii: the impact of the disclosure, personally or commercially or in some other way; and
iv: the resources available to the Commissioner; and
v: the public availability of the information. Disclosures in co-located environments
3: Section 18
a: makes—
i: to a person who is a revenue officer or a person to whom section 18B(2)
ii: at a place, and in conditions relating to the confidentiality of information, in which the Commissioner expects revenue officers to perform their duties; and
b: does not intend, and takes the care that is reasonable in the place and conditions to prevent, the receipt of the information by the person receiving it. Disclosures for court proceedings
4: Section 18
a: prevent the disclosure of sensitive revenue information to a court or tribunal if the disclosure is necessary for the purpose of carrying into effect a revenue law:
b: require a revenue officer to produce a document in a court or tribunal, or to disclose to a court or tribunal a matter or thing that comes to their notice in the performance of their duties. Section 18D inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18E: Disclosures made under information-sharing arrangements
Disclosure under agreements and regulations
1: Section 18
a: an approved agreement under subsection (2):
b: an agreement made under subsection (3):
c: regulations made under section 18F Approved information-sharing agreements
2: The Commissioner may provide information under an information-sharing agreement approved by an Order in Council made under section 145
a: may relate to information that is sensitive revenue information, being personal information and other non-personal information:
b: may extend a restricted information-sharing provision in an Inland Revenue Act, as contemplated by the Privacy Act 2020
c: includes an existing approved information-sharing agreement made under the authority of this Act that continues to be in force. Disclosure by agreement when consent obtained
3: The Commissioner may enter into an agreement to share certain information if—
a: the agreement—
i: is made for public services purposes; and
ii: relates to the disclosure of sensitive revenue information held about a person or entity; and
iii: specifies appropriate conditions for the security and use of the information; and
iv: stipulates a process to ensure the consent is properly obtained and recorded; and
b: the Commissioner has consulted the Privacy Commissioner on the terms of the agreement, and the Privacy Commissioner agrees that the disclosure is appropriate; and
c: the person or entity consents to the disclosure of the information. Inquiry into provenance of types of data
4: Before proposing a new information-sharing agreement under subsection (2), a new consent agreement under subsection (3), or new regulations under section 18F
a: inquire into, and make an assessment of, the likely provenance of the types of data proposed to be shared; and
b: consider whether particular conditions are required to be specified for the security and use of the information. Meaning of public service
5: In this section and sections 16B 18F public service
a: by or under law; or
b: by a policy of the government. Meaning of agency
6: For the purposes of this section and section 18F, agency section 138 Section 18E inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 18E(2) amended 1 December 2020 section 217 Privacy Act 2020 Section 18E(2)﻿(b) amended 1 December 2020 section 217 Privacy Act 2020 Section 18E(6) replaced 1 December 2020 section 217 Privacy Act 2020
18F: Regulations for information-sharing for public services purposes
Regulations relating to provision of public services
1: This section provides a regulation-making power for matters relating to the provision of public services in the sharing of revenue information or other information, as applicable, when—
a: the sharing of the information is intended to improve the ability of the government to deliver efficient and effective services or enforce the law; and
b: the information is more easily or more efficiently obtained from, or verified by, the Commissioner; and
c: it is not unreasonable or impractical to require the Commissioner to deliver the information; and
d: the nature of the sharing is proportionate, taking into account the purpose for which the information is proposed to be shared; and
e: the person, entity, or agency receiving the information has adequate protection for the information; and
f: the sharing of the information will not unduly inhibit the future provision of information to the Commissioner. Regulations
2: The Governor-General may, by Order in Council on the recommendation of the Minister of Revenue, make regulations—
a: providing for the sharing of revenue information that the Commissioner holds with an agency; and
b: prescribing—
i: the classes or types of revenue information that may be shared:
ii: how the information is to be provided or accessed:
iii: how the information is to be used:
iv: how the information must be stored, kept secure, or disposed of; and
c: providing that the information-sharing arrangements under the regulations are monitored by the Privacy Commissioner; and
d: specifying—
i: whether further disclosure of the information is permitted:
ii: whether review requirements are to be stipulated, including instances of breaches of confidentiality. Secondary legislation
2B: An order under this section is secondary legislation ( see Part 3 Requirements for making of regulations
3: The Minister may recommend the making of regulations under this section only if satisfied that—
a: the regulations are necessary to achieve the purpose set out in subsection (1); and
b: the type and quantity of information to be shared under the regulations are no more than is necessary to facilitate the provision of effective and efficient services or enforce the law; and
c: the regulations do not unreasonably impinge on the privacy of individuals and contain safeguards that adequately protect the privacy of individuals; and
d: the mechanism used to share the information is the most appropriate mechanism, taking into account the type and quantity of the information to be shared; and
e: a consultative process has been undertaken that—
i: includes the distribution of draft regulations and an explanation of the way in which the regulations would meet the requirements of paragraphs (a) to (d) to the Privacy Commissioner and other persons or organisations with whom the Commissioner considers it is reasonable to consult for the purposes of this section; and
ii: provides a period of consultation of at least 4 weeks. Government agency communication
4: An Order in Council made under the authority of this Act under section 81BA Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 18F inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 18F(2B) heading inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 18F(2B) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
18G: Disclosures to persons and their representatives
Section 18 part B Section 18G inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18H: Disclosures to other agencies for certain specified purposes
Section 18 part C Section 18H inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18I: Disclosures for international purposes
Section 18 part D Section 18I inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18J: Disclosures for risk of harm purposes
Serious threat to health and safety
1: Section 18
a: public health or public safety:
b: the life or health of a person. Meaning of serious threat
2: For the purposes of this section, serious threat
a: the likelihood of the threat being realised; and
b: the severity of the consequences if the threat is realised; and
c: the time at which the threat may be realised. Section 18J inserted 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
18K: Commissioner to
notify In any case where the Commissioner has reason to believe that the funds of any gift-exempt body might be or are being applied for a purpose that is not charitable, benevolent, philanthropic, or cultural, the Commissioner shall, notwithstanding section 18(1) notify 1976 No 65 s 432A(4) Section 18K renumbered 18 March 2019 section 50 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 18K heading amended 2 June 2016 section 128(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 18K amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 18K amended 2 June 2016 section 128(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
19: Inquiry by Commissioner
Section 19 repealed 18 March 2019 section 10 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
3AB: Tax advice documents
Subpart 3AB heading inserted 18 March 2019 section 11 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
20: Privilege for confidential communications between legal practitioners and their clients
1: Despite anything in the Search and Surveillance Act 2012 document sections 16 to 17E 17GB to 17I 143(1)﻿(b) 143A(1)﻿(b) 143B(1)﻿(b) 143F
a: it is a confidential communication
i: a legal practitioner in the practitioner's professional capacity and another legal practitioner in such capacity; or
ii: a legal practitioner in the practitioner's professional capacity and the practitioner's client,— whether made directly or indirectly through an agent of either; and
b: it is made or brought into existence for the purpose of obtaining or giving legal advice or assistance; and
c: it is not made or brought into existence for the purpose of committing or furthering the commission of some illegal or wrongful act.
2: Where the information or document section 6
3: Where the information or document section 6
4: Except as provided in subsection (1), no information or document sections 16 to 17E 17GB to 17I 143(1)﻿(b) 143A(1)﻿(b) 143B(1)﻿(b) 143F
5: Where any person refuses to disclose any information or document document section 17J
6: Subject to subsection (3), this section shall apply to information and documents
7: In this section, legal practitioner Lawyers and Conveyancers Act 2006 1974 No 133 s 20 Section 20 heading replaced 12 December 1995 Tax Administration Amendment Act (No 3) 1995 Section 20(1) amended 30 March 2021 section 150(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 20(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20(1) amended 1 September 2013 section 302(10) Search and Surveillance Act 2012 Section 20(1) amended 29 August 2011 section 149(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20(1) amended 26 July 1996 section 8 Tax Administration Amendment Act (No 2) 1996 Section 20(1)﻿(a) amended 2 June 2016 section 83 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 20(2) amended 29 August 2011 section 149(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20(2) amended 1 August 2008 section 348 Lawyers and Conveyancers Act 2006 Section 20(3) amended 29 August 2011 section 149(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20(3) amended 1 August 2008 section 348 Lawyers and Conveyancers Act 2006 Section 20(4) amended 30 March 2021 section 150(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 20(4) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20(4) amended 29 August 2011 section 149(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20(4) amended 26 July 1996 section 8 Tax Administration Amendment Act (No 2) 1996 Section 20(5) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20(5) amended 29 August 2011 section 149(5) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20(6) amended 29 August 2011 section 149(6) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20(7) replaced 1 August 2008 section 348 Lawyers and Conveyancers Act 2006
20B: No requirement to disclose tax advice document
1: Despite anything in the Search and Surveillance Act 2012 sections 20C to 20G information holder sections 16 17E 17GB to 17I or under a discovery obligation document
2: A document document
a: is confidential; and
b: is created by—
i: the person for the main purpose of instructing a tax advisor to act for the person by giving advice to the person, if the advice is to be about the operation and effect of tax laws:
ii: a tax advisor or, where the tax advisor is in public practice, an employee of the tax advisor's firm, for the main purpose of recording research and analysis, if the research and analysis is performed for the main purpose of enabling the tax advisor to give advice to the person about the operation and effect of tax laws:
iii: a tax advisor or, where the tax advisor is in public practice, an employee of the tax advisor's firm, for the main purpose of the giving of advice by the tax advisor to the person, or the recording of advice given by the tax advisor to the person, if the advice is about the operation and effect of tax laws; and
c: is created for purposes that do not include a purpose of committing, or promoting or assisting the committing of, an illegal or wrongful act.
3: A document tax advice document
a: the document
b: the person makes a claim, under section 20D document
c: the person satisfies the requirements of sections 20E 20F document
4: A tax advisor
5: An approved advisor group
a: includes natural persons who—
i: have a significant function of giving advice on the operation and effect of tax laws; and
ii: are subject to a professional code of conduct in giving the advice; and
iii: are subject to a disciplinary process that enforces compliance with the code of conduct; and
b: is approved by the Commissioner for the purposes of this definition. Section 20B inserted 21 June 2005 section 122(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 20B(1) amended 30 March 2021 section 151 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 20B(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20B(1) amended 1 September 2013 section 302(11) Search and Surveillance Act 2012 Section 20B(1) amended 29 August 2011 section 150(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20B(1) amended 6 October 2009 section 600(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20B(2) amended 29 August 2011 section 150(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20B(3) amended 29 August 2011 section 150(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20B(3)﻿(a) amended 29 August 2011 section 150(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20B(3)﻿(b) amended 29 August 2011 section 150(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20B(3)﻿(c) amended 29 August 2011 section 150(3) Taxation (Tax Administration and Remedial Matters) Act 2011
20C: Treatment of
document
1: This section applies to a document
a: included in a request for, or discovery obligation for disclosure of, information
b: possibly eligible to be a tax advice document for the person.
2: The document
a: from the time of the request for, or discovery obligation for disclosure of, information:
b: until the earlier of—
i: the time by which the person is required by section 20D document
ii: the time at which the person notifies document
3: If the person makes a claim under section 20D document document
a: the document
i: the District Court:
ii: a court or Taxation Review Authority, if the claim is made in response to a discovery obligation in proceedings before the court or Authority:
b: the person notifies the Commissioner that the document is not eligible to be a tax advice document for the person:
c: the person notifies the Commissioner that they withdraw the claim that the document is a tax advice document for the person:
d: an approved advisor group informs the Commissioner that a tax advisor is not or was not a member of the approved advisor group at a time—
i: at which the tax advisor is claimed by the person or the tax advisor to be a member of the approved advisor group; and
ii: at which the tax advisor would be required to be a member of an approved advisor group for the document to be a tax advice document.
4: If a document document Section 20C inserted 21 June 2005 section 122(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 20C heading amended 29 August 2011 section 151(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20C(1) amended 29 August 2011 section 151(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20C(1)﻿(a) amended 6 October 2009 section 601(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20C(2) amended 29 August 2011 section 151(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20C(2)﻿(a) replaced 6 October 2009 section 601(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20C(2)﻿(b)﻿(i) amended 29 August 2011 section 151(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20C(2)﻿(b)﻿(ii) amended 2 June 2016 section 84(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 20C(2)﻿(b)﻿(ii) amended 29 August 2011 section 151(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20C(3) amended 29 August 2011 section 151(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20C(3)﻿(a) replaced 6 October 2009 section 601(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20C(3)﻿(a) amended 29 August 2011 section 151(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20C(3)﻿(b) replaced 2 June 2016 section 84(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 20C(3)﻿(c) replaced 2 June 2016 section 84(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 20C(4) amended 29 August 2011 section 151(5) Taxation (Tax Administration and Remedial Matters) Act 2011
20D: Claim that
document
1: A claim by a person that a document sections 20C to 20G
2: A claim that a document
a: a brief description of the form and contents of the document
b: the name of the tax advisor for whom the document
c: the date on which the document
3: A claim that a document
a: a brief description of the form and contents of the document
b: the name of the tax advisor giving the tax advice in relation to which the document
c: the approved advisor group to which the tax advisor belonged when the document
d: the statute or other enactment and the type of revenue that was the subject of the tax advisor's advice in relation to which the document
e: the date on which the document
4: A claim that a document
a: if the requirement to disclose information is under section 17 section 17 and 17C
i: on the day on which the Commissioner or an officer of the department exercises the right of inspection or removal that leads to the claim:
ii: by a later date to which the Commissioner agrees:
b: if the requirement to disclose information is under section 17B 17GB
i: the date that is given by the Commissioner in the request for disclosure of the information:
ii: the date that is 28 days after the date of the request by the Commissioner for disclosure of the information:
c: if the requirement to disclose information is under section 17H 17J 17K
d: if the requirement to disclose information is under section 17I information:
e: if the requirement to disclose information is under a discovery obligation, by the date by which the discovery obligation requires the disclosure of information.
5: If a tax advisor acting on behalf of a person claims that a document notification by sections 20C to 20G Section 20D inserted 21 June 2005 section 122(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 20D heading amended 29 August 2011 section 152(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(1) amended 29 August 2011 section 152(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(2) amended 29 August 2011 section 152(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(2)﻿(a) amended 29 August 2011 section 152(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(2)﻿(b) amended 29 August 2011 section 152(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(2)﻿(c) amended 29 August 2011 section 152(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(3) amended 29 August 2011 section 152(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(3)﻿(a) amended 29 August 2011 section 152(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(3)﻿(b) amended 29 August 2011 section 152(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(3)﻿(c) amended 29 August 2011 section 152(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(3)﻿(d) amended 29 August 2011 section 152(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(3)﻿(e) amended 29 August 2011 section 152(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(4) amended 29 August 2011 section 152(5) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20D(4)﻿(a) amended 30 March 2021 section 152(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 20D(4)﻿(a) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20D(4)﻿(b) amended 30 March 2021 section 152(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 20D(4)﻿(b) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20D(4)﻿(c) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20D(4)﻿(d) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20D(4)﻿(d) amended 6 October 2009 section 602(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20D(4)﻿(e) inserted 6 October 2009 section 602(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20D(5) amended 2 June 2016 section 85 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 20D(5) amended 29 August 2011 section 152(6) Taxation (Tax Administration and Remedial Matters) Act 2011
20E: Document or part of document included in tax advice document
An information holder who is required to disclose information in relation to a person is required to provide a copy of a document document
a: is attached to a document section 20B(2)
b: is not eligible under section 20B(2) Section 20E inserted 21 June 2005 section 122(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 20E heading replaced 29 August 2011 section 153(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20E amended 29 August 2011 section 153(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20E(a) amended 29 August 2011 section 153(2) Taxation (Tax Administration and Remedial Matters) Act 2011
20F: Person must disclose tax contextual information from tax advice document
1: An information holder who is required to disclose information relating to a person must disclose under subsection (2) a description of tax contextual information from a document section 20D
2: A disclosure under subsection (1) of a description of tax contextual information from a document
a: if the requirement to disclose information is under section 17 section 17 and 17C
b: if the requirement to disclose information is under section 17B 17GB
i: the date that is given by the Commissioner in the requirement for disclosure of the description:
ii: the date that is 28 days after the date of the requirement by the Commissioner for disclosure of the description:
c: if the requirement to disclose information is under section 17H 17J 17K
d: if the requirement to disclose information is under section 17I information:
e: if the requirement to disclose information is under a discovery obligation, by the date by which the discovery obligation requires the disclosure of information.
3: Tax contextual information
a: a fact or assumption relating to a transaction that has occurred or is postulated by the person creating the tax advice document:
b: a description of a step involved in the performance of a transaction that has occurred or is postulated by the person creating the tax advice document:
c: advice that does not concern the operation and effect on the person of tax laws:
d: advice that concerns the operation and effect on the person of tax laws relating to the collection by the Commissioner of debts payable to the Commissioner:
e: a fact or assumption relating to advice that is referred to in paragraph (c) or (d):
f: a fact or assumption from, or relating to the preparation of,—
i: financial statements of the person:
ii: a document containing information that the person is required to provide to the Commissioner under an Inland Revenue Act.
4: A disclosure by a person or tax advisor of tax contextual information from a tax advice document for the person must be in a statutory declaration that—
a: is made by a tax advisor who has not been barred under subsection (5) from making statutory declarations under this subsection; and
b: states that the tax advisor is authorised to act on behalf of the person for the purposes of sections 20C to 20G
c: is in the prescribed form.
5: The Commissioner may apply to a District Court Judge, or to a court or Taxation Review Authority in relation to a tax advisor making a statutory declaration considered in proceedings before the court or Authority, that a tax advisor be barred from making statutory declarations under this section, if the tax advisor is convicted of an offence under—
a: section 111
b: section 143(1)﻿(b)
c: section 143A(1)﻿(b) or (c)
d: section 143B(1)﻿(b) or (c)
e: section 143H
6: An application under subsection (5) may be made in the course of proceedings before a court or Taxation Review Authority. Section 20F inserted 21 June 2005 section 122(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 20F(1) amended 29 August 2011 section 154(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20F(2) amended 29 August 2011 section 154(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20F(2)﻿(a) amended 30 March 2021 section 153(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 20F(2)﻿(a) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20F(2)﻿(b) amended 30 March 2021 section 153(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 20F(2)﻿(b) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20F(2)﻿(c) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20F(2)﻿(d) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20F(2)﻿(d) amended 6 October 2009 section 603(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20F(2)﻿(e) inserted 6 October 2009 section 603(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20F(5) amended 6 October 2009 section 603(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20F(6) inserted 6 October 2009 section 603(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
20G: Challenge to claim that
document
1: If a person claims that a document District Court Judge, or to the court or Taxation Review Authority hearing the proceedings giving rise to the claim,
a: the document
b: information provided or withheld by the person is tax contextual information in relation to the document
c: the person should provide a more detailed or better description of tax contextual information in relation to the document
2: For the purposes of determining an application under this section, the District Court Judge, court, or Taxation Review Authority document District Court Judge, court, or Taxation Review Authority
3: An application under this section may be made in the course of an inquiry under section 17J
4: An application under this section may be made in the course of proceedings before a court or Taxation Review Authority. Section 20G inserted 21 June 2005 section 122(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 20G heading amended 29 August 2011 section 155(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20G(1) amended 29 August 2011 section 155(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20G(1)﻿(a) amended 29 August 2011 section 155(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20G(1)﻿(b) amended 29 August 2011 section 155(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20G(1)﻿(c) amended 29 August 2011 section 155(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20G(1) amended 6 October 2009 section 604(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20G(1)﻿(b) replaced 6 October 2009 section 604(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20G(2) amended 29 August 2011 section 155(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 20G(2) amended 6 October 2009 section 604(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 20G(3) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 20G(4) inserted 6 October 2009 section 604(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
21: Information requisitions in relation to offshore payments
Section 21 repealed 18 March 2019 section 13 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
21BA: Information required to be provided by large multinational group
Section 21BA repealed 18 March 2019 section 14 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
3AC: Taxpayers’ obligations to keep records
Subpart 3AC heading inserted 1 April 2019 section 12 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 section 270 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Taxpayer's obligations to keep records Heading repealed 1 April 2019 section 270 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
21B: Preparing financial statements
1: A company must prepare financial statements in accordance with the applicable minimum requirements prescribed in an Order in Council made under section 21C
2: A taxpayer of a class specified in an Order in Council under section 21C must prepare financial statements in accordance with the applicable minimum requirements prescribed in an Order in Council made under section 21C
3: If an enactment other than this one provides applicable minimum requirements for preparing financial statements for a company or taxpayer, the company or taxpayer must prepare financial statements using those minimum requirements and subsection (1) and (2) do not apply.
4: Section 22 Section 21B inserted 27 February 2014 section 134(2) Taxation (Annual Rates, Foreign Superannuation, and Remedial Matters) Act 2014
21C: Preparing financial statements: Orders in Council
1: The Governor-General may from time to time, by Order in Council made on the recommendation of the Minister of Revenue, prescribe, for the purposes of section 21B
a: minimum requirements for preparing financial statements:
b: classes of taxpayers to whom the minimum requirements apply:
c: classes of companies that are exempt from the minimum requirements:
d: the period for which financial statements must be prepared.
2: Before recommending the making or amending of an Order in Council under this section, the Minister of Revenue must, whether before or after the date on which the Taxation (Annual Rates, Foreign Superannuation, and Remedial Matters) Act 2014
3: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 21C inserted 27 February 2014 section 134(1) Taxation (Annual Rates, Foreign Superannuation, and Remedial Matters) Act 2014 Section 21C(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
22: Keeping of
business and other records
1: Without limiting the generality of subsection (7), the records required to be kept and retained under subsection (2) in respect of any business carried on during any income year
aa: the financial statements required to be prepared by section 21B
a: a record of the assets and liabilities of the person (in relation to that business); and
b: a record of all entries from day to day of all sums of money received and expended by the person (in relation to that business) and the matters in respect of which the receipt and expenditure takes place; and
c: where that business involves dealing in goods—
i: a record of all goods purchased, and of all goods sold in the carrying on of that business (except those sold in the course of cash retail trading customarily conducted in a business of the kind of which that business is one) showing the goods, and the sellers and buyers or, as the case may be, the agents of the sellers and buyers in sufficient detail to enable the goods, and the sellers and buyers, and those agents, to be readily identified by the Commissioner; and all invoices relating to the goods; and
ii: statements (including quantities and values) of trading stock held by the person at the end of each such tax year
iii: a taxpayer, other than a low-turnover trader section YA 1
iv: a low-turnover trader section YA 1 income year
v: the taxpayer must comply with section EB 22(4) Income Tax Act 2007
d: where that business involves the provision of services, records of the services provided and all invoices relating to them; and
e: the charts and codes of accounts, the accounting instruction manuals, and the system and programme documentation which describes the accounting system used in each income year
2: Subject to subsections (2BA), (2B) , (3)
a: carries on any business in New Zealand:
b: carries on any other activity (not being the carrying on of employment as an employee) in New Zealand for the purpose of deriving assessable
c: is a person to whom the ESCT rules apply and who makes an employer's superannuation cash contribution
cb: is a person to whom the RSCT rules apply and who makes a retirement scheme contribution to a retirement savings scheme:
d: makes, holds, or disposes of, for the purpose of deriving assessable
e: is an employer to whom the FBT rules apply or is a person who provides any fringe benefit to any person who, in relation to any employer to whom the FBT rules apply, is an employee:
eb: has a tax credit under subpart LY
ec: is an approved research provider:
ed: is an employer to whom section RD 13B
f: is a company that is an ICA company,
fb: is a resident foreign trustee of a foreign trust in any income year:
fc: is a borrower under section 4(1) section 73 Act:
fd: must meet requirements under Part 11B
i: a financial institution, as defined in the FATCA agreement:
ii: a financial institution, as defined in the CRS applied standard,— shall keep sufficient records
g: the assessable
h: the
i: every fringe benefit, and the taxable value of every fringe benefit, provided by the person to any person in relation to whom the person is an employer, and every fringe benefit provided by the person to any person who in relation to another person is an employee, those records to include (without limiting the generality of the preceding provisions of this paragraph) details of the recipient of the fringe benefit, the occasion of the providing of it, and the amount (if any) paid or payable by the employee for the receipt or enjoyment of it; and
j:
k: every credit and debit to the person’s memorandum accounts (other than
kb:
kc: the amount of the person's tax credit under subpart LY
kd: if the person is an approved research provider, the following matters:
i: ongoing compliance with section 124ZH(4)
ii: amounts derived and incurred by the person performing research and development activities on behalf of other persons; and
ke: the transfer under section 124ZG
l: every employer's superannuation cash contribution employer's superannuation cash contribution , the occasion of making it, and any related tax credit under section MK 1(2)
lb: every retirement scheme contribution, and the taxable value of that contribution, made by the person to any retirement savings scheme, those records to include, without limiting the generality of the preceding provisions of this paragraph, details of the recipient of the retirement scheme contribution and the occasion of making it; and
lc: the person’s compliance with Part 11B
ld: a failure by the person to obtain a self-certification as required by the CRS applied standard; and
le: steps taken by the person and evidence relied upon by the person in performing obligations under Part 11B
m: the financial position of the foreign trust; and
n: adjusted net income under the Student Loan Scheme Act 2011 and shall retain income year, or (for paragraph (k)) the tax or income year (as applicable)
2BA: A taxpayer required by subsection (2) to keep and retain a record must keep and retain the record—
a: in English or te reo Maori
b: at a place in New Zealand, or at a place outside New Zealand where—
i: the Commissioner authorises the taxpayer under subsection (8) to keep the record or the type of record:
ii: the record is kept by a person authorised by the Commissioner under subsection (8) to keep records for taxpayers that include the taxpayer.
2B: A taxpayer referred to in subsection (2)﻿(e) who is required by subsection (2) to retain records is not required to retain those records for a period of more than 7 years after the end of the income year to which the records relate.
2C: If there are more than 1 resident foreign trustee of a foreign trust, the resident foreign trustees may appoint one of themselves as an agent for the purposes of keeping the records required by subsection (2).
3: A qualifying individual who is required by subsection (2) to retain records of their assessable income, must retain those records for a period of 12 months after the end of the income year in which the individual derived the income.
4: This section shall not require the retention of any records—
a: in respect of which the Commissioner has given notice
b: of a company which has been liquidated:
c: by a partner of a partnership, if the partnership retains the records that the partner would be required to retain but for this paragraph.
5: The Commissioner may, by notice subsection (2) or (2B)
a: the affairs of the taxpayer are or have been under audit or investigation by the Commissioner; or
b: the Commissioner intends to conduct such an audit or investigation before the expiry of the retention period as so extended, or is actively considering any such audit or investigation.
6: The Commissioner may, by notice or (2B), income year or tax year
a: the taxpayers are not provisional taxpayers; and
b: the records relate to payments from which tax has been withheld or deducted
6B: A notice under subsection (6) is secondary legislation ( see Part 3
7: In this section, records
a: books of account (whether contained in a manual, mechanical, or electronic format) recording receipts or payments or income or expenditure:
b: vouchers, bank statements, invoices, receipts, and such other documents as are necessary to verify the entries in the books of account referred to in paragraph (a):
c: accounts (whether contained in a manual, mechanical, or electronic format) to be maintained under the imputation rules, or section OA 3 subpart OE section 31
d: in the case of a foreign trust, other than for the period for which section 59C(3)
i:
ii:
iii: a record of—
A: the assets and liabilities of the foreign trust; and
B: all entries from day to day of all sums of money received and expended by the trustee in relation to the foreign trust and the matters in respect of which the receipt and expenditure takes place; and
C: if the trust carries on a business, the charts and codes of accounts, the accounting instruction manuals, and the system and programme documentation which describes the accounting system used in each income year in the administration of the trust:
e: for the purposes of subsection (2)﻿(kc), other documents evidencing research and development activities.
8: The Commissioner may, upon application
a: a taxpayer to keep and retain a record or type of record—
i: in a language other than English or te reo Maori
ii: at a place outside New Zealand:
b: a person to hold, for taxpayers, records—
i: at places outside New Zealand; and
ii: in a form approved by the Commissioner; and
iii: accessible by the Commissioner in a way approved by the Commissioner.
9: The Commissioner may, for an authorisation under subsection (8) of a person,—
a: impose reasonable conditions on the authorisation:
b: reasonably vary the conditions on the authorisation:
c: withdraw the authorisation, upon request by the person or after giving reasonable notice of the withdrawal:
d: give public notice of an action under subsection (8)﻿(b) or this subsection, in a publication chosen by the Commissioner. 1976 No 65 s 428 1994 No 76 s 73 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in the Gazette LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 22 heading amended 19 December 2007 section 189(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 22(1) amended 3 April 2006 section 211(1)﻿(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(1)﻿(aa) inserted 27 February 2014 section 135 Taxation (Annual Rates, Foreign Superannuation, and Remedial Matters) Act 2014 Section 22(1)﻿(c)﻿(ii) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(1)﻿(c)﻿(iii) inserted 26 November 1998 section 26 Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 22(1)﻿(c)﻿(iii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(1)﻿(c)﻿(iii) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(1)﻿(c)﻿(iv) inserted 26 November 1998 section 26 Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 22(1)﻿(c)﻿(iv) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(1)﻿(c)﻿(iv) amended 3 April 2006 section 211(1)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(1)﻿(c)﻿(iv) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(1)﻿(c)﻿(v) inserted 26 November 1998 section 26 Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 22(1)﻿(c)﻿(v) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(1)﻿(c)﻿(v) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(1)﻿(e) amended 3 April 2006 section 211(1)﻿(c) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(2) amended 2 November 2012 section 171(1)﻿(a) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2) amended 2 November 2012 section 171(1)﻿(c) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2) amended 2 November 2012 section 171(1)﻿(e) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(2) amended 1 October 2006 section 211(2)﻿(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(2) amended 3 April 2006 section 211(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(2) proviso repealed 2 November 2012 section 171(1)﻿(e) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2)﻿(b) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 22(2)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(2)﻿(c) amended 2 November 2012 section 171(1)﻿(b) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(2)﻿(cb) inserted 19 December 2007 section 189(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 22(2)﻿(d) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 22(2)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(2)﻿(eb) inserted 19 December 2007 section 189(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 22(2)﻿(eb) amended 1 April 2019 section 26(1) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 22(2)﻿(ec) replaced 1 April 2019 section 26(2) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 22(2)﻿(ed) inserted 6 October 2009 section 605(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 22(2)﻿(f) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(2)﻿(f) amended 1 April 2017 section 302(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 22(2)﻿(f) amended 1 July 2012 section 140(1) Taxation (International Investment and Remedial Matters) Act 2012 Section 22(2)﻿(fb) inserted 1 October 2006 section 211(2)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(2)﻿(fb) amended 14 May 2016 section 77(1) Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 22(2)﻿(fc) inserted 14 May 2016 section 77(2) Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 22(2)﻿(fc) amended 1 July 2017 section 10(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 22(2)﻿(fd) inserted 1 July 2017 section 10(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 22(2)﻿(g) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 22(2)﻿(g) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(2)﻿(h) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 22(2)﻿(h) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(2)﻿(j) repealed 6 October 2009 section 605(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 22(2)﻿(k) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(2)﻿(k) amended 7 May 2012 section 140(2) Taxation (International Investment and Remedial Matters) Act 2012 Section 22(2)﻿(kb) repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(2)﻿(kc) inserted 19 December 2007 section 189(4) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 22(2)﻿(kc) amended 1 April 2019 section 26(3) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 22(2)﻿(kd) replaced 1 April 2019 section 26(4) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 22(2)﻿(ke) inserted 6 October 2009 section 605(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 22(2)﻿(ke) amended 23 March 2020 section 193 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22(2)﻿(l) amended 2 November 2012 section 171(1)﻿(d) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2)﻿(l) amended 1 April 2008 section 17 Taxation (KiwiSaver) Act 2007 Section 22(2)﻿(l) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(2)﻿(lb) inserted 19 December 2007 section 189(5) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 22(2)﻿(lc) inserted 1 July 2014 section 152 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 22(2)﻿(ld) inserted 1 July 2017 section 10(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 22(2)﻿(le) inserted 1 July 2017 section 10(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 22(2)﻿(m) inserted 1 October 2006 section 211(2)﻿(c) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(2)﻿(m) amended 14 May 2016 section 77(3) Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 22(2)﻿(n) inserted 14 May 2016 section 77(4) Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 22(2) proviso repealed 2 November 2012 section 171(1)﻿(e) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2BA) inserted 2 November 2012 section 171(2) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(2BA)﻿(a) amended 26 June 2019 section 92(1) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 22(2B) inserted 3 April 2006 section 211(4) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(2C) inserted 1 October 2006 section 211(5) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(3) replaced 1 April 2019 section 15(2) section 15(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 22(4)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(4)﻿(b) amended 1 April 2008 section 28(1) Taxation (Limited Partnerships) Act 2008 Section 22(4)﻿(c) inserted 1 April 2008 section 28(1) Taxation (Limited Partnerships) Act 2008 Section 22(5) amended 1 October 2006 section 211(7) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(5) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(6) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 22(6) amended 1 October 2006 section 211(8)﻿(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(6) amended 1 October 2006 section 211(8)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(6) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22(6)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22(6B) inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 22(7)﻿(c) replaced 1 April 2017 section 302(2) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 22(7)﻿(d) inserted 1 October 2006 section 211(9) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 22(7)﻿(d) amended 21 February 2017 section 10(4) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 22(7)﻿(d)﻿(i) repealed 21 February 2017 section 10(5) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 22(7)﻿(d)﻿(ii) repealed 21 February 2017 section 10(5) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 22(7)﻿(d)﻿(iii)﻿(C) amended 19 December 2007 section 189(6) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 22(7)﻿(e) inserted 19 December 2007 section 189(6) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 22(8) inserted 2 November 2012 section 171(4) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22(8) amended 2 June 2016 section 87 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 22(8)﻿(a)﻿(i) amended 26 June 2019 section 92(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 22(9) inserted 2 November 2012 section 171(4) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012
22AA: Records to be kept by employers and PAYE intermediaries
1: An employer who makes a PAYE income payment to an employee must keep proper records in English or te reo Maori schedule 3 Child Support Act 1991 KiwiSaver Act 2006 Student Loan Scheme Act 2011
2: A person acting as a PAYE intermediary for an employer must keep proper records relating to their activity as a PAYE intermediary in relation to an employee of the employer.
3: An employer or PAYE intermediary must take reasonable steps to ensure the safe-keeping of their records for a period of not less than 7 years after the making of the payments to which the records relate, except to the extent to which—
a: the Commissioner has notified the employer or PAYE intermediary that retention is not required; or
b: the employer or PAYE intermediary has delivered the records to the Commissioner as required by this Act or the Income Tax Act 2007
4: On application by the person, the Commissioner may authorise the keeping of records under this section in a language other than English or te reo Maori Section 22AA inserted 1 April 2019 section 272 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 22AA(1) amended 23 March 2020 section 194(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22AA(4) amended 23 March 2020 section 194(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
22AAB: Records to be kept by payers of passive income
1: This section applies when a person—
a: is liable under the RWT rules to withhold RWT for resident passive income paid to or derived by another person:
b: is liable under the NRWT rules to withhold NRWT for non-resident passive income paid to or derived by another person.
2: The person must keep proper records in English or te reo Maori schedule 3
3: A person referred to in subsections (1) and (2) must take reasonable steps to ensure the safe-keeping of their records for a period of not less than 7 years after the making of the payments to which the records relate, except to the extent to which—
a: the Commissioner has notified the person that retention of the records is not required; or
b: the records are required by law to be delivered to a person other than the Commissioner; or
c: the person is a company that has been liquidated.
4: The Commissioner may, before the end of the 7-year period referred to in subsection (3), notify the person that they are required to retain records specified by the Commissioner for a further period of up to 3 years after the end of the 7-year period if—
a: the affairs of the person are or have been under audit or investigation by the Commissioner; or
b: the affairs of a person to whom the records relate are or have been under audit or investigation by the Commissioner; or
c: the Commissioner intends to conduct, or is actively considering, an audit or investigation before the end of the extended retention period.
5: On application by the person, the Commissioner may authorise the keeping of records under this section in a language other than English or te reo Maori Section 22AAB inserted 1 April 2020 section 273 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 22AAB(2) amended 1 April 2020 section 195(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22AAB(5) amended 1 April 2020 section 195(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
22AAC: Keeping of returns where information transmitted electronically
1: Where information contained in a taxpayer's return has been transmitted by electronic means in the prescribed electronic format in accordance with section 36
a: the return in the form of—
i: a signed hard-copy transcript of the information transmitted:
ii: an electronic form meeting the requirements of section 229
b: for a period of—
i: 7 years after the end of the income year to which the return relates; or
ii: a greater period that the Commissioner requires under section 22
2: This section does not require the retention of—
a: a return for which the Commissioner has given notice that retention is not required; or
b: a return of a company that has been liquidated; or
c: employment income information that has been provided to the Commissioner. 1976 No 65 s 428A 1994 No 76 s 74 Section 22AAC renumbered 1 April 2019 section 17 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 22AAC(1) replaced 2 November 2012 section 172 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 22AAC(1)﻿(a)﻿(ii) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017 Section 22AAC(2) replaced 1 April 2019 section 274 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
22A: Records required under
subpart EW of Income Tax Act 2007
1: A taxpayer who applies section EW 18 Income Tax Act 2007 section 90AC(1)﻿(c) or te reo Maori
2: A taxpayer who applies section EW 26(2) Income Tax Act 2007 or te reo Maori
3: A taxpayer required to retain records must—
a: take all reasonable precautions for the safe custody of those records; and
b: retain those records for 7 years after the end of the year that the records relate to, unless:
i: the Commissioner has given notice that retention is not required; or
ii: the records are required by law to be given to another person; or
iii: the taxpayer is a company that has been liquidated or wound up; and
c: retain the records required for a further period as specified by the Commissioner under subsection (4).
4: The Commissioner may, by giving notice before the end of the 7-year retention period specified in subsection (3), require a taxpayer to retain records specified by the Commissioner for a further period of not more than 3 years following the expiry of the 7-year period if—
a: the taxpayer is or has been under audit or investigation by the Commissioner; or
b: the Commissioner intends to conduct an audit or investigation before the expiry of the retention period as extended, or is actively considering an audit or investigation. Section 22A inserted 20 May 1999 section 63(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 22A heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22A heading amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22A(1) amended 26 June 2019 section 93(1) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 22A(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22A(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22A(2) amended 26 June 2019 section 93(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 22A(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 22A(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
22B: Further records required
1: A trustee to whom either section EW 44 EZ 39 or te reo Maori
a: the amounts of debt forgiven by creditors; and
b: amounts distributed to the trust's beneficiaries.
2: A trustee required to retain records must—
a: take all reasonable precautions for the safe custody of those records; and
b: retain those records for as long as the trust exists. Section 22B inserted 20 May 1999 section 63(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 22B heading amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 22B(1) amended 26 June 2019 section 94 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 22B(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007
3B: Reporting of income information by individuals
Subpart 3B inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
22C: Outline of subpart
What this subpart does
1: This subpart provides the administrative settings that underpin an individual’s obligations under sections BB 2 BC 1 to BC 8
a: the obligations of individuals to provide certain income information to the Commissioner:
b: what is meant by certain key terms such as reportable income, other income, pre-populated account, and final account:
c: when and how information must be provided to the Commissioner:
d: the treatment of an individual’s final account at the end of a tax year:
e: when and how an individual’s assessment is made:
f: when certain amounts of tax payable may be written off:
g: how reporting errors in accounts may be corrected:
h: the permitted de minimis amounts:
i: the information particulars. Income types
2: For the purposes of this Act and the Income Tax Act 2007
a: their reportable income; or
b: their other income. Relationship with other provisions
3: For the provisions related to—
a: returns of income, see sections 33 37
b: returns related to family assistance credits, see section 41
c: donations tax credits, see section 41A
d: disputes, see sections 89C(l) 89D
e: assessments, see sections 92 106 113
f: late filing penalties, see section 139A Flowchart 1: Scheme of subpart 3B Section 22C inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 22C(1) amended 1 April 2020 section 196 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
22D: Key terms
Meaning of individual
1: For the purposes of this subpart and sections 22 33 37 38 42C 89D 92 106 110 142AC 143 227G schedule 8 individual
a: means a natural person; and
b: includes a natural person who is non-resident, other than a person whose only income for the corresponding income year is non-residents’ foreign-sourced income; and
c: excludes, from the date of their death, a deceased natural person. Meaning of qualifying individual
2: For the purposes of this subpart and sections 4A 22 120C date interest starts schedule 8 qualifying individual
a: an individual who derives only reportable income for an income year; and
b: has no other income information that must be provided to the Commissioner under this subpart for the income year. Meaning of reportable income
3: For the purposes of this Act and the Income Tax Act 2007 reportable income
a: that is—
i: a PAYE income payment:
ii: a payment of resident passive income:
iii: a payment of non-resident passive income:
iiib: a payment under the wage subsidy scheme defined in section 7AA(6)
iiic: a payment under the leave support scheme made by the Ministry of Social Development on behalf of the Crown in relation to leave taken as a consequence of COVID-19:
iiid: a payment under the short-term absence scheme made by the Ministry of Social Development on behalf of the Crown in relation to absence from work as a consequence of COVID-19:
iv: a benefit under an employee share scheme described in schedule 4 :
v: attributed PIE income; and
b: for which the person paying the amount has been provided the individual’s tax file number, however this requirement does not apply if the amount is income derived jointly with another person and the Commissioner is able to allocate an amount to the individual for the income year; and
c: in relation to which information must be provided under this Act to the Commissioner by—
i: for the items referred to in paragraph (a)﻿(i) to (iv), 31 May in the next tax year:
ii: for the item referred to in paragraph (a)﻿(v), the date referred to in section 25K Meaning of other income
4: For the purposes of this subpart and section 141JA schedule 8 other income income other than reportable income Meaning of pre-populated account
5: For the purposes of this subpart, and sections 4A 106 142AC CX 27 pre-populated account
a: provided by the Commissioner for the tax year; and
b: containing the income information held by the Commissioner, including any income information provided by the individual, quantifying—
i: the amount of reportable income derived for the corresponding income year; and
ii: any other amount that the Commissioner considers the individual has derived for the income year. Meaning of final account
6: For the purposes of this subpart, and sections 4A 33 37 38 42C 89D 106 110 143 final account section 22H Section 22D inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 22D(1) amended 1 April 2020 section 197(1) section 197(7) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22D(3)﻿(a)﻿(iiib) inserted 30 March 2022 section 188(1) section 188(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 22D(3)﻿(a)﻿(iiic) inserted 30 March 2022 section 188(1) section 188(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 22D(3)﻿(a)﻿(iiid) inserted 30 March 2022 section 188(1) section 188(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 22D(3)﻿(a)﻿(iv) amended 1 April 2020 section 197(2) section 197(8) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22D(3)﻿(a)﻿(v) inserted 1 April 2020 section 197(3) section 197(8) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22D(3)﻿(c) replaced 1 April 2020 section 197(4) section 197(8) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22D(5) amended 1 April 2020 section 197(6) section 197(7) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22D(5) amended 23 March 2020 section 197(5) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
22E: Information included in pre-populated accounts
Pre-populated accounts
1: The Commissioner must include in an individual’s pre-populated account for a tax year—
a: all the income information held by the Commissioner for the tax year relating to an amount of reportable income derived for the corresponding income year; and
b: all the income information on other amounts that the Commissioner considers the individual has derived for the income year, including any income information provided by the individual. Limits
2: Subsection (1) applies only to the extent to which the information—
a: is available; and
b: is relevant for the individual in making an assessment for the tax year. Accounts with zero balance
3: An individual who has no reportable income for a tax year may ask the Commissioner to make available a pre-populated account with a zero balance in order that they may provide their income information for the tax year. Section 22E inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
22F: Information requirements
Obligations for information on other income
1: Subject to section 22K(1) see schedule 8 Obligations for reportable income information
2: No obligation to provide information for a tax year arises in relation to an amount of reportable income that is not included in an individual’s pre-populated account for the tax year unless the individual knows, or might reasonably be expected to have known, that the amount should properly be included in their final account for the tax year. Additional amounts
3: An individual may provide information for a tax year on an amount set out in schedule 8 Benefits under employee share schemes
4: Subsection (1) does not apply to an amount of income that is a benefit that a person receives under an employee share scheme to the extent to which their employer has included information relating to the benefit in their employment income information under section 23K schedule 4 Information provided on behalf of deceased individuals
5: In order to finalise the account of a deceased individual under section 22H List of classes of persons
6: The Commissioner must publish a list of the classes of persons who are considered likely to have a relationship with a deceased individual and that the Commissioner considers may be the sort of person who is best placed to provide income information on behalf of a deceased individual. Section 22F inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
22G: Amending accounts for incorrect or missing information
When this section applies
1: This section applies for an individual and a tax year when incorrect information relating to the individual has been provided to the Commissioner, or information relating to the individual is missing. Correction of pre-assessment errors by individuals
2: An individual may amend income information in their pre-populated account at any time before the account is finalised under section 22H Correction of post-assessment errors by qualifying individuals
3: Despite subsection (2), a qualifying individual, or an individual who is treated as a qualifying individual, may amend the income information in their final account at any time before their terminal tax date for the tax year. Any earlier assessment for the tax year is regarded as not having been made. When amended information incorrect
4: Subsection (3) does not apply if the Commissioner has reason to believe that the amended information is incorrect. The Commissioner may decide not to accept all the information as correct and provide an assessment for the individual under section 106 Correction of pre-assessment errors by Commissioner
5: The Commissioner may amend information in the individual’s pre-populated account for the tax year to correct errors in the information. The Commissioner must notify the individual of the amendment. Correction of post-assessment errors by Commissioner: qualifying individuals
6: The Commissioner may amend information in a qualifying individual’s final account for the tax year to correct errors in the information at any time before the end of the period referred to in section 108(1) Correction of post-assessment errors by Commissioner: other individuals
7: If the Commissioner wishes to make an adjustment in relation to the information of an individual other than a qualifying individual, the Commissioner must issue a notice of proposed adjustment under section 89B section 89C Later requests for changes by individuals
8: After their terminal tax date, an individual may ask the Commissioner to amend information in their final account for the tax year under section 113 Section 22G inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
22H: Finalising accounts
Pre-populated accounts: qualifying individuals
1: If the Commissioner is satisfied that the income information of a qualifying individual for a tax year as set out in their pre-populated account correctly and completely records their income for the corresponding income year, the Commissioner may finalise the individual’s account for the tax year. Pre-populated accounts: other individuals
2: An individual other than a qualifying individual may
a: adjust their pre-populated account for the tax year by providing the income information required under section 22F(1)
b: correct any errors in their reportable income information; and
c: finalise the account by confirming that the income information in the account as adjusted correctly and completely records their income for the corresponding income year. Requests for information from qualifying individuals
3: If the Commissioner requests income information from a qualifying individual in relation to their pre-populated account, the individual may—
a: correct any errors in their reportable income information; and
b: finalise the account by confirming that the income information in the account as adjusted correctly and completely records their income for the corresponding income year. Due dates
4: The adjustment, correction, or confirmation is due to be made by
a: 7 July in the following tax year, as set out in section 37(1)
b: for an individual who has, under section 37(3) to (5) Section 22H inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 22H(2) amended 23 March 2020 section 198(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 22H(4) amended 23 March 2020 section 198(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
22I: Returns and assessments
Final account treated as return of income and assessment
1: In relation to their final account for a tax year, an individual is treated as having made—
a: a return of income for the tax year under section 33
b: an assessment under section 92
c: a statement of a taxpayer’s tax position for the tax year, unless the individual asks the Commissioner under section 22G(8) Date of assessment
2: For the purposes of subsection (1)﻿(b), the date on which an assessment is treated as being made is the date on which an individual’s pre-populated account for the tax year is finalised under section 22H Date of default assessment
3: If an individual does not satisfy the Commissioner that the income information in their pre-populated account for the tax year correctly and completely records their income for the corresponding income year, the date on which the assessment is treated as being made is the date on which the Commissioner provides a default assessment under section 106 Notification requirements
4: The Commissioner must notify an individual affected when an assessment is treated as having been made under subsection (2) or (3). Section 22I inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
22J: Commissioner’s power in relation to certain amounts of tax payable
When amounts written off
1: For the purposes of this subpart, the Commissioner may write off an amount of tax payable by a qualifying individual for a tax year if the requirements of schedule 8 Reversing write offs
2: The Commissioner may reverse a write off made under this section if, for the tax year and the individual,—
a: it is established through a reassessment that the requirements of schedule 8
b: during the tax year, the individual ceases to be a qualifying individual. Order in Council amending schedule 8
3: The Governor-General may, by Order in Council made on the recommendation of the Minister, amend schedule 8
a: adding an item of information to, or omitting an item of information from, part A, table 1 or table 2:
b: adding an amount of tax to, or omitting an amount of tax from, part B, clause 1:
c: adding a type of income to, or omitting a type of income from, part B, clause 2.
3B: An order under this section is secondary legislation ( see Part 3 Consultation
4: Before the Minister makes a recommendation under subsection (3), a consultative process must be undertaken that includes the distribution of the proposed amendments to schedule 8 Flowchart 2: Process for writing off amounts of tax to pay The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 22J inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 22J(3B) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
22K: No obligation to provide information: de minimis and certain other amounts
Small amounts of income
1: No obligation to provide information for a tax year arises if an individual derives income other than reportable income for the corresponding income year of $200 or less. Other specific provisions may override this section
2: A specific provision in an Inland Revenue Act requiring an individual to provide information in a particular circumstance overrides this section. Section 22K inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
22L: Information particulars
Items of other income
1: The items of information related to amounts of an individual’s income other than reportable income are set out in the table in schedule 8 What may be included in information
2: The information may include information on the items set out in schedule 8 Section 22L inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
22M: Setting electronic and non-electronic requirements
Prescribing forms for, and means and modes of, delivery
1: For the delivery of information on an individual’s income other than reportable income, the Commissioner must prescribe—
a: an electronic form and means of electronic communication:
b: a form or mode of delivery other than by electronic means. Particular requirements and conditions
2: The requirements relating to a form, means, or mode of communication may relate to an individual, a class of individuals, or all individuals, and may be subject to the conditions specified by the Commissioner, whether generally or in a specific case. Section 22M inserted 1 April 2019 section 16(1) section 16(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
3C: Employment income information
Subpart 3C inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
23B: Employment income information: outline of provisions
What this subpart does
1: This subpart sets out—
a: what is meant by employment income information for reporting purposes:
b: when employment income information must be provided to the Commissioner and how it must be delivered:
c: the information that must be provided for new and departing employees:
d: the rules for the correction of errors. PAYE intermediary included
2: For the purposes of this subpart, an employer includes a PAYE intermediary, as the context requires. Related provisions
3: For the provisions related to—
a: the making of regulations, see section RA 21
b: late filing penalties, see section 139A
c: non-electronic filing penalties, see section 139AA
d: employers’ withholding payment penalties, see section 141ED
e: the application of the penalties provisions to PAYE intermediaries, see section 141JB
f: the recovery of tax from employers or PAYE intermediaries, see sections 167 to 169 Section 23B inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23B(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23B(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23B(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23C: Meaning of employment income information
Meaning of employment income information
1: Employment income information schedule 4
a: an employer to whom section RD 22 sections 23E to 23M
b: an employee to whom section RD 4(4) section 23I Prescribing forms and means for delivery
2: The Commissioner must prescribe 1 or more electronic forms and 1 or more means of electronic communication by which employment income information must be delivered by an employer for the purposes of this subpart. Requirements
3: The requirements relating to a form or a means of communication may relate to an employer or a class of employers, and may be subject to the conditions specified by the Commissioner, whether generally or in a specific case. Requirements for twice-monthly delivery
4: For the purposes of the delivery of employment income information, a requirement to deliver the information twice-monthly means that, in determining the date on which the information may be delivered, a payment or benefit is treated as being paid or received on a day in or, at the latest, by the last day of—
a: the first payment period in a month when the relevant day falls in the period that starts on the 1st day of the month and ends on the 15th day of the month
b: the second payment period in a month when the relevant day falls in the period that starts on the 16th day of the month and ends on the last day of the month Section 23C inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23C(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23C(1)﻿(a) amended 1 April 2019 section 19 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23C(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23C(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23C(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23C(4)﻿(a) amended 26 June 2019 section 95(1) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 23C(4)﻿(b) amended 26 June 2019 section 95(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
23D: Employers’ groups for delivery of information
Groups
1: For the delivery of employment income information to the Commissioner, an employer is included in 1 of the following groups of employer, according to the circumstances applying to the employer:
a: the online group; or
b: the non-electronic group, if they meet the requirements of section 23F section 23G
c: the new group, if they meet the requirements of section 23H Inclusions in online group
2: For the delivery of employment income information,—
a: a PAYE intermediary is included in the online group:
b: an employer who delivers employment income information electronically, whether through a service or platform provided by the Commissioner or through the use of payroll software, is included in the online group. Delivery before specified date
3: Despite sections 23E to 23H 23L Approval to deliver information in other ways
4: Despite subsections (1) and (2) and the means of delivery set out in sections 23E to 23H 23J 23K
a: give consent with terms and conditions:
b: vary the terms and conditions:
c: cancel the consent at any time. Section 23D inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23D(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23D(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23D(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23D(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23D(4) amended 1 April 2019 section 20 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23E: Online group of employers
Online group
1: An employer is included in the online group
a: the non-electronic group; or
b: the new group. Delivery of information
2: An employer in the online group must deliver their employment income information for a payday—
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: within 2 working days after payday. Section 23E inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23E(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23E(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23F: Non-electronic group of employers
Non-electronic group
1: An employer is included in the non-electronic group
a: meets either of the requirements set out in subsection (5) or has an exemption under section 23G
b: does not deliver their employment income information electronically, whether through a service or platform provided by the Commissioner or through the use of payroll software; and
c: is not included in the new group. Delivery of information
2: An employer in the non-electronic group must deliver their employment income information for a payday—
a: in a format prescribed by the Commissioner; and
b: within 10 working days after payday. Elections for other dates
3: For the purposes of subsection (2)﻿(b), an employer in the non-electronic group may choose to treat the payday as—
a: the day on which the employer makes a PAYE income payment to an employee; or
b: 1 of the following, as applicable:
i: for an amount paid or benefit provided in the period that starts on the 1st day of a month and ends on the 15th day of the month
ii: for an amount paid or benefit provided in the period that starts on the 16th day of the month and ends on the last day of the month Delivery for twice-monthly option
4: An employer who chooses to use, as a payday, a day referred to in subsection (3)﻿(b)﻿(i) or (ii), must deliver the employment income information set out in schedule 4 Requirements
5: The requirements are that, for a tax year and an amount of tax for a PAYE income payment and an employer’s superannuation cash contribution,—
a: an employer other than an employer referred to in paragraph (b), must have gross amounts of tax payable for the preceding tax year that are below the threshold amount:
b: a new employer must have total accumulated amounts of tax that are below the threshold amount. Threshold amount
6: The threshold amount referred to in subsection (5) is—
a: $50,000; or
b: the amount set by the Governor-General by Order in Council under subsection (8). When threshold reached
7: If the accumulated amount referred to in subsection (5)﻿(b) reaches the threshold amount during a tax year, the employer is included in the new group for the remaining months of the 6-month period referred to in section 23H(2) Orders in Council setting amount
8: The Governor-General may, on the recommendation of the Minister of Revenue, make an Order in Council setting or amending the threshold amount referred to in subsection (6)﻿(b). Before making the recommendation, the Minister must undertake consultation on the proposed amendment that is appropriate and reasonable for the purposes of this section. Section 23F inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23F(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23F(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23F(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23F(3)﻿(b)﻿(i) amended 26 June 2019 section 96(1) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 23F(3)﻿(b)﻿(ii) amended 26 June 2019 section 96(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 23F(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23F(5) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23F(6) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23F(7) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23F(8) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23G: Exemption for certain employers in online group
Exemption
1: The Commissioner may exempt an employer in the online group from the online group requirements if it is reasonable in the circumstances, taking into account—
a: the nature and availability of digital services to the employer, including the reliability of those services for the purposes of the employer; and
b: the capability of the employer relating to the use of computers; and
c: the costs that the employer would incur in complying with the requirements if those costs would be unreasonable in the circumstances. Statement of reasons
2: The Commissioner must provide a statement of reasons for the exemption. Valid until cancellation
3: Subject to subsection (4), an exemption under this section remains valid until the Commissioner notifies the employer that the exemption is to be cancelled. The exemption expires on the date that is 6 months after that given in the Commissioner’s notice. Time limits
4: In making an exemption under this section, the Commissioner may set a time limit on the exemption, stating a start date and an end date, as applicable, for the exemption and the reason for setting the limit.
5: Section 23G inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23G(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23G(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23G(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23G(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23G(5) heading repealed 28 October 2021 section 3 Secondary Legislation Act 2021 Section 23G(5) repealed 28 October 2021 section 3 Secondary Legislation Act 2021
23H: New group of employers
New group
1: An employer is included in the new group New-employer period
2: The new-employer period is the 6-month period that starts on the date in the tax year on which the employer starts employing employees. Delivery of information
3: An employer in the new group may choose to deliver their employment income information for a payday in the new-employer period—
a: in a format prescribed by the Commissioner; and
b: within 10 working days after payday. Elections for other dates
4: Despite subsection (3)﻿(b), if an employer in the new group meets the requirements of section 23F(1)﻿(a) and (b) section 23F(3) and (4) When information delivered electronically
5: If an employer in the new group chooses to deliver their employment income information electronically, whether through a service or platform provided by the Commissioner or through the use of payroll software, the employer is immediately included in the online group. Section 23H inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23H(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23H(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23H(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23H(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23H(5) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23I: Employment income information requirements for employees
An employee who is required to provide employment income information relating to employment-related tax obligations as if an employer under section CE 1F(3) of the Income Tax Act 2007 Section 23I inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23I amended 1 April 2023 section 166 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
23J: Delivery of employment income information for certain special payments
What this section applies to
1: This section applies for the purposes of sections 23E to 23H
a: a schedular payment described in section RD 8
b: a payment made to a person on a shadow payroll:
c: a payment that an employer makes to an employee outside the regular payment cycle for the employee’s employment income. Schedular payments
2: For a schedular payment referred to in subsection (1)﻿(a), an employer may deliver their employment income information relating to the payment either—
a: on a payday basis under sections 23E to 23H
b: twice-monthly as described in section 23C(4) Shadow payrolls
3: For a payment referred to in subsection (1)﻿(b), a non-resident employer has 20 days after an amount is paid to the person before the requirement to provide employment income information arises. The employer may—
a: treat the 20th day as the payday for the purposes of sections 23E to 23H
b: provide their employment income information relating to the payment twice-monthly as described in section 23C(4), treating the 20th day as the relevant day. Out-of-cycle payments
4: For an out-of-cycle payment referred to in subsection (1)﻿(c), an employer may deliver their employment income information relating to the payment either—
a: on a payday basis under sections 23E to 23H
b: together with their information for the employer’s next regular reporting date for the delivery of information relating to the employee. When reporting date falls after end date
5: Despite subsection (4), if the next regular reporting date referred to in subsection (4)﻿(b) falls after the employer’s end date for the payment, as described in section RA 15(3)﻿(a) and (b) Treatment of shadow payroll payments
6: For the purposes of subsection (1)﻿(b), a payment made to a person on a shadow payroll is a PAYE income payment paid by a non-resident employer to a person who undertakes employment services in New Zealand but who remains on the employer’s payroll system in a country or territory outside New Zealand. Relationship with section 23F
7: Section 23F(3)﻿(b) and (4) Section 23J inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23J(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23J(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23J(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23J(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23J(5) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23J(6) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23J(7) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23K: Employment income information requirements relating to employee share schemes
When information required
1: For the purposes of sections 23E to 23H
a: treat the ESS deferral date as the payday; or
b: provide their employment income information twice-monthly as described in section 23C(4) Inclusions and exclusions
2: For reporting purposes,—
a: employment income information does not include information on—
i: a benefit under an employee share scheme received by a former employee if the employer has not chosen to withhold an amount of tax in relation to the benefit:
ii: a benefit arising under an exempt ESS:
b: for a benefit that an employee receives under an employee share scheme, employment income information includes the value of the benefit, and if the employer has chosen under section RD 7B Section 23K inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23K(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23K(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23L: Employment income information for new and departing employees
Employees starting employment
1: When an employee starts employment with an employer, the employer must provide the information referred to in schedule 4 Employees ending employment
2: When an employee’s employment ends, the employer must provide the information referred to in schedule 4 Delivery for new employees
3: The information referred to in subsection (1) about new employees must be delivered to the Commissioner by the date on which the employer is required to deliver employment information for the employee’s first payday or, if the employer chooses, at an earlier time. Delivery for departing employees
4: The information referred to in subsection (2) about departing employees must be delivered to the Commissioner by the date on which the employer is required to deliver employment income information for the payday on which the employee was last paid or, if the employer chooses, at an earlier time. Additional information required
5: Despite subsections (1) to (4), if information about the relevant employee is delivered to the Commissioner as part of electronic payday reporting that includes income information about the employee, the only additional information required from the employer is,—
a: for a new employee, schedule 4
b: for a departing employee, schedule 4 Inclusion as employees
6: In this section, employee section RD 3B RD 3C Section 23L inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23L(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23L(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23L(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23L(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23L(5) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23L(6) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23M: Employment income information when employment ended
An employer who stops employing employees, intending that the cessation is permanent, must notify the Commissioner that employment has ended within 30 working days after the date on which they stop employing employees. Section 23M inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
23N: Correction of errors
What this section does
1: This section provides a regulation-making power for matters relating to the correction of errors in employment income information and the manner in which corrections may be made. Regulations
2: The Governor-General may, by Order in Council on the recommendation of the Minister of Revenue, make regulations, providing—
a: the nature and type of errors that are able to be corrected by an employer:
b: the manner in which errors in employment income information may be corrected, and the specifications for the correction of particular errors in employment income information:
c: the periods to which corrections may relate, including past periods and future periods. Consultation
3: Before making a recommendation under subsection (2), the Minister must undertake consultation on the proposed regulation that is appropriate and reasonable for the purposes of this section. Secondary legislation
4: Regulations under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 23N inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23N(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23N(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23N(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23N(4) heading inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 23N(4) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
23O: Setting electronic and non-electronic filing requirements
Prescribing means for delivery
1: For the delivery of employment income information by an employer or a class of employers, the Commissioner—
a: must prescribe—
i: an electronic form and means of electronic communication:
ii: a form or mode of delivery other than by electronic means:
b: may from time to time set specifications for payroll software for use in the delivery of that information. Processing requirements
2: To enable the processing of a payment made to the Commissioner by an employer in relation to an employee, the Commissioner may notify an employer, or a class of employers, that certain items of employment income information must accompany the payment. Section 23O inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 23O(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 23O(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
23P: Employment income information: payroll software
For the purposes of sections 23H(5) 23O payroll software Section 23P inserted 1 April 2019 section 275 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
23Q: Employment income information: variation of requirements
Commissioner’s power to vary
1: The Commissioner may vary the requirements set out in this subpart and schedule 4 Secondary legislation
2: A variation under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication It is not required to be published LA19 s 73(2) Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 23Q replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Other obligations to keep and provide records Heading repealed 1 April 2019 section 276 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24: Records to be kept by employer or PAYE intermediary
Section 24 repealed 1 April 2019 section 276 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Offshore persons’ bank accounts and tax file numbers Heading repealed 29 March 2018 section 277 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24BA: Offshore persons’ bank accounts and tax file numbers
Section 24BA repealed 29 March 2018 section 277 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
3D: Tax codes and tax rates for certain payments
Subpart 3D heading inserted 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 PAYE tax codes Heading repealed 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24B: PAYE tax codes
Meaning of tax code
1: For the purposes of the PAYE rules, a tax code
a: a code applying to an employee’s earnings set out in the table in schedule 5 section 24C
b: a tax code provided by the Commissioner under section 24D
c: a tax code provided under schedule 5
d: a non-notified tax code under section 24E What tax codes do not apply to
2: A tax code does not apply in relation to—
a: a schedular payment, see sections 24F 24G 24H schedule 5
b: an extra pay, see sections RD 7 RD 17 Main benefits
3: The amount of tax for a payment of any of the following is determined under section RD 11(3)
a: a main benefit:
b: New Zealand superannuation:
c: a veteran’s pension. Education allowances
3B: The amount of tax for a payment of an allowance under regulations made under section 645 section RD 11(3B) Basic tax rates
4: The basic tax rates for payments of salary or wages for particular tax codes, including a non-notified tax code, are set out in the Income Tax Act 2007 schedule 2 Section 24B replaced 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 24B(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24B(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24B(3) heading replaced 9 November 2020 section 48 New Zealand Superannuation and Veteran’s Pension Legislation Amendment Act 2020 Section 24B(3) heading amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 24B(3) replaced 9 November 2020 section 48 New Zealand Superannuation and Veteran’s Pension Legislation Amendment Act 2020 Section 24B(3)﻿(a) replaced 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 24B(3B) heading inserted 9 November 2020 section 48 New Zealand Superannuation and Veteran’s Pension Legislation Amendment Act 2020 Section 24B(3B) inserted 9 November 2020 section 48 New Zealand Superannuation and Veteran’s Pension Legislation Amendment Act 2020 Section 24B(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24C: Notified tax codes
Employees notifying employers
1: An employee must notify their employer of the tax code applicable to their circumstances or of a change in their tax code. The notification must be in a form authorised by the Commissioner. What this section does not apply to
2: This section does not apply in relation to—
a: a tax code provided by the Commissioner to the employer under schedule 5
b: a tax code for a non-resident seasonal worker under schedule 5 Section 24C replaced 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 24C(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24C(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24D: Tax codes provided by Commissioner
An employee may apply to the Commissioner for, or the Commissioner may recommend for the employee,
a: a tailored tax code schedule 5
i: their New Zealand superannuation income or veteran’s pension income; or
ii: their other employment income from 1 or more employers:
b: a tax code under schedule 5 Section 24D inserted 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 24D heading replaced 1 April 2019 section 22(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24D amended 1 April 2019 section 22(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24D(a) amended 1 April 2019 section 22(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24D: Tax code for parental leave payment
Section 24D repealed 1 April 2016 section 83 Parental Leave and Employment Protection Amendment Act 2016
24DB: Use of unsuitable tax codes
For the purposes of section 24D schedule 5
a: may recommend a prospective change of tax code to the employee; and
b: with the consent of the employee, notify the employer of the change. Section 24DB inserted 1 April 2019 section 23 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24E: Non-notified tax codes
When employees have non-notified tax codes
1: An employee, other than a person referred to in section 24D
a: the employee has not notified their employer of—
i: their name; and
ii: their tax file number; and
iii: their tax code; and
b: the Commissioner has not provided the employer with a tax code or change in tax code under schedule 5
c: the employee is not a non-resident seasonal worker referred to in schedule 5 Full names
2: For the purposes of subsection (1)﻿(a)﻿(i), a person’s name is their full name that is sufficient to enable the Commissioner to ascertain a correct tax file number for the person. Section 24E replaced 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 24E(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24E(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24F: Rates of tax for schedular payments: standard, payee, and set rates
Meaning of payer and payee
1: In this section, and sections 24G 24H 24I schedule 5
a: a person who is making a schedular payment is referred to as the payer
b: a person who is entitled to receive a schedular payment is referred to as the payee Standard rates
2: The standard rates of tax for schedular payments are set out in schedule 4 Payee rates
3: A payee may choose the rate of tax for the payment under schedule 5 see Set rates
4: If a payee has a liability under the Inland Revenue Acts that has not been met, the Commissioner may, from time to time, set a rate of tax for a schedular payment of the payee under schedule 5 Section 24F replaced 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 24F(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24F(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24F(3) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24F(4) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24G: Special tax rates for schedular payments
A payee, other than a non-resident entertainer, may apply to the Commissioner, under schedule 5 Section 24G replaced 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24H: Exempt schedular payments
Notifying payee of exempt payment
1: The Commissioner may notify a payee under schedule 5 What this section does not apply to
2: This section does not apply to—
a: a payment made to a non-resident entertainer:
b: a payment described in schedule 4 Income Tax Act 2007 Section 24H replaced 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 24H(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24H(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24I: Notification requirements
Payees to notify payers: names and tax file numbers
1: A payee, other than a non-resident entertainer, must notify the payer of their name and tax file number. The notification must be in a form authorised by the Commissioner. Payees to notify payers: rates of tax
2: The payee must also notify the payer of the rate of tax applying to the payment if—
a: they choose the rate of tax as described in section 24F(3)
b: they are using a rate of tax set by the Commissioner under section 24F(4)
c: they are using a special rate of tax referred to in section 24G Section 24I replaced 1 April 2019 section 279 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 24I(1) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 24I(2) heading inserted 1 April 2019 section 18 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
24IB: Variation of requirements
Commissioner’s power to vary
1: The Commissioner may vary the requirements of section 24B clause 4 Secondary legislation
2: A variation under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication It is not required to be published LA19 s 73(2) Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 24IB replaced 28 October 2021 section 3 Secondary Legislation Act 2021 PAYE certificates, notification, and applications Heading repealed 1 April 2019 section 280 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24J: Proof of payment
Section 24J repealed 1 April 2019 section 280 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24L: Schedular notification
Section 24L repealed 1 April 2019 section 282 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24LB: Schedular tax rate elected by payee
Section 24LB repealed 1 April 2019 section 282 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24LC: Schedular tax rate prescribed by Commissioner
Section 24LC repealed 1 April 2019 section 282 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24M: Exemption certificates for schedular payments
Section 24M repealed 1 April 2019 section 282 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24N: Special tax rate certificates for schedular payments
Section 24N repealed 1 April 2019 section 282 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
24O: Certain information required from agricultural, horticultural, or viticultural employers
Section 24O repealed 24 February 2016 section 247(1) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
24P: Variation of requirements
Section 24P repealed 1 April 2019 section 282 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
3E: Investment income information
Subpart 3E heading replaced 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25B: Investment income information: outline of provisions
What this subpart does
1: This subpart sets out the information that a person who makes a payment of investment income is required to provide to the Commissioner and, in particular,—
a: what is meant for reporting purposes by investment income and investment income information:
b: who must provide investment income information to the Commissioner:
c: when investment income information must be provided and how it must be delivered:
d: when information is required in relation to certain types of investment:
e: the correction of errors:
f: when information may be filed in non-electronic form. Meaning of payer and payee
2: In this subpart, and in schedule 6
a: a person who makes a payment of investment income is called the payer
b: a person who derives or receives a payment of investment income is called the payee Related provisions
3: For the provisions related to—
a: the use of inconsistent RWT rates, see section 26B
b: RWT withholding certificates, see section 26C
c: shareholder dividend statements, see section 29
d: Maori authority notices, see section 31
e: notification requirements for multi-rate PIEs, see section 31C
f: further requirements for multi-rate PIEs, see section 57B
g: non-electronic filing penalties, see section 139AA Custodial institutions
4: For the purposes of subsection (2), a custodial institution that pays on or transfers an amount of investment income to an end investor is treated as a payer. Section 25B inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25B(1) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25B(2) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25B(3) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25B(4) heading inserted 1 April 2020 section 199 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 25B(4) inserted 1 April 2020 section 199 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
25C: Investment income
For the purposes of this subpart and section 227E schedule 6 investment income
a: resident passive income under section RE 2(1)﻿(a) to (c) sections RE 3 RE 4
b: non-resident passive income under section RF 2(1)
c: attributed income of investors in portfolio investment entities under sections CP 1 CX 56 CX 56B Section 25C inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25D: Investment income information
Meaning of investment income information
1: Investment income information schedule 6 section 25E section 22AAB Not cumulative
2: The information must be provided for each relevant reporting period rather than on a cumulative basis. Joint ownership
3: If an investment is owned jointly by 2 or more investors, and the payer of the investment income holds the relevant information, the payer must include in their investment income information the information set out in schedule 6 When requirements for joint owners do not apply
4: Subsection (3) does not apply to a payer in relation to a payment to or for joint owners that is received in their capacity as—
a: beneficiaries of a trust:
b: shareholders in a company:
c: partners in a partnership, unless the partnership is not required When information obtained before April 2018
5: Despite subsection (1), if the following items of information have been obtained before 1 April 2018, the requirement to include the item in investment income information provided to the Commissioner applies only when it is held in electronic form:
a: a person’s date of birth:
b: for joint owners, the names, tax file numbers, dates of birth, and contact addresses. Section 25D inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25D(1) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25D(2) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25D(3) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25D(4) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25D(4)﻿(c) amended 1 April 2020 section 27 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25D(5) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
25E: Who must provide investment income information to Commissioner
Persons
1: The persons who must provide their investment income information to the Commissioner by the relevant date set out in this subpart are—
a: a person who is required to withhold an amount of tax for a payment of interest, see section 25F
b: a person who chooses under section 32M
c: a company that pays a taxable dividend to a person, including a dividend described in section RE 9 see section 25G
d: a person who pays a royalty to a non-resident person, see section 25H
e: a Maori authority that makes a taxable distribution to a member of the authority, other than a retirement scheme contribution, see section 25I
f: a multi-rate PIE see section 25J
g:
h: a public unit trust that pays an amount that is treated as a taxable dividend on a withdrawal from the trust, see section 25L
i: an emigrating company that is treated under section FL 2 or FL 3 see section 25M
ib: a custodial institution that pays on or transfers an amount of investment income to an end investor, see section 25MB
j: a person who would be liable to pay an amount referred to in paragraph (a) but for the circumstances described in subsection (2). Circumstances when withholding not required
2: The circumstances referred to in subsection (1)﻿(j) are that a person who pays interest for which RWT is not required to be withheld because—
a: the amount—
i: is not paid by the person in the course or furtherance of a taxable activity; or
ii: is an amount to which section RE 10
b: the amount is allowed as a deduction under that Act; and
c: the amount is paid to a person other than a person with RWT-exempt status.
3: If a person who has an obligation under this section to provide investment income information to the Commissioner makes a payment to a custodial institution referred to in subsection (1)﻿(ib), whether or not the institution pays on or transfers the amount to an end investor, the person must, for the purposes of this subpart, treat the institution as a payee. Section 25E inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25E(1) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25E(1)﻿(f) amended 30 March 2021 section 154(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 25E(1)﻿(g) repealed 30 March 2021 section 154(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 25E(1)﻿(i) amended 31 March 2023 section 170 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 25E(1)﻿(ib) inserted 1 April 2020 section 200(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 25E(2) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25E(3) inserted 1 April 2020 section 200(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
25F: Information on interest
Delivery of investment income information
1: A payer referred to in section 25E(1)﻿(a) and (b) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: by the 20th of the month following the month in which the amount of investment income is paid to or derived by the payee. Nominees
2: Despite subsection (1), when an investor is a nominee, the investment income information required from a payer referred to in section 25E(1)﻿(b) Section 25F inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25F(1) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25F(2) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
25G: Information on dividends
Delivery of investment income information
1: A payer referred to in section 25E(1)﻿(c) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: by the 20th of the month following the month in which the amount of investment income is paid to or derived by the payee. Certain dividends derived by dual resident companies
2: For the purposes of subsection (1) and a dividend described in section CD 1(3) Section 25G inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25G(1) heading inserted 31 March 2023 section 171(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 25G(2) heading inserted 31 March 2023 section 171(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 25G(2) inserted 31 March 2023 section 171(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
25H: Information on royalties paid to non-residents
A payer referred to in section 25E(1)﻿(d) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: by 31 May after the end of the tax year. Section 25H inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25I: Information on Maori authority distributions
A payer referred to in section 25E(1)﻿(e) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: by the 20th of the month following the month in which the amount of investment income is paid to or derived by the payee. Section 25I inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25J: Information on attributed PIE income
A payer referred to in section 25E(1)﻿(f) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: by the following relevant date:
i: 15 May after the end of the tax year, if the PIE has a corresponding income year that does not end after the end of the tax year:
ii: the end of the second month after that in which the PIE’s corresponding income year ends, if the PIE has a corresponding income year that ends after the end of the tax year:
iii: the end of the third month after that in which the PIE loses PIE status, if the cessation occurs in the corresponding income year. Section 25J inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25J heading replaced 30 March 2021 section 155 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
25K: Information on attributed PIE income: locked-in funds
Section 25K repealed 30 March 2021 section 156 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
25L: Information from public unit trusts
A payer referred to in section 25E(1)﻿(h) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: by 15 May after the end of the tax year. Section 25L inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25M: Information from emigrating companies
Delivery of investment income information
1: A payer referred to in section 25E(1)﻿(i) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: by the relevant date set out in subsection (2). Due date
2: The relevant date is,—
a: for an emigrating company that is treated under section FL 2
b: for an emigrating company that is treated under section FL 3 of the Income Tax Act 2007 Section 25M inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25M(1) heading inserted 31 March 2023 section 172(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 25M(1)﻿(b) replaced 31 March 2023 section 172(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 25M(2) heading inserted 31 March 2023 section 172(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 25M(2) inserted 31 March 2023 section 172(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
25MB: Information from custodial institutions
When this section applies
1: This section applies when—
a: a person who is a custodial institution receives a payment of investment income; and
b: the institution pays on or transfers the amount received to an end investor. Specified operators of designated settlement systems
2: Despite subsection (1) and section 25E(1) Banking (Prudential Supervision) Act 1989 Providing investment income information
3: The custodial institution must provide investment income information relating to the payment of investment income to the Commissioner under section 25E(1) Agreements to transfer reporting obligations: outsourcing obligations
4: The custodial institution may, before the date on which the payment is received by the institution, enter into an agreement with another person ( person B Agreements to transfer reporting obligations: passing up information
5: When a payment of investment income is paid on or transferred through interposed custodial institutions before being paid to an end investor, the custodial institution that is last in the chain may enter into an agreement with another custodial institution that precedes them in the chain, for the latter institution to provide to the Commissioner the information referred to in subsection (3). In this case, the reporting obligation passes to the latter institution, and the final custodial institution’s obligation is discharged. Limited information
6: Despite subsection (3),—
a: when an end investor is a non-resident custodial institution, the information required under section 25E
b: the investment income information set out in schedule 6 Meaning of custodial institution
7: For the purposes of this subpart, a custodial institution
a: that holds financial assets or financial instruments as a bare trustee on account for another person; and
b: whose activities are supervised or regulated under the Financial Markets Conduct Act 2013 Financial Markets Authority Act 2011 Financial Advisers Act 2008 Banking (Prudential Supervision) Act 1989 Meaning of end investor
8: For the purposes of this subpart, an end investor
a: means an investor to whom a payment of investment income is made who is—
i: a direct investor, whether resident or non-resident, who is the beneficial owner of the investment:
ii: a custodial institution that is not resident in New Zealand; and
b: includes a trustee, PIE, or PIE proxy if the person or entity has an obligation to provide investment income information to the Commissioner under this subpart. When branches located in New Zealand
9: For the purposes of subsection (8)﻿(a)﻿(ii), if the non-resident custodial institution has a branch located in New Zealand that receives a payment of investment income, the branch is treated as the person who must provide investment income information relating to the payment under subsection (3). Section 25MB inserted 1 April 2020 section 201 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 25MB(2) amended 1 July 2022 section 300(1) Reserve Bank of New Zealand Act 2021 Section 25MB(7)﻿(b) replaced 30 March 2021 section 157 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 25MB(7)﻿(b) amended 1 July 2022 section 300(1) Reserve Bank of New Zealand Act 2021 Section 25MB(8)﻿(a)﻿(ii) replaced 30 March 2022 section 189(1) section 189(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 25MB(9) heading inserted 30 March 2022 section 188(2) section 189(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 25MB(9) inserted 30 March 2022 section 188(2) section 189(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
25N: Information from payers with no withholding obligation
A payer referred to in section 25E(1)﻿(j) schedule 6
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: with their return of income for the corresponding income year. Section 25N inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25NB: De minimis filing requirements for certain persons
When this section applies
1: This section applies when a person is required to withhold an amount of tax under—
a: section RE 21(3)
b: section RF 13(2)
c: section 86KA When this section does not apply
2: This section does not apply when a person withholds an amount of tax referred to in section RE 21(6) and (7) Delivery of investment income information
3: Despite sections 25E 25F 25H
a: in electronic form and by means of an electronic communication as prescribed by the Commissioner; and
b: for the period in the tax year from 1 April to 30 September, by 20th October after the end of the period; and
c: for the period in the tax year from 1 October to 31 March, by 20th April after the end of the period. Section 25NB inserted 1 April 2022 section 190(1) section 190(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
25O: Correction of errors in investment income information
An adjustment may be made under section RA 11 RA 12 Section 25O inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25P: Non-electronic filing of investment income information
Exemption
1: Despite sections 25F to 25N Relevant considerations
2: In determining whether to exempt a payer under subsection (1), the Commissioner must have regard to—
a: the nature and availability of digital services to the payer, including the reliability of those services for the purposes of the payer; and
b: the capability of the payer relating to the use of computers; and
c: the costs that the payer would incur in complying with the requirements, if those costs would be unreasonable in the circumstances. Valid until cancellation
3: Subject to subsection (4), an exemption under this section remains valid until the Commissioner notifies the payer that the exemption is to be cancelled. The exemption expires on the date that is 6 months after that given in the Commissioner’s notice. Time limits
4: In making an exemption under this section, the Commissioner may set a time limit on the exemption, stating a start date and an end date, as applicable, for the exemption and the reason for setting a time limit.
5: Section 25P inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 25P(1) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25P(2) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25P(3) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25P(4) heading inserted 1 April 2020 section 26 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 25P(5) heading repealed 28 October 2021 section 3 Secondary Legislation Act 2021 Section 25P(5) repealed 28 October 2021 section 3 Secondary Legislation Act 2021
25Q: Setting electronic and non-electronic filing requirements
For the delivery of investment income information, the Commissioner—
a: must prescribe—
i: an electronic form and means of electronic communication:
ii: a form or mode of delivery other than by electronic means:
b: may from time to time set specifications for software for use in the delivery of that information. Section 25Q inserted 1 April 2020 section 287 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
25R: Investment income information: variation of requirements
Commissioner’s power to vary
1: The Commissioner may vary the requirements set out in subpart 3E schedule 6 Secondary legislation
2: A variation under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication It is not required to be published LA19 s 73(2) Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 25R replaced 28 October 2021 section 3 Secondary Legislation Act 2021 RWT rates, certificates, and records Heading repealed 1 April 2019 section 284 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
26: Records to be kept for RWT purposes
Section 26 repealed 1 April 2020 section 288 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
26B: Use of unsuitable RWT rates
1: If the Commissioner considers that a more suitable or more accurate RWT rate could have been used in relation to a payment of resident passive income consisting of interest, the Commissioner—
a: may recommend a prospective change of RWT rate to the payee; and
b: with the consent of the payee, notify the payer of the change.
2: The payer must use the RWT rate provided by the Commissioner in relation to the payee as soon as reasonably practicable after the date of notification. However, if the payee subsequently notifies the payer of a different RWT rate, the payer must apply the rate notified by the payee. Section 26B renumbered 1 April 2020 section 285(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 26B replaced 1 April 2019 section 25 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
26C: RWT withholding certificates
1: Subsection (1B) applies for a tax year when a payer withholds RWT for resident passive income for the following amounts paid to or derived by a payee who has not provided the payer with their tax file number:
a: interest:
b: a dividend treated as interest:
c: a dividend to which section RE 9(2)
1B: The person must prepare an RWT withholding certificate that contains the information set out in subsection (6).
2: Every person (in this section referred to as the payer an RWT withholding certificate resident passive income (as applicable) recipient
a: prepare the RWT withholding certificate resident passive income (as applicable) tax year
b: prepare the RWT withholding certificate resident passive income (as applicable) and in either case shall provide the RWT withholding certificate
3: Notwithstanding subsection (2), the recipient may at any time during the relevant year notify the payer that they are required an RWT withholding certificate RWT withheld during that year for resident passive income that relates to a financial arrangement, if the financial arrangement withholding certificate the notice
4: Notwithstanding subsection (2), where any person (not being a person with RWT-exempt status
a: ceases to carry on any taxable activity in respect of which that person has been required to withhold RWT
b: ceases to carry on any such taxable activity in New Zealand,— that person shall prepare and provide to the recipients an RWT withholding certificate
5: Notwithstanding subsection (2), where any person in any month ceases to be a person with RWT-exempt status withhold RWT despite the ending of the person’s RWT-exempt status an RWT withholding certificate
6: An RWT withholding certificate must include the following:
a: a statement as to whether the resident passive income is interest, a dividend treated as interest, or a dividend to which section RE 9(2) applies; and
b: the date on which the RWT was withheld, or if there is more than 1 instance, the year in which the amounts were withheld; and
c: the amount of resident passive income and the amount of RWT withheld; and
d: the rate for the resident passive income—
i: found by dividing the total amount of RWT withheld by the amount of resident passive income:
ii: at which RWT would have been withheld if the resident passive income had been paid or derived at the end of the relevant tax year:
iii: at which RWT was withheld during the relevant tax year, together with, if more than 1 RWT rate applied for the resident passive income, the amount to which each rate applied and the amount withheld at each rate; and
e: if, for an inflation-indexed instrument, the recipient derives an interest payment for which RWT is capped by the application of section RE 18B(1)﻿(a)
i: a statement to that effect; and
ii: a statement that the recipient may be required to file a return of income.
6A:
6B: The Commissioner may prescribe a formula for determining the average basic tax rate that is to be applied to resident passive income.
7: No person shall be required to prepare and provide an RWT withholding certificate relating to any interest from which the person has in a tax year withheld RWT
a: all resident passive income $50 tax year
b: the RWT withheld was from resident passive income that is interest, and the amount was required to be withheld by the person under section RE 7 RE 8 unless the person is notified by the recipient of the interest that they require such a certificate
8: An RWT withholding certificate must
9: Where any resident passive income (as applicable) RWT withholding certificate
10: For the purposes of this section, an RWT withholding certificate is treated as provided to a recipient if it is delivered in a way described in section 14F(4)
a: the recipient; or
b: a person authorised to act on behalf of the recipient.
11: In this section, a dividend that is resident passive income paid by an RWT proxy as described in section RE 3(1)﻿(c) 1976 No 65 s 327H Section 26C renumbered 1 April 2020 section 286(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 26C heading replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(1) replaced 1 April 2020 section 286(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 26C(1B) inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(2) amended 29 March 2018 section 286(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 26C(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(2)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 26C(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(3) amended 2 June 2016 section 93(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 26C(3) amended 2 June 2016 section 93(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 26C(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(4) amended 1 April 2020 section 286(4) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 26C(4)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(4)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(5) amended 1 April 2020 section 286(5)﻿(a) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 26C(5) amended 1 April 2020 section 286(5)﻿(b) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 26C(5) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(6) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(6)﻿(a) amended 7 September 2010 section 130(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 26C(6)﻿(b) amended 7 September 2010 section 130(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 26C(6)﻿(c) amended 7 September 2010 section 130(3) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 26C(6)﻿(d) replaced 7 September 2010 section 130(4) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 26C(6)﻿(d)﻿(iii) amended 30 June 2014 section 153 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 26C(6)﻿(e) inserted 30 June 2014 section 153 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 26C(6A) repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(6B) inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(7) amended 2 June 2016 section 93(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 26C(7) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(7) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 26C(7)﻿(a) replaced 20 May 1999 section 64(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 26C(7)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(7)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 26C(7)﻿(a) amended 17 October 2002 section 74(3) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 26C(7)﻿(b) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(8) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(9) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 26C(10) replaced 2 June 2016 section 93(4) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 26C(11) replaced 1 April 2008 section ZA 2 Income Tax Act 2007
27: Provision of tax file numbers
1: Every recipient who receives resident passive income from which RWT must be withheld must, if notified by the payer, provide their tax file number to the payer within 10 working days of receiving the notice
2: 1976 No 65 ss 327ZB(2), 327ZD(2) Section 27(1) amended 2 June 2016 section 95(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 27(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 27(1) amended 21 December 2004 section 125(b) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 27(2) repealed 29 March 2018 section 289 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
28: Recipient of resident passive income to provide tax file number when RWT not withheld
A person who receives
a: the payment was not made by the payer in the course of, or furtherance of, a taxable activity:
b: section RE 10 Section 28 replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 28 amended 2 June 2016 section 96(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 28 amended 2 June 2016 section 96(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
28B: Notification of investors’ tax file numbers
1: An investor in a multi-rate PIE must notify the PIE of their tax file number within 6 weeks of the date on which they become an investor in the PIE.
2: Subsection (1) does not apply to—
a: an investor who—
i: is non-resident; and
ii: does not have a tax file number; and
iii: provides the equivalent of their tax file number for the country or territory where they reside for tax purposes, or a declaration if they are unable to provide this number:
b: an investor in a multi-rate PIE that is listed on a recognised exchange in New Zealand.
3: Despite subsection (2), if an investor in a multi-rate PIE is a non-resident who becomes a resident, the investor must immediately notify the PIE that they have become resident. The 6-week period referred to in subsection (1) starts to run from the date of the notification of residency. Section 28B replaced 1 April 2018 section 290 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 28B(2) replaced 18 March 2019 section 28 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
28C: Person advising retirement savings scheme of retirement scheme prescribed rate
A person who gives a notice that the retirement scheme prescribed rate for the person and an income year is less than 39 Section 28C inserted 19 December 2007 section 192 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 28C amended 1 April 2021 section 27 section 3 Taxation (Income Tax Rate and Other Amendments) Act 2020
28D: Information required from notified foreign investors
1: In order to become a notified foreign investor in a foreign investment PIE, a non-resident person must provide the PIE with the following information:
a: their full name:
b: their date of birth, if applicable:
c: their home address in the country or territory where they reside for tax purposes:
d: the country code as prescribed by the Commissioner for the country or territory where they reside for tax purposes:
e: the equivalent of their tax file number in the country or territory where they reside for tax purposes, or a declaration if they are unable to provide this number:
f: their tax file number in New Zealand, if applicable.
2: The Commissioner may , by notice,
3: A notice under subsection (2) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication It is not required to be published LA19 s 73(2) The Ministry of Foreign Affairs and Trade considers that the secondary legislation may have international transparency obligations under the CPTPP s 75 LA19 ss 74(2) 75 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 28D inserted 29 August 2011 section 157 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 28D(2) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 28D(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
3F: Statements, notices, and certificates
Subpart 3F heading inserted 1 April 2019 section 291 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
29: Shareholder dividend statement to be provided by company
1: A company that pays to a shareholder a dividend (not being a dividend treated as interest) from which RWT has been withheld, or a dividend with an imputation credit, must
a: the name of the company:
b: the date of payment of the dividend:
c: the name and address of the shareholder to whom the dividend is paid:
d: the amount of RWT withheld, if any:
e: the amount of NRWT withheld, if any:
f: the amount of the dividend paid to the shareholder:
g: the amount of any imputation credit attached to that dividend:
h: the aggregate of the amount of the dividend and the amount of any imputation credit attached to that dividend:
i:
ia:
ib: the amount, if any, of the dividend paid to a retirement savings scheme as a retirement scheme contribution for the shareholder:
ic: the name of the retirement savings scheme to which any retirement scheme contribution was paid:
id: the amount, if any, of imputation credit used to satisfy a liability of the company for RSCT
ie: the amount, if any, of imputation credit remaining after the company has used an imputation credit in satisfying a liability for RSCT
j: such other information as may be required by the Commissioner.
1B: An Australian ICA company
1C: The company must give the shareholder dividend statement to the shareholder—
a: at the time of payment of the dividend, if neither of paragraphs (b) and (c) applies; or
b: before the date that is 3 months after the time of emigration, if the company is treated under section FL 2
c: before the date that is 3 months after the earliest of the events described in section FL 3(1)﻿(a) to (c)
2: For the purposes of this section, a shareholder dividend statement is treated as given to a shareholder if it is delivered in a way described in section 14F(4)
a: the shareholder; or
b: a person authorised to act on behalf of the shareholder.
3: For the purposes of this section, a company that pays to a shareholder a dividend described in section CD 1(3) 1976 No 65 s 394I Section 29(1) amended 1 April 2017 section 307(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 29(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 29(1) amended 3 April 2006 section 213(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 29(1)﻿(d) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 29(1)﻿(e) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 29(1)﻿(i) repealed 1 April 2017 section 307(2) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 29(1)﻿(ia) repealed 7 May 2012 section 141(2) Taxation (International Investment and Remedial Matters) Act 2012 Section 29(1)﻿(ib) inserted 19 December 2007 section 193(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 29(1)﻿(ic) inserted 19 December 2007 section 193(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 29(1)﻿(id) inserted 19 December 2007 section 193(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 29(1)﻿(id) amended 1 April 2008 section 193(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 29(1)﻿(ie) inserted 19 December 2007 section 193(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 29(1)﻿(ie) amended 1 April 2008 section 193(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 29(1B) inserted 25 November 2003 section 106 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 29(1B) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 29(1C) replaced 31 March 2023 section 173(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 29(2) replaced 2 June 2016 section 98 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 29(3) inserted 31 March 2023 section 173(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
30: Statement to shareholder when
FDP credit Section 30 repealed 1 April 2017 section 308 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
30A: Statement to shareholder when
CTR credit Section 30A repealed 7 May 2012 section 142(1) Taxation (International Investment and Remedial Matters) Act 2012
30B: Statement to share supplier when share user makes replacement payment under share-lending arrangement
A share user under a share-lending arrangement who pays a replacement payment to the share supplier must at the time of paying the replacement payment give to the share supplier a replacement payment statement in a form approved by the Commissioner showing—
a: the name of the share user:
b: the date on which the replacement payment is paid:
c: the name and address of the share supplier:
d:
e: the amount of the replacement payment after the RWT is withheld
f: the amount of any imputation credit attached under section OB 64
g: the aggregate of the amount of any imputation credit referred to in paragraph (f) and the amount of the imputation credit arising under section RE 25 amount of RWT withheld
h: Section 30B inserted 1 July 2006 section 214 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 30B(d) repealed 18 December 2006 section 178 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 30B(e) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 30B(f) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 30B(g) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 30B(h) repealed 18 December 2006 section 178 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006
30C: Credit transfer notice to share supplier and Commissioner when share user transfers imputation credit under share-lending arrangement
1: A credit transfer notice may be issued by a share user under a share-lending arrangement when a dividend is paid for an original share, by complying with this section.
2: A credit transfer notice must—
a: be in a form approved by the Commissioner:
b: show the amount of imputation credit, if any,
c: state that any imputation credit
d: attach a copy of the shareholder dividend statement for the dividend, if the dividend is derived by the share user:
e: be given to the relevant share supplier and the Commissioner when the dividend is paid or as soon as possible after it is paid. Section 30C inserted 1 July 2006 section 214 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 30C(2)﻿(b) amended 1 April 2017 section 309(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 30C(2)﻿(c) amended 1 April 2017 section 309(2) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
30D: Statements to shareholders when certain assets held by companies
1: This section applies for an income year to a company to which 1 or more of sections DG 11 to DG 19
2: The company must provide the following information, as applicable, to every shareholder of the company for the income year to enable the shareholder to calculate the amount of a deduction that may be allowed for the income year in relation to an asset to which subpart DG
a: their share of a net asset balance for the income year:
b: their share of an outstanding profit balance for the income year:
c: other necessary information for the income year. Section 30D inserted 17 July 2013 section 110 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013
30E: Statement to transferee by life insurer when transferring life insurance policies
A life insurer (the transferor transferee transferred amount
a: the names of the transferor and transferee; and
b: a description identifying the contracts being transferred; and
c: the date of the transfer; and
d: the total of transferred amounts for the contracts; and
e: details of the quantum, timing, and nature of the amounts making up the total transferred amount. Section 30E inserted 30 March 2017 section 310 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
31: Maori authority to give notice of amounts distributed
1: A Maori authority that makes a taxable Maori authority distribution to a member must, at the time the distribution is made, give to the member a notice that contains the following details:
a: the name of the Maori authority:
b: the date the distribution is made:
c: the name and address, and the tax file number if the number is known by the Maori authority, of the member to whom the distribution is made:
d: the amount of the distribution made to the member, including what portion is a taxable distribution and what portion is a non-taxable distribution:
e: the amount of a Maori authority credit attached to the distribution or treated as being attached to the distribution under section RE 24
eb: the amount, if any, of the distribution paid to a retirement savings scheme as a retirement scheme contribution for the shareholder:
ec: the name of the retirement savings scheme to which any retirement scheme contribution was paid:
ed: the amount, if any, of Maori authority credit used to satisfy a liability of the company for RSCT
ee: the amount, if any, of Maori authority credit remaining after the company has used an imputation credit in satisfying a liability for RSCT
f: such other information as the Commissioner may require.
2: For the purposes of this section, a notice is treated as given to a member if it is delivered in a way described in section 14F(4)
a: the member; or
b: a person authorised to act on behalf of the member. Section 31 replaced 26 March 2003 section 88(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 31(1)﻿(e) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 31(1)﻿(eb) inserted 19 December 2007 section 194(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 31(1)﻿(ec) inserted 19 December 2007 section 194(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 31(1)﻿(ed) inserted 19 December 2007 section 194(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 31(1)﻿(ed) amended 1 April 2008 section 194(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 31(1)﻿(ee) inserted 19 December 2007 section 194(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 31(1)﻿(ee) amended 1 April 2008 section 194(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 31(2) replaced 2 June 2016 section 99 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
31B: Notification requirements for PIEs
1: An entity choosing under section HM 71 HM 71B a PIE or a foreign investment PIE, as applicable
1B: A multi-rate PIE choosing to calculate and pay its income tax liability under an option set out in section HM 42 HM 43 HM 44
2: A PIE choosing under section HM 29 Section 31B replaced 1 April 2010 section 613(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 31B(1) amended 29 August 2011 section 158(a) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 31B(1) amended 29 August 2011 section 158(b) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 31B(1B) inserted 29 March 2018 section 292 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
31C: Notification requirements for multi-rate PIEs
1: This section sets out the notice requirements for a multi-rate PIE in relation to its investors or a proxy for investors in a multi-rate PIE. The notices must contain the information that the Commissioner considers relevant for a calculation period.
2: For an exiting investor and a PIE that calculates and pays tax using the quarterly calculation option under section HM 43
2B: Subsection (2C) applies when a PIE that calculates and pays tax using the quarterly calculation option makes a voluntary payment of tax under section HM 45
2C: Despite subsection (2), the PIE may provide the notice referred to in subsection (2) by 30 June after the end of the tax year, as if it were a notice described in subsection (3).
3: For an investor not referred to in subsection (2) who invests in a PIE that calculates and pays tax using the provisional tax calculation option under section HM 44
a: by 31 May after the end of the tax year, if the PIE is not a superannuation fund or retirement savings scheme and has an income year ending before 31 May; or
b: by 30 June after the end of the tax year, if the PIE is a superannuation fund or retirement savings scheme and has an income year ending before 30 June; or
c: within 2 months after the end of the PIE's income year, if neither of paragraphs (a) and (b) applies.
4: For an investor not referred to in subsections (2) and (3) who invests in a PIE that calculates and pays tax using the quarterly or exit calculation options under sections HM 42 HM 43
a: by 31 May after the end of the tax year, if the PIE is not a superannuation fund or retirement savings scheme; or
b: by 30 June after the end of the tax year, if the PIE is a superannuation fund or retirement savings scheme.
5: The PIE must, at least once in a tax year, ask an investor to provide their tax rate under sections HM 56 to HM 58 of that Act. However, this subsection does not apply in relation to a foreign investment PIE and a notified foreign investor.
6: The PIE must ask a person when they become an investor to provide their tax file number to the PIE. For each investor for whom no tax file number is held, the PIE must, at least once in a tax year, ask the investor to provide their tax file number.
7: A foreign investment PIE must ask a person who is a notified foreign investor in the PIE at least once a year to confirm that—
a: their status requirements under section HM 55D(3)
b: their information details required under section 28D(1)
8: If the PIE receives no response to its request under subsection (7), they may continue to treat the investor as a notified foreign investor, if that is their existing treatment.
9: A notice required by this section may be given electronically to—
a: the investor, if the investor agrees to have the notice given in that way:
b: a person authorised to act on behalf of the investor, if the person and the investor agree to have the notice given in that way. Section 31C inserted 1 April 2010 section 613(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 31C(2B) inserted 29 August 2011 section 159(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 31C(2C) inserted 29 August 2011 section 159(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 31C(3) replaced 1 April 2011 section 144 Taxation (GST and Remedial Matters) Act 2010 Section 31C(4) replaced 1 April 2011 section 144 Taxation (GST and Remedial Matters) Act 2010 Section 31C(5) amended 18 March 2019 section 29 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 31C(7) inserted 29 August 2011 section 159(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 31C(8) inserted 29 August 2011 section 159(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 31C(9) inserted 17 July 2013 section 111 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013
32: Records of specified charitable, benevolent, philanthropic, or cultural bodies
1: All gift-exempt bodies must keep in New Zealand sufficient records in the English language to enable the Commissioner to determine both the sources of donations made to them and the application, within New Zealand or within a country or territory outside New Zealand, of their funds.
2: Despite subsection (1), on application by a gift-exempt body, the Commissioner may notify the body that they are authorised to keep the records in a language other than English. Section 32 replaced 2 September 1996 section 41 Taxation (Remedial Provisions) Act 1996 Section 32(2) replaced 2 June 2016 section 100 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
32A: Records to be provided by employer who contributes to superannuation fund
1: On application employer's superannuation cash contributions tax years before the tax year section CS 1 Income Tax Act 2007
2:
3: A person who receives an application under subsection (1) must provide the information, to the extent it is held or can be accessed, no later than 20 working days after the date on which the application is made.
4: When calculating the superannuation fund's income under section CS 1 Income Tax Act 2007 Section 32A inserted 25 September 2000 section 35(1) Taxation (FBT, SSCWT and Remedial Matters) Act 2000 Section 32A(1) amended 2 June 2016 section 101(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 32A(1) amended 6 October 2009 section 614(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 32A(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32A(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 32A(2) repealed 2 June 2016 section 101(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 32A(3) replaced 2 June 2016 section 101(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 32A(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32A(4) amended 1 April 2005 section YA 2 Income Tax Act 2004
32B: Certification requirements for withdrawals subject to
section CS 1 of Income Tax Act 2007 Section 32B repealed 1 April 2011 section 132 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010
32C: Certification requirements for transfers from superannuation funds
Section 32C repealed 1 April 2011 section 133 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010
32D: Disclosure requirements for purpose of continuity provisions and
public unit
1: On application by a trustee of a public unit trust, the unit holder must provide the trustee with a statement notifying them of persons associated with the unit holder.
2:
3: A unit holder who receives an application the application
4: The trustee is entitled to rely on the statement as being correct, and the statement is treated as being correct, unless the trustee has reasonable grounds for believing that the statement provided is not correct. Section 32D inserted 24 October 2001 section 191(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 32D heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32D(1) replaced 2 June 2016 section 102(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 32D(2) repealed 2 June 2016 section 102(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 32D(3) amended 2 June 2016 section 102(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 32D(3) amended 2 June 2016 section 102(4) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Resident passive income Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
32E: Applications for
RWT-exempt status
1A: A person who is registered as a charitable trust under the Charities Act 2005
1: A person listed in subsection (2) may apply to the Commissioner for RWT-exempt status
2: The persons are—
a: a registered bank:
b: a building society:
c: the Public Trust or a company that would be a member of the same wholly-owned group of companies as the Public Trust, if it were a company for the purposes of this Act:
d: the Māori Trustee
e: a statutory trustee company:
eb: a portfolio investment entity:
ec: the trustee of the Niue International Trust Fund:
ed: the trustee of the Tokelau International Trust Fund:
f: a person whose main business is—
i: borrowing money or accepting deposits, or receiving credit or selling a credit instrument; and
ii: lending money or granting credit, or buying or discounting a credit instrument:
g: a person that is—
i: a nominee company subject to practice rules made by the Council of the New Zealand Law Society under section 96
ii: a broker’s nominee company to which the Securities Act (Contributory Mortgage) Regulations 1988
h: a practitioner within the meaning of the Lawyers and Conveyancers Act 2006 section 112
i: a person—
i: who has met their obligation to file a return of income under the Inland Revenue Acts within the time allowed; and
ii: whose annual gross income for the tax year for which they last filed a return of income is more than $2,000,000:
j: a person in an accounting year who reasonably believes their annual gross income for the tax year that corresponds to the next accounting year will be more than $2,000,000:
k: a person who derives in a tax year an amount that is exempt income under sections CW 38(2) , CW 38B(2) , CW 39(2) CW 40 to CW 52 and CW 64
kb: a board that is constituted under subpart 5
kc: a tertiary education institution that is established under subpart 3
kd: a tertiary education subsidiary that derives exempt income under section CW 55BA
l: a person to whom section DV 8
3: The person must apply
a: state the basis of exemption under subsection (2); and
b: include a declaration by the person or an officer authorised by them that they come within the basis of exemption.
4: The person must provide further information in relation to the application as the Commissioner requires. 2004 No 35 s NF 9(1)–(3) Section 32E inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32E heading amended 1 April 2020 section 293(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32E(1A) inserted 1 April 2020 section 98 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 32E(1A) amended 1 April 2020 section 202 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 32E(1) amended 1 April 2020 section 293(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32E(2)﻿(d) amended 1 July 2009 section 30(2)﻿(a) Māori Trustee Amendment Act 2009 Section 32E(2)﻿(ec) inserted 6 October 2009 section 616(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 32E(2)﻿(ed) inserted 6 October 2009 section 616(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 32E(2)﻿(i)﻿(ii) replaced 6 October 2009 section 616(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 32E(2)﻿(k) amended 18 March 2019 section 30 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 32E(2)﻿(k) amended 29 March 2018 section 293(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32E(2)﻿(kb) inserted 1 July 2008 section 55 Taxation (Personal Tax Cuts, Annual Rates, and Remedial Matters) Act 2008 Section 32E(2)﻿(kb) amended 1 August 2020 section 668 Education and Training Act 2020 Section 32E(2)﻿(kc) inserted 1 July 2008 section 55 Taxation (Personal Tax Cuts, Annual Rates, and Remedial Matters) Act 2008 Section 32E(2)﻿(kc) amended 1 August 2020 section 668 Education and Training Act 2020 Section 32E(2)﻿(kd) inserted 29 March 2018 section 293(4) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32E(3) amended 2 June 2016 section 103 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
32F: Calculation of annual gross income when threshold met
For the purposes of section 32E(2)﻿(i)
a: including the total annual gross income in the tax year of other group companies; and
b: excluding an amount of assessable income derived by the company or another company in the same group from a transaction or series of related or connected transactions with another company in the group. 2004 No 35 s NF 9(8), (10) Section 32F inserted 1 April 2008 section ZA 2 Income Tax Act 2007
32G: Evidence of annual gross income and consequences of failure to meet threshold
1: This section applies when a person’s application for RWT-exempt status section 32E(2)﻿(j)
2: The person must provide evidence to satisfy the Commissioner of their annual gross income for the accounting year. They must provide the evidence within the 3-month period after the end of the accounting year.
3: For the purposes of subsection (2), the Commissioner may require further evidence, and also for the purposes of section 32L
4: If the person’s annual gross income for the tax year referred to in section 32E(2)﻿(j) had they not had RWT-exempt status Section 139B
a: they had failed to withhold an amount of tax; and
b: the default occurred on each day on which they received or derived a payment from which RWT would otherwise have been withheld.
5: In the calculation of estimated annual gross income of a company that anticipates that it will be part of a group of companies for the tax year referred to in section 32E(2)﻿(j)
6: Despite subsection (5), in the calculation of the annual gross income of a company for the purposes of this section, an amount of income derived by them or another company in the same group of companies from a transaction or series of related or connected transactions with another company in the group is excluded.
7: Despite subsections (2) and (4), the Commissioner may provide RWT-exempt status to, or allow RWT-exempt status to be retained by section 32E(2)﻿(j)
a: beyond the person’s reasonable control; and
b: unlikely to be repeated in later accounting years.
8: For the purposes of subsection (6), the Commissioner may remit some or all of a late payment penalty if the Commissioner considers that the failure is solely a consequence of extraordinary circumstances that the person could not reasonably be expected to have foreseen. 2004 No 35 s NF 9(6), (7), (9)–(11) Section 32G inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32G(1) amended 1 April 2020 section 294(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32G(4) amended 1 April 2020 section 294(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32G(7) amended 1 April 2020 section 294(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
32H: RWT-exempt status when persons meet requirements
1: When a person who meets the requirements of section 32E
a: publish the person’s tax file number and the start date and, if applicable, the end date on the electronic register of persons with RWT-exempt status; and
b: notify the person of the issue of the status, and the start and end date, as applicable.
2: A person’s RWT-exempt status takes effect on the start date provided in the electronic register.
3: For the purposes of the provisions relating to investment income information, if a person has been issued with, or holds, or retains, or is allowed to retain, an RWT exemption certificate that remains current, they are treated as having RWT-exempt status if their details appear on the electronic register referred to in subsection (1). Section 32H replaced 1 April 2020 section 295 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
32I: Providing
RWT-exempt status
1: Despite section 32H provide RWT-exempt status to the person when they do not meet the requirements section 32E(2)
a: will, or is likely to, have for the period, total deductions under the Income Tax Act 2007
b: would have, or would likely have, in a part of a tax year that falls in the period, total tax credits under section LB 3
2: Despite subsection (1), the Commissioner may not provide RWT-exempt status to a person section 32E(3)
a: total amount of assessable income:
b: total deductions:
c: tax credits for resident passive income:
d: income tax liability.
3: For the purposes of subsection (2), the Commissioner may require the person to provide further information.
4:
5: 2004 No 35 s NF 9(12)–(14) Section 32I inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32I heading amended 1 April 2020 section 296(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32I(1) amended 1 April 2020 section 296(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32I(2) amended 1 April 2020 section 296(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32I(2) amended 2 June 2016 section 104 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 32I(4) repealed 1 April 2020 section 296(4) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32I(5) repealed 1 April 2020 section 296(4) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
32J: RWT-exempt status for unincorporated bodies
1: When the Commissioner provides RWT-exempt status to an unincorporated body described in section RE 30
a: the named body has the RWT-exempt status; and
b: no member of the body may have RWT-exempt status in relation to a taxable activity carried on by the body.
2: For the purposes of the RWT rules and RWT-exempt status, a notice to the body is treated as served on the body and on each member of the body. Section 32J replaced 1 April 2020 section 297 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
32K: Failing to meet basis of exemption
1: This section applies when a person who has RWT-exempt status
2: If the person becomes aware that they no longer meet the requirements, they must notify the Commissioner within a period of 5 days after the day on which they become aware.
3: The Commissioner may ask the person to provide the full name and last known address of all persons to whom they have advised their RWT-exempt status 2004 No 35 s NF 11(1) Section 32K inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32K(1) amended 1 April 2020 section 298(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32K(2) replaced 1 April 2020 section 298(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 32K(3) amended 1 April 2020 section 298(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
32L: Revocation of RWT-exempt status
1: The Commissioner may revoke a person’s RWT-exempt status at any time if—
a: the Commissioner reasonably believes that the person no longer meets the requirements on which their exemption is based; or
b: the person did not meet the requirements on which their exemption was based, having acquired the status through misleading information; or
c: the person should not have been provided with RWT-exempt status; or
d: the person’s RWT-exempt status was based on a ground set out in section 32E(2)﻿(i) or (j) section 32G
i: shows the person did not meet the threshold; or
ii: is unsatisfactory; or
iii: is materially incorrect or misleading; or
e: the person is liable for income tax that remains unpaid by the due date for payment.
2: The Commissioner must notify the person whose status has been revoked within 30 working days of the revocation. The Commissioner may also make a request under section 32K(3)
3: Despite subsection (1), if the Commissioner considers that a person referred to in subsection (1)﻿(a) to (d) is a person to whom section 32G
4: A person referred to in subsection (2) must, within 5 days of being notified by the Commissioner, notify every person that they have advised of their RWT-exempt status and from whom they expect to receive further payments of resident passive income that their status has been revoked.
5: The Commissioner must publish on an electronic register, a list of all persons whose RWT-exempt status has been revoked. Section 32L replaced 1 April 2020 section 299 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Non-resident passive income Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
32M: Persons with approved issuer status
1: A person who borrows, has borrowed, or will borrow money is eligible to elect to pay approved issuer levy in relation to a security for the purposes of—
a: the NRWT rules:
b: an exemption under a double tax agreement.
2: For the purposes of subsection (1), the person elects to pay approved issuer levy in relation to a security by—
a: either being an approved issuer or becoming an approved issuer under subsection (2B); and
b: applying under section 86G
c: paying the amount of the levy for the security under section 86I
2B: A person becomes an approved issuer by—
a: notifying the Commissioner that they wish to have approved issuer status; or
b: being treated as an approved issuer by the Commissioner because the person has paid interest under a security, and—
i: the security is a notional loan under section FG 2 section RF 3
ii: an amount of the interest was apportioned to a New Zealand source under section YD 5(4) section RF 3
3: The Commissioner may revoke a person’s approved issuer status at a particular time if—
a: the Commissioner considers that the person has been responsible for serious default or neglect in complying with their obligations under the Inland Revenue Acts in the 2-year period leading up to that time; or
b: subsection (2B)﻿(b) does not apply to the person, and the person asks for revocation of the status.
4: The Commissioner must notify the person of a revocation under subsection (3).
4B: If the Commissioner revokes a person's approved issuer status under subsection (3) within 20 working days of having been notified under subsection (2B), the revocation applies from the date of notification.
5: Despite subsection (3), the person continues to have approved issuer status for the purposes of the NRWT rules, an exemption under a double tax agreement, and Part 6B 2004 No 35 ss NG 5–NG 7 Section 32M inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 32M(1) replaced 21 December 2010 section 145(1) Taxation (GST and Remedial Matters) Act 2010 Section 32M(2) replaced 21 December 2010 section 145(1) Taxation (GST and Remedial Matters) Act 2010 Section 32M(2B) replaced 30 March 2017 section 311(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 32M(3)﻿(b) replaced 30 March 2017 section 311(2) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 32M(4B) inserted 21 December 2010 section 145(2) Taxation (GST and Remedial Matters) Act 2010 Section 32M(5) amended 21 December 2010 section 145(3) Taxation (GST and Remedial Matters) Act 2010 Foreign dividends Heading repealed 6 October 2009 section 617(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
32N: Information requirements when payments for foreign dividends reduced
Section 32N repealed 6 October 2009 section 617(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
3G: Returns
Subpart 3G heading inserted 1 April 2019 section 300 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Returns, etc Heading repealed 1 April 2019 section 300 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
33: Returns of income
1: In each tax year, a person must file a return of income for a tax year in the form and with the particulars prescribed by the Commissioner.
1B: In an income year, a trust, society or institution to which section CW 41 CW 42 preceding tax year
1C: A multi-rate PIE or a proxy for an investor in the entity that calculates income tax using the exit calculation or quarterly calculation options under sections HM 42 HM 43 section 57B
1D: An individual must provide information to the Commissioner on their assessable income for a tax year under Part 3 subpart 3B section 22I(1)
2: A return must contain a notice of the assessment required to be made under section 92
3: Subsection (2) does not apply if subsection (1B) applies.
4: The nominated company for a consolidated group is treated as a taxpayer for the purposes of this section. A company that is a member of a consolidated group in a tax year must not provide a separate return for a tax year, but this restriction applies only to a tax year, or a part of a tax year, in which the company is part of the group. Section 33 replaced 24 October 2001 section 192(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 33 heading amended 19 December 2007 section 196(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 33 heading amended 26 March 2003 section 89(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 33(1) replaced 1 April 2019 section 31(1) section 31(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 33(1B) inserted 26 March 2003 section 89(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 33(1B) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 33(1B) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 33(1C) replaced 1 April 2010 section 618(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 33(1D) inserted 1 April 2019 section 31(2) section 31(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 33(3) inserted 26 March 2003 section 89(3) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 33(4) inserted 1 April 2008 section ZA 2 Income Tax Act 2007
33AA: Exceptions to requirement for return of income
Section 33AA repealed 1 April 2019 section 32(1) section 32(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
33A: Annual
returns of income Section 33A repealed 1 April 2016 section 179(1) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012
33B: Return not required for certain scheduler gross income
Section 33B repealed 21 December 2004 section 90(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
33C: Return not required for certain providers of personal services
Section 33C repealed 1 April 2019 section 32(1) section 32(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
33D: Return not required for non-resident seasonal worker
Section 33D repealed 1 April 2019 section 32(1) section 32(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
33E: Research and development tax credits: supplementary return
A person who is entitled to a research and development tax credit must file a research and development supplementary return for a tax year in an electronic format prescribed by the Commissioner on or before the day that is 30 days after—
a: the due date on which they are required to file a return of income for the tax year under section 37
b: the due date on which they would be required to file a return under section 37 Section 33E inserted 1 April 2019 section 27 section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 33E deadline to file supplementary return extended to 31 March 2023 20 February 2023 clause 4(2) clauses 4(1) 5 Tax Administration (Research and Development Tax Credit Deadlines for Taxpayers Affected by Weather Events) Order 2023
33F: Research and development tax credits: extension of time for 2019–20 income year
The time for a person to file a supplementary return under section 33E Section 33F inserted 30 March 2022 section 191 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
34: Presumption as to authority of person making return
A return purporting to be made by or on behalf of any person shall for all purposes be deemed to have been made by that person or by that person's authority, as the case may be, unless the contrary is proved. 1976 No 65 s 18
34B: Commissioner to list tax agents
Section 34B repealed 18 March 2019 section 33 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
35: Power of Commissioner to prescribe forms
1: For the purposes of the Inland Revenue Acts and any other Acts administered by the department, the Commissioner may from time to time prescribe any forms and any electronic formats that are not otherwise specifically prescribed.
2: For the purposes of the Inland Revenue Acts, the Commissioner may allow a person to provide the information required in a prescribed form in a manner other than writing if the Commissioner is satisfied that in the circumstances it is appropriate.
3: The production by the Commissioner of any document purporting to be—
a: a prescribed form or an extract from a prescribed form or a copy of any such form or extract; or
b: shall in all courts and in all proceedings (including proceedings before a Taxation Review Authority) be sufficient evidence of the fact that the form or electronic format was prescribed. 1974 No 133 s 22A Section 35(2) inserted 21 February 2017 section 108 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 35(3)﻿(b) repealed 1 April 1999 section 10(1) Taxation (Simplification and Other Remedial Matters) Act 1998
36: Commissioner may approve furnishing of return information by electronic means
1: For the purposes of this Act, the Income Tax Act 2007 Goods and Services Tax Act 1985
2: Any approval given under subsection (1)—
a: may relate to an individual taxpayer or registered person or agent or to any class or classes of taxpayers or registered persons:
b: may relate to any 1 or more classes of return:
c: shall be subject to any conditions that may be specified by the Commissioner, whether generally or in any particular case.
3: Where a taxpayer or registered person, or agent of a taxpayer or registered person, transmits to the Commissioner in the prescribed electronic format the information contained in any return of the taxpayer or registered person in accordance with an approval given under subsection (1),—
a: the taxpayer or registered person shall retain or cause to be retained the information in—
i: a hard-copy transcript:
ii: an electronic form meeting the requirements of section 229
b: if no electronic form under paragraph (a)﻿(ii) of a return is retained, and the return is not an employer monthly schedule or annual reconciliation statement under section 57B section 40
ba:
c: the information transmitted to the Commissioner shall be treated for the purposes of this Act and the Goods and Services Tax Act 1985
4: Section 36 replaced 12 December 1995 Tax Administration Amendment Act (No 3) 1995 Section 36(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 36(3)﻿(a) replaced 2 November 2012 section 182 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 36(3)﻿(a)﻿(ii) amended 1 September 2017 section 347 Contract and Commercial Law Act 2017 Section 36(3)﻿(b) replaced 2 November 2012 section 182 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 36(3)﻿(ba) repealed 2 November 2012 section 182 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 36(4) repealed 29 March 2018 section 302 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
36A: Electronic format of employer monthly schedule and
PAYE payment form Section 36A repealed 1 April 2019 section 303 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
36AB: Electronic return requirements for multi-rate PIEs
Section 36AB repealed 1 April 2020 section 304 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
36B: Other formats of employer monthly schedule
Section 36B repealed 1 April 2019 section 305 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
36BB: Electronic format for details required
for tax pooling intermediaries The Commissioner may prescribe 1 or more electronic formats in which details that must be provided under sections RP 17 to RP 21 sections 124S to 124W 124ZF Section 36BB inserted 1 April 2003 section 92 Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 36BB heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 36BB amended 1 April 2020 section 203 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 36BB amended 1 April 2008 section ZA 2 Income Tax Act 2007
36BC: Electronic format for details required under subpart EK of
Income Tax Act 2007 The Commissioner may prescribe 1 or more electronic formats in which details that must be provided under subpart EK Income Tax Act 2007 Section 36BC inserted 21 June 2005 section 127 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 36BC heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 36BC amended 1 April 2008 section ZA 2 Income Tax Act 2007
36BD: Electronic filing requirements for registered persons
1: The Commissioner must prescribe 1 or more electronic forms or means of electronic communication that—
a: a registered person may use to file a return required under the Goods and Services Tax Act 1985
b: a registered person whose taxable supplies exceed the threshold set out in subsection (2) must use to file a return under that Act.
2: The Governor-General may, on the recommendation of the Minister of Revenue, make an Order in Council setting a threshold for the value of taxable supplies of a registered person that means the person is required to use an electronic form or means of electronic communication for filing a return under that Act. Before making the recommendation, the Minister must undertake consultation on the proposed threshold that is appropriate and reasonable for the purposes of this section.
3: The Commissioner may exempt a registered person, or a class of registered persons, whose taxable supplies exceed the threshold from the requirement to file in the prescribed electronic form or by the prescribed means of electronic communication. The Commissioner must provide a statement of reasons for the exemption.
4: In determining under subsection (3) whether to exempt the person or class of persons, the Commissioner must have regard to—
a: the nature and availability of digital services to the person or persons in the class, including the reliability of those services for the purposes of the person or persons; and
b: the capability of the person or persons in the class relating to the use of computers; and
c: the costs that the person or persons in the class would incur in complying with the requirements if those costs would be unreasonable in the circumstances.
5: Subject to subsection (6), an exemption under this section remains valid until the Commissioner notifies the registered person
6: In making an exemption under this section, the Commissioner may set a time limit on the exemption, stating a start date and an end date, as applicable, for the exemption and the reason for setting the limit.
7: The following are secondary legislation ( see Part 3
a: an order under subsection (2):
b: an exemption under subsection (3), unless it applies only to 1 or more named persons. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under subsection (2). Legislation Act 2019 requirements for secondary legislation made under subsection (2) Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under subsection (3). Legislation Act 2019 requirements for secondary legislation made under subsection (3) Publication It is not required to be published LA19 s 73(2) Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 36BD inserted 29 March 2018 section 306 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 36BD(5) amended 1 April 2020 section 35 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 36BD(7) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
36BE: Research and development tax credits: electronic formats
1: The Commissioner must prescribe 1 or more electronic formats in which a research and development supplementary return under section 33E
2: The Commissioner may, from time to time, set specifications for software for use in populating the research and development supplementary return, and related criteria for the use of specified software. Section 36BE inserted 1 April 2019 section 28 section 3 Taxation (Research and Development Tax Credits) Act 2019
36C: Particulars furnished in electronic format
1: In the application of any of sections 33E 35 36 36A 36AB 36B 36BB 36BC 36BD 36BE
2: The production by the Commissioner of a document purporting to be a printed copy of a specification of an electronic format or a part of that specification, in all courts and in all proceedings (including proceedings before a Taxation Review Authority), is sufficient evidence that the electronic format was prescribed. Section 36C inserted 7 October 1998 section 12(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 36C(1) amended 1 April 2019 section 29 section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 36C(1) amended 29 March 2018 section 307 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 36C(1) amended 7 September 2010 section 134 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010
36CA: Electronic filing exemption for new businesses
Section 36CA repealed 1 April 2019 section 308 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
36D: Non-electronic filing of employer monthly schedule
Section 36D repealed 1 April 2019 section 308 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
36E: Election available to other employers
Section 36E repealed 1 April 2019 section 309 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Returns and return dates Heading inserted 1 April 2019 section 309 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
37: Dates by which annual returns to be furnished
1: The annual returns of income required under this Act shall be furnished to the Commissioner as follows:
a:
b: in the case of any taxpayer with a late balance date, not later than the seventh of the month which is the fourth month after the end of the taxpayer's corresponding income year
c: in all other cases, not later than 7 July in each year.
1B: For the purposes of this section, an annual return of income for an individual to whom Part 3 subpart 3B section 22D(6)
2: The Commissioner shall give public notice of the days by which the returns are required to be furnished by publishing the notice in such manner as the Commissioner thinks fit; but the omission to give any such notice shall not affect the liability of any person to furnish any return within the time prescribed by this section in that behalf.
3: Subject to subsection (5), where any taxpayer satisfies the Commissioner that the taxpayer is unable to furnish the required return by the due date required under this section, the Commissioner, upon application
3B: Subject to subsection (5), an extension of time to a date advised by the Commissioner is available to a person or a class of persons if—
a: a systems issue arises for an Inland Revenue digital platform resulting in a person or class of persons being prevented from, or being otherwise hindered or disadvantaged in, providing the required return or income information; and
b: a proportionate extension of time is considered proper in the circumstances.
4: Subject to subsection (5), the Commissioner may extend a tax agent's time for furnishing a return of income for any taxpayer to a date the Commissioner thinks proper in the circumstances, if the Commissioner is satisfied that—
a: the tax agent is unable to furnish the return of income on or before the date set by subsection (1); or
b: it would be unreasonable, having regard to the circumstances of the tax agent preparing the return, to require the return to be furnished on or before the date set by subsection (1).
4A: If a tax agent has not furnished for a tax year
a: refuse to grant an extension of time under subsection (4) for furnishing 1 or more tax returns that are linked to the tax agent; and
b: cancel any existing extension of time arrangement granted under subsection (4) for the tax years
c: cancel any existing extension of time arrangement granted under subsection (4) for 1 or more returns, but not necessarily all returns, for the tax years
4B: If the Commissioner extends under subsection (4) the time for a person listed as a tax agent to furnish a return of income for a taxpayer and the person ceases to be a tax agent before the extension of time would have expired, the Commissioner must extend the taxpayer's time for furnishing the return to a date of 31 March on or after the date that would have applied if the person had continued to be a tax agent.
5: For the purposes of subsections (3) and (4),—
a: where the return required to be furnished by any taxpayer is a return for a year ending on 31 March, the time for furnishing that return shall not be extended or further extended to a time later than the 31 March that immediately succeeds that 31 March:
b: where the return required to be furnished by any taxpayer is, by consent of the Commissioner under section 38
i: where that date is between 30 September and the next succeeding 31 March, not be extended or further extended to a time later than the 31 March next succeeding the 31 March that immediately succeeds that date:
ii: where that date is between 31 March and the next succeeding 1 October, not be extended or further extended to a time later than the 31 March that immediately succeeds that date.
6: 1976 No 65 s 17 Section 37(1)﻿(a) repealed 7 October 1998 section 14(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 37(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 37(1B) inserted 1 April 2019 section 36(1) section 36(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 37(3) amended 23 September 1997 section 70 Taxation (Remedial Provisions) Act 1997 Section 37(3B) inserted 1 April 2019 section 36(2) section 36(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 37(4) replaced 27 March 1998 section 43(1) Taxation (Remedial Provisions) Act 1998 Section 37(4A) replaced 20 May 1999 section 66(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 37(4A) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 37(4A)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 37(4A)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 37(4B) inserted 19 December 2007 section 200 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 37(6) repealed 7 October 1998 section 14(2) Taxation (Simplification and Other Remedial Matters) Act 1998
38: Returns to annual balance date
1: Instead of furnishing a tax year return under section 33 (other than an individual referred to in subsection (1C)
1B: A multi-rate PIE that does not calculate and pay tax using the provisional tax calculation option under section HM 44
1C: The person is an individual whose final account for the tax year is treated under section 22I(1)﻿(b) section 92
2:
3: Any election made by a taxpayer for the purposes of this section shall continue in force unless and until it is altered by the taxpayer with the prior notified approval 1976 No 65 s 15 Section 38(1) replaced 1 April 2005 section YA 2 Income Tax Act 2004 Section 38(1) amended 1 April 2019 section 37(1) section 37(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 38(1B) replaced 1 April 2010 section 622(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 38(1C) inserted 1 April 2019 section 37(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 38(2) repealed 1 April 2005 section YA 2 Income Tax Act 2004 Section 38(3) amended 2 June 2016 section 109 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
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 calendar year transitional year succeeding calendar year
2: If the Commissioner approves a change to a new balance date that is later in the calendar year transitional year same calendar year
3: If the change in balance date means that a taxpayer has 2 corresponding income years for the same tax year, the figures for both corresponding income years are aggregated when the taxpayer's net income or net loss is determined.
4: For the purpose of giving effect to this section and section 38
5: For the tax year corresponding to the income year or income years in which the change of balance date occurs, the basic tax rate for the purposes of the Income Tax Act 2007
a: the amount that, if the person had no income or expenditure associated with each business activity affected by a change of balance date for the tax year, would be obtained by subtracting the person’s annual total deduction for the tax year from the person’s annual gross income for the tax year; and
b: for each business activity affected by a change of balance date for the tax year, the amount given by subsection (6) for the tax year and the business activity.
6: The amount given by this subsection, for a tax year and a business activity affected by a change of balance date for the tax year, is calculated using the formula— unadjusted business net × year days ÷ income year days.
7: In the formula,—
a: unadjusted business net
b: year days
i: 365, if subparagraph (ii) does not apply:
ii: 366, if the income year or income years corresponding to the tax year include a 29 February:
c: income year days Section 39 replaced 1 April 2005 section YA 2 Income Tax Act 2004 Section 39(1) amended 30 March 2017 section 312(1)﻿(a) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 39(1) amended 30 March 2017 section 312(1)﻿(b) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 39(1) amended 1 October 2007 section 217(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 39(2) amended 30 March 2017 section 312(2)﻿(a) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 39(2) amended 30 March 2017 section 312(2)﻿(b) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 39(2) amended 1 October 2007 section 217(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 39(5) replaced 30 March 2017 section 312(3) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 39(6) replaced 30 March 2017 section 312(4) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 39(7) inserted 30 March 2017 section 312(4) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
39B: Changes in return dates: taxpayers with provisional tax and GST liabilities
1: Subsection (2) applies if a provisional taxpayer—
a: is a person registered under the Goods and Services Tax Act 1985
b: elects under section 38(1)
c: moves from—
i: a balance date in an even-numbered month to a balance date in another even-numbered month; or
ii: a balance date in an odd-numbered month to a balance date in another odd-numbered month.
2: Until the new balance date is reached, the taxpayer must—
a: continue with the due dates for their provisional tax instalments that applied before the change in balance date was approved; and
b: apply sections RC 20 to RC 25 Schedule 3
3: Subsection (4) applies if a provisional taxpayer—
a: is a person registered under the Goods and Services Tax Act 1985
b: elects under section 38(1)
c: moves from—
i: a balance date in an even-numbered month to a balance date in an odd-numbered month; or
ii: a balance date in an odd-numbered month to a balance date in an even-numbered month.
4: Until the new balance date is reached, the taxpayer must—
a: continue with the due dates for their provisional tax instalments that applied before the change in balance date was approved; and
b: apply sections RC 21 to RC 25 Schedule 3
c: make an adjustment to their provisional tax liability for the income year for the part of the taxable period in which the new balance date falls.
5: If a change in balance date means that the taxpayer's taxable period is not aligned with their balance date, the Commissioner must make an adjustment to the taxable period under section 15B Section 39B inserted 1 October 2007 section 218(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 39B(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 39B(4)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007
40: General requirements for returns
1: A tax return
a: signed; and
b: contain all the information and be accompanied by all the documents required under any of the Inland Revenue Acts.
2: When a person furnishes a tax return by electronic means under sections 14B(2)﻿(c) 14C(2)﻿(a)
a: the return must be filed in the prescribed electronic format; and
b: for the purposes of subsection (1)﻿(a), the return may be filed under an electronic signature if the requirements of section 13B
3: A tax return Section 40 replaced 7 October 1998 section 16(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 40(1) amended 2 June 2016 section 110(1)﻿(a) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 40(1) amended 2 June 2016 section 110(1)﻿(b) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 40(2) replaced 2 June 2016 section 110(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 40(3) amended 2 June 2016 section 110(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
41: Annual returns by persons who receive
credit under family scheme
1: If a person is eligible to receive a credit of tax under the family scheme
2: A person's application must be signed and provide the information the Commissioner requires.
3: Subsection (4) applies if, apart from this section, a person is not required to furnish a return of income for a tax year
a: for the whole or part of the tax year family notice of entitlement the family scheme
b: after the end of the income year, the person applies to the Commissioner for a tax credit under the family scheme tax year
4: Whether or not the person derived income in the tax year and despite the application of Part 3 subpart 3A
a:
b: the information relevant to the calculation of the person's family scheme income for the tax year; and
c: other information required by the Commissioner.
5:
6: A person who is eligible for a tax credit under the family scheme section HR 8(4)
7: A notice of election under section HR 8(4)
a: in a form acceptable to the Commissioner; and
b: be received by the Commissioner on or before the latest of the following:
i: the date by which section 37
ii: the date by which section 37
iii: the date allowed by the Commissioner on application.
8: An application under subsection (7)﻿(b)﻿(iii) for an extension of time to make an election is treated as if it were an application under section 37 Section 41 replaced 24 May 1999 section 17 Taxation (Parental Tax Credit) Act 1999 Section 41 heading amended 1 July 2018 section 27(1) Families Package (Income Tax and Benefits) Act 2017 Section 41(1) amended 1 July 2018 section 27(2) Families Package (Income Tax and Benefits) Act 2017 Section 41(3) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 41(3)﻿(a) amended 1 July 2018 section 27(3) Families Package (Income Tax and Benefits) Act 2017 Section 41(3)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 41(3)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 41(3)﻿(b) amended 1 July 2018 section 27(4) Families Package (Income Tax and Benefits) Act 2017 Section 41(3)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 41(4) replaced 1 April 2016 section 184(1) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 41(4) amended 1 April 2019 section 38(1) section 38(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 41(4)﻿(a) repealed 23 March 2020 section 204 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 41(5) repealed 1 April 2016 section 184(2) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 41(6) inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 41(6) amended 1 July 2018 section 27(5) Families Package (Income Tax and Benefits) Act 2017 Section 41(7) inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 41(8) inserted 1 April 2008 section ZA 2 Income Tax Act 2007
41A: Returns
in relation to
1: A person who has a tax credit under sections LD 1 to LD 3
a: providing the information on the total amount of the charitable or other public benefit gifts they have made for a tax year with the information provided under Part 3 subpart 3B
b: notifying the Commissioner by electronic means in relation to an amount of charitable or other public benefit gift that they have made during the tax year to which the application relates:
c: completing the form prescribed by the Commissioner.
2: The total amount refunded, including a refund made on an application under subsection (7), must be no more than the annual amount of the tax credits.
3: The sum of the sections LD 1 to LD 3 gift
4: If subsection (3) applies, the Commissioner must reduce gift
5: An application under subsection (1) must be made in the manner required by the Commissioner,
a:
b: the amount of a charitable or other public benefit gift to which sections LD 1 to LD 3
6: A taxpayer may apply for a refund for the tax year in which the gift is made in the 4-year period beginning with—
a: the 1 April following the end of the taxpayer's income year corresponding to the tax year, if the taxpayer has a standard balance date or an earlier balance date; or
b: the day after the end of the taxpayer's income year corresponding to the tax year, if the taxpayer has a late balance date.
6B: For the purposes of section 108(1)
a: the payment of a refund under this section is treated as an assessment; and
b: the 4-year period starts at the end of the tax year in which the person applies for the refund.
7: Despite subsection (6), the Commissioner may, in special circumstances, accept an application for a refund before the end of the tax year to which the application relates.
8: For the purpose of subsection (7), special circumstances
a: the person leaving New Zealand, permanently or for a significant length of time:
b: a trustee of a deceased person’s estate wishing to wind up the estate.
9: Despite subsection (1), the Commissioner must not refund the amount of a tax credit unless the requirements of subsections (2) and (3) are met.
10: When the Commissioner has considered an application, the Commissioner must notify the person of the amount of the tax credit under sections LD 1 to LD 3
11: A tax credit may not be refunded to an absentee, a company, a public authority, a Maori authority, an unincorporated body, or a trustee liable for income tax under sections HC 16 HC 32 HZ 2
12: A refund under subsection (1) must be paid as if it were tax paid in excess.
13: A refund under subsection (1), to the extent to which it is more than the correct amount of refund, is recoverable as an excess tax credit under section 142D
14: The Commissioner must publish, from time to time, in a publication chosen by the Commissioner, a list of the names of entities that—
a: have provided the information required under subsection (16):
b: the Commissioner considers appropriate to include on the list (for example, an entity registered under the Charities Act 2005
15: Despite subsection (14), the name of an entity must not be published on the list if the Commissioner determines that the entity is not described in section LD 3(2)﻿(a), (ab), (b), (c), or (d)
16: An entity may request that their name is included on the list by providing information to the Commissioner in the form prescribed by the Commissioner. Section 41A heading amended 1 April 2019 section 39(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 41A heading amended 29 May 2012 section 12(1) Taxation (Budget Measures) Act 2012 Section 41A replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 41A(1) replaced 1 April 2019 section 39(2) section 39(7) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 41A(3) replaced 6 October 2009 section 623(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 41A(3) amended 29 May 2012 section 12(3)﻿(a) Taxation (Budget Measures) Act 2012 Section 41A(3) amended 29 May 2012 section 12(3)﻿(b) Taxation (Budget Measures) Act 2012 Section 41A(4) amended 29 May 2012 section 12(4)﻿(a) Taxation (Budget Measures) Act 2012 Section 41A(4) amended 29 May 2012 section 12(4)﻿(b) Taxation (Budget Measures) Act 2012 Section 41A(4) amended 29 May 2012 section 12(4)﻿(c) Taxation (Budget Measures) Act 2012 Section 41A(5) amended 1 April 2019 section 39(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 41A(5)﻿(a) repealed 29 May 2012 section 12(5) Taxation (Budget Measures) Act 2012 Section 41A(5)﻿(b) replaced 6 October 2009 section 623(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 41A(6) replaced 1 April 2014 section 112(1) Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 Section 41A(6B) inserted 1 April 2019 section 39(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 41A(10) replaced 6 October 2009 section 623(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 41A(10) amended 29 May 2012 section 12(6) Taxation (Budget Measures) Act 2012 Section 41A(14) replaced 1 April 2020 section 39(6) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 41A(15) replaced 1 April 2020 section 39(6) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 41A(16) inserted 1 April 2020 section 39(6) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
41B: Return by person applying for tax credit on redundancy payment
1: A person who has a tax credit under section ML 2
2: An application under subsection (1) must be made in the manner required by the Commissioner, be signed by the person, and be accompanied by—
a: any information the Commissioner requires, including—
i: the amount of the payment that is a redundancy payment under sections ML 1 to ML 3
ii: the name of the payer of the redundancy payment; and
iii: the date on which the redundancy payment was made; and
b:
3: An application for a refund must be made in the period—
a: beginning after the date of the redundancy payment; and
b: ending with the day that is 4 years after the date of the redundancy payment.
4: When the Commissioner has considered an application for a refund, the Commissioner must notify sections ML 1 to ML 3
5: A refund allowed under subsection (1) must be paid as if it were tax paid in excess.
6: A refund allowed under subsection (1), to the extent it exceeds the correct amount of refund, is recoverable as an excess credit of tax under section 142D
7: Part 7
8: Part 9 Section 41B inserted 19 December 2007 section 203(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 41B heading replaced 6 October 2009 section 624(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 41B(1) replaced 6 October 2009 section 624(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 41B(2)﻿(a)﻿(i) amended 1 April 2008 section 203(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 41B(2)﻿(b) amended 2 June 2016 section 111(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 41B(4) replaced 6 October 2009 section 624(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 41B(4) amended 2 June 2016 section 111(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
42: Returns by joint venturers, partners, and partnerships
1: This section applies when 2 or more people derive income jointly or have deductions jointly.
2: Despite subsection (1), this section does not apply to the income derived by, and the deductions of, an airport operator from activities undertaken as an airport operator.
3: In the case of partners,—
a: if the partnership of the partner is a limited partnership registered under the Limited Partnerships Act 2008 section HG 2
i: the total amount of income derived by the partners as members of the partnership; and
ii: the partners’ partnership shares in the income; and
iii: a summary of the deductions of each partner:
b: there is no joint assessment, but each partner must make a separate return of income under section 33
4: In any other case, each person shall make a separate return taking into account that person’s share of the joint income and deductions. Each person is separately assessed. Section 42 replaced 1 April 2008 section 29(1) Taxation (Limited Partnerships) Act 2008
42B: Returns by look-through companies and owners of interests
1: This section applies to persons who have effective look-through interests for a look-through company, and to their look-through company.
2: The company must make a return of income that ignores subpart HB
a: the total amount of income derived by the company:
b: the amount of that income for each owner under subpart HB
c: a summary of the deductions for each owner under subpart HB section DV 22
3: There is no assessment of the company, but each owner must make a separate return of income under section 33 Section 42B inserted 1 April 2011 section 148 Taxation (GST and Remedial Matters) Act 2010
42C: Income tax returns by undischarged bankrupt
A person who is adjudicated bankrupt under the Insolvency Act 2006 unless the person is an individual whose final account for the tax year is treated under section 22I(1)﻿(b) section 92 Section 42C inserted 30 March 2017 section 313 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 42C amended 1 April 2019 section 40(1) section 40(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
43: Income tax returns and assessments by executors or administrators
1: The executor or administrator of a deceased taxpayer must furnish the same returns of income and make the same assessments that the taxpayer was required to furnish or make, or would have been required to furnish or make, if the taxpayer had remained alive.
2: The Commissioner may from time to time require the executor or administrator to furnish such further returns of income for the deceased taxpayer as the Commissioner considers necessary.
3: Income tax assessed in respect of a deceased taxpayer, whether or not under subsection (1), is to be treated as a liability incurred by the deceased taxpayer during their lifetime, and the executor or administrator of the taxpayer is liable for the same accordingly.
4:
5: Section 43 replaced 24 October 2001 section 196(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 43(4) repealed 1 April 2019 section 41(1) section 41(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 43(5) repealed 1 April 2019 section 41(1) section 41(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
43A: Non-active companies may be excused from filing returns
1: A company is not required to furnish a return of income in respect of any tax year
a: is a non-active company throughout that tax year
b: has made and furnished to the Commissioner, in a form approved by the Commissioner,—
i: a declaration that it is a non-active company, and that it will notify
ii: a statement of such other matters as the Commissioner may require; and
c: has not since the making of the declaration ceased to be a non-active company.
2: For the purposes of this section, a company is a non-active company for a tax year tax year
a: has not derived or been deemed to have derived any
b: has no
c: has not disposed of or been deemed to have disposed of any assets; and
d: has not been a party to or perpetuated or continued with any transactions which, during the tax year
i: give rise to
ii: give rise to fringe benefits to any employee or to any former employee; or
iib:
iii: give rise to a debit in the company's imputation credit account
3: In determining whether a company complies with the requirements of subsection (2), no account shall be taken of any—
a: statutory company filing fees or associated accounting or other costs; or
b: bank charges or other minimal administration costs totalling not more than $50 in the tax year
c: interest earned on any bank account during the tax year
4: A company that is resident in New Zealand tax year
5: A company that is resident in New Zealand tax year tax years tax year
6: Where at any time any paragraph of subsection (2) ceases to apply to a company that has made a declaration under this section, the company must—
a: notify
b: provide the Commissioner with a statement, in a form approved by the Commissioner, as to—
i: whether or not the company had any loss balance net income tax year
ii: whether or not there has been any change of ownership in the company since that time, whether direct or indirect; and
iii: whether or not the application of any of the continuity provisions would preclude the carrying forward, offsetting, or other utilisation of any tax loss or loss balance
7: Notwithstanding subsections (1), (4), and (5), a non-active company shall furnish a return of income or an annual ICA return Section 43A inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 43A(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(1)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(1)﻿(b)﻿(i) amended 2 June 2016 section 112(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 43A(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(2)﻿(a) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 43A(2)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(2)﻿(b) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 43A(2)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(2)﻿(c) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 43A(2)﻿(d) inserted 26 July 1996 Taxation (Core Provisions) Act 1996 Section 43A(2)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(2)﻿(d)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(2)﻿(d)﻿(iib) repealed 1 April 2009 section 26(1) Taxation (Urgent Measures and Annual Rates) Act 2008 Section 43A(2)﻿(d)﻿(iii) amended 1 April 2017 section 314(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 43A(3)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(3)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 43A(4) amended 25 November 2003 section 109(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 43A(5) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 43A(5) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(5) amended 25 November 2003 section 109(2) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 43A(6)﻿(a) amended 2 June 2016 section 112(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 43A(6)﻿(b)﻿(i) amended 1 April 2017 section 314(2) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 43A(6)﻿(b)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 43A(6)﻿(b)﻿(i) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 43A(6)﻿(b)﻿(iii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 43A(7) amended 1 April 2008 section ZA 2 Income Tax Act 2007
43B: Trustees, administrators, or executors of certain trusts or estates not required to file returns
1: A person who is a trustee of a trust or an administrator or executor of an estate is not required to make a return of income for a tax year for the trust or estate if—
a: the trust or estate is non-active throughout the income year corresponding to the tax year; and
b: for a person who is a trustee, the trust is a complying trust under section HC 10
c: if the trust or estate has a tax file number, the person has
i: a declaration that the trust or estate is non-active and that the person will notify the Commissioner if the trust or estate ceases to be non-active; and
ii: a statement of the matters required by the Commissioner.
2: For the purposes of this section, a trust or estate is non-active for a tax year if, throughout the income year corresponding to the tax year, the trustee of the trust or the administrator or executor of the estate—
a: has not derived any assessable income
b: has no deductions; and
c: has not been a party to, or perpetuated, or continued with, transactions with assets of the trust or estate with a person who is associated with the trustee of the trust or executor or administrator of the estate which, during the income year corresponding to the tax year,—
i: give rise to income in that person’s hands; or
ii: give rise to fringe benefits to that person in their capacity as an employee or former employee.
3: In determining whether a trust or estate
a: reasonable fees paid to professional persons trust or estate
b: bank charges or other minimal administration costs totalling not more than $ 1,500
c: income derived by the trustee of a trust or an administrator or executor of an estate during the tax year that would be reportable income, as defined in section 22D
d: insurance, rates, interest, trust or estate trust or estate
3B: If subsection (1) does not apply, a person who is a trustee of a trust is also not required to make a return of income for a tax year for the trust—
a: if the trust is a testamentary trust; and
b: the trust is a complying trust under section HC 10
c: if the trust has a tax file number, the person has provided to the Commissioner, in a form approved by the Commissioner,—
i: a declaration that the trust meets the requirements of this subsection and that the person will notify the Commissioner if the trust ceases to meet those requirements; and
ii: a statement of the matters required by the Commissioner; and
d: the trustee of the trust has derived no assessable income or has derived assessable income that would be reportable income, as defined in section 22D
e: the trustee of the trust has derived an amount, that does not exceed $1,000 in total for the tax year, of assessable income that is not reportable income, as defined in section 22D
4: If subsection (2) or (3B) cease to apply to a trust or estate, a trustee of the trust or administrator or executor of the estate must notify the Commissioner that the relevant subsection no longer applies.
5: Despite subsection (1) or (3B), a person referred to in subsection (1) or (3B) must furnish a return of income if required by the Commissioner to do so. Section 43B inserted 16 November 2015 section 21 Taxation (Bright-line Test for Residential Land) Act 2015 Section 43B heading replaced 31 March 2023 section 174(1) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(1) replaced 1 April 2022 section 192(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 43B(1)﻿(c) amended 31 March 2023 section 174(2) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(2) replaced 1 April 2022 section 192(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 43B(2)﻿(a) amended 31 March 2023 section 174(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(2)﻿(c) replaced 31 March 2023 section 174(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(3) amended 1 April 2022 section 192(3)﻿(a) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 43B(3)﻿(a) amended 1 April 2022 section 192(3)﻿(b)﻿(i) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 43B(3)﻿(a) amended 1 April 2022 section 192(3)﻿(b)﻿(ii) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 43B(3)﻿(b) amended 31 March 2023 section 174(5) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(3)﻿(c) replaced 31 March 2023 section 174(6) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(3)﻿(d) amended 31 March 2023 section 174(7) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(3)﻿(d) amended 1 April 2022 section 192(3)﻿(d) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 43B(3B) inserted 31 March 2023 section 174(8) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(4) replaced 31 March 2023 section 174(9) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 43B(5) replaced 31 March 2023 section 174(10) section 174(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
44: Commissioner may in certain cases demand special returns, and make special assessments
1: This section applies to the following persons:
a: an agent:
b: a non-resident trader:
c: a person who is believed by the Commissioner to be about to leave New Zealand or to be about to discontinue the carrying on of business in New Zealand:
d: a person who has ceased to carry on business in New Zealand or to derive
e: the executors or administrators of a deceased taxpayer in respect of taxable income of the taxpayer for the taxpayer's lifetime:
f: a person who has become bankrupt, or a company which is in the course of being liquidated.
2: The Commissioner may, if the Commissioner thinks fit, at any time during the tax year
3: Any person so assessed shall have the same right to object to the assessment under Part 8 Part 8A
4: Tax so assessed shall be payable on demand, which may be made in and by the notice of assessment or at any later date, and the tax shall be recoverable in the same manner as income tax assessed in the ordinary course.
5: If an assessment is made under this section
6: No assessment made under this section shall in any manner preclude a subsequent assessment of the same person in the ordinary course for tax year 1976 No 65 s 12 1994 No 76 s 9 Section 44(1)﻿(d) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 44(1)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44(1)﻿(e) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 44(2) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 44(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44(3) amended 1 October 1996 section 10 Tax Administration Amendment Act (No 2) 1996 Section 44(5) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 44(5) amended 24 October 2001 section 197(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 44(6) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 44(6) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44(6) amended 24 October 2001 section 197(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
44A: Special returns by taxpayers affected by reduced deductions under
Income Tax Act 2007
1: A taxpayer who has made a return of income for a tax year tax year taxable income tax year
a: a reduction under section DT 2(3) Income Tax Act 2007
b: a reduction under section DS 3 section DS 1 or DS 2 Income Tax Act 2007
c: a reduction under section DT 2(3) Income Tax Act 2007
d: a reduction under section DS 3 section DS 1 or DS 2 Income Tax Act 2007
2: A taxpayer who has derived consideration that gives rise to a reduction under section DT 2(3) DS 3 Income Tax Act 2007
a: for the tax year
b: by the date that the taxpayer's return of income for that tax year Section 44A inserted 20 May 1999 section 67(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 44A heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44A(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44A(1) amended 25 September 2000 section 36(1) Taxation (FBT, SSCWT and Remedial Matters) Act 2000 Section 44A(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44A(1)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44A(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44A(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44A(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44A(1)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44A(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44A(1)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44A(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44A(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44A(2)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44A(2)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004
44B: Special returns for financial arrangements
1: A person who calculates an adjustment under section EW 53 Income Tax Act 2007 tax year section EW 53(3)
2: Despite the time bar, the Commissioner must make assessments in respect of the person for the tax years Section 44B inserted 20 May 1999 section 67(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 44B(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44B(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 44B(2) replaced 24 October 2001 section 198(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 44B(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
44C: Certificates about trees
1: The question whether trees are ornamental or incidental arises under the following provisions of the Income Tax Act 2007
a: section CB 25
c: section EB 24
c: sections FB 6 FB 7
d: sections GC 1 GC 2
2: A certificate as to whether trees are ornamental or incidental provides conclusive evidence on the question if it is given by—
a: a properly authorised officer of the Ministry of Agriculture and Forestry
b: 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 non-listed horticultural plant section YA 1 Schedule 20
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
b: a properly authorised officer of the Ministry of Agriculture and Forestry
c: any other person suitably qualified to give a certificate. 1994 No 164 ss CJ 1(3), DO 4(5) Section 44C inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 44C(1) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44C(2)﻿(a) amended 1 April 2005 section 5(1)﻿(c) Ministries of Agriculture and Forestry (Restructuring) Act 1997 Section 44C(2)﻿(a) amended 1 April 2005 section 5(1)﻿(c) Ministries of Agriculture and Forestry (Restructuring) Act 1997 Section 44C(3) amended 8 December 2009 section 135(1) Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 Section 44C(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007
44D: Natural product dealer certificate
1: For the purposes of Schedule 4 for the certificate
2: The certificate may be issued for any period of time, and is revoked when a notice ordering revocation is received by the Commissioner, if the person revokes the certificate, or by the person, if the Commissioner revokes the certificate. Section 44D inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 44D(1) amended 2 June 2016 section 113 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
45: AIM method information: taxpayers
A person that uses the AIM method as described in section RC 5(5B) section 91AAZ Section 45 inserted 1 April 2018 section 51(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
45B: AIM method information: approved AIM providers
1: An approved AIM provider must give to the Commissioner information required by the Commissioner in relation to their AIM-capable accounting system products, end-user’s use of the products for a tax year, and any other matters relevant to the AIM method for the tax year, in the form prescribed by the Commissioner.
2: The Commissioner must not require taxpayer-specific information under this section.
3: The form must be given to the Commissioner within 6 months of the end of the tax year. Section 45B inserted 1 April 2018 section 51(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
45: New Zealand superannuitant to estimate other income
Section 45 repealed 20 August 1997 section 14 Taxation (Superannuitant Surcharge Abolition) Act 1997
46: Employers to make returns as to employees
Section 46 repealed 1 April 2019 section 313 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
46A: Accident Rehabilitation and Compensation Insurance Corporation to provide information as to recipients of weekly compensation
Section 46A repealed 1 December 2020 section 190 Privacy Act 2020 Fringe benefits Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
46B: FBT returns for quarters
1: This section applies to an employer who pays their FBT liability under the single rate option or the alternate rate option. The employer chooses the relevant option by providing a return stipulating the selected rate.
2: For each quarter of a tax year, the employer must provide a return that—
a: sets out the details of the fringe benefits received by each of their employees in the quarter; and
b: includes a calculation of the amount of FBT payable on the taxable value of the fringe benefits in the quarter.
3: The returns must be provided, and the employer is liable to pay the amount of FBT, by the following dates:
a: for a return for each of the first 3 quarters of a tax year, 20 days after the end of the quarter:
b: for a return for the final quarter of a tax year, 31 May after the end of the quarter, unless subsection (4)﻿(a) applies.
4: If an employer chooses to pay FBT under sections RD 50 RD 53
a: a negative number, the employer is entitled to a refund of the overpayment:
b: a positive number, the employer must pay the difference.
5: If no fringe benefit has been provided during a quarter, the employer must still provide a return under subsection (3). However, the Commissioner may relieve an employer of this obligation.
6: If an employer stops employing staff in a tax year as described in section RD 63 2004 No 35 ss ND 2(3) ND 9(2), (3) ND 10(2)–(5) ND 11 ND 12 Section 46B inserted 1 April 2008 section ZA 2 Income Tax Act 2007
46C: FBT returns for years
1: This section applies to an employer who pays their FBT liability under the close company option or the small business option. The employer chooses the relevant option by notifying the Commissioner.
2: The employer must provide a return that—
a: sets out the details of the fringe benefits received by each of their employees in the tax year or income year, as applicable; and
b: includes a calculation of the amount of FBT payable on the taxable value of the fringe benefits in the tax year or income year, as applicable.
3: For an employer who chooses to pay under the close company option, the return must be provided no later than the employer’s terminal tax date for the relevant income year. The employer is liable to pay the amount calculated by the terminal tax date.
3B: Subsection (3C) applies to an employer who—
a: chooses to pay under the close company option; and
b: is linked to a tax agent to whom section 37(4) section RA 13(2)﻿(a)﻿(i) and (4)
3C:
4: For an employer who chooses to pay under the small business option, the return must be provided no later than 31 May after the end of the relevant tax year. The employer is liable to pay the amount calculated by 31 May. 2004 No 35 ss ND 13(5), (6) ND 14(5), (6) 2021-12-31 Tax Administration Act 1994 section 46C(3C) expires and is repealed on 31 December 2021. Section 46C inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 46C(3B) inserted 29 March 2018 section 314 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 46C(3C) repealed 31 December 2021
46D: FBT returns: changes in payment periods
1: This section applies when an employer chooses to pay income tax on an income year basis under the close company option, and the first day of the relevant income year is not the same day as the first day of a quarter.
2: The employer must provide a return and pay FBT under section 46B 2004 No 35 s ND 15(7), (8) Section 46D inserted 1 April 2008 section ZA 2 Income Tax Act 2007
46E: FBT returns: information for calculations
1: This section applies for the purposes of sections RD 58(2) RD 60(4) RD 61(4)
2: The employer must provide the information within 2 months after notifying the Commissioner that an assessment for the final quarter or year has been made. 2004 No 35 s ND 1(6) Section 46E inserted 1 April 2008 section ZA 2 Income Tax Act 2007
47: ESCT statements provided by
employers and others
1: This section applies when an employer, person, or PAYE intermediary withholds in a period an amount of ESCT from an employer's superannuation cash contribution
2: The employer, person, or PAYE intermediary must deliver their employment income information to the Commissioner by the relevant dates set out in sections 23E to 23H 23J 23K Section 47 replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 47 heading amended 2 November 2012 section 186(1) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 47(1) amended 2 November 2012 section 186(2) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 47(2) replaced 1 April 2019 section 315 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 47(2) amended 1 April 2019 section 43 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
47B: RSCT statements provided by retirement scheme contributor or retirement savings scheme
1: This section applies when a retirement scheme contributor or retirement savings scheme withholds an amount of RSCT from a retirement scheme contribution other than a contribution made by way of an imputation credit or Maori authority credit.
2: The contributor or scheme must provide to the Commissioner a statement in a form acceptable to the Commissioner showing the amount of retirement scheme contribution, the amount of RSCT relating to the contribution, and any other particulars required by the Commissioner.
3: The statement must be provided no later than the 20th of the month after the month in which the amount was withheld. 2004 No 35 s NEB 3(1)﻿(b) Section 47B inserted 1 April 2008 section 205 Taxation (Business Taxation and Remedial Matters) Act 2007
48: Special arrangements for supply of information by employer
or PAYE intermediary Section 48 repealed 1 April 2019 section 316 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
48B: Reconciliation statement for retirement scheme contribution withholding tax
1: If a retirement scheme contributor has made a retirement scheme contribution to a retirement savings scheme for a person in an income year, the retirement scheme contributor, or the retirement savings scheme acting on behalf of the retirement scheme contributor, must deliver to the Commissioner a reconciliation statement for the income year showing the information required by—
a: subsection (2), relating to the person; and
b: subsection (3), relating to the retirement scheme contributor.
2: The reconciliation statement must show the following information for the income year relating to the person referred to in subsection (1):
a: the total amount of RSCT
b: the total amount of imputation credits and Maori authority credits used in meeting the liability for RSCT
c: the total amount of RSCT
d: the amount of each retirement scheme contribution subject to RSCT
e: the rate used to calculate the RSCT
f: the RSCT
g: the amount of imputation credits attached to the retirement scheme contribution; and
h: the amount of imputation credits used to meet the liability for RSCT
i: the amount of Maori authority credits attached to the retirement scheme contribution; and
j: the amount of Maori authority credits used to meet the liability for RSCT
k: the amount of RSCT
l: the amount of RSCT
m: the tax file number, if a rate of less than 39 RSCT
n: the amount of the imputation credits or Maori authority credits attached to the retirement scheme contribution that are not used to meet the liability for RSCT
o: the total amount of NRWT
p: the amount of each retirement scheme contribution that is non-resident passive income
q: any other particulars the Commissioner may require.
3: The reconciliation statement must show the following information for the income year relating to the retirement scheme contributor referred to in subsection (1):
a: the total amount of retirement scheme contributions for which RSCT
b: the total amount of RSCT
c: the total amount of imputation credits used in meeting the liability for RSCT
d: the total amount of Maori authority credits used in meeting the liability for RSCT
e: the total amount of RSCT
4: The reconciliation statement required by subsection (1) for an income year must be received by the Commissioner on or before the end of the second month following the end of the income year. Section 48B inserted 19 December 2007 section 206(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(a) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(b) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(c) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(d) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(e) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(f) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(h) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(j) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(k) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(l) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(m) amended 1 April 2021 section 28 section 3 Taxation (Income Tax Rate and Other Amendments) Act 2020 Section 48B(2)﻿(m) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(n) amended 1 April 2008 section 206(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(o) amended 1 April 2008 section 206(2)﻿(b) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(2)﻿(p) amended 1 April 2008 section 206(2)﻿(c) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(3)﻿(a) amended 1 April 2008 section 206(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(3)﻿(b) amended 1 April 2008 section 206(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(3)﻿(c) amended 1 April 2008 section 206(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(3)﻿(d) amended 1 April 2008 section 206(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 48B(3)﻿(e) amended 1 April 2008 section 206(3) Taxation (Business Taxation and Remedial Matters) Act 2007
49: NRWT withholding certificates and annual reconciliations
Section 49 repealed 1 April 2020 section 318 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
50: Statement of payment of RWT
Section 50 repealed 1 April 2020 section 318 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
51: RWT withholding reconciliation statements
Section 51 repealed 1 April 2020 section 320 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
52: Disclosure of interest payments when no requirement to withhold RWT
Section 52 repealed 1 April 2020 section 320 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
53: Disclosure of certain financial arrangement transactions where interest payable to exempt person, etc
Section 53 repealed 1 April 2020 section 320 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
54: Information in relation to recipients of resident passive income
Section 54 repealed 1 April 2020 section 320 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
54B: Return of statement for RLWT
1: A person that must make a payment of RLWT must give the Commissioner a statement in relation to their RLWT obligations (the return
2: Also, a person must give the Commissioner the return if they have no RLWT to pay because of the application of section RL 4 Section 54B inserted 1 July 2016 section 80 Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016
54C: Information in relation to payment of RLWT
1: This section applies if a person (the vendor disposal is either within 5 years if section CZ 39 within 10 years or 5 years, as the case may be, section CB 6A
a: the date on which the instrument to transfer the land to the person was registered under the Land Transfer Act 1952
b: the latest date on which they acquire the estate or interest in the residential land
2: This section does not apply if the relevant date for the vendor under subsection (1)﻿(a) or (b) is before 1 October 2015.
3: The vendor must give to their conveyancer, or if they do not have a conveyancer or they are associated with the purchaser, give to the purchaser’s conveyancer or the purchaser, information in relation to RLWT, in the form prescribed by the Commissioner, before the relevant residential land purchase amount is paid.
4: The information must be accompanied by relevant and appropriate documents, as prescribed by the Commissioner.
5: The information that a vendor must give includes—
a: their full name, address, and tax file number; and
b: whether or not they are an offshore RLWT person; and
c: if they are an offshore RLWT person,—
i: whether or not they are associated with the purchaser; and
ii: whether or not section RL 1(2)﻿(a)
6: If the vendor is not an offshore RLWT person, the following people must verify, as prescribed by the Commissioner, the information and any relevant and appropriate documents:
a: in the case of a vendor company or a look-through company, a director who is not an offshore RLWT person:
b: in the case of a vendor limited partnership, a general partner of the partnership who is not an offshore RLWT person:
c: in the case of a vendor trust, a trustee of the trust who is not an offshore RLWT person.
7: The person who receives the information must keep and retain the information for a period of at least 7 years, unless they receive the information as the purchaser. If they receive the information as the purchaser, they must give a copy of it to the Commissioner within 1 month of receiving it, but they do not have to keep and retain the information afterwards. Section 54C inserted 1 July 2016 section 80 Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 54C(1) amended 30 March 2022 section 193(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 54C(1) amended 30 March 2021 section 158 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 54C(1)﻿(b) amended 30 March 2022 section 193(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
54D: Information in relation to repayment of RLWT
1: For the purposes of deciding if an amount of RLWT may be repaid for a person under section RL 6
a: a person’s income and deductions for land for the period of the part of the income year before the date that is 1 month after the relevant disposal of residential land; and
b: whether or not the person, for the relevant disposal of residential land, will meet the requirements in section CB 16A CZ 40
c: other relevant particulars.
2: The Commissioner may also prescribe any appropriate documents to accompany the form. Section 54D inserted 1 July 2016 section 80 Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 54D(1)﻿(b) amended 30 March 2021 section 159 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
54E: RLWT certificate of exemption
1: This section applies when—
a: a person applies for an RLWT certificate of exemption in the form prescribed by the Commissioner; and
b: the form is accompanied by certified copies of relevant and appropriate documents, as prescribed by the Commissioner; and
c: the Commissioner is satisfied that the person meets the requirements in 1 of subsection (2), (3), or (4).
2: The requirements in this subsection are that the person, for the residential land,—
a: is a person who carries on a business of developing land or dividing land into lots or erecting buildings; and
b: has provided, in accordance with section 7A
3: The requirements in this subsection are that the person, for the residential land,—
a: is a person who carries on a business of developing land or dividing land into lots or erecting buildings; and
b: has had tax obligations under the Inland Revenue Acts ( obligations counted associate
i: in the same group of companies as the person; or
ii: if the person is a limited partnership, a partner of the person; and
c: has complied with all obligations for the 2 years before the person applies for the certificate, or the counted associate has complied with all obligations for the 2 years before the person applies for the certificate.
4: The requirements in this subsection are that the person, for the residential land, will meet the requirements in section CB 16A CZ 40
5: The Commissioner must issue an RLWT certificate of exemption to the person. Section 54E inserted 1 July 2016 section 80 Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 54E(3)﻿(b) replaced 21 February 2017 section 109 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 54E(3)﻿(c) replaced 21 February 2017 section 109 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 54E(4) amended 30 March 2021 section 160 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
55: Consequence of inability to provide tax file numbers
Where any person at any time—
a: is required under the reporting requirements in sections 25F to 25I 25N
b: having made reasonable efforts to obtain that tax file number, is unable to do so,— that person shall, notwithstanding any other provision of the RWT rules, be relieved from that obligation to provide the Commissioner with that tax file number. 1976 No 65 s 327Y Section 55(a) amended 1 April 2020 section 322 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
55B: Information relating to offshore persons and tax file numbers
1: The Commissioner must not allocate a tax file number requested by an offshore person until the Commissioner—
a: receives a current bank account number for the offshore person:
b: is satisfied that the information available to the Commissioner relating to the offshore person provides the Commissioner with an assurance of the identity and background of the offshore person.
2: Subsection (1) does not apply to a person—
a: who needs a tax file number solely because they are a non-resident supplier of goods and services under the Goods and Services Tax Act 1985
b: who is registered, or has applied to be registered, under section 54B
c: for whom a reporting entity under the Anti-Money Laundering and Countering Financing of Terrorism Act 2009
3: Despite subsection (1), a non-resident seasonal worker under the recognised seasonal employer (RSE) instructions is not required to provide the Commissioner with a current bank account number for the first month of a period of employment in New Zealand.
4: A person who has a tax file number and a current bank account must immediately provide the person’s current bank account number to the Commissioner if the person,—
a: after 1 October 2015, becomes an offshore person under paragraph (b) of the definition of offshore person; and
b: has not previously provided the person’s current bank account number to the Commissioner. Section 55B inserted 29 March 2018 section 323 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 55B(1) replaced 18 March 2019 section 44(1) section 44(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
56: Returns of special accounts
Section 56 repealed 2 June 2016 section 116 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
56B: Certain information required in returns
1: This section applies for the purposes of section RE 24
2: The company paying the dividend and withholding the amount of tax under section RA 6(1) section 69
3: For the purposes of subsection (2) and the payment of the dividend, the company must provide to the Commissioner information in relation to the dividend in—
a: its dividend statement under section 25G
b: if paragraph (a) does not apply, a form approved by the Commissioner, containing the information set out in section 67(a) to (c) and (f)
4: The Maori authority making the distribution and withholding the amount of tax under section RA 6(1)
5: For the purposes of subsection (4) and the making of the distribution, the Maori authority must provide to the Commissioner information in relation to the distribution in the distribution statement prepared under section 25I 2004 No 35 ss NF 8(2)–(4) NF 8A Section 56B inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 56B renumbered 1 April 2019 section 281(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 56B(1) replaced 1 April 2017 section 306(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 56B(2) replaced 1 April 2017 section 306(2) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 56B(3)﻿(a) amended 1 April 2020 section 281(2)﻿(a) Section 56B(5) amended 1 April 2020 section 281(2)﻿(b) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
57: Maori authority to make returns of income
1: Every year a Maori authority must furnish a return in the prescribed form that is a complete statement of the Maori authority's taxable income for the preceding year.
1B: Section 25I
2: The return must be furnished to the Commissioner on or before the date by which returns of income are required under this Act. Section 57 replaced 26 March 2003 section 97(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 57(1B) inserted 1 April 2020 section 324 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
57B: Requirements
1: This section sets out the responsibilities for a multi-rate PIE or a proxy for an investor in the PIE. Section 25J
2: The responsibilities for each period are—
a: to file a return in the prescribed form—
i: showing the amount of the tax liability of the entity for the period; and
ii: providing the investment income information required under section 25J
iii: providing further information that the Commissioner considers relevant; and
b: to pay an amount of tax equal to the PIE’s tax liability for the investor for the period.
3: If the PIE does not calculate and pay its tax liability using the exit calculation or provisional tax calculation option in section HM 42 HM 44
4: If the PIE calculates and pays its income tax liability using the provisional tax calculation option under section HM 44
5: If the PIE calculates and pays its income tax liability using the exit calculation option under section HM 42
a: for an exiting investor whose exit period falls in the tax year, for the exit period by—
i: the end of the month that follows the month in which the exit period ends:
ii: 15 January after the end of the exit period, if the period ends in November; and
b: for an investor who holds an investor interest at the end of the tax year, for the tax year by the end of the month after the end of the tax year.
5B: Despite subsection (5), a foreign investment zero-rate PIE is not required to carry out the responsibilities in relation to exiting investors as described in subsection (5) for a tax year if the only exiting investors of the PIE in the tax year are notified foreign investors. Instead, the PIE must provide the required information in its return for the tax year.
6: If the PIE voluntarily makes a payment of income tax under section HM 45
a: the end of the month that follows the month in which the period ends:
b: 15 January after the end of the period, if the period ends in November.
7:
8: The Commissioner must prescribe 1 or more electronic forms and means of electronic communication in which or by which a return must be provided under this section. The Commissioner may specify conditions relating to the format, either general or in a particular case. Section 57B replaced 1 April 2010 section 626(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 57B heading amended 1 April 2020 section 325(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 57B(1) replaced 1 April 2020 section 325(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 57B(1) amended 30 March 2021 section 161(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 57B(2)﻿(a) replaced 1 April 2020 section 325(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 57B(2)﻿(a)﻿(ii) amended 30 March 2021 section 161(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 57B(5B) inserted 2 November 2012 section 188 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 57B(7) repealed 1 April 2020 section 325(5) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 57B(8) inserted 1 April 2020 section 325(6) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
58: Returns of specified charitable, benevolent, philanthropic, or cultural bodies
Every gift-exempt body must, when notified by the Commissioner, furnish tax year 1976 No 65 s 432A(3) Section 58 amended 2 June 2016 section 117 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 58 amended 1 April 2005 section YA 2 Income Tax Act 2004
59: Disclosure of trust particulars
1: Where any person resident in New Zealand at the time of settlement makes a settlement on or after 17 December 1987 to or for the benefit of a trust or on the terms of a trust and—
a: at the time of the settlement there was no trustee of that trust resident in New Zealand; or
b: if at the time of the settlement there was a trustee of the trust resident in New Zealand, on any subsequent date there is no trustee of the trust resident in New Zealand,— that person shall disclose to the Commissioner in the prescribed form and within 3 months of the date of settlement or of the date on which there is no trustee of the trust resident in New Zealand the fact of that settlement, the name and address of the trustee and the beneficiary of the trust, and such further details as may be required by the Commissioner.
2: Where any person resident in New Zealand at the time of settlement would be treated as having made a settlement to or for the benefit of a trust or on the terms of a trust but for the application of section YB 21 of the Income Tax Act 2007 section YB 21 of that Act
3:
4: Nothing in subsections (1) and (2) or in section 93B
5: Nothing in subsections (1) and (2) or in section 93B 1976 No 65 s 231 Section 59(2) amended 6 October 2009 section 627(a) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 59(2) amended 6 October 2009 section 627(b) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 59(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 59(3) repealed 7 December 2020 section 34 Taxation (Income Tax Rate and Other Amendments) Act 2020 Section 59(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 59(5) amended 1 April 2008 section ZA 2 Income Tax Act 2007
59BA: Annual return for trusts
1: A trustee of a trust who derives assessable income for a tax year must file a return for the tax year of all income derived in the corresponding income year by the trustee as trustee of the trust.
2: A trustee who is required to file a return for a tax year under subsection (1) and does not meet the requirements of subsection (3) must make the return in the form prescribed by the Commissioner and include, unless otherwise required by the Commissioner,—
a: a statement of profit or loss and a statement of financial position:
b: the amount, and nature, of each settlement that—
i: is not the provision to the trustee, at less than market value, of minor services incidental to the activities of the trust; and
ii: is made on the trust in the income year:
c: the name, date of birth, jurisdiction of tax residence, and tax file number and taxpayer identification number, of each settlor who makes a settlement on the trust in the income year or whose details have not previously been supplied to the Commissioner:
d: the amount, and nature, of each distribution that—
i: is not a distribution, other than of money, that is minor and incidental to the activities of the trust; and
ii: is made by the trustee in the income year:
db: the name, date of birth, jurisdiction of tax residence, and tax file number or taxpayer identification number, of the beneficiary who receives a distribution referred to in paragraph (d):
e: the name, date of birth, jurisdiction of tax residence, and tax file number and taxpayer identification number, of each person having a power under the trust to appoint or dismiss a trustee, to add or remove a beneficiary, or to amend the trust deed:
f: the other information required by the Commissioner.
3: A trustee of a trust who is required to file a return for a tax year under subsection (1) is not required to file a return in the form required by subsection (2) if—
a: the trustee is excluded from the requirement to make a return by section 43B
b: the trust is a foreign exemption trust
c: the trustees of the trust are incorporated as a board under the Charitable Trusts Act 1957
d: the trust is a charitable trust registered under the Charities Act 2005
e: the trustee is eligible under section HF 2 section HF 11
f: the trust is a widely-held superannuation fund, as defined in section YA 1
g: the trust is an employee share scheme that is an exempt ESS, as defined in section YA 1
h: the trustee is a debt funding special purpose vehicle, as defined in section YA 1
i: the trustee is a lines trust established under the Energy Companies Act 1992
4: If the trustee of a trust is a non-resident, a settlor of the trust who is a New Zealand resident is responsible for ensuring the performance of the obligations imposed on the trustee by this section.
5: The Commissioner may vary the requirements set out in subsection (2) for a trustee or class of trustees.
6: A variation under subsection (5) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication It is not required to be published LA19 s 73(2) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 59BA inserted 7 December 2020 section 35(1) section 35(2) Taxation (Income Tax Rate and Other Amendments) Act 2020 Section 59BA(1) replaced 30 March 2021 section 162(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 59BA(2) amended 30 March 2021 section 162(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 59BA(2)﻿(d) replaced 31 March 2022 section 194(1) section 194(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 59BA(2)﻿(db) inserted 31 March 2022 section 194(1) section 194(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 59BA(3) replaced 30 March 2021 section 162(3) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 59BA(3)﻿(a) amended 31 March 2023 section 175(1) section 175(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59BA(3)﻿(b) replaced 31 March 2022 section 194(2) section 194(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 59BA(3)﻿(b) amended 31 March 2023 section 175(2) section 175(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59BA(5) inserted 30 March 2021 section 162(4) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 59BA(6) inserted 30 March 2021 section 162(4) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
59BAB: Commissioner may require trust information for period after 2013–14 income year
1: The Commissioner may require a trustee of a trust to provide, in the prescribed form and by the specified date, information that—
a: relates to the trust and a period beginning after the end of the 2013–14 income year and ending before the beginning of the 2021–22 income year; and
b: would be required to be provided under section 59BA
c: is in the knowledge, possession, or control of the trustee.
2: The Commissioner may issue a notice requiring the trustee of each trust having the characteristics specified in the notice to provide, in the prescribed form and by the specified date, information—
a: that is described in subsection (1) and is specified in the notice; and
b: is for each period that is specified in the notice and begins after the end of the 2013–14 income year and ends before the beginning of the 2021–22 income year.
3: If the trustee of a trust is a non-resident, a settlor of the trust who is a New Zealand resident is responsible for ensuring the performance of the obligations imposed on the trustee by this section.
4: A notice under subsection (2) Legislation Act 2019 ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication It is not required to be published LA19 s 73(2) Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 59BAB inserted 7 December 2020 section 35(1) section 35(2) Taxation (Income Tax Rate and Other Amendments) Act 2020 Section 59BAB(4) amended 28 October 2021 section 3 Secondary Legislation Act 2021
59B: Foreign exemption trust
1: The Commissioner may register a foreign exemption trust if a trustee pays the prescribed fee.
1B: The Commissioner may treat the registration of a trust under subsection (1) as being in force from a date preceding the successful application for registration of the trust, if the Commissioner considers that the trustee made reasonable efforts to obtain registration at the earlier date.
1C: A trust that is registered under this section as a foreign trust at the start of the day on which the Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
2: A trustee of a foreign exemption trust must apply to the Commissioner for registration of the foreign exemption trust, provide the information required by subsection (3) and the declaration required by subsection (4), and pay the prescribed fee.
2B: The requirement under subsection (2) for a trustee to register a foreign exemption trust commences on the later of—
a: the date (the amendment assent date Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
b: the due date for an income tax return of the trust relating to the first income year for which the trust meets the requirements to be a foreign exemption trust.
3: A trustee applying for registration of a foreign exemption trust contact trustee
a: the name of the trust:
b: the date, amount, settlor, and nature of each settlement on the trust that is not a provision to the trustee at less than market value of minor services incidental to the activities of the trust and is made in the period of time ending with the application and beginning with—
i: the date on which the trust is formed, if a trustee is not a natural person or is a professional trustee
ii: the later of the date on which the trust is formed and 30 June 2013, if subparagraph (i) does not apply and a trustee becomes required to register the trust on the date on which the Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
iii: the later of the date on which the trust is formed and the date that is 4 years before the earliest date on which a trustee becomes required to register the trust, if subparagraphs (i) and (ii) do not apply:
c: the name, email address, physical residential or business address, jurisdiction of tax residence, taxpayer identification number, and connection with the trust of—
i: each settlor who makes a settlement referred to in paragraph (b):
ii: each person with a power to appoint or dismiss a trustee, to amend the trust deed, or to add or remove a beneficiary:
iii: each person with a power to control the exercise of a power referred to in subparagraph (ii):
iv: each person with a power to control a trustee in the administration of the trust:
v: each trustee:
vi: each beneficiary that is not a minor and has a fixed interest in the trust:
vib: each nominee for a beneficiary that has a fixed interest in the trust:
vii: the parent or guardian of a beneficiary that is a minor and has a fixed interest in the trust:
d: for each beneficiary that is a minor and has a fixed interest in the trust, the name, date of birth, and taxpayer identification number of the beneficiary:
e: for each beneficiary or class of beneficiary that has a discretionary interest in the trust, details sufficient for the Commissioner to determine, when a distribution is made under the trust, whether a person is a beneficiary:
eb: for each beneficiary or class of beneficiary that has a residual interest in the trust, details sufficient for the Commissioner to determine, when a distribution is made in the winding up of the trust, whether a person is a residual beneficiary:
f: a copy of the trust deed, will, or other document that creates and governs the trust (the creating document
4: The contact trustee must provide a signed declaration that each person referred to in subsection (3)﻿(c)﻿(i) to (vii)—
a: is deceased; or
b: despite the efforts of the contact trustee detailed in the declaration, cannot be located by the contact trustee; or
c: has been informed of, and has agreed to provide the information necessary for compliance with, the requirements relating to the provision of information relating to the trust and persons connected with the trust imposed by all of—
i: the Tax Administration Act 1994
ii: the Anti-Money Laundering and Countering Financing of Terrorism Act 2009
iii: the regulations made under the Anti-Money Laundering and Countering Financing of Terrorism Act 2009
5: A contact trustee must provide to the Commissioner the details of an addition or alteration to a particular to which subsection (3) refers and any signed declaration under subsection (4) required as a consequence of the addition or alteration.
6: A contact trustee who anticipates ceasing to be the person communicating with the Commissioner for the trust must provide to the Commissioner , within 30 days of becoming aware of the anticipated date of the cessation,
a: the anticipated date on which the trustee ceases to be the contact trustee for the foreign trust:
b: the email address and physical residential address of the trustee after the anticipated date:
c: the name, email address, and physical residential or business address of the replacement contact trustee for the foreign trust after the anticipated date.
6B: A contact trustee who anticipates a change in the trustee’s e-mail address, physical residential address, or other contact details, must provide the Commissioner with details of the change within 30 days of becoming aware of the anticipated change.
7: Each trustee of a foreign exemption trust is responsible for the performance of the obligations imposed on a trustee relating to registration of the trust, disclosure of information, annual returns, financial statements, and payment of fees. Section 59B replaced 21 February 2017 section 11 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 59B heading amended 1 April 2023 section 176(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(1) replaced 1 April 2023 section 176(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(1B) inserted 1 April 2023 section 176(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(1C) inserted 1 April 2023 section 176(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(2) replaced 1 April 2023 section 176(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(2B) inserted 1 April 2023 section 176(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3) amended 1 April 2023 section 176(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(b)﻿(i) amended 1 April 2023 section 176(5) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(c)﻿(vi) replaced 1 April 2023 section 176(6) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(c)﻿(vib) inserted 1 April 2023 section 176(6) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(c)﻿(vii) replaced 1 April 2023 section 176(6) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(d) replaced 1 April 2023 section 176(7) section 176(13) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(e) replaced 1 April 2023 section 176(7) section 176(13) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(eb) inserted 1 April 2023 section 176(8) section 176(13) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(3)﻿(f) replaced 1 April 2023 section 176(9) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(6) amended 1 April 2023 section 176(10) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(6B) inserted 1 April 2023 section 176(11) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59B(7) replaced 1 April 2023 section 176(12) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
59C: Time limits for registration and disclosure of changes
1: A trustee who becomes required to register a foreign exemption trust under section 59B(2B)
a: on the date (the amendment assent date Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
b: after the amendment assent date, is required to apply for the registration in the period of 30 days from which the requirement commences, except if subsection (3) applies.
2: A trustee who is required by section 59B(5)
3: A period for the meeting of a requirement that would otherwise be given by subsection (1) for a trustee is given by subsection (4) for the trustee if—
a: each trustee of the trust
b: for each trustee of the trust who is responsible for the performance of the obligations imposed by section 59B
c: each trustee of the trust is not a professional trustee
d: the end of the period of 4 years and 30 days beginning with the earliest date on which the trust becomes a foreign exemption trust (the grace period
4: If subsection (3) applies for a requirement imposed on a trustee, the trustee must meet the requirement within the grace period. Section 59C inserted 21 February 2017 section 11 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 59C(1) replaced 1 April 2023 section 177(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59C(2) replaced 1 April 2023 section 177(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59C(3)﻿(a) amended 1 April 2023 section 177(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59C(3)﻿(b) replaced 1 April 2023 section 177(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59C(3)﻿(c) amended 1 April 2023 section 177(5) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59C(3)﻿(d) replaced 1 April 2023 section 177(6) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
59D: Annual return for
foreign exemption trust
1: A trustee of a foreign exemption trust must provide to the Commissioner a return for the trust, the declaration required by subsection (2B), and the prescribed fee, for each year (the return year
a: includes a period in which—
i: a trustee of the trust derives income for which the trustees of the trust take a tax position that the income is exempt income under section HC 26
ii: the trust is registered as a foreign exemption trust or a trustee is required to register the trust; and
b: ends with—
i: a date (the balance date
ii: 31 March if the trustee does not prepare financial statements and is not required to prepare financial statements; and
c: begins after 31 March 2023, if a trustee becomes required to register the trust on the date of enactment of this subsection; and
d: if the trustee has a grace period referred to in section 59C(3)
2: A return must be in the form prescribed by the Commissioner and include—
a: financial statements for the trust and the return year, if the trustee prepares financial statements or is required to prepare financial statements:
b: the date, amount, and nature of each settlement that—
i: is not the provision to the trustee, at less than market value, of minor services incidental to the activities of the trust; and
ii: is made on the trust in the return year:
c: the name, email address, physical residential or business address, jurisdiction of tax residence, and taxpayer identification number of each settlor making the settlement:
d: the date, amount, and nature of each distribution made by the trustee of the trust in the return year and the name of the beneficiary who receives the distribution:
e: for each beneficiary to which a distribution is made, the email address, physical residential address, jurisdiction of tax residence, and taxpayer identification number of the beneficiary or, if the beneficiary is a minor, the date of birth
f: details of each addition or alteration to a particular provided with an application for registration or in an earlier return, if the details have not been provided earlier.
2B: The trustee must provide a signed declaration that each settlor referred to in subsection (2)﻿(c)—
a: is deceased; or
b: despite the efforts of the trustee detailed in the declaration, cannot be located by the trustee; or
c: has been informed of, and has agreed to provide the information necessary for compliance with the requirements relating to the provision of information relating to the settlement, the trust, and persons connected with the trust, imposed by all of—
i: the Tax Administration Act 1994
ii: the Anti-Money Laundering and Countering Financing of Terrorism Act 2009
iii: the regulations made under the Anti-Money Laundering and Countering Financing of Terrorism Act 2009
3: A return and the prescribed fee for a foreign exemption trust and a return year must be provided by a trustee to the Commissioner by the later of—
a: the date by which the trustee is required to apply for registration of the trust:
b: the date that is—
i: 6 months after the balance date for the trust and the return year, if the trust has a balance date; or
ii: the 30 September following the end of the return year, if the trust does not have a balance date. Section 59D inserted 21 February 2017 section 11 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 59D heading amended 1 April 2023 section 178(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59D(1) replaced 1 April 2023 section 178(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59D(2)﻿(e) amended 1 April 2023 section 178(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59D(2)﻿(f) inserted 1 April 2023 section 178(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59D(2B) inserted 1 April 2023 section 178(5) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59D(3) replaced 1 April 2023 section 178(6) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
59DB: Deregistration of foreign exemption trusts
1: The Commissioner may deregister a trust that is registered as a foreign exemption trust if the Commissioner considers that the trust,—
a: at the time of registration, did not meet the requirements for registration:
b: after the time of registration, ceased to meet the requirements for registration.
2: A deregistration under subsection (1) may be effective from—
a: the time of registration, if the Commissioner considers the trust did not meet the requirements for the registration; or
b: a time after the registration at which the Commissioner considers the trust had ceased to meet the requirements for registration.
3: If the Commissioner proposes to deregister a trust, the Commissioner must give notice of the proposal to the contact trustee of the trust not less than 30 days before the deregistration is implemented.
4: The contact trustee for a trust must apply to the Commissioner for deregistration of the trust if the trustee becomes aware that the trust does not meet the requirements for registration.
5: A trustee making an application under subsection (4) must provide with the application—
a: the reasons for the application; and
b: a return for the trust for the income year, or part of the income year, for which the trust meets the requirements for registration and that includes the day before the day on which the trust ceases to meet the requirements for registration; and
c: further information required by the Commissioner. Section 59DB inserted 1 April 2023 section 179 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
59E: Fees: regulations and exemption
1: The Governor-General may from time to time, by Order in Council, make regulations prescribing—
a: the fee for an application for the registration of a foreign exemption trust
b: the fee for an annual return for a foreign exemption trust
2: A regulation made under subsection (1) may set out the period for which a fee prescribed by the regulations is to apply.
3: Until the commencement of the first regulation made under subsection (1),—
a: the prescribed fee for an application for the registration of a foreign exemption trust
b: the prescribed fee for an annual return for a foreign exemption trust
4: Subsection (3) and this subsection are repealed when that first regulation commences.
5: A trustee foreign exemption trust trustee foreign exemption trust
a: is a natural person; and
b: is not a professional trustee.
6: Regulations under subsection (1) are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 59E inserted 21 February 2017 section 11 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 59E(1)﻿(a) amended 1 April 2023 section 180(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59E(1)﻿(b) amended 1 April 2023 section 180(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59E(3)﻿(a) amended 1 April 2023 section 180(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59E(3)﻿(b) amended 1 April 2023 section 180(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59E(5) amended 1 April 2023 section 180(3)﻿(a) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59E(5) amended 1 April 2023 section 180(3)﻿(b) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59E(5)﻿(b) replaced 1 April 2023 section 180(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 59E(6) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
60: Returns of inter-related arrangements
Section 60 repealed 20 May 1999 section 70(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
61: Disclosure of interest in
foreign company or
1: Where any person has at any time in an income year an income interest or a control interest in a foreign company or an attributing interest in a foreign investment fund, that person shall disclose to the Commissioner, in the prescribed form and within the time allowed by section 37
a: the existence and nature of that interest; and
b: such other information as may be required by the Commissioner in respect of that interest for the purposes of the administration of the Income Tax Act 2007 provided that, unless the Commissioner requires, no person shall be required to disclose a control interest to the extent to which such control interest exists only by virtue of the application of section EX 3(1)﻿(b) or (d) Income Tax Act 2007
1B: A trustee section 59B
1C: A multi-rate PIE that does not calculate and pay tax using the provisional tax calculation option under section HM 44 section 37 section 25J
2: The Commissioner may exempt any person or class of persons from the requirements of subsection (1) where, in the opinion of the Commissioner, disclosure by that person or class or classes of persons is not necessary for the administration of the international tax rules.
3: The Commissioner may at any time cancel any exemption granted to any person or class or classes of persons under subsection (2). 1976 No 65 s 245W Section 61 heading amended 17 October 2002 section 80(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 61(1) amended 6 October 2009 section 628(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 61(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 61(1) proviso amended 6 October 2009 section 628(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 61(1) proviso amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 61(1B) inserted 1 October 2006 section 222 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 61(1B) amended 1 April 2023 section 181 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 61(1C) replaced 1 April 2010 section 628(5) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 61(1C) amended 30 March 2021 section 163 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
61B: Disclosure requirements for high-value assets intended to be used in making taxable supplies
1: A registered person who acquires land, a ship, or an aircraft, with the intention of using it to make taxable supplies must disclose to the Commissioner, in the form and by the deadline prescribed by the Commissioner,—
a: the existence and nature of the acquisition; and
b: such other information as may be required by the Commissioner.
2: The Commissioner may exempt any person or class of persons from the requirements of subsection (1) where, in the opinion of the Commissioner, that person is at low risk of using the relevant asset for a use other than for making taxable supplies.
3: For the purposes of this section,—
a: aircraft section 2
b: land section 2
c: ship section 2 Section 61B inserted 1 April 2023 section 182 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
62: Returns as to debentures and interest on debentures
Every company or local or public authority shall from time to time, as required by the Commissioner, make a return giving such particulars as the Commissioner requires relative to debentures issued by that company or local or public authority, the holders of the debentures, and the interest paid or payable on the debentures. 1976 No 65 s 431
63: Commissioner to be notified of bonus issue
Every company that makes any bonus issue in any year shall, within the time within which that company is required to furnish a return of its income for the tax year notify the Commissioner by providing 1976 No 65 s 13A Section 63 amended 2 June 2016 section 118 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 63 amended 1 April 2005 section YA 2 Income Tax Act 2004
63B: Disclosure requirements for exempt ESSs
1: A company must notify the Commissioner, in the form prescribed by the Commissioner, that there is an exempt ESS for its employees that meets the criteria in section CW 26C(2) to (9)
2: For a tax year, a company that has an exempt ESS for its employees must notify the Commissioner annually, in the form prescribed by the Commissioner, of the following:
a: grants of shares made to employees for the tax year:
b: any other information required by the Commissioner.
3: The form described in subsection (2) must be given to the Commissioner on or before the 31 May following the end of the relevant tax year. Section 63B inserted 29 March 2018 section 327 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
64: Co-operative company to provide particulars of deemed dividend
A co-operative company that makes an election in relation to a notional distribution under section OB 79
a: furnish, with the return furnished under section 33 income year
b: retain such particulars as will enable the Commissioner to determine whether any subsequent distribution in respect of the deemed dividend is excluded from being a dividend under section CD 33(2) 1976 No 65 s 394ZA(3) Section 64 amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 64(a) amended 3 April 2006 section 223(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 64(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 64(b) amended 1 April 2005 section YA 2 Income Tax Act 2004
65: Information to be furnished with return by petroleum mining entity making dispositions of shares or trust interests
Every controlled petroleum mining entity shall furnish to the Commissioner, with its annual return, the following information with respect to disposals to which section CX 42 DT 13 income year
a: the date of the disposal
b: the number of shares, or the proportion of the trust represented by the trust interest, comprised in the disposal
c: the name and address of the person disposing of and the person acquiring the shares or trust interest. 1976 No 65 s 214K(4) Section 65 amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 65 amended 3 April 2006 section 224(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 65 amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 65(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 65(b) amended 1 April 2005 section YA 2 Income Tax Act 2004
65B: Information to be furnished with return by entity apportioning interest expenditure under section FE 6B
A company or person apportioning its interest expenditure under section FE 6B
a: notice to the Commissioner that the section has been applied; and
b: a reconciliation of adjusted net profit under section FE 5(1BC)
c: a reconciliation of goodwill to items presented in the GAAP balance sheet; and
d: further information that is required by the Commissioner. Section 65B inserted 7 May 2012 section 143(1) Taxation (International Investment and Remedial Matters) Act 2012
66: Annual and other returns for
PCA persons Section 66 repealed 1 July 2010 section 629(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
67: Company dividend statement when ICA company declares dividend
Section 67 repealed 1 April 2020 section 328 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
68: Statement when
FDP credit Section 68 repealed 1 April 2017 section 315 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
68A: Statement when CTR credit attached to dividend
Section 68A repealed 7 May 2012 section 144(1) Taxation (International Investment and Remedial Matters) Act 2012
68B: Distribution statement required when Maori authority makes distribution
Section 68B repealed 1 April 2020 section 329 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
68C: Tax credit relating to KiwiSaver and complying superannuation fund members: member credit form
1: This section applies to a person's fund provider.
2: The fund provider must claim a tax credit under section MK 1(1)
a: is the person's fund provider on—
i: 30 June of the member credit year; or
ii: the day in the member credit year that is before the person ceases to be a member of the fund provider's fund or scheme due to permitted withdrawals other than transfers; and
b: is reasonably satisfied of the number of days in the member credit year on which the person resides mainly in New Zealand
c: has no knowledge that the person does not meet the requirements of section MK 2(1)﻿(a) to (c), and (d)﻿(i) and (ii)
3: The fund provider must claim a tax credit for the person for the member credit year by furnishing to the Commissioner a member credit claim in relation to the person, in the form prescribed by the Commissioner. The member credit claim must—
a: contain the person's name, address, and (if known) tax file number
b:
4: The fund provider may claim an amount of a tax credit under section MK 1(1) Section 68C inserted 1 July 2007 section 56 Taxation (KiwiSaver and Company Tax Rate Amendments) Act 2007 Section 68C(2) amended 6 October 2009 section 630(1)﻿(a) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 68C(2)﻿(b) amended 6 October 2009 section 630(1)﻿(b) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 68C(2)﻿(c) amended 6 October 2009 section 630(1)﻿(c) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 68C(3)﻿(a) amended 19 December 2007 section 18(1) Taxation (KiwiSaver) Act 2007 Section 68C(3)﻿(b) repealed 6 October 2009 section 630(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 68C(4) replaced 19 December 2007 section 18(2) Taxation (KiwiSaver) Act 2007 Section 68C(4) amended 1 April 2008 section 18(3) Taxation (KiwiSaver) Act 2007 Research and development Heading inserted 1 April 2019 section 30 section 3 Taxation (Research and Development Tax Credits) Act 2019
68CB: Research and development tax credits: general approval
1: For the purposes of section LY 3(1)﻿(d)
a: the person’s application for approval does not contain a material omission or misrepresentation; and
b: the person complies with any conditions in the Commissioner’s approval; and
c: there is no material change in the provisions in subpart LY .
d:
2: The Commissioner may, in accordance with this section, approve a person’s research and development activities for an income year (the first income year prior year the end of the first income year. For a prior year, the Commissioner may only approve supporting research and development activities described in section LY 5(1)﻿(ab)﻿(i)
3: A person must apply to the Commissioner for approval in the form prescribed by the Commissioner, including—
a: the activities the person wants the Commissioner to approve; and
b: the income years for which approval is sought; and
c: any other information required by the Commissioner.
3B: If a person’s research and development activities materially change during the period of an approval, and they want the change to be covered by the approval, they must apply to the Commissioner for a variation of the approval by the deadline in subsection (7) or (7B), as applicable.
4: The Commissioner may only approve a person’s activities to the extent to which, in the opinion of the Commissioner, the relevant activity is a core research and development activity or a supporting research and development activity.
5: If the Commissioner approves a person’s activities for an income year, the Commissioner must notify the person what activities of the person the Commissioner approves of as core research and development activities or supporting research and development activities, for which income years, and any conditions upon which the approval is made.
6: The Commissioner must notify the person of the intention to decline the application before the application is declined.
7: The Commissioner may vary an approval, upon application, if the variation application meets the requirements in subsection (1)﻿(a), the variation applied for meets the requirements of subsection (4), and the application is made on or before the 7th day of the 2nd month after the end of the relevant income year. If the Commissioner accepts the variation, then the Commissioner must notify the person in accordance with subsection (5).
7B: The Commissioner may vary an approval, upon application, to the extent to which the variation application relates solely to a supporting research and development activity for the income year immediately after the relevant income year, as provided by section LY 5(1)﻿(ab)﻿(ii)
7C: The Commissioner may vary an approval, upon application, to the extent to which the variation application relates solely to a supporting research and development activity for the 2019–20 income year, if the variation application meets the requirements of subsection (1)﻿(a) of this section, the variation applied for meets the requirements of subsection (4) of this section, and the application is made on or before 31 August 2022. If the Commissioner accepts the variation, then the Commissioner must notify the person in accordance with subsection (5) of this section.
8: The Commissioner’s approval under this section binds the Commissioner in accordance with the provisions of this section. Section 68CB replaced 1 April 2020 section 45 section 38 Taxation (Research and Development Tax Credits) Act 2019 Section 68CB deadline to submit application for approval, or variation of approval, extended to 31 March 2023 20 February 2023 clause 4(2) clauses 4(1) 5 Tax Administration (Research and Development Tax Credit Deadlines for Taxpayers Affected by Weather Events) Order 2023 Section 68CB(1)﻿(c) amended 31 March 2023 section 183(1) section 183(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 68CB(1)﻿(d) repealed 31 March 2023 section 183(2) section 183(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 68CB(2) amended 30 March 2022 section 195(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 68CB(2) amended 30 March 2022 section 195(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 68CB(3B) inserted 31 March 2023 section 183(3) section 183(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 68CB(7B) inserted 30 March 2022 section 195(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 68CB(7C) inserted 30 March 2022 section 195(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 68CB(8) inserted 1 April 2020 section 206(1) section 206(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
68CC: Research and development tax credits: greater than $2 million approval
1: This section applies ignoring, for purposes of this subsection only, sections HB 1 HG 2
a: has, or reasonably estimates that the person, together with any joint venture of which the person is a member, will have eligible research and development expenditure greater than $2 million for an income year; or
b: is a member of a group of companies that has or reasonably estimates that they will have eligible research and development expenditure greater than $2 million for an income year.
2: For the purposes of section LY 3(1)﻿(d)
a:
b: the Commissioner approves the person’s criteria and methodologies, as provided by subsections (3) to (8), and—
i: the person’s application for approval does not contain a material omission or misrepresentation; and
ii: the person complies with any conditions in the Commissioner’s approval; and
iii: there is no material change in the provisions in subpart LY
iv: the person has see: sections 33E 124ZI
3: The Commissioner may, in accordance with this section, approve a person’s criteria and methodologies for an income year (the first income year prior year last day of the 6th month before the end of the first income year ( application date section LY 5(1)﻿(ab)﻿(i)
4: A person must apply to the Commissioner for approval in the form prescribed by the Commissioner, including—
a: the criteria and methodologies the person wants the Commissioner to approve; and
b: the income years for which approval of a criterion or methodology is sought; and
c: any other information required by the Commissioner.
4B: If a person’s criteria and methodologies materially change during the period of an approval, and they want the change to be covered by the approval, they must apply to the Commissioner for a variation of the approval by the deadline in subsection (8).
5: The Commissioner may approve—
a: appropriate criteria and methodologies for determining whether an activity is a core research and development activity, a supporting research and development activity, or not a research and development activity at all:
b: appropriate criteria and methodologies for determining whether an amount of expenditure or loss is or is not an amount of eligible research and development expenditure.
6: If the Commissioner approves a person’s criteria and methodologies for an income year, the Commissioner must notify to the person those criteria and methodologies of the person that the Commissioner approves of, for which income years, and any conditions upon which the approval is made.
7: The Commissioner must notify the person of the intention to decline the application before the application is declined.
8: The Commissioner may vary an approval, upon application, if the variation application meets the requirements in subsection (2)﻿(b), the variation applied for meets the requirements of subsection (5), and the application is made on or before the 7th day of the 2nd month after the end of the relevant income year. If the Commissioner accepts the variation, then the Commissioner must notify the person in accordance with subsection (6).
9: The Commissioner may revoke an approval, with effect from the beginning of the income year in which the revocation is made, if the Commissioner considers that the person has classified an activity, or an expenditure or loss in such a way so as to defeat the purpose and application of subpart LY Section 68CC replaced 1 April 2020 section 45 section 38 Taxation (Research and Development Tax Credits) Act 2019 Section 68CC deadline to submit application for approval, or variation of approval, extended to 31 March 2023 20 February 2023 clause 4(2) clauses 4(1) 5 Tax Administration (Research and Development Tax Credit Deadlines for Taxpayers Affected by Weather Events) Order 2023 Section 68CC(2)﻿(a) repealed 1 April 2020 section 207(1) section 207(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 68CC(2)﻿(b)﻿(iv) amended 30 March 2021 section 164(1) section 164(3) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 68CC(3) amended 30 March 2022 section 196(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 68CC(3) amended 30 March 2022 section 196(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 68CC(3) amended 1 April 2021 section 164(2) section 164(4) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 68CC(4B) inserted 31 March 2023 section 184(1) section 184(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
68CD: Research and development tax credits: approved research and development cap
1: For the purposes of section LY 4 approved research and development cap
2: A person may request approval for an approved research and development cap by providing information to the Commissioner in the prescribed form on or before the 7th day of the 2nd month after the end of the income year.
3: The Commissioner must not approve an approved research and development cap for a person unless—
a: the relevant research and development activities give rise to substantial net benefit for New Zealand; and
b: the Commissioner has first consulted with the chief executive of the Ministry of Business, Innovation and Employment. Section 68CD inserted 1 April 2019 section 30 section 3 Taxation (Research and Development Tax Credits) Act 2019
68CE: Research and development tax credits: publication of details
1: The Commissioner must publish, in a publication chosen by the Commissioner, the names of people who have received a research and development tax credit under subpart LY
2: The names and bands must not be published before 2 years elapse after the end of the tax year to which the relevant tax credit relates. Section 68CE inserted 1 April 2019 section 30 section 3 Taxation (Research and Development Tax Credits) Act 2019
68CF: Research and development tax credits: extension of time for approvals
1: The time for a person to make an application, or an application to vary, in relation to an approval under sections 68CB 68CC
2: The time for a person to make an application in relation to an approval under section 68CB section 68CC(4) Section 68CF inserted 30 March 2022 section 197(1) section 197(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
68D: Statements in relation to research and development tax credits: single persons
Section 68D repealed 24 February 2016 section 251 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
68E: Statements in relation to research and development tax credits: internal software development groups
Section 68E repealed 24 February 2016 section 251 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
68F: Requirements for statements in relation to research and development tax credits
Section 68F repealed 24 February 2016 section 251 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
69: Annual ICA return
1: Subject to subsection (3), an imputation credit account (ICA) company
a: the opening balance and closing balance of the imputation credit account for the tax year:
b: the amount and source of all credits and debits that have arisen during the tax year as described in sections OA 5(2) OA 6(2)
c: the amount of any further income tax payable for the tax year under sections OB 65 to OB 67
d: the amount of any imputation penalty tax payable for the tax year:
e:
f:
g:
h: when the company is a public unit trust or a group investment fund that derives category A income—
i: the opening and closing balances of the trust’s or fund’s ASC account for the tax year:
ii: the amount and source of all credits and debits that have arisen in the trust’s or fund’s ASC account as described in sections OA 5(6) OA 6(6)
i: further information as may be prescribed or required by the Commissioner.
2: The annual ICA return required for the tax year by subsection (1) must be provided to the Commissioner no later than—
a: the last day of the July that follows the end of the tax year, if the ICA company is an Australian ICA company that is not required to file a return of income for the tax year:
b: if paragraph (a) does not apply, the last day on which the ICA company is permitted under section 37
3: Subsection (1) does not apply to an ICA company that is a member of a consolidated imputation group if the ICA for the company has a nil balance at all times during the relevant tax year. Section 69 replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 69(1) amended 31 March 2023 section 185(1) section 185(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 69(1)﻿(e) repealed 1 July 2012 section 145(1) Taxation (International Investment and Remedial Matters) Act 2012 Section 69(1)﻿(f) repealed 7 May 2012 section 145(2) Taxation (International Investment and Remedial Matters) Act 2012 Section 69(1)﻿(g) repealed 30 March 2017 section 316 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 69(3) inserted 31 March 2023 section 185(2) section 185(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
69B: Annual Maori authority credit account return required by Maori authority
1: A Maori authority must, no later than the time allowed by section 37 a tax year tax year
2: The annual Maori authority credit account return must show—
a: the opening and closing balances of the Maori authority credit account for the tax year
b: the amount and sources of all credits and debits that have arisen during the tax year sections OK 2 to OK 18
c: the amount of any further income tax payable for the tax year sections OK 21 OK 22
d: the amount of any Maori authority distribution penalty tax payable for the tax year
e: such further information as the Commissioner may prescribe or require. Section 69B inserted 26 March 2003 section 100(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 69B(1) amended 1 April 2008 section ZA 2(1) Income Tax Act 2007 Section 69B(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 69B(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 69B(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 69B(2)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 69B(2)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007
70: Annual ICA return
1: The Commissioner may require an ICA company annual ICA return
2: A company that in any tax year ICA company ICA company an annual ICA return tax year ICA company
2B: An ICA company a tax year tax year section OB 34 OB 35 OP 32 OP 33 tax year
a: a debit balance:
b: a balance that is less than the amount of a refund that the company would anticipate receiving but for sections RM 13 to RM 17 RM 32 RZ 6
3: An ICA company annual ICA return tax year tax year annual ICA return
4: An annual ICA return section 69 a tax year
a: in the case of a return required to be furnished under subsection (1) of this section, references to the period specified by the Commissioner:
b: in the case of a return required to be furnished under subsection (2) of this section, references to the period referred to in that subsection:
c: in the case of a return furnished under subsection (3) of this section, references to the period referred to in that subsection. 1976 No 65 s 394K Section 70 heading replaced 25 November 2003 section 113(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 70 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70(2) amended 29 March 2018 section 330 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 70(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70(2B) inserted 25 November 2003 section 113(2) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 70(2B) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70(2B)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007
70B: Annual Maori authority credit account return to be furnished in particular cases
1: The Commissioner may require a Maori authority to furnish, within the time allowed by the Commissioner, a Maori authority credit account return for a period specified by the Commissioner.
2: A Maori authority that ceases to be a Maori authority in a tax year the tax year
3: A Maori authority may furnish to the Commissioner, at any time, a Maori authority credit account return for a period beginning on the first day of a tax year the tax year
4: A Maori authority credit account return furnished under this section must, except if the Commissioner otherwise specifies, contain the matters referred to in section 69B a tax year
a: in the case of a return required to be furnished under subsection (1), references to the period specified by the Commissioner; and
b: in the case of a return required to be furnished under subsection (2) or subsection (3), references to the period referred to in subsection (2) or subsection (3) respectively. Section 70B inserted 26 March 2003 section 101(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 70B(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70B(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 70B(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007
70C: Statements in relation to R&D loss tax credits and R&D repayment tax
1: A person must file by electronic means, in the form and electronic format prescribed by the Commissioner, a statement in relation to—
a: R&D loss tax credits under the Income Tax Act 2007
b: R&D repayment tax that they must pay for a tax year.
2: The statement described in subsection (1) must be filed with the Commissioner no later than the day that is 30 days after the last day for filing a return of income for the relevant tax year under section 37
3: R&D repayment tax is due on the terminal tax date for the relevant tax year. Section 70C inserted 24 February 2016 section 252 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 70C(2) replaced 31 March 2023 section 186(2) section 186(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 70C(2) replaced 31 March 2023 section 186(1) section 186(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
71: Annual FDPA return
Section 71 repealed 1 April 2017 section 317 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Foreign dividends Heading repealed 1 April 2017 section 318 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
71B: Return requirements for refunds: foreign dividends
Section 71B repealed 1 April 2017 section 319 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
72: Annual FDPA Section 72 repealed 1 April 2017 section 320 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
73: Annual FDPA Section 73 repealed 1 April 2017 section 321 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
74: Annual
ICA return consolidated imputation group
1: A nominated company for a consolidated imputation group must, subject to subsection (2), comply in respect of the group with sections 69 70
a: the group were a single company; and
b: the reference in section 70(2) ICA company consolidated imputation group—
i: ceasing to be a consolidated imputation group; or
ii: ceasing to be an imputation group and becoming a consolidated group that is a consolidated imputation group; or
iii: ceasing to be a consolidated group that is a consolidated imputation group and becoming an imputation group; and
c: each reference in those sections to a provision of this Act or of the Income Tax Act 2007 a consolidated imputation group
2: The nominated company for a resident imputation subgroup is not required to furnish an annual ICA return section 69 a tax year if the group has no liability to make a payment under section OP 6 1976 No 65 s 191SD(3) Section 74 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 74 heading amended 25 November 2003 section 114(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(1) amended 25 November 2003 section 114(2) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 74(1)﻿(b) amended 25 November 2003 section 114(3) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(1)﻿(b)﻿(i) inserted 25 November 2003 section 114(3) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(1)﻿(b)﻿(ii) inserted 25 November 2003 section 114(3) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(1)﻿(b)﻿(iii) inserted 25 November 2003 section 114(3) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(1)﻿(b)﻿(iii) amended 29 March 2018 section 331 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 74(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 74(1)﻿(c) amended 25 November 2003 section 114(4) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(2) inserted 25 November 2003 section 114(5) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 74(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007
75: Notification of amalgamation to Commissioner
Where an amalgamation occurs, the amalgamated company shall, within 63 working days of the date upon which—
a: documents evidencing the amalgamation are delivered to the Registrar of Companies for registration under Part 13 Part 15
ab: in the case of an amalgamation of building societies, the notice of the transfer of all engagements is registered under section 34(3) Taxation (Tax Administration and Remedial Matters) Act 2011
b: in the case of any amalgamation under section 24A of the Co-operative Dairy Companies Act 1949
c: in the case of any amalgamation occurring under foreign law, the equivalent procedure occurs under foreign law,— give notice
d: the name and tax file number (if any) of each amalgamating company and the amalgamated company; and
e: the date upon which the amalgamation has effect (being the date provided by paragraph (ab) in the case of an amalgamation of building societies)
f: in any case where the amalgamated company has a non-standard balance date, the non-standard balance date; and
g: such other information as the Commissioner may require. 1976 No 65 s 191WD(3) 1994 No 76 s 29 Section 75 amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 75(a) amended 5 December 2013 section 14 Companies Amendment Act 2013 Section 75(ab) inserted 29 August 2011 section 160(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 75(e) amended 29 August 2011 section 160(2) Taxation (Tax Administration and Remedial Matters) Act 2011
76: Amalgamated company to assume rights and obligations of amalgamating company
Where any amalgamating company ceases to exist on an amalgamation, the amalgamated company shall, in accordance with section 225
a: comply with all obligations of and meet all liabilities of, and be entitled to all rights, powers and privileges of, the amalgamating company under the Inland Revenue Acts with respect to the tax year tax years
b: in particular but without limitation, make a return of income in respect of the amalgamating company and the tax year 1976 No 65 s 191WD(7) 1994 No 76 s 29 Section 76 amended 5 December 2013 section 14 Companies Amendment Act 2013 Section 76(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 76(b) amended 1 April 2005 section YA 2 Income Tax Act 2004
77: Company electing to maintain branch equivalent tax account to furnish amended annual ICA return
Section 77 repealed 1 July 2012 section 146(1) Taxation (International Investment and Remedial Matters) Act 2012
78: Annual and other returns for
BETA persons
1: Every BETA BETA income year
2: The annual return shall show—
a: the opening and closing balances of the account for the income year
b: the amount and source of all credits and debits that have arisen during the income year as described in sections OA 5(5) OA 6(5)
c: such further information as may be prescribed or as may be required by the Commissioner.
3: Every person liable to furnish an annual return under this section in respect of any income year section 37 income year
4: The Commissioner may require a BETA BETA
5: A BETA BETA income year
6: A return required to be furnished under subsection (4) or subsection (5) shall, except as the Commissioner may otherwise specify, contain the information referred to in subsection (2) as if the references in that subsection to an income year
a: in the case of a return required to be furnished under subsection (4), references to the period specified by the Commissioner:
b: in the case of a return required to be furnished under subsection (5), references to the period referred to in that subsection. 1976 No 65 s 394ZZW Section 78 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 78(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 78(1) amended 3 April 2006 section 229(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 78(2)﻿(a) amended 3 April 2006 section 229(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 78(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 78(2)﻿(b) amended 3 April 2006 section 229(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 78(3) amended 3 April 2006 section 229(4) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 78(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 78(5) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 78(5) amended 3 April 2006 section 229(5) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 78(6) amended 3 April 2006 section 229(6) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006
78B: Applications for tax credits
1: A taxpayer who has a tax credit under section LJ 2 LK 1
2: The taxpayer must provide with the application under subsection (1) information that is necessary to determine the amount of the credit. 2004 No 35 s LC 13(1) Section 78B inserted 1 April 2008 section ZA 2 Income Tax Act 2007
78C: Disclosure when changes occur
A taxpayer must provide to the Commissioner, as soon as possible, all relevant information if—
a: an amount referred to in section LJ 6
b: the change occurs after the taxpayer has made an application under section 78B 2004 No 35 s LC 13(2) Section 78C inserted 1 April 2008 section ZA 2 Income Tax Act 2007
78D: Evidential requirements for tax credits
A taxpayer who has not provided their investment income payer with their tax file number and who section LB 3 subparts LE LO
a: for an imputation credit, a shareholder dividend statement:
b:
c: for a credit for RWT, an RWT withholding certificate for the amount of RWT:
d: for a Maori authority credit, a Maori authority distribution statement for the credit:
e: any other information that the Commissioner may require. 2004 No 35 ss LB 2(4) LD 3(4) LD 3A(5) LD 8(3) LD 9(4) Section 78D inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 78D amended 1 April 2020 section 208 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 78D amended 1 April 2017 section 322(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 78D(b) repealed 1 April 2017 section 322(2) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
78E: Information for underlying foreign credits
Section 78E repealed 6 October 2009 section 634(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
78F: Time for providing information in relation to underlying foreign credits
Section 78F repealed 6 October 2009 section 635(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
78G: Country-by-country report from large multinational group
1: A large multinational group with an ultimate owner that is a New Zealand resident must provide to the Commissioner a report, for each period set by the Commissioner, that includes—
a: the information described in the OECD transfer pricing guidelines, Chapter V, Annex III; and
b: other information that is required by the Commissioner.
2: The report for a period must be provided to the Commissioner by the date that is 12 months after the end of the period. Section 78G inserted 27 June 2018 section 58 Taxation (Neutralising Base Erosion and Profit Shifting) Act 2018
79: Other annual returns
In addition to the returns required by sections 33 41 to 44 Income Tax Act 2007 1976 No 65 s 13 Section 79 amended 1 April 2008 section ZA 2 Income Tax Act 2007
80: Commissioner may require other returns to be made
In addition to the returns mentioned in sections 33 41 to 44 63 79 Income Tax Act 2007 1976 No 65 s 14 Section 80 amended 1 April 2008 section ZA 2 Income Tax Act 2007
3A: Income statements
Part 3A repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80A: Application
Section 80A repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80B: Notification required that taxpayer not subject to this Part
Section 80B repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80C: Requests for income statements
Section 80C repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80D: Commissioner must issue income statement
Section 80D repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80E: Particulars to be included in income statement
Section 80E repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80F: Taxpayer obligations and assessment on receipt of income statement
Section 80F repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80G: Income statement deemed return
Section 80G repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80H: Income statement deemed assessment
Section 80H repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80I: Deemed matters
Section 80I repealed 1 April 2019 section 45(1) section 45(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
3B: Credits of tax
Part 3B inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Applying for payment by instalment Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KA: Applications for payment of tax credit by instalment
1: This section applies to applications made under section MF 1
2: An application by a person who wants to be paid their tax credit, other than a parental tax credit, by instalment must not be made after the selected period starts, unless the first day of the selected period is on or after the first day of the tax year in which the application is made.
3: A person who wants to be paid their parental tax credit by instalment must apply no later than 3 months after the date of the dependent child’s birth.
4: If a person referred to in subsection (3) applies more than 3 months after the date of the dependent child’s birth, the person may receive the parental tax credit only after taking into account their end of year assessment under subpart LA
5: If the 3-month period described in subsection (3) spans 2 tax years and the whole of the selected period falls in the first tax year, the selected period is treated as falling in the second tax year if all instalments are paid to the person in the second tax year. 2004 No 35 s KD 5(1B)–(1C) Section 80KA inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KA(2) replaced 18 March 2019 section 46 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80KB: Contents of application
1: An application referred to in section 80KA
a: be in a form prescribed by the Commissioner; and
b: be signed by the person and any other person who, at the time at which the application is made, expects to be, in the selected period, their spouse, civil union partner, or de facto partner; and
c: unless the only tax credit the person expects to be entitled to for the relevant tax year is the Best Start tax credit and all dependent children will be less than 1 year old on the last day of the tax year, give for each person who signed the application (the signatory) a complete statement of—
i: the family scheme income that is expected to be attributable to the tax year; and
ii: the family scheme income that is expected to be attributable to the selected period; and
d: choose whether the instalments should be paid weekly or fortnightly; and
e: contain any other information required by the Commissioner; and
f: be accompanied by the information described in subsection (2), unless the only tax credit the person expects to be entitled to for the relevant tax year is the Best Start tax credit and all dependent children will be less than 1 year old on the last day of the tax year; and
g: be accompanied by the information described in subsection (2)﻿(c) and (d), if the only tax credit the person expects to be entitled to for the relevant tax year is the Best Start tax credit and all dependent children will be less than 1 year old on the last day of the tax year.
2: The information for the purposes of subsection (1)﻿(f) and (g) is—
a: for a signatory who expects to derive income from employment, evidence of the amount of income from employment derived by them in the period of 1 month immediately before the date on which the application is made:
b: for a signatory who expects to derive income from a business,—
i: a copy of the financial statements of the business for the tax year or corresponding income year immediately before the tax year that contains the selected period; or
ii: if the financial statements referred to in subparagraph (i) have not been completed, a copy of the financial statements for the business for the tax year or corresponding income year that is before the year immediately before the tax year that contains the selected period; or
iii: a set of budgeted accounts of the business for the tax year or corresponding income year that contains the selected period; or
iv: other evidence in relation to the business for the tax year or corresponding income year that contains the selected period:
c: unless paragraph (d) applies, the tax file number of each child for whom an entitlement to a tax credit arises:
d: in the case of a child that has died or is given up for adoption, a birth certificate or other evidence verifying the birth or existence of the child for whom an entitlement to a tax credit arises.
3: Subsection (2)﻿(a) does not apply if the Commissioner considers that the Commissioner has enough evidence of a signatory’s income from employment.
4: Subsection (2)﻿(d) does not apply to an application made by a person who is an adoptive parent, as that term is defined in the Adoption Act 1955 2004 No 35 s KD 5(2)–(2AB) Section 80KB inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KB(1)﻿(c) amended 1 July 2018 section 28(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KB(1)﻿(f) replaced 1 July 2018 section 28(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KB(1)﻿(g) inserted 1 July 2018 section 28(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KB(2) amended 1 July 2018 section 28(3) Families Package (Income Tax and Benefits) Act 2017
80KC: When tax file number of child does not accompany application
1: Subsection (2) applies when—
a: an application referred to in section 80KA
b: the Commissioner has enough other evidence of the person’s entitlement.
2: The Commissioner must—
a: provide the person with a notice of entitlement; and
b: pay to the person instalments of a tax credit under the family scheme
3: Subsection (4) applies when the person or their spouse, civil union partner, or de facto partner does not provide the tax file number of a child for whom an entitlement to a tax credit arises within the 56-day period.
4: The Commissioner must stop paying the tax credit for the child until the tax file number is provided. 2004 No 35 s KD 5(3), (3A) Section 80KC inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KC(2)﻿(b) amended 1 July 2018 section 29 Families Package (Income Tax and Benefits) Act 2017
80KD: What Commissioner must do on receipt of application
1: This section applies when the Commissioner receives an application that complies with section 80KB
2: The Commissioner must do the following:
a: determine under the family scheme
b: calculate under section MF 3
c: for all or some of the selected period, give the person a notice (the notice of entitlement
i: the amount of the instalment of the tax credit to which the person is entitled; and
ii: the amount after abatement contributed by the family tax credit
iii: the amount of credit after abatement contributed by the in-work tax credit
iv: the amount after abatement contributed by the child tax credit to the instalment; and
v: the amount after abatement contributed by the parental tax credit to the instalment; and
vi: the amount contributed by the minimum family tax credit
3: The Commissioner must keep a copy of every notice of entitlement that is given under this section. 2004 No 35 s KD 5(4), (5)﻿(a) Section 80KD inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KD(2)﻿(a) amended 1 July 2018 section 30 Families Package (Income Tax and Benefits) Act 2017 Section 80KD(2)﻿(c)﻿(ii) amended 1 April 2008 section 211(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KD(2)﻿(c)﻿(iii) amended 1 April 2008 section 211(b) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KD(2)﻿(c)﻿(vi) amended 1 April 2008 section 211(c) Taxation (Business Taxation and Remedial Matters) Act 2007 Notices of entitlement Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KE: Notices of entitlement
A notice of entitlement issued under section 80KD
a: is not transferable; and
b: is subject to the terms and conditions set out in it by the Commissioner. 2004 No 35 s KD 5(11) Section 80KE inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KF: Effect of giving notice of entitlement
1: If a notice of entitlement has been given to a person, the Commissioner must pay the person instalments of tax credit under section 80KI
2: A person continues to be entitled to a tax credit under section MC 2 sections MA 1 ME 1 section 80KH 2004 No 35 s KD 5(2A), (5)﻿(b), (7) Section 80KF inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KF(1) amended 29 August 2011 section 161(1) Taxation (Tax Administration and Remedial Matters) Act 2011
80KG: Notifying Commissioner of events affecting notice of entitlement
1: Subsection (2) applies when—
a: a person has been given a notice of entitlement; and
b: 1 or more of the events described in subsection (3) occur within the period starting on the date of the notice of entitlement and ending on the last day of the selected period.
2: The person must notify the Commissioner immediately if an event of the kind described in subsection (3) occurs that may result in the person losing their entitlement.
3: The events include—
a: the person or their spouse, civil union partner, or de facto partner stops being the principal caregiver of a child, and the person expects that they will not resume the role of principal caregiver for a period of more than 56 consecutive days; or
b: the person starts or stops being a spouse, civil union partner, or de facto partner; or
c: any other event of a kind set out in the notice of entitlement for the purposes of this subsection.
4: Subsection (5) applies when—
a: a notice of entitlement has been issued to a person; and
b: 1 or more of the events described in subsection (6) occur.
5: The person may notify the Commissioner if an event of the kind described in subsection (6) occurs that may change a person’s entitlement.
6: The events include—
a: the person or their spouse, civil union partner, or de facto partner becomes the principal caregiver of any child; or
b: something happens that the person thinks may affect their entitlement to the tax credit specified in the notice of entitlement; or
c: the notice of entitlement is lost or destroyed. 2004 No 35 s KD 5(9) Section 80KG inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KH: Cancellation of notice of entitlement
1: This section applies when the Commissioner—
a: is notified under section 80KG
b: considers that a notice of entitlement given to a person no longer applies; or
c: is advised by the chief executive of the administering department, under an information sharing agreement referred to in section 18E(2)
2: The Commissioner may, on notifying the person,—
a: cancel the notice of entitlement; or
b: provide a replacement notice of entitlement for the same relationship period or a different relationship period, or provide a supplement to the notice of entitlement, as appropriate, having regard to information in the Commissioner’s possession. 2004 No 35 s KD 5(10), (12) Section 80KH inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KH(1)﻿(c) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 80KH(1)﻿(c) amended 31 August 2017 section 323 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Payments to holders of notices of entitlement Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KI: Payment of tax credit by instalment by Commissioner
1: This section applies when the Commissioner has given a notice of entitlement to a person.
2: In the period described in subsection (3), the Commissioner must pay to the person the instalments of the tax credit set out in the notice of entitlement.
3: The period—
a: starts on the day stated in the notice of entitlement; and
b: ends with the earlier of—
i: the day on which the notice of entitlement is cancelled by the Commissioner; or
ii: the end date stated in the notice of entitlement.
4: The Commissioner may choose the days on which the instalments are paid. 2004 No 35 s KD 7(1) Section 80KI inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KJ: Delay in providing notice of entitlement
1: This section applies when the Commissioner thinks that the time taken to provide a notice of entitlement has been unduly delayed.
2: The Commissioner may pay the instalments of the tax credit that the Commissioner thinks should be paid, having regard to the circumstances of the case. 2004 No 35 s KD 7(3) Section 80KJ inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KK: Payment by instalment of
family tax credit and Best Start tax credit
1: This section applies when the Commissioner considers, on the basis of information provided under an information sharing agreement referred to in section 18E(2) —
a: the family tax credit:
b: the Best Start tax credit.
2: In the period described in subsection (3), the Commissioner must pay to the person the following tax credits by instalment and without abatement:
a: the family tax credit:
b: the Best Start tax credit.
3: The period—
a: starts on the day following the day that the chief executive says is the last day that the person is entitled to—
i: a main benefit
ii: a WFF tax credit section 80KN
b: ends on the earlier of—
i: the day before the first day stated in a notice of entitlement that is provided later:
ii: a period of not more than 56 days, starting on the first day referred to in paragraph (a).
4: Subsection (5) applies when the chief executive pays the following tax credits for part of the 56-day period referred to in subsection (3)﻿(b)﻿(ii):
a: the family tax credit:
b: the Best Start tax credit.
5: The period referred to in subsection (3)﻿(b)﻿(ii) is reduced by the period for which the chief executive paid the family tax credit or the Best Start tax credit, as applicable 2004 No 35 s KD 7(2B), (2C) Section 80KK inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KK heading amended 1 July 2018 section 31(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 80KK(1) amended 1 July 2018 section 31(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(1) amended 31 August 2017 section 324 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 80KK(1)﻿(a) inserted 1 July 2018 section 31(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(1)﻿(b) inserted 1 July 2018 section 31(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(2) amended 1 July 2018 section 31(3) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(2)﻿(a) inserted 1 July 2018 section 31(3) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(2)﻿(b) inserted 1 July 2018 section 31(3) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(3)﻿(a)﻿(i) replaced 26 November 2018 section 459 Social Security Act 2018 Section 80KK(3)﻿(a)﻿(i) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 80KK(3)﻿(a)﻿(i) amended 30 April 2020 section 20 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 80KK(3)﻿(a)﻿(ii) amended 1 April 2008 section 212(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KK(4) amended 1 July 2018 section 31(4) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(4)﻿(a) inserted 1 July 2018 section 31(4) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(4)﻿(b) inserted 1 July 2018 section 31(4) Families Package (Income Tax and Benefits) Act 2017 Section 80KK(5) amended 1 July 2018 section 31(5) Families Package (Income Tax and Benefits) Act 2017
80KL: Payment of instalments into accounts
1: Unless the Commissioner in a particular case otherwise determines, it is a condition of the receipt of tax credits paid by instalments by the Commissioner that—
a: the person, or the person and their spouse, civil union partner, or de facto partner,—
i: gives the Commissioner the details of an existing bank account held by the person (whether alone or jointly with their spouse, civil union partner, or de facto partner); or
ii: opens a bank account (if they do not have one), and gives the Commissioner details of that account; and
b: the existing account or, as applicable, the opened account is an account held as described in subsection (2).
2: The account must be held with—
a: a registered bank within the meaning of that term in section 2 Banking (Prudential Supervision) Act 1989
b: a building society, in respect of any deposits with the building society; or
c: the Public Service Investment Society Limited; or
d: a credit union within the meaning of that term in section 2
3: The Commissioner must pay every instalment of tax credit into the account. 2004 No 35 s KD 7(4) Section 80KL inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KL(2)﻿(a) amended 1 July 2022 section 300(1) Reserve Bank of New Zealand Act 2021
80KLB: Recovery of excess tax credits
1: This section applies when—
a: the Commissioner pays a person a tax credit by instalment under section MF 1
b: in paying a tax credit by instalment in an earlier tax year, the Commissioner or the chief executive of the administering department section MF 6
2: The Commissioner may use the amount of an instalment payable to the person to satisfy an amount added under section MF 6(2) Section 80KLB inserted 6 October 2009 section 636(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 80KLB(1)﻿(b) amended 1 April 2020 section 209(1) section 209(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
80KM: Summary of instalments paid
Section 80KM repealed 23 March 2020 section 210 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Payments of tax credit by chief executive Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KN: Payment of tax credit by chief executive
1: This section applies when—
a: in a tax year, the chief executive of the administering department pays to a person a main benefit
b: the chief executive is satisfied that—
i: the person is entitled to receive a WFF tax credit family credit abatement or the Best Start credit abatement, as applicable, is
ii: the chief executive is authorised by an Order in Council made under section 225A WFF tax credit family credit abatement or the Best Start credit abatement, as applicable, is
2: When paying the main benefit WFF tax credit payment, unless the chief executive and the Commissioner agree that the Commissioner will, and the chief executive will not, pay to the person, or each person in a class of persons to which the person belongs, the WFF tax credit that they are entitled to receive
3: An agreement between the chief executive and the Commissioner referred to in subsection (2) may be terminated by agreement between the chief executive and the Commissioner. 2004 No 35 s KD 6(1) Section 80KN inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KN(1)﻿(a) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 80KN(1)﻿(b)﻿(i) amended 1 July 2018 section 32(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KN(1)﻿(b)﻿(i) amended 1 April 2008 section 213 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KN(1)﻿(b)﻿(ii) amended 1 July 2018 section 32(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KN(1)﻿(b)﻿(ii) amended 1 April 2008 section 213 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KN(2) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 80KN(2) amended 18 March 2019 section 48(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 80KN(2) amended 1 April 2008 section 213 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KN(3) inserted 18 March 2019 section 48(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
80KO: Determining
WFF tax credit In determining the amount of WFF tax credit section 80KN
a: use the method set out in section MF 3 family credit abatement or Best Start credit abatement
b: take into account the rate of family tax credit sections MD 3 MD 13 Act; and
c: take into account the rate of Best Start tax credit and the Best Start credit abatement given by sections MG 2 MG 3 2004 No 35 s KD 6(1A) Section 80KO inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KO heading amended 1 April 2008 section 214(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KO amended 1 April 2008 section 214(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KO(a) amended 1 July 2018 section 33(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KO(b) amended 1 July 2018 section 33(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KO(b) amended 1 April 2008 section 214(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KO(c) inserted 1 July 2018 section 33(2) Families Package (Income Tax and Benefits) Act 2017
80KP: When entitlement to
main benefit
1: This section applies for the purposes of section 80KN
a: a person’s entitlement to a main benefit
b: they apply to the chief executive to have the payment of their following tax credits continued:
i: the family tax credit:
ii: the Best Start tax credit.
2: The chief executive must continue to pay the family tax credit or the Best Start tax credit, as applicable, a main benefit 2004 No 35 s KD 6(1B) Section 80KP inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KP heading amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 80KP(1)﻿(a) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 80KP(1)﻿(b) amended 1 July 2018 section 34(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KP(1)﻿(b)﻿(i) inserted 1 July 2018 section 34(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KP(1)﻿(b)﻿(ii) inserted 1 July 2018 section 34(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KP(2) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 80KP(2) amended 1 July 2018 section 34(2) Families Package (Income Tax and Benefits) Act 2017
80KQ: No authority to pay
WFF tax credit
1: This section applies when the chief executive is not satisfied that they are authorised to pay the WFF tax credit
2: The chief executive may ask the Commissioner to accept from the person their application for a notice of entitlement. 2004 No 35 s KD 6(1C) Section 80KQ inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KQ heading amended 1 April 2008 section 216(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KQ(1) amended 1 April 2008 section 216(2) Taxation (Business Taxation and Remedial Matters) Act 2007
80KR: Request by chief executive to stop payment of
WFF tax credit
1: This section applies when—
a: the chief executive has made a request under section 80KQ(2)
b: the chief executive is satisfied that they are authorised to pay the person the WFF tax credit
2: The chief executive may ask the Commissioner to stop paying the person under their notice of entitlement. 2004 No 35 s KD 6(1D) Section 80KR inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KR heading amended 1 April 2008 section 217(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KR(1)﻿(b) amended 1 April 2008 section 217(2) Taxation (Business Taxation and Remedial Matters) Act 2007
80KS: Request by person to stop or re-start payment of tax credit
1: Subsection (2) applies, despite section 80KN 80KP
2: The chief executive must, as soon as practicable, stop paying the person the tax credit.
3: Subsection (4) applies when a person cancels their notification under subsection (1).
4: The chief executive must, as soon as practicable, start paying the person the tax credit again. 2004 No 35 s KD 6(2), (3) Section 80KS inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KT: Details of payments of tax credits
1: This section applies when the chief executive pays under section 80KN
2: The chief executive must, for each month in which a payment is made, provide details of the payment at a time and in a manner agreed by the chief executive and the Commissioner.
3:
4: 2004 No 35 s KD 6(4) Section 80KT inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KT(2) amended 1 April 2019 section 336(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 80KT(3) repealed 1 April 2019 section 336(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 80KT(4) repealed 1 April 2019 section 336(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 When Commissioner takes over payment of tax credit from chief executive Heading inserted 1 April 2008 section ZA 2 Income Tax Act 2007
80KU: Payment of tax credit taken over by Commissioner
1: This section applies when—
a: in a tax year, the chief executive stops paying a person an amount of tax credit with a main benefit
b: the person applies to the Commissioner for payment of WFF tax credit, family tax credit, minimum family tax credit, or Best Start tax credit
c: the Commissioner determines that the person is entitled to the following tax credits for the period described in subsection (3):
i: the tax credit under section MD 1
ii: the tax credit under section MG 1
2: For the period described in subsection (3), the Commissioner may pay to the person the arrears of the tax credits, other than the in-work tax credit
3: The period—
a: starts on the later of—
i: the first day of the tax year; and
ii: the day following that on which the chief executive stops paying the amount to the person; and
b: ends on the day before the first day stated in a notice of entitlement that is later given to the person. 2004 No 35 s KD 7(3A), (3B), (3C) Section 80KU inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KU(1)﻿(a) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 80KU(1)﻿(b) amended 1 July 2018 section 35(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KU(1)﻿(b) amended 1 April 2008 section 218(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KU(1)﻿(c) amended 1 July 2018 section 35(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KU(1)﻿(c)﻿(i) inserted 1 July 2018 section 35(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KU(1)﻿(c)﻿(ii) inserted 1 July 2018 section 35(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KU(2) amended 1 April 2008 section 218(2) Taxation (Business Taxation and Remedial Matters) Act 2007
80KV: Statement of family scheme income
1: This section applies for a notice of entitlement that the Commissioner has given to a person for a tax year, unless the only tax credit the person expects to be entitled to for the tax year is the Best Start tax credit and all dependent children will be less than 1 year old on the last day of the tax year
2: The person must, in the time within which the person is required to file the person’s return of income for the tax year, give the Commissioner a complete statement of the person’s family scheme income for the tax year.
3: The person must include in the statement described in subsection (2) the family scheme income of the person’s spouse, civil union partner, or de facto partner, as applicable, unless that other person gives a statement of their own family scheme income under subsection (4).
4: The person’s spouse, civil union partner, or de facto partner, as applicable, may give a separate complete statement of their own family scheme income, in the time within which the person is required to file the person’s return of income. Section 80KV replaced 24 February 2016 section 254 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 80KV(1) amended 1 July 2018 section 36 Families Package (Income Tax and Benefits) Act 2017
80KW: Effect of extra instalment on entitlement to tax credit
1: This section applies to a person who—
a: is entitled to a WFF tax credit or minimum family tax credit
b: receives a payment under either section 80KI 80KN
c: as a consequence of the year not being divided into an exact number of fortnights or weeks,—
i: receives in the tax year 27 instalments corresponding to a period of a fortnight; or
ii: may have received in the tax year 53 instalments corresponding to a period of a week.
2: Subsection (3) applies—
a: for the purposes of section MF 6
b: when the person has received payments
3: The person is entitled to a tax credit for the tax year of an amount calculated using the formula— tax credit + ((final instalment − parental tax credit) × 13 ÷ 14).
4: In the formula in subsection (3),—
a: tax credit
i: section MD 1 WFF tax credit
ii: section ME 1 minimum family tax credit
iii: section MG 1
b: final instalment
c: parental tax credit
5: Subsection (6) applies—
a: for the purposes of section MF 6
b: when the person has received payments
6: The person is entitled to a tax credit for the tax year equal to an amount calculated using the formula— (tax credit − parental tax credit) × 53 ÷ 52.
7: In the formula in subsection (6),—
a: tax credit
i: section MD 1 WFF tax credit
ii: section ME 1 minimum family tax credit
iii: section MG 1
b: parental tax credit section MD 12 2004 No 35 s KD 7A Section 80KW inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 80KW(1)﻿(a) amended 1 April 2008 section 219(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KW(1)﻿(b) replaced 6 October 2009 section 637(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 80KW(2)﻿(b) replaced 1 April 2008 section 219(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KW(2)﻿(b) amended 6 October 2009 section 637(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 80KW(4)﻿(a)﻿(i) amended 1 April 2008 section 219(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KW(4)﻿(a)﻿(ii) amended 1 April 2008 section 219(4) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KW(4)﻿(a)﻿(iii) inserted 1 July 2018 section 37(1) Families Package (Income Tax and Benefits) Act 2017 Section 80KW(5)﻿(b) replaced 1 April 2008 section 219(5) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KW(5)﻿(b) amended 6 October 2009 section 637(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 80KW(6) replaced 6 October 2009 section 637(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 80KW(7)﻿(a)﻿(i) amended 1 April 2008 section 219(6) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KW(7)﻿(a)﻿(ii) amended 1 April 2008 section 219(7) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 80KW(7)﻿(a)﻿(iii) inserted 1 July 2018 section 37(2) Families Package (Income Tax and Benefits) Act 2017 Section 80KW(7)﻿(b) replaced 6 October 2009 section 637(5) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
4: Secrecy
Part 4 heading repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
81: Officers to maintain secrecy
Section 81 repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
81A: Disclosure of information under approved information sharing agreement
Section 81A repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
81BA: Government agency communication
Section 81BA repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
81B: Disclosure of information concerning tax advisor or person acting as tax agent
Section 81B repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
82: Disclosure of information for matching purposes
Section 82 repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
82AA: Disclosure to ensure correct information included in New Zealand Business Number Register
Section 82AA repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
82A: Disclosure of information to prevent cessation of benefit payments
Section 82A repealed 31 August 2017 section 328 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
83: Disclosure of information for purposes of entitlement card
Section 83 repealed 31 August 2017 section 329 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
84: Disclosure of information for WFF tax credit double payment identification
Section 84 repealed 31 August 2017 section 330 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
85: Disclosure of address information in relation to debtors
Section 85 repealed 31 August 2017 section 331 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
85A: Disclosure of certain information in relation to fines defaulters
Section 85A repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85B: Disclosure of information for purposes of mutual assistance provision contained in social security agreement
Section 85B repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85C: Use and supply of information supplied for purposes of section 85B
Section 85C repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85D: Ministry of Education to provide information as to study status of student loan borrowers
Section 85D repealed 1 April 2007 section 44(4) Student Loan Scheme Amendment Act 2007
85E: Disclosure of information for assessment of levies
Section 85E repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85F: Disclosure of information for verification of
government screen production payment Section 85F repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85G: Disclosure of information in relation to Working for Families tax credits
Section 85G repealed 31 August 2017 section 332 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
85GB: Government Actuary to provide information to Commissioner for purpose of administration of KiwiSaver Act 2006
Section 85GB repealed 1 May 2011 section 82 Financial Markets Authority Act 2011
85GC: Use of information supplied under
section 85GB Section 85GC repealed 1 May 2011 section 82 Financial Markets Authority Act 2011
85H: Disclosure of information for purposes of Parental Leave and Employment Protection Act 1987
Section 85H repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85I: Use of Parental Leave and Employment Protection Act 1987
, Best Start tax credit, and parental tax credit Section 85I repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85J: Disclosure of information for administration of Australian wine producer rebate
Section 85J repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85K: New Zealand Police and Ministry of Justice to provide information concerning sex offences for purposes of child support exemptions
Section 85K repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85L: Use of information supplied under section 85K
Section 85L repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85M: Disclosure of information relating to some offences to the Registrar of Companies
Section 85M repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
85N: Disclosure of information to approved credit reporting agencies
Section 85N repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
86: Other persons to maintain secrecy
Section 86 repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
87: Further secrecy requirements
Section 88 repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
88: Secrecy obligations not to prevent disclosure in arrangements for relief from double taxation and exchange of information
Section 88 repealed 18 March 2019 section 49 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
4A: Disputes procedures
Part 4A inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996
89A: Purpose of this Part
1: The purpose of this Part is to establish procedures that will—
a: improve the accuracy of disputable decisions made by the Commissioner under certain of the Inland Revenue Acts; and
b: reduce the likelihood of disputes arising between the Commissioner and taxpayers by encouraging open and full communication—
i: to the Commissioner, of all information necessary for making accurate disputable decisions; and
ii: to the taxpayers, of the basis for disputable decisions to be made by the Commissioner; and
c: promote the early identification of the basis for any dispute concerning a disputable decision; and
d: promote the prompt and efficient resolution of any dispute concerning a disputable decision by requiring the issues and evidence to be considered by the Commissioner and a disputant before the disputant commences proceedings.
2: This Part does not apply with respect to any tax returns or notices of assessments that are, or become, subject to objection proceedings under Part 8
3: Despite section 1(2) tax years tax year Section 89A inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89A(3) inserted 20 May 1999 section 73(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 89A(3) amended 1 April 2005 section YA 2 Income Tax Act 2004
89AB: Response periods
1: This section applies for the purposes of Parts 4A 8A initiating notice response period
2: When the initiating notice is a notice of proposed adjustment, the response period is a 2-month period starting on the date of issue of the notice , unless section 89AC
3: When the initiating notice is a notice of assessment issued by a taxpayer, the response period for a notice of proposed adjustment under section 89DA
4: When the initiating notice is either a notice of disputable decision or a notice revoking or varying a disputable decision that is not an assessment, the response period for a notice is—
a: a 2-month period starting on the date of issue of the initiating notice; or
b: for a notice of proposed adjustment, a 4-month period starting on the date of issue of the initiating notice.
5: When the initiating notice is a disclosure notice, a notice issued by the Commissioner rejecting an adjustment proposed by a disputant, or a disputant's statement of position, the response period is a 2-month period starting on the date of issue of the initiating notice , unless section 89AC
6: Section 89AB inserted 6 October 2009 section 642(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 89AB(2) amended 24 February 2016 section 257(1) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 89AB(3) replaced 31 March 2023 section 187(1) section 187(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 89AB(4) replaced 31 March 2023 section 187(2) section 187(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 89AB(5) amended 24 February 2016 section 257(2) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 89AB(6) repealed 31 March 2023 section 187(3) section 187(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
89AC: Response period when initiating notice filed late
When the initiating notice is a notice of proposed adjustment referred to in section 89AB(2)
a: the day on which the Commissioner issues a notice in favour of the disputant in accordance with section 89K(1)
b: the day on which a challenge to the Commissioner’s refusal under section 89K(4) Section 89AC inserted 24 February 2016 section 258 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Notices of proposed adjustment Heading inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996
89B: Commissioner may issue notices of proposed adjustment
1: The Commissioner may issue 1 or more notices of proposed adjustment in respect of a tax return or an assessment.
2: The Commissioner may issue one notice of proposed adjustment in relation to more than 1 return period, if, in the Commissioner's opinion,—
a: the adjustments proposed to each tax return or assessment for the return periods relate exclusively to the same issues or arrangements; or
b: the adjustments proposed to each tax return or assessment for the return periods relate substantially to the same issues, and the issue of one notice is likely to expedite the issue of the assessments for all of the returns.
3: The Commissioner may issue a notice of proposed adjustment in relation to more than 1 return period, more than 1 issue, and more than 1 tax type.
4: The Commissioner may not issue a notice of proposed adjustment—
a: if the proposed adjustment is already the subject of a challenge; or
b: after the expiry of the time bar that, under—
i: sections 108 108B
ii: sections 108A 108B
iii: sections 108AB 108B applies to the assessment. Section 89B inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89B(4)﻿(b)﻿(ii) replaced 30 March 2022 section 198 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 89B(4)﻿(b)﻿(iii) inserted 30 March 2022 section 198 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
89C: Notices of proposed adjustment required to be issued by Commissioner
The Commissioner must issue a notice of proposed adjustment before the Commissioner makes an assessment
a: the assessment corresponds with a tax return that has been provided by the taxpayer; or
b: the taxpayer has provided a tax return which, in the Commissioner's opinion, appears to contain a simple or obvious mistake or oversight, and the assessment merely corrects the mistake or oversight; or
c: the assessment corrects a tax position previously taken by the taxpayer in a way or manner agreed by the Commissioner and the taxpayer; or
d: the assessment reflects an agreement reached between the Commissioner and the taxpayer; or
db: the assessment is made in relation to a matter for which the material facts and relevant law are identical to those for an assessment of the taxpayer for another period
e: the Commissioner has reasonable grounds to believe a notice may cause the taxpayer or an associated person—
i: to leave New Zealand; or
ii: to take steps, in relation to the existence or location of the taxpayer's assets, making it harder for the Commissioner to collect the tax from the taxpayer; or
eb: the Commissioner has reasonable grounds to believe that the taxpayer has
f: the assessment corrects a tax position previously taken by a taxpayer that, in the opinion of the Commissioner is, or is the result of, a vexatious or frivolous act of, or vexatious or frivolous failure to act by, the taxpayer; or
g: the assessment is made
h: the taxpayer has not provided a tax return when and as required by a tax law; or
i: the assessment is made following the failure by a taxpayer to withhold or deduct an amount required to be withheld or deducted by a tax law or to account for an amount withheld or deducted in the manner required by a tax law; or
j: the taxpayer is entitled to issue a notice of proposed adjustment in respect of a tax return provided by the taxpayer, and has done so; or
k: the assessment corrects a tax position taken by the taxpayer or an associated person as a consequence or result of an incorrect tax position taken by another taxpayer, and, at the time the Commissioner makes made make assessment for taxpayer; or
ka: the assessment corrects a tax position taken by the taxpayer in relation to a tax position taken by a look-through company in a return of income under section 42B
l: the assessment results from an amendment made under section 22G(6)
lbaa: the Commissioner is making an amendment before finalising the account of a qualifying individual under section 22H
lba: the assessment is of a penalty under section 142H 142I
lb: the assessment extinguishes all or part of a taxpayer's tax loss in accordance with section 177C(5)
lbb: the assessment extinguishes all or part of a taxpayer’s excess amount under section EL 4 section 177C(5BA)
m: the assessment includes a calculation by the Commissioner of a tax credit under the family scheme Section 89C inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89C amended 24 October 2001 section 202(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89C(db) inserted 21 December 2004 section 95(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89C(db) amended 3 April 2006 section 232 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 89C(eb) inserted 21 December 2004 section 95(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89C(eb) amended 18 December 2006 section 190 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 89C(g) amended 24 October 2001 section 202(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89C(i) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 89C(k) amended 24 October 2001 section 202(3)﻿(a) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89C(k) amended 24 October 2001 section 202(3)﻿(b) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89C(k) amended 7 October 1998 section 25(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 89C(ka) inserted 1 April 2011 section 152 Taxation (GST and Remedial Matters) Act 2010 Section 89C(l) replaced 1 April 2019 section 51 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 89C(lbaa) inserted 23 March 2020 section 211 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 89C(lba) inserted 1 July 2017 section 13 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 89C(lb) inserted 29 August 2011 section 166 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89C(lbb) inserted 1 April 2023 section 188(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 89C(m) inserted 24 October 2001 section 202(4) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89C(m) amended 1 July 2018 section 39 Families Package (Income Tax and Benefits) Act 2017 Section 89C(m) amended 1 April 2008 section ZA 2 Income Tax Act 2007
89D: Taxpayers and others with standing may issue notices of proposed adjustment
1: If the Commissioner—
a: issues a notice of assessment to a taxpayer; and
b: has not previously issued a notice of proposed adjustment to the taxpayer in respect of the assessment, whether or not in breach of section 89C the taxpayer may, subject to subsections (1B) and (2) except to the extent to which the assessment takes into account amounts arising under subpart HB
1B: If the assessment by the Commissioner is an amended assessment, the taxpayer’s entitlement to dispute the assessment is limited to disputing—
a: a liability imposed by the assessment that was not imposed by the assessment being amended:
b: an increase imposed by the assessment in a liability that was imposed by the assessment being amended.
2: A taxpayer who has not furnished a return of income for an assessment period may dispute the assessment made by the Commissioner only by furnishing a return of income for the assessment period.
2A: For the purpose of subsection (2), section 33(2)
2B: For a taxpayer who is an individual, when an assessment for a tax year is made as described in section 22I(3)
2C: A taxpayer who has not provided a GST tax return for a GST return period may not dispute the assessment made by the Commissioner other than by providing a GST return for the GST return period.
2D: For the purpose of subsection (2C), section 16(6)
2E: If the Commissioner makes an assessment of an amount of research and development credit, a taxpayer who has not provided a statement under section 68D 68E
3: If the Commissioner—
a: issues a notice of disputable decision that is not a notice of assessment; and
b: the notice of disputable decision affects the taxpayer,— the taxpayer, or any other person who has the standing under a tax law to do so on behalf of the taxpayer, may issue a notice of proposed adjustment in respect of the disputable decision.
4:
5: For a notice of proposed adjustment issued under this section to have effect, the notice must be issued within the applicable response period. Section 89D inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89D(1) amended 30 March 2021 section 165(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 89D(1) amended 1 April 2011 section 153 Taxation (GST and Remedial Matters) Act 2010 Section 89D(1B) inserted 30 March 2021 section 165(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 89D(2) replaced 24 October 2001 section 203(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89D(2A) inserted 24 October 2001 section 203(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89D(2B) replaced 1 April 2019 section 52 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 89D(2C) inserted 21 December 2004 section 96(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89D(2D) inserted 3 April 2006 section 233 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 89D(2D) amended 31 March 2007 section 191(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 89D(2E) inserted 6 October 2009 section 643(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 89D(4) repealed 21 December 2004 section 96(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
89DA: Taxpayer may issue notice of proposed adjustment for taxpayer assessment
1: A taxpayer may issue a notice of proposed adjustment in respect of an assessment made by the taxpayer for a tax year or a GST return period except,—
a: to the extent to which the assessment takes into account amounts arising under subpart HB
ab: to the extent to which the assessment relates to an amount of research and development tax credit and the taxpayer has not filed a research and development supplementary return in relation to the credit within the time allowed under section 33E
b: if the Commissioner has previously issued a notice of proposed adjustment to the taxpayer in respect of the assessment.
1B: If the assessment by the taxpayer is an amended assessment, the taxpayer’s entitlement to dispute the assessment is limited to disputing—
a: a liability imposed by the assessment that was not imposed by the assessment being amended:
b: an increase imposed by the assessment in a liability that was imposed by the assessment being amended.
2: A notice of proposed adjustment under this section is not effective unless it is issued within the response period for the notice.
3: A taxpayer who makes an assessment of an amount of research and development credit but does not provide a statement under section 68D 68E
4: A look-through company may issue a notice of proposed adjustment in respect of a return it makes under section 42B section 89AB(3) Section 89DA inserted 24 October 2001 section 204(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 89DA(1) amended 1 April 2011 section 154(1) Taxation (GST and Remedial Matters) Act 2010 Section 89DA(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 89DA(1) amended 21 December 2004 section 97(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89DA(1)﻿(a) inserted 1 April 2011 section 154(1) Taxation (GST and Remedial Matters) Act 2010 Section 89DA(1)﻿(ab) inserted 1 April 2019 section 31 section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 89DA(1)﻿(b) inserted 1 April 2011 section 154(1) Taxation (GST and Remedial Matters) Act 2010 Section 89DA(1B) inserted 30 March 2021 section 166 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 89DA(2) replaced 21 December 2004 section 97(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89DA(3) inserted 6 October 2009 section 644(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 89DA(4) inserted 1 April 2011 section 154(2) Taxation (GST and Remedial Matters) Act 2010
89E: Election of small claims jurisdiction of Taxation Review Authority
Section 89E repealed 29 August 2011 section 167(1) Taxation (Tax Administration and Remedial Matters) Act 2011
89F: Content of notice of proposed adjustment
1: A notice of proposed adjustment must—
a: contain sufficient detail of the matters described in subsections (2) and (3) to identify the issues arising between the Commissioner and the disputant; and
b: be in the prescribed form.
2: A notice of proposed adjustment issued by the Commissioner must—
a: identify the adjustment or adjustments proposed to be made to the assessment; and
b: provide a concise statement of the key facts and the law in sufficient detail to advise
c: state how the law applies to the facts.
3: A notice of proposed adjustment issued by a disputant must—
a: identify the adjustment or adjustments proposed to be made to the assessment; and
b: provide a statement of the facts and the law in sufficient detail to advise
c: state how the law applies to the facts; and
d: include copies of the documents of which the disputant is aware at the time that the notice is issued that are significantly relevant to the issues arising between the Commissioner and the disputant. Section 89F replaced 21 December 2004 section 99(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89F(2)﻿(b) amended 2 June 2016 section 129(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 89F(3)﻿(b) amended 2 June 2016 section 129(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
89G: Issue of response notice
1: To reject a proposed adjustment, the recipient of the notice of proposed adjustment must, within the response period for the notice, notify the issuer that the adjustment is rejected by issuing a response notice.
2: A notice of response must state concisely—
a: the facts or legal arguments in the notice of proposed adjustment that the issuer of the notice of response considers are wrong; and
b: why the issuer of the notice of response considers those facts or legal arguments to be wrong; and
c: any facts and legal arguments relied on by the issuer of the notice of response; and
d: how the legal arguments apply to the facts; and
e: the quantitative adjustments to any figure referred to in the notice of proposed adjustment that result from the facts and legal arguments relied on by the issuer of the notice of response. Section 89G inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89G(2) replaced 21 December 2004 section 100(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
89H: Deemed acceptance
1: If a disputant does not, within the response period for a notice of proposed adjustment issued by the Commissioner, reject an adjustment contained in the notice, the disputant is deemed to accept the proposed adjustment and section 89I
2: If the Commissioner does not, within the response period for a notice of proposed adjustment issued by a disputant, reject an adjustment contained in the notice, the Commissioner is deemed to accept the proposed adjustment and section 89J
3: Where—
a: a disputant does not, within the response period for replying to a notice from the Commissioner rejecting an adjustment proposed by the disputant, notify the Commissioner that they reject
b: the disputant notifies the Commissioner that they accept all or a part of the Commissioner’s notice,— then, in those circumstances,—
c: section 89I
d: the Commissioner's notice is deemed, for the purposes of section 89K
4: If the Commissioner fails to issue a challenge notice in accordance with section 89P section 89J Section 89H inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89H(3)﻿(a) amended 2 June 2016 section 130(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 89H(3)﻿(b) replaced 2 June 2016 section 130(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 89H(4) inserted 29 August 2011 section 168(1) Taxation (Tax Administration and Remedial Matters) Act 2011
89I: Circumstances where disputant may not challenge adjustment
1: A disputant may not challenge an adjustment proposed by the Commissioner if the disputant—
a: notifies the Commissioner that they accept the adjustment; or
b: is deemed to accept the adjustment, and section 89K
2: The Commissioner must include or take account of each proposed adjustment that is accepted or deemed accepted by a disputant in a notice of assessment issued to the disputant. Section 89I inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89I(1)﻿(a) replaced 2 June 2016 section 131 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
89J: Where Commissioner accepts adjustment proposed by disputant
1: If the Commissioner accepts or is deemed to accept an adjustment proposed by a disputant, and section 89L
a: a notice of assessment issued to the disputant; and
b: any further notice of assessment or further amended assessment issued to the disputant.
2: Despite subsection (1), the Commissioner does not have to issue a notice of assessment or an amended assessment that includes or takes
a: was fraudulent:
b: wilfully misled the Commissioner. Section 89J inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89J(1) replaced 19 December 2007 section 226 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 89J(2) inserted 19 December 2007 section 226 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 89J(2) amended 29 August 2011 section 169(1) Taxation (Tax Administration and Remedial Matters) Act 2011
89K: Late actions deemed to occur within response period
1: Where—
a: the Commissioner—
i: considers that an exceptional circumstance has prevented a disputant from doing 1 or more of the actions described in subsection (1B); or
ii: considers that the disputant has a demonstrable intention to enter into or continue the disputes process at the time the disputant fails in doing 1 or more of the actions described in subsection (1B); and
b: the disputant sends to the Commissioner—
i: a notice—
A: rejecting an adjustment proposed by the Commissioner in the notice of proposed adjustment referred to in subsection (1B)﻿(a)
B: specifying the matters required by section 89G
ii: a notice of proposed adjustment—
A: in respect of a disputable decision subsection (1B)﻿(b)
B: specifying the matters required by section 89F
iii: a statement of position,— as soon as reasonably practicable after becoming aware of the disputant's failure to reject the Commissioner's proposed adjustment or to issue a notice within the applicable response period, the Commissioner may issue a notice in favour of the disputant stating that—
c: the disputant's rejection of the Commissioner's notice of proposed adjustment; or
d: the disputant's notice of proposed adjustment; or
e: the disputant's statement of position: is to be treated for all purposes under this Part as if it had been given within the applicable response period.
1B: For the purposes of subsection (1)﻿(a), the actions are—
a: rejecting, within the applicable response period, an adjustment contained in a notice of proposed adjustment issued by the Commissioner:
b: issuing, within the applicable response period, a notice of proposed adjustment under section 89D 89DA
c: issuing, within the applicable response period, a statement of position.
2: Subsection (1) may apply even if the Commissioner has already issued a notice of disputable decision that includes or takes account of an adjustment that was proposed by the Commissioner; and, where subsection (1) applies, the notice of disputable decision is to be deemed not to have been issued.
3: For the purposes of subsection (1),—
a: an exceptional circumstance
i: an event or circumstance beyond the control of a disputant provides the disputant with a reasonable justification for not rejecting a proposed adjustment, or for not issuing a notice of proposed adjustment or statement of position, within the response period for the notice:
ii: a disputant is late in issuing a notice of proposed adjustment, notice of response or statement of position but the Commissioner considers that the lateness is minimal, or results from 1 or more statutory holidays falling in the response period:
b: an act or omission of an agent of a disputant is not an exceptional circumstance unless—
i: it was caused by an event or circumstance beyond the control of the agent that could not have been anticipated, and its effect could not have been avoided by compliance with accepted standards of business organisation and professional conduct; or
ii: the agent is late in issuing a notice of proposed adjustment, notice of response or statement of position but the Commissioner considers that the lateness is minimal, or results from 1 or more statutory holidays falling in the response period.
4: If the Commissioner decides to not issue a notice in favour of the disputant under subsection (1), the Commissioner must issue a notice of that decision (the refusal notice
5: If the Commissioner fails to issue a refusal notice in accordance with subsection (4), then, for the purposes of subsection (6), the Commissioner is treated as issuing such a notice on the day that is 1 month after the disputant sends the relevant notice or statement under subsection (1)﻿(b).
6: The disputant may challenge the Commissioner's refusal notice by filing proceedings, in accordance with the Taxation Review Authorities Regulations 1998 Taxation Review Authorities Act 1994 Part 8A Section 89K inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89K(1)﻿(a) replaced 29 August 2011 section 170(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89K(1)﻿(b)﻿(i)﻿(A) amended 29 August 2011 section 170(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89K(1)﻿(b)﻿(ii) amended 21 December 2004 section 101(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(1)﻿(b)﻿(ii)﻿(A) amended 29 August 2011 section 170(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89K(1)﻿(b)﻿(ii)﻿(A) amended 21 December 2004 section 101(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(1)﻿(b)﻿(ii)﻿(B) amended 21 December 2004 section 101(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(1)﻿(b)﻿(iii) inserted 21 December 2004 section 101(5) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(1)﻿(d) amended 21 December 2004 section 101(6) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(1)﻿(e) inserted 21 December 2004 section 101(6) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(1B) inserted 29 August 2011 section 170(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89K(3)﻿(a) replaced 21 December 2004 section 101(7) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(3)﻿(b) replaced 21 December 2004 section 101(7) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89K(4) inserted 29 August 2011 section 170(5) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89K(5) inserted 29 August 2011 section 170(5) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89K(6) inserted 29 August 2011 section 170(5) Taxation (Tax Administration and Remedial Matters) Act 2011
89L: Application to High Court
1: The Commissioner may apply to the High Court for an order allowing the Commissioner to issue a notice rejecting an adjustment proposed by a taxpayer that the Commissioner has accepted, or is deemed to have accepted, if—
a: the Commissioner considers that an exceptional circumstance applies or has prevented the Commissioner from rejecting the adjustment within the response period; and
b: the Commissioner applies—
i: before the Commissioner issues a notice of assessment including the adjustment; or
ii: relying on section 108(2) 108AB(2) 108A(3)
1B: The Commissioner may apply to the High Court for an order allowing the Commissioner to issue a challenge notice past the 4 years provided in section 89P(1)
a: the Commissioner considers that an exceptional circumstance applies or has prevented the Commissioner from issuing the challenge notice within the 4 years; and
b: the Commissioner applies within the 4 years.
2: The High Court may—
a: make an order for the purposes of subsection (1) on such terms as the court deems fit; or
b: decline to make an order.
2B: The High Court may—
a: make an order for the purposes of subsection (1B) on such terms as the court deems fit; or
b: decline to make an order.
3: For the purposes of subsection (1) or (1B) exceptional circumstance
a: is an event or circumstance beyond the control of the Commissioner or an officer of the department that provides the Commissioner with a reasonable justification for not rejecting an adjustment proposed by a disputant within the response period.
b: Section 89L inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89L(1)﻿(b)﻿(ii) amended 30 March 2022 section 199 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 89L(1B) inserted 29 August 2011 section 171(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89L(2B) inserted 29 August 2011 section 171(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89L(3) amended 29 August 2011 section 171(3) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89L(3)﻿(b) repealed 29 August 2011 section 171(4) Taxation (Tax Administration and Remedial Matters) Act 2011 Disclosure notices Heading inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996
89M: Disclosure notices
1: Unless subsection (2) applies, and subject to section 89N
2: The Commissioner may not issue a disclosure notice in respect of a notice of proposed adjustment if the Commissioner has already issued a notice of disputable decision that includes, or takes account of, the adjustment proposed in the notice of proposed adjustment.
3: Unless the disputant has issued a notice of proposed adjustment, the Commissioner must, when issuing a disclosure notice,—
a: provide the disputant with the Commissioner's statement of position; and
b: include in the disclosure notice—
i: a reference to section 138G
ii: a statement as to the effect of the evidence exclusion rule.
4: The Commissioner's statement of position in the prescribed form must, with sufficient detail to fairly advise
a: give an outline of the facts on which the Commissioner intends to rely; and
b: give an outline of the evidence on which the Commissioner intends to rely; and
c: give an outline of the issues that the Commissioner considers will arise; and
d: specify the propositions of law on which the Commissioner intends to rely.
5: If the Commissioner issues a disclosure notice to a disputant, the disputant must issue the Commissioner with the disputant's statement of position within the response period for the disclosure notice.
6: A disputant's statement of position in the prescribed form must, with sufficient detail to fairly advise
a: give an outline of the facts on which the disputant intends to rely; and
b: give an outline of the evidence on which the disputant intends to rely; and
c: give an outline of the issues that the disputant considers will arise; and
d: specify the propositions of law on which the disputant intends to rely.
6BA: The Commissioner must issue a statement of position, described in subsection (4), in response to the disputant’s statement of position, unless—
a: the Commissioner issued a statement of position when issuing a disclosure notice:
b: on or before the date on which the Commissioner is required to issue the statement of position—
i: section 89N(1)﻿(c)﻿(viii)
ii: any of section 89N(1)﻿(c)﻿(i) to (vi) and (ix)
6B: In subsections (4)﻿(b) and (6)﻿(b), evidence
7: A disputant who does not issue a statement of position in the prescribed form within the response period for the statement of position, is treated as follows:
a: if the Commissioner has proposed the adjustment to the assessment, the disputant is treated as having accepted the Commissioner's notice of proposed adjustment or statement of position:
b: if the disputant has proposed the adjustment to the assessment, the disputant is treated as not having issued a notice of proposed adjustment.
8: The Commissioner—
a: may, within the response period for a disputant's statement of position, provide the disputant with additional information in response to the disputant's statement of position; and
b: must provide the additional information as far as possible in the manner required by subsection (4).
9: The additional information provided by the Commissioner under subsection (8) is deemed to form part of the Commissioner's statement of position.
10: The Commissioner may apply to the High Court for more time to reply to a disputant's statement of position if—
a: the Commissioner applies before the expiry of the response period for the disputant's statement of position; and
b: the Commissioner considers it is unreasonable to reply to the disputant's statement of position within the response period, because of the number or complexity or novelty of matters raised in the disputant's statement of position.
11: The disputant may apply to the High Court for more time within which to reply to the Commissioner's statement of position if—
a: the disputant applies before the expiry of the response period for the Commissioner's statement of position; and
b: the disputant considers it unreasonable to reply to the Commissioner's statement of position within the response period, because the issues in dispute had not previously been discussed between the Commissioner and the disputant.
12: The High Court shall, in considering an application under subsection (11), have regard to the provisions of section 89A
13: The Commissioner and a disputant may agree to additional information being added, at any time, to either of their statements of position.
14: The additional information provided by the Commissioner or a disputant under subsection (13) is deemed to form part of the provider's statement of position. Section 89M inserted 1 October 1996 section 11 Tax Administration Amendment Act (No 2) 1996 Section 89M(1) amended 21 December 2004 section 102(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89M(4) amended 2 June 2016 section 132(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 89M(6) amended 2 June 2016 section 132(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 89M(6BA) replaced 24 February 2016 section 259 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 89M(6B) inserted 21 December 2004 section 102(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89M(7) replaced 21 December 2004 section 102(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
89N: Completing the disputes process
1: This section applies if—
a: a notice of proposed adjustment has been issued; and
b: the dispute has not been resolved by agreement between the Commissioner and the disputant; and
c: none of the following applies:
i: the Commissioner notifies the disputant that, in the Commissioner's opinion, the disputant in the course of the dispute has committed an offence under an Inland Revenue Act that has had an effect of delaying the completion of the disputes process:
ii: the Commissioner has reasonable grounds to believe that the disputant may take steps in relation to the existence or location of the disputant's assets to avoid or delay the collection of tax from the disputant:
iii: the Commissioner has reasonable grounds to believe that a person who is an associated person of the disputant may take steps in relation to the existence or location of the disputant's assets to avoid or delay the collection of tax from the disputant:
iv: the disputant has begun judicial review proceedings in relation to the dispute:
v: a person who is an associated person of the disputant and is involved in another dispute with the Commissioner involving similar issues has begun judicial review proceedings in relation to the other dispute:
vi: during the disputes process, the disputant receives from the Commissioner a requirement under a statute to produce information the requirement the requirement
vii:
viii: the disputant and the Commissioner agree, recording their agreement in a document, that
ix: the disputant and the Commissioner agree, recording their agreement in a document, to suspend the disputes process pending a decision in a test case referred to in section 89O
2: If this section applies, the Commissioner may not amend an assessment under section 113
a: the Commissioner or the disputant accepts a notice of proposed adjustment, notice of response, or statement of position issued by the other:
b: the Commissioner considers a statement of position issued by the disputant.
3: Despite subsection (2), the Commissioner may apply to the High Court for an order that allows more time for the completion of the disputes process, or for an order that completion of the disputes process is not required.
4: The Commissioner must make an application under subsection (3) within the period of time during which the Commissioner would otherwise be required, under the Inland Revenue Acts, to make an amended assessment.
5: If the Commissioner makes an application under subsection (3), the Commissioner must make an amended assessment by the last day of the period that—
a: begins on the day following the day by which the Commissioner, in the absence of the suspension, would be required under the Inland Revenue Acts to make the amended assessment; and
b: contains the total of—
i: the number of days between the date on which the Commissioner files the application in the High Court and the earliest date on which the application is decided by the High Court or the application or dispute is resolved:
ii: the number of days allowed by an order of a court as a result of the application. Section 89N inserted 21 December 2004 section 103(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89N(1)﻿(c)﻿(iii) replaced 1 April 2010 section 645(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 89N(1)﻿(c)﻿(v) replaced 1 April 2010 section 645(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 89N(1)﻿(c)﻿(vi) amended 3 April 2006 section 235(1)﻿(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 89N(1)﻿(c)﻿(vi) amended 3 April 2006 section 235(1)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 89N(1)﻿(c)﻿(vii) repealed 29 August 2011 section 173(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89N(1)﻿(c)﻿(viii) amended 2 June 2016 section 133(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 89N(1)﻿(c)﻿(ix) replaced 18 March 2019 section 53 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 89N(5) replaced 3 April 2006 section 235(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006
89O: Test cases
1: This section applies if—
a: a dispute between a disputant and the Commissioner has been identified; and
b: the Commissioner has designated a separate challenge as a test case.
2: The disputant and the Commissioner may agree, recording their agreement in a document, to
3: A suspension that is agreed under subsection (2) starts on the date of the agreement and ends on the earliest of—
a: the date of the court's decision in the test case:
b: the date on which the test case is otherwise resolved:
c: the date on which the dispute is otherwise resolved.
4: The Commissioner may make an assessment or perform an action in relation to a suspended dispute that is consistent with the resolution of the test case.
5: The Commissioner must make an amended assessment, or perform an action, that is the subject of a suspended dispute by the later of the following:
a: the day that is 60 days after the last day of the suspension:
b: the last day of the period that—
i: begins on the day following the day by which the Commissioner, in the absence of the suspension, would be required under the Inland Revenue Acts to make the amended assessment, or perform the action; and
ii: contains the same number of days as does the period of the suspension. Section 89O inserted 21 December 2004 section 103(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 89O(2) amended 2 June 2016 section 134 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 89O(5) replaced 3 April 2006 section 236 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006
89P: Challenge notice for taxpayer-initiated disputes
1: The Commissioner must issue a challenge notice to a disputant within 4 years of the disputant issuing a notice of proposed adjustment, unless—
a: section 89L(2B)﻿(a)
b: section 89J(2)
2: Despite subsection (1), the Commissioner is not required to issue a challenge notice—
a: to the extent to which the dispute has ended:
b: when—
i: the Commissioner has issued an amended assessment that reflects some but not all of the adjustments proposed by the disputant; and
ii: the disputant has a right of challenge under section 138B(2)
3: A challenge notice may not be issued before the Commissioner issues a statement of position, unless 1 or more of section 89N(1)﻿(c)﻿(i) to (ix)
4: A challenge notice must state that—
a: the Commissioner will not be issuing an amended assessment that includes or takes into account the adjustment proposed by the disputant; and
b: a challenge may proceed. Section 89P inserted 29 August 2011 section 174(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 89P(2) replaced 30 March 2022 section 200 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
5: Determinations
90: Determinations in relation to financial arrangements
1: For the purposes of the old financial arrangements rules
a: how the yield to maturity method is to be applied to any financial arrangement or class of financial arrangement for the purposes of section EZ 35(2)
b: how the straight-line method is to be applied to any financial arrangement or class of financial arrangement for the purposes of section EZ 35(3)
c: the method for determining section EZ 35(6) income year section EZ 35(2)
d: the method or methods that may be applied in determining (6)﻿(a) section EZ 35
e: the market, the method or methods, and the source of information used to determine market values that may be used for the purposes of section EZ 35(7)
f: whether or not, and in what circumstances, a method or methods may qualify for allowance by the Commissioner under section EZ 35(8)
g: where an excepted financial arrangement is part of a financial arrangement
i: the income, gain or loss, or expenditure:
ii: the acquisition price:
iii: the consideration receivable by the holder or payable by the issuer,— that is attributable to the excepted financial arrangement:
h: the method for determining the discounted value of amounts payable for—
i: goods or services under trade credits; or
ii: property that is acquired or sold under agreements for the sale and purchase of property or specified options:
i: the method for determining the discounted value of hire purchase payments payable under any hire purchase agreement:
j: the method for determining under sections FM 18 to FM 20 section EZ 38 companies:
k: and the class of persons by whom such determination may be applied: provided that the acceptance by the Commissioner of a method under the provisos to section EZ 35(2) or (6)
2: Any determination made under any of paragraphs (a), (c), (e), (g), (h), and (j) of subsection (1) shall be binding on persons for the purposes of the old financial arrangements rules
3: Any person who issues or holds, or who intends to issue or hold, a financial arrangement may apply to the Commissioner to exercise the Commissioner's discretion to make a determination under subsection (1), and every such application shall be made in accordance with such procedure as may be prescribed by regulations made under this Act; or, if no such regulations have been made or the regulations do not provide for the eventuality that occurs, in accordance with such procedure as may be prescribed by the Commissioner.
4:
5:
6: The Commissioner may at any time—
a: make a determination that varies, cancels, restricts or extends in scope an earlier determination made under this section:
b: issue a notice that cancels a determination made under this section.
6B: A person who acquires or issues a financial arrangement before a determination or notice under subsection (6) comes into force the determination or notice comes into force
7: If the Commissioner makes a determination or notice under subsection (1) or (6) that is not secondary legislation,—
a: it comes into force when it is signed by the Commissioner; and
b: the Commissioner must give notice of it to the person to whom it applies as soon as is convenient.
8:
9: If a person has applied a determination under subsection (1), an assessment made in respect of the person must be in accordance with the determination.
10: Subsection (9) does not apply if—
a: since the determination came into force
b: there was a material misrepresentation or omission in the application for the determination, whether intentional or not.
11: The following are secondary legislation ( see Part 3
a: a determination under subsection (1) or (6)﻿(a):
b: a notice under subsection (6)﻿(b). 1976 No 65 s 64E The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it within 30 days after it is made in a publication chosen by the maker and in such form as may be specified by regulations made under this Act LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 90(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(1)﻿(c) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 90(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(1)﻿(c) amended 3 April 2006 section 237(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 90(1)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90(1)﻿(d) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 90(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(1)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90(1)﻿(d) amended 10 October 2000 section 68(2) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 90(1)﻿(e) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(1)﻿(f) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(1)﻿(g) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90(1)﻿(j) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(1)﻿(j) amended 12 December 1995 Tax Administration Amendment Act (No 3) 1995 Section 90(1)﻿(k) repealed 1 April 2005 section YA 2 Income Tax Act 2004 Section 90(1) proviso amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90(4) repealed 1 October 1996 section 12 Tax Administration Amendment Act (No 2) 1996 Section 90(5) repealed 1 October 1996 section 12 Tax Administration Amendment Act (No 2) 1996 Section 90(6) replaced 21 December 2004 section 104(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90(6B) inserted 21 December 2004 section 104(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90(6B) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 90(7) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 90(8) repealed 28 October 2021 section 3 Secondary Legislation Act 2021 Section 90(9) replaced 24 October 2001 section 205(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 90(10) inserted 24 October 2001 section 205(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 90(10)﻿(a) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 90(11) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
90AA: Application of determinations made under section 90
1: A determination made under section 90 subpart EW Income Tax Act 2007 section 90AC
2: Once a determination is made under section 90AC subpart EW Income Tax Act 2007 section 90 Section 90AA inserted 20 May 1999 section 74(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 90AA(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AA(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AA(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AA(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
90AB: Application for determination
1: A person who becomes, or who intends to become, a party to a financial arrangement may apply to the Commissioner for a determination to be made under section 90AC(1)
2: Unless subsection (3) applies, an application must be made in accordance with regulations made under this Act.
3: If no regulations have been made under this Act or if regulations made do not provide for the eventuality that occurs, an application must be made in accordance with a procedure that the Commissioner prescribes. Section 90AB inserted 20 May 1999 section 74(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
90AC: Determinations relating to financial arrangements
1: For the purpose of the financial arrangements rules in subpart EW Income Tax Act 2007
a: how the yield to maturity method applies to a financial arrangement or class of financial arrangements under section EW 16 that Act
b: how the straight line method applies to a financial arrangement or class of financial arrangements under section EW 17 that Act
bb: the method that may be applied to determine the income derived or expenditure incurred for a financial arrangement or class of financial arrangements under section EW 15E(2)﻿(d) EW 15I(2)﻿(c)
c: the market, the method, and the source of information, that a person may use to determine market value under section EW 18 that Act
d: the method for determining the income derived or expenditure incurred for a financial arrangement or class of financial arrangements under section EW 20 that Act
e: the alternative method that may be applied to determine the income derived or expenditure incurred for a financial arrangement or class of financial arrangements under either section EW 16(2) EW 20(2) that Act
f: whether a method meets the requirements of section EW 23(2) that Act
g: whether or not a method may be changed under section EW 23(3) that Act
h: if an excepted financial arrangement is part of a financial arrangement
i: the method for determining the future value, discounted value, or a combination of both the future and discounted values of amounts paid or payable on the date the first right in the contracted property is transferred or services are provided under an agreement to which either section EW 32(5) or (6) that Act
j: the method for determining under sections FM 18 to FM 20 section EW 31
k: the exchange rate that a taxpayer or a class of taxpayer may use, and the circumstances in which the rate may be used under section EW 34(4) that Act section EW 34(4)﻿(a) or (b) of that Act
2: The Commissioner may also determine the class of persons that may apply a determination.
3: A determination made under any of subsection (1)﻿(a), (1)﻿(d), (1)﻿(h), (1)﻿(i), or (1)﻿(j) is binding on persons who are subject to the financial arrangements rules
4: A determination is not made when the Commissioner accepts an alternative method to the yield to maturity method under section EW 16 Income Tax Act 2007 section EW 20
5: For the purpose of subsection (1)﻿(e), the Commissioner may specify or differentiate financial arrangements by reference to type, characteristics, the purpose for which the arrangements were entered into, or in any other way.
6: The Commissioner may at any time—
a: make a determination that varies, cancels, restricts or extends in scope an earlier determination under this section:
b: issue a notice that cancels a determination made under this section:
c: correct a typographical or minor error without cancelling the determination and making a new determination, provided that the correction does not change the meaning of the determination.
7: The following are secondary legislation ( see Part 3
a: a determination under subsection (1) or (6)﻿(a):
b: a notice under subsection (6)﻿(b). The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it not more than 30 days after the date on which it is made in a publication chosen by the maker and in such form as may be specified by regulations made under this Act LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 90AC inserted 20 May 1999 section 74(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 90AC(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(bb) inserted 19 December 2007 section 227(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 90AC(1)﻿(bb) amended 1 April 2008 section 227(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 90AC(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(e) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(e) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(f) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(f) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(g) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(g) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(h) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(i) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(j) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(j) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(1)﻿(k) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(1)﻿(k) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(3) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AC(4) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90AC(6) replaced 21 December 2004 section 105 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90AC(6)﻿(b) amended 2 June 2016 section 135(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 90AC(6)﻿(c) inserted 2 June 2016 section 135(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 90AC(7) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
90AD: Notification of determinations
and notices
1: If the Commissioner makes a determination or notice under section 90AC
a: it comes into force when it is signed by the Commissioner; and
b: the Commissioner must give notice of it to the person to whom it applies as soon as is convenient.
2:
3: If a person has applied a determination under section 90AC
4: Subsection (3) does not apply if—
a: since the determination came into force
b: there was a material misrepresentation or omission in the application for the determination, whether intentional or not. Section 90AD inserted 20 May 1999 section 74(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 90AD heading amended 21 December 2004 section 106(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90AD(1) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 90AD(2) repealed 28 October 2021 section 3 Secondary Legislation Act 2021 Section 90AD(3) replaced 24 October 2001 section 206(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 90AD(4) inserted 24 October 2001 section 206(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 90AD(4)﻿(a) amended 28 October 2021 section 3 Secondary Legislation Act 2021
90AE: Four-year period in which determination not required to be applied
A person who enters into a financial arrangement before a determination or notice under section 90AC(6) the determination or notice comes into force Section 90AE replaced 21 December 2004 section 107 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90AE amended 28 October 2021 section 3 Secondary Legislation Act 2021
90AF: Imputation arrangement to obtain tax advantage
1: If an arrangement to obtain a tax advantage arises as described in section GB 35
a: a determination whether the arrangement results in an account advantage, a tax credit advantage, or both:
b: a determination whether a streaming arrangement as described in section GB 35(3) section GB 36(1) or (2)
c: a determination of the amount of the imputation credit
d: a determination of the tax year in which the arrangement commenced, being the year in which the first reasonably identifiable step in the arrangement took place.
2: The Commissioner must give notice of any determination under subsection (1) to the company whose account is affected by the arrangement, as soon as is convenient.
3: The notice may be included in—
a: a notice of assessment under section 111(1)
b: a determination under section 104B
4: Failure to comply with subsection (2) does not invalidate the determination. Section 90AF inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90AF(1)﻿(c) amended 1 April 2017 section 334 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
90AG: Maori authority arrangements to obtain tax advantage
1: If an arrangement to obtain a tax advantage arises as described in section GB 42
a: a determination whether the arrangement results in an account advantage, a tax credit advantage, or both:
b: a determination whether a streaming arrangement as described in section GB 42(3) section GB 43(1) or (2)
c: a determination of the amount of the Maori authority credit that is subject to the arrangement:
d: a determination of the tax year in which the arrangement commenced, being the year in which the first reasonably identifiable step in the arrangement took place.
2: The Commissioner must give notice of any determination under subsection (1) to the Maori authority whose account is affected by the arrangement, as soon as is convenient.
3: The notice may be included in—
a: a notice of assessment under section 111(1)
b: a determination under section 104B
4: Failure to comply with subsection (2) does not invalidate the determination. Section 90AG inserted 1 April 2008 section ZA 2 Income Tax Act 2007
90A: Determinations in relation to apportionment of interest costs
1: For the purpose of subpart FE
2: Any determination made under subsection (1) shall be binding on persons for the purposes of subpart FE
3: Any taxpayer may apply to the Commissioner to exercise the Commissioner's discretion to make a determination under subsection (1), and every such application shall be made in accordance with such procedure as may be prescribed by regulations made under this Act; or, if no such regulations have been made or the regulations do not provide for the eventuality that occurs, in accordance with such procedure as may be prescribed by the Commissioner.
4:
5:
6: The Commissioner may at any time—
a: make a determination that varies, cancels, restricts or extends in scope an earlier determination under this section:
b: issue a notice that cancels a determination under this section.
6B: A person who enters into a financial arrangement before the date of notification or publication of a determination, or notice, that is authorised by subsection (6) is not required to apply the determination to the financial arrangement, or treat the notice as affecting the financial arrangement, until the first tax year
7: All determinations made by the Commissioner under subsection (1) and notices issued by the Commissioner under subsection (6)﻿(b) determination or notice, in a publication chosen by the Commissioner and
8: For the purposes of this section, a determination or notice
9: If a person has applied a determination under subsection (1), an assessment made in respect of the person must be in accordance with the determination.
10: Subsection (9) does not apply if—
a: since the date of the determination, the legislation on which the determination was based has been repealed or amended to the detriment of the person relying on the determination; or
b: there was a material misrepresentation or omission in the application for the determination, whether intentional or not. Section 90A inserted 12 December 1995 Tax Administration Amendment Act (No 2) 1995 Section 90A(1) replaced 20 May 1999 section 75(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 90A(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90A(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 90A(4) repealed 23 September 1997 section 73(1) Taxation (Remedial Provisions) Act 1997 Section 90A(5) repealed 23 September 1997 section 73(1) Taxation (Remedial Provisions) Act 1997 Section 90A(6) replaced 21 December 2004 section 108(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90A(6B) inserted 21 December 2004 section 108(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90A(6B) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 90A(7) amended 7 September 2010 section 141(a) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 90A(7) amended 7 September 2010 section 141(b) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 90A(7) amended 21 December 2004 section 108(2)﻿(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90A(8) amended 21 December 2004 section 108(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90A(8)﻿(2)﻿(b) amended 21 December 2004 section 108(2)﻿(a) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 90A(9) replaced 24 October 2001 section 207(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 90A(10) inserted 24 October 2001 section 207(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
91: Determinations in relation to petroleum mining operations
1: For the purposes of the Income Tax Act 2007
a: in any case where the holder of a petroleum permit disposes of the permit, the proportion of the permit disposed of; or
b: in any case where a petroleum permit is disposed of together with petroleum mining assets, the consideration and the
i: the permit; and
ii: any asset of the kind described in section CT 7(1)﻿(b) or (c) Income Tax Act 2007
c: whether, and if so when, a permit has been relinquished; or
d: the year or date of first commercial production for a permit area in which a petroleum miner holds an interest; or
e: whether any expenditure incurred before 16 December 1991 on an exploratory well contributed to defining the scope, character, or size of any deposit of petroleum; or
f: in the case where petroleum mining operations are carried on outside New Zealand, the foreign equivalent of—
i: a prospecting permit; or
ii: a mining permit; or
iii: the extension of a mining permit; or
iv: the relinquishment of a permit,— that question shall be determined, for the purposes of ascertaining the
g: by agreement between the petroleum miner or petroleum miners affected and the Commissioner; or
h: in the absence of such agreement, by the Commissioner after consulting, if the Commissioner considers it necessary, with any organisation or person having relevant expertise or information.
1B: For the purposes of subsection (1)﻿(f), the Crown Minerals Act 1991
a: obtaining a permit; or
b: determining whether or when a permit has been relinquished; or
c: interpreting other relevant documents or matters relating to the licensing and conduct of petroleum operations.
2: Where the Commissioner is satisfied that a determination made under this section should be varied or rescinded, or restricted or extended in scope, the Commissioner may make a fresh determination (whether by agreement with the petroleum miner or miners affected or by the Commissioner after such consultation, if any, as the Commissioner considers necessary) which shall be effective to vary, rescind, restrict, or extend the earlier determination.
3: Where the Commissioner makes a determination under subsection (1) or subsection (2),—
a: the determination shall be subject to such terms and conditions as are agreed or as the Commissioner may specify; and
b: the Commissioner shall give
4:
5:
6: For the purpose of determining any question under subsection (1) or subsection (2), the Commissioner may consult with the appropriate government department or other body, or with any other organisation or person having relevant expertise or information, and any government department or government body so consulted shall provide such assistance or advice as the Commissioner reasonably requires.
7: 1976 No 65 s 214L Section 91(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 91(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91(1)﻿(b)﻿(ii) replaced 1 April 2005 section YA 2 Income Tax Act 2004 Section 91(1)﻿(b)﻿(ii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91(1B) inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91(3)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91(4) repealed 1 October 1996 section 13 Tax Administration Amendment Act (No 2) 1996 Section 91(5) repealed 1 October 1996 section 13 Tax Administration Amendment Act (No 2) 1996 Section 91(7) repealed 1 October 1996 section 13 Tax Administration Amendment Act (No 2) 1996
91AA: Determinations in relation to standard-cost household service
1: For the purpose of the Inland Revenue Acts, the Commissioner may determine that a service is a standard-cost household service if—
a: the activity of providing the service is carried on by taxpayers who are natural persons; and
b: the activity of providing the service requires the use of each taxpayer's domestic accommodation in activities that commonly occur in a family household; and
c: the Commissioner considers that the determination would result in a significant reduction in compliance costs for providers of the service without inappropriate—
i: risk to the revenue of the Crown:
ii: demands on the resources of the Commissioner as a result of the administrative and enforcement duties that would be associated with the determination:
iii: inaccuracy, for a significant number of providers, of any determination by the Commissioner of the costs of providing the service.
2: For the purpose of calculating the income tax liability of natural persons who derive an amount a tax year
a: requirements for the exemption under section CW 61
b: a figure for a cost or costs that for the purpose of this Act may be treated as being incurred by a taxpayer in deriving exempt income from providing the standard-cost household service:
c: a method that a taxpayer may use to calculate a figure for a cost or costs that for the purpose of this Act may be treated as being incurred by a taxpayer in deriving exempt income from providing the standard-cost household service:
d: a figure for a cost or costs that for the purpose of this Act may be treated as being incurred by a taxpayer in deriving
e: a method that a taxpayer may use to calculate a figure for a cost or costs that for the purpose of this Act may be treated as being incurred by the taxpayer in deriving
f: requirements for the application of a determination under paragraphs (a) to (e).
3: A taxpayer who in a tax year an amount the tax year
4: A taxpayer who makes an election under subsection (3) to use a figure or method must not use, in calculating the taxpayer's income tax liability for the tax year
5: If the Commissioner is satisfied that a determination that is made under this section should be varied or rescinded, or restricted or extended in scope, the Commissioner may make a fresh determination that varies, rescinds, restricts or extends that determination.
6: A determination that is made by the Commissioner under this section must be published making of the determination, in a publication chosen by the Commissioner
7: A determination that is made by the Commissioner under this section may apply for tax years Section 91AA inserted 25 November 2003 section 120 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 91AA(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AA(2) amended 21 December 2004 section 109(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 91AA(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AA(2)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AA(2)﻿(e) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AA(3) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AA(3) amended 21 December 2004 section 109(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 91AA(4) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AA(6) amended 7 September 2010 section 142(a) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91AA(6) amended 7 September 2010 section 142(b) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91AA(7) amended 1 April 2005 section YA 2 Income Tax Act 2004
91AAB: Determinations relating to types and diminishing values of listed horticultural plants
1: For the purpose of sections DO 5 to DO 9
a: that a type of horticultural plant, tree, vine, bush, cane, or other similar plant that is cultivated on land, is a type of listed horticultural plant:
b: the banded rate set out in Schedule 12
2: In making a determination, the Commissioner must take into account the estimated useful life of the type of plant, and may also take into account—
a: the main purpose for which the type of plant is cultivated:
b: the manner in which the type of plant is cultivated and managed.
3: The determination may set out the income year or income years for which it is to apply, but may not apply for income years before the 2003–04 income year.
4: The determination may provide for the extension, limitation, variation, cancellation or revocation of an earlier determination.
5: A person affected by a determination made under this section may dispute or challenge the determination under Parts 4A 8A
6: Within 30 days of issuing a determination under this section, the Commissioner must publish a notice in a publication chosen by the Commissioner
a: gives notice that the determination has been issued; and
b: states where copies of the determination can be obtained. Section 91AAB inserted 21 December 2004 section 110(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 91AAB(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAB(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAB(6) amended 7 September 2010 section 143 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Determinations relating to prepayments Heading inserted 1 April 2005 section YA 2 Income Tax Act 2004
91AAC: Exemptions from section EA 3 of
Income Tax Act 2007
1: For the purposes of section EA 3 Income Tax Act 2007
a: the nature and amount of the kinds of expenditure that the person regularly incurs:
b: the nature and size of the activity giving rise to the expenditure that the person incurs:
c: the costs of the person in complying with section EA 3
d: whether, for the person and the expenditure, the difference between expenditure incurred under section EA 3
2: The Commissioner may cancel a determination under this section at any time.
3: In this section, a reference to a person 1994 No 164 s EF 1(3), (4) Section 91AAC inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAC heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAC(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Determinations relating to livestock Heading inserted 1 April 2005 section YA 2 Income Tax Act 2004
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 Income Tax Act 2007
2: The determination may provide 1 or more methods for calculating 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 immature 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 determination applies when animals of the same type, class, or other category are valued both under section EC 22 Income Tax Act 2007
6: The determination may provide for conditions or limitations on the valuation of livestock under section EC 22 Income Tax Act 2007
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
b: the setting of a notice requirement for elections of valuation method for livestock affected by a restriction imposed under paragraph (a).
7: The determination may provide for the valuation of livestock when livestock was previously valued using another valuation method.
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. 1994 No 164 s EL 4(6) Section 91AAD inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAD(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAD(5) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAD(6) amended 1 April 2008 section ZA 2 Income Tax Act 2007
91AAE: Publication and revocation of determinations relating to livestock
1:
2: If the Commissioner revokes a determination made under section EC 15 EC 23 EC 24 Income Tax Act 2007 comes into force 1994 No 164 ss EL 3A(2), (3), EL 4(7), (8), EL 8(2), (3) Section 91AAE inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAE(1) repealed 28 October 2021 section 3 Secondary Legislation Act 2021 Section 91AAE(2) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 91AAE(2) amended 7 September 2010 section 144(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91AAE(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Determinations relating to depreciation Heading inserted 1 April 2005 section YA 2 Income Tax Act 2004
91AAF: Determination on economic rate
1: Having followed the procedure in section EE 27 EE 28 EE 30 EZ 23
a: only the diminishing value rate for the kind of item; or
b: both the diminishing value rate and the straight-line rate for the kind of item.
1B: For the purposes of subsection (1), the rate set by the Commissioner may be a default rate for kinds of items of depreciable property.
2: An economic rate set in a determination may be expressed to apply in any way, including—
a: to items of a kind, whenever they are acquired or used; or
b: 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
ii: the date on which, or income year in which, any person first acquired or used such an item; or
iii: whether or not such an item has been used before in New Zealand or elsewhere or has been available 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 to apply to an item of depreciable property that—
a: is already subject to a higher economic rate under an existing determination; and
b: is acquired—
i: before the date on which the new determination is issued; or
ii: after the date on which the new determination is issued, under a binding contract entered into before that date. 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
b: is reacquired after the date on which the new determination is issued, by the person who disposed of it before the date on which the new determination is issued.
5: A determination made under this section may apply to an item of depreciable property to which section EE 27 EE 28 EE 30
6: The Commissioner may revoke a determination setting an economic rate
7: The following are secondary legislation ( see Part 3
a: a determination under this section:
b: a revocation of a determination under this section. 1994 No 164 s EG 4(2), (6), (7) The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must: LA19 ss 73 74(1)﻿(a) cl 14 •	make copies of it available •	within 30 days of making it, publish (in a publication chosen by the maker) notice that it has been made and where it is available The Ministry of Foreign Affairs and Trade considers that the secondary legislation may have international transparency obligations under the CPTPP s 75 LA19 ss 74(2) 75 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAF inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAF(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAF(1B) inserted 6 October 2009 section 646(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAF(4)﻿(b) replaced 6 October 2009 section 646(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAF(5) inserted 3 April 2006 section 238(3) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 91AAF(5) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAF(6) inserted 6 October 2009 section 646(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAF(6) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 91AAF(7) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
91AAG: Determination on special rates and provisional rates
1: A person may apply
a: a special rate higher or lower than the economic rate set in a determination under section 91AAF
b: a provisional rate when no applicable rate, other than a default 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 may have regard to any factors that are relevant in determining the item's estimated useful life, including an estimate based on a depreciation method or on a valuer's report, or a rate of depreciation that the person uses for the item for financial reporting purposes
a:
b:
3: The Commissioner may issue a determination setting a special rate or a provisional rate using, as applicable,—
a: the formula in section EE 27
b: the formula in section EE 28
c: the formula in section EE 30
cb: the formula in section EZ 23
d: the straight-line method other than under paragraph (b).
4: The Commissioner may issue a determination setting a provisional rate after doing the following:
a: determining a figure using the applicable formula from subsection (3); and
b: rounding the figure up or down to the nearest rate specified in Schedule 11 12
5: A determination setting a provisional rate for an item and a person may also be expressed to apply to—
a: items of the same kind as the item:
b: any other person or class of persons.
5B: A determination setting a special rate for an item and a person may also be expressed to apply to items, of the same kind as the item, for which the Commissioner considers the special rate is appropriate.
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
7: The Commissioner may revoke a provisional determination if it no longer applies to an item or if the item is no longer in use or available for use. The revocation takes effect on the day after the date of publication of the Gazette section 91AAM(4) 1994 No 164 s EG 10(1)–(3), (5) Section 91AAG inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAG(1) amended 2 June 2016 section 137 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91AAG(1)﻿(b) replaced 6 October 2009 section 647(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAG(2) amended 1 October 2005 section 138(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 91AAG(2)﻿(a) repealed 1 October 2005 section 138(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 91AAG(2)﻿(b) repealed 1 October 2005 section 138(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 91AAG(3) replaced 3 April 2006 section 239(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 91AAG(3) amended 6 October 2009 section 647(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAG(3)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAG(3)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAG(3)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAG(3)﻿(cb) inserted 6 October 2009 section 647(3) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAG(4)﻿(a) replaced 6 October 2009 section 647(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAG(4)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAG(5B) inserted 1 October 2005 section 138(3) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 91AAG(7) inserted 6 October 2009 section 647(5) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
91AAH: Commissioner may decline to issue special rate or provisional rate
1: The Commissioner may decline to issue a determination under section 91AAG
a: for an application for a special rate, one of the circumstances described in subsection (2) exists:
b: for an application for a provisional rate, one of the circumstances described in subsection (3) exists.
2: For the purposes of subsection (1)﻿(a), the circumstances are as follows:
a: the difference between the economic rate already applicable to the item and an appropriate special rate would be less than 50% of the difference between the already applicable economic rate and the next higher or lower rate, as applicable, in—
i: Schedule 11
ii: Schedule 12
b: the Commissioner is reviewing the economic rate applicable 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 receiving the person's application for a special rate; or
c: the person has supplied insufficient information to enable the Commissioner to calculate an appropriate rate.
3: For the purposes of subsection (1)﻿(b), the circumstances are as follows:
a: an economic rate, other than a default rate, already applies to the item; or
ab: if a default rate applies to the item, the difference between the default rate and the provisional rate would be less than 50% of the difference between the default rate and the next higher or lower rate, as applicable, in—
i: Schedule 11
ii: Schedule 12
b: 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 receiving the person's application for a provisional rate; or
c: the person has supplied insufficient information to enable the Commissioner to calculate an appropriate rate. 1994 No 164 s EG 10(4) Section 91AAH inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAH(2)﻿(a) replaced 7 September 2010 section 145(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91AAH(3)﻿(a) replaced 6 October 2009 section 648(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAH(3)﻿(ab) replaced 7 September 2010 section 145(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010
91AAI: Effect on special rate of change in circumstances
1: This section applies when—
a: the Commissioner has issued a determination setting a special rate for a person's item of depreciable property; and
b: the circumstances that applied at the time the determination was issued—
i: no longer exist; or
ii: have changed materially.
2: The Commissioner may—
a: revoke the determination without issuing a new determination; or
b: revoke the determination and issue a new determination setting a new special rate for the item.
3: If the Commissioner revokes the determination without issuing a new determination, the person must depreciate the item applying the economic rate or an applicable provisional rate.
4: A revocation takes effect—
a: if notice of the revocation is given to the person under section 91AAM(5)
b: if the notice is published in the Gazette 1994 No 164 s EG 10(6), (7) Section 91AAI inserted 1 April 2005 section YA 2 Income Tax Act 2004
91AAJ: Disputing or challenging determination
1: This section applies to—
a: a person who applied for a determination under section 91AAG
b: a person to whom a determination made under section 91AAG
2: The person may dispute or challenge the determination under Part 4A 8A
3: Part 8 section 125 section 126 1994 No 164 s EG 10(8), (9) Section 91AAJ inserted 1 April 2005 section YA 2 Income Tax Act 2004
91AAK: Notice of setting of economic rate
Section 91AAK repealed 28 October 2021 section 3 Secondary Legislation Act 2021
91AAL: Determination on maximum pooling value
1: A person may apply
2: When determining whether or not to grant an application, the Commissioner must have regard to the following factors:
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:
c: the frequency with which the person acquires and disposes of items of the kind concerned.
3: The Commissioner may issue the determination after having regard to the factors in subsection (2). 1994 No 164 s EG 11(6), (7) Section 91AAL inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAL(1) amended 2 June 2016 section 138 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91AAM: Applications for determinations
1: A person making an application for a determination under section 91AAG
a: the procedures, if any, prescribed by regulations made under section 225
b: the procedures prescribed by the Commissioner, if the regulations do not provide for the person's case or if no regulations have been made.
2: Unless subsection (2B) applies, within
a: issuing the determination; or
b: deciding to decline to issue a determination.
2B: Despite subsection (2), a person making an application may agree to an extension of the 6-month time limit within which the Commissioner must respond.
3: Within 30 days of issuing a determination or deciding to decline to issue a determination, the Commissioner must give to the person—
a: notice of the decision; and
b: either—
i: a copy of the determination; or
ii: the reasons for declining to issue the determination.
4: Within 30 days of issuing a determination under section 91AAG(4) a publication chosen by the Commissioner
a: gives notice that the determination has been issued; and
b: states where copies of it can be obtained.
5: Within 30 days of revoking a determination under section 91AAI(2)
a: the decision; and
b: the reasons for revoking the determination.
6: 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. 1994 No 164 ss EG 13, EG 14 Section 91AAM inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91AAM(2) amended 1 October 2005 section 139(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 91AAM(2B) inserted 1 October 2005 section 139(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 91AAM(4) amended 7 September 2010 section 147 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91AAM(4) amended 6 October 2009 section 650(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Determinations relating to environmental restoration expenditure Heading inserted 21 June 2005 section 140 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005
91AAN: Determinations on rates for diminishing value of environmental expenditure
1: A person or a group of persons may apply to the Commissioner section DB 46
2: The Commissioner may determine that the person, group, or a class of persons is to use for a type of expenditure listed in Schedule 19 section DB 46(4)﻿(c)
a: a diminishing value rate that is a banded rate set out in Schedule 12
b: a straight-line rate that is a banded rate set out in Schedule 12
3: The Commissioner may decline to issue a determination under subsection (1) if—
a: the information that is supplied to the Commissioner by the person or group is insufficient for the calculation of an appropriate rate:
b: the Commissioner considers that the alternative rate for the expenditure differs from the banded rate set out for the expenditure in Schedule 19
4: In making a determination, the Commissioner may take into account—
a: the length of time for which the expenditure may reasonably be expected to be effective for the purpose for which it was incurred:
b: the length of time for which the expenditure may reasonably be expected to be effective for the purpose of earning income:
c: the treatment of the expenditure in the person's financial reports:
d: the life of any resource consent that is associated with the expenditure:
e: an estimate based on a depreciation method or on a valuer's report.
5: The determination may set out the income year or income years for which it is to apply, but may not apply for income years before the 2005–06 income year.
6: The determination may provide for the extension, limitation, variation, cancellation, or revocation of an earlier determination.
7: A person affected by a determination made under this section may dispute or challenge the determination under Parts 4A 8A
8: Within 30 days of issuing a determination under subsection (1), the Commissioner must give notice of the determination to the person or group who applied for
9: Within 30 days of issuing a determination under subsection (1) that is expressed to apply to a class of persons, the Commissioner must publish a notice in a publication chosen by the Commissioner
a: gives notice that the determination has been issued; and
b: states where copies of the determination can be obtained. Section 91AAN inserted 21 June 2005 section 140 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 91AAN(1) amended 2 June 2016 section 139(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91AAN(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAN(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAN(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAN(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAN(3)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91AAN(8) amended 2 June 2016 section 139(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91AAN(9) amended 7 September 2010 section 148 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Determinations relating to calculation of FIF income using fair dividend rate method Heading inserted 1 April 2007 section 193 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006
91AAO: Determination on type of interest in FIF and use of fair dividend rate method
1: For the purposes of section EX 46
a: a type of attributing interest in a FIF for which a person may use the fair dividend rate method to calculate FIF income from the interest; or
b: a type of attributing interest in a FIF for which a person may not use the fair dividend rate method to calculate FIF income from the interest.
2: In making a determination, the Commissioner may take into account the following:
a: the principle that the fair dividend rate method should not be used for an attributing interest in a FIF that is economically equivalent to a loan denominated in New Zealand dollars:
b: the extent to which the assets of a FIF—
i: are loans, fixed-rate foreign equity section YA 1
ii: are denominated in New Zealand dollars:
iii: have a value in New Zealand dollars that is substantially unaffected by variations in currency exchange rates:
c: the compliance costs incurred by a person required to use the fair dividend rate method:
d: arrangements affecting the assets of a FIF and interests held directly or indirectly in a FIF.
3: A determination may be made for income years specified in the determination.
3B: A determination does not apply for a person and an income year beginning before the date of the determination unless the person chooses that the determination apply for the income year.
3C: Subsection (3D) applies to a multi-rate PIE that calculates and pays its income tax liability under the quarterly calculation option as set out in section HM 43
3D: A determination does not apply for the multi-rate PIE for a quarter beginning before the date of the determination unless the PIE chooses that the determination apply for the quarter and all following quarters in the income year.
4: A determination may provide for the extension, limitation, variation, cancellation, or revocation of an earlier determination.
5: The Commissioner must:
a: notify the making of a determination date of the determination, in a publication chosen by the Commissioner
b: publish the determination in a publication of the department as soon as possible. Section 91AAO inserted 1 April 2007 section 193 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 91AAO(1) amended 6 October 2009 section 651(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAO(2) replaced 19 December 2007 section 228(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 91AAO(2)﻿(b)﻿(i) replaced 6 October 2009 section 651(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAO(2)﻿(b)﻿(i) amended 7 September 2010 section 149(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91AAO(3) replaced 19 December 2007 section 228(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 91AAO(3B) inserted 19 December 2007 section 228(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 91AAO(3C) replaced 1 April 2010 section 651(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAO(3D) replaced 1 April 2010 section 651(4) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAO(5) replaced 19 December 2007 section 228(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 91AAO(5)﻿(a) amended 7 September 2010 section 149(2)﻿(a) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91AAO(5)﻿(a) amended 7 September 2010 section 149(2)﻿(b) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Determinations relating to non-attributing active CFCs Heading inserted 6 October 2009 section 652 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
91AAQ: Determination on insurer as non-attributing active CFC
1: A person may apply section EX 21B
a: a CFC is a non-attributing active CFC, if the CFC satisfies subsection (2); or
b: the members of a group of CFCs are non-attributing active CFCs, if the members satisfy subsection (3).
2: A CFC satisfies this subsection if—
a: the CFC is controlled by a company resident in New Zealand that—
i: has a business of insurance to which section 60(1)
ii: is in the same group of companies as a company resident in New Zealand that has a business of insurance to which section 60(1)
b: the CFC has, in a country or territory outside New Zealand, a business of insurance that is registered under the laws of the country or territory relating to the business of insurance; and
c:
3: A group of CFCs satisfies this subsection if—
a: the group is a group of companies that—
i: is controlled by a New Zealand resident; and
ii: has, in a country or territory outside New Zealand, a business of insurance that is registered under the laws of the country or territory relating to the business of insurance; and
b: each CFC—
i: is controlled by a company resident in New Zealand that has a business of insurance to which section 60(1)
ii: is incorporated in the same country or territory as the other CFCs; and
iii: is subject to the laws of the country or territory; and
iv: is liable in the country or territory to income tax on its income; and
v: derives its income mainly from the country or territory; and
vi: has a main business that is insurance or is related to insurance.
4: In deciding whether or not to grant an application, the Commissioner must consider whether the business of the CFC or group of CFCs—
a: is carried on with the main purpose of producing a commercial return on the capital of the CFC or group; and
b: produces income of the CFC or group, other than income from claims under reinsurance contracts, that is all or nearly all from—
i: premiums from insurance contracts, other than reinsurance contracts, covering risks arising in the country or territory in which the business of the CFC or group is located:
ii: proceeds from investment assets having a total value commensurate with the value of those insurance contracts.
5: For the purposes of subsection (4), the Commissioner may take into account the following:
a: the nature and extent of the activities undertaken by the CFC or group in the business of insurance:
b: the nature and extent of the risks arising in the country or territory that are assumed by the CFC or group in the business:
c: the nature and value of the assets used by the CFC or group in the business compared with the nature and extent of the risks assumed by the CFC or group in the business:
d: the nature and amount of deductions that the company controlling the CFC or group has for expenditure or loss incurred in giving support in relation to the business compared with the nature and amount of the assessable income that the company has from the CFC or group in relation to the business.
5B: In a determination, the Commissioner may stipulate conditions that must be satisfied,—
a: in addition to the requirements of subsection (2), for a CFC to be a non-attributing active CFC:
b: in addition to the requirements of subsection (3), for the members of a group of CFCs to be non-attributing active CFCs.
6: A determination may be made for income years specified in the determination.
7: A determination may provide for the extension, limitation, variation, cancellation, or revocation of an earlier determination.
8: A determination must be published in a publication chosen by the Commissioner Section 91AAQ inserted 6 October 2009 section 652 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAQ(1) amended 2 June 2016 section 140 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91AAQ(2)﻿(a)﻿(i) replaced 2 November 2012 section 194(1) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 91AAQ(2)﻿(a)﻿(ii) replaced 2 November 2012 section 194(1) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 91AAQ(2)﻿(c) repealed 29 March 2018 section 338(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 91AAQ(3)﻿(a) replaced 29 March 2018 section 338(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 91AAQ(3)﻿(b)﻿(i) amended 2 November 2012 section 194(2) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 91AAQ(4)﻿(b) replaced 7 May 2012 section 147(1) Taxation (International Investment and Remedial Matters) Act 2012 Section 91AAQ(5B) inserted 7 May 2012 section 147(2) Taxation (International Investment and Remedial Matters) Act 2012 Section 91AAQ(8) amended 7 September 2010 section 150 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Determinations relating to relocation payments Heading inserted 6 October 2009 section 653 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
91AAR: Determination relating to eligible relocation expenses
1: The Commissioner may determine that a type of expenditure is an eligible relocation expense for the purposes of section CW 17B section CW 13B
2: The determination may set out the income year or income years for which it is to apply, but may not apply for income years before the 2002–03 income year.
3: In determining whether a type of expenditure is an eligible relocation expense, the Commissioner may take into account whether the expenditure necessarily arises from a work-related relocation of an employee, rather than arising as a cost, including a private or capital cost, that an employee has incurred, or will incur, gradually over time irrespective of whether the employee would have relocated. In this regard, the Commissioner may bear in mind—
a: whether the expenditure amounts to a substitution for an employee's salary or wages:
b: whether employers generally treat the type of expenditure as a relocation expense:
c: the difficulty of and costs in measuring any element of private benefit.
4: The determination may provide for the extension, limitation, variation, cancellation, or revocation of an earlier determination. The Commissioner must give at least 30 days' notice of the implementation date of any change to the determination.
5: A person affected by a determination made under this section may dispute or challenge the determination under Parts 4A 8A
6: A determination under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must: LA19 ss 73 74(1)﻿(a) cl 14 •	make copies of it available •	within 30 days of making it, publish (in a publication chosen by the maker) notice that it has been made and where it is available Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAR inserted 6 October 2009 section 653 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 91AAR(6) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Determinations relating to family scheme income Heading inserted 24 May 2011 section 12 Taxation (Canterbury Earthquake Measures) Act 2011
91AAS: Declaration of emergency event for purposes of family scheme income
1: The Commissioner may determine that an event is an emergency event, for the purposes of section MB 13(2)﻿(r)﻿(i) section 4
2: The determination must set a period relating to the event, for the purposes of section MB 13(2)﻿(r)﻿(ii)
3: The determination may provide for the extension, limitation, variation, cancellation, or repeal of an earlier determination, except that the total period relating to an event may not exceed 12 months.
4: As soon as possible after issuing or changing a determination under this section, the Commissioner must publish the new or changed determination in a publication chosen by the Commissioner. Section 91AAS inserted 24 May 2011 section 12 Taxation (Canterbury Earthquake Measures) Act 2011 Determinations relating to certain employment expenditure Heading inserted 1 April 2015 section 158 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014
91AAT: Determinations relating to certain employment expenditure
1: The Commissioner may determine the extent to which, on average, an amount that an employer pays in connection with an employee's employment or service as described in section CW 17(2C) and (3)
2: For the purposes of subsection (1), the Commissioner may set a percentage that represents the extent to which the payment for a particular type of expense is taxable, and may do so by making a reasonable estimate of the amount that is taxable. This subsection does not apply to expenditure incurred under sections CW 16B to CW 16F CW 17B CW 17C CW 17CB CW 17CC CW 18
3: The determination may set out the income year or income years for which it is to apply, but may not apply for income years before the 2014–15 income year.
4: A determination made under this section is not binding on the employer or the employee.
5: In making the determination, the Commissioner must have regard to the size of the group or class of employees and the generality of the issue.
6: The determination may provide for the extension, limitation, variation, cancellation, or revocation of an earlier determination. The Commissioner must give at least 30 days notice of the implementation date of any change to the determination.
7: Within 30 days of issuing or changing a determination under this section, the Commissioner must publish a notice in a publication chosen by the Commissioner that—
a: gives notice that the determination has been issued or changed, as applicable; and
b: states where copies of the determination can be obtained. Section 91AAT inserted 1 April 2015 section 158 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Determinations relating to foreign account information-sharing agreements Heading inserted 21 February 2017 section 14 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
91AAU: Participating jurisdictions for CRS applied standard
1: The Commissioner may determine that a territory outside New Zealand is a participating jurisdiction for the purposes of the CRS applied standard and Part 11B
2: The determination may set out the period for which it is to apply, which must not begin before the latest reporting period that finishes before the determination is made.
3: A determination may provide for the change, extension, limitation, suspension, or cancellation of an earlier determination.
4: A determination under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must, within 30 days of making it, publish (in a publication chosen by the maker): LA19 ss 73 74(1)﻿(a) cl 14 •	the secondary legislation •	details of any changed, extended, limited, suspended, or cancelled secondary legislation The Ministry of Foreign Affairs and Trade considers that the secondary legislation may have international transparency obligations under the CPTPP s 75 LA19 ss 74(2) 75 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAU inserted 21 February 2017 section 14 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 91AAU(4) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
91AAV: Suspension of reportable jurisdictions for CRS applied standard
1: The Commissioner may determine, for a territory outside New Zealand that has been provided by an Order in Council to be a reportable jurisdiction for the purposes of the CRS applied standard and requirements imposed by Part 11B
2: The determination must set out the period for which it is to apply, which must not begin before the latest reporting period that finishes before the determination is made and must end no more than 3 months after the date of the determination.
3: A determination under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in a publication chosen by the maker within 30 days of making it LA19 ss 73 74(1)﻿(a) cl 14 The Ministry of Foreign Affairs and Trade considers that the secondary legislation may have international transparency obligations under the CPTPP s 75 LA19 ss 74(2) 75 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAV inserted 21 February 2017 section 14 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 91AAV(3) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
91AAW: Non-reporting financial institutions and excluded accounts for CRS applied standard
1: The Commissioner may determine that, for the purposes of the CRS applied standard and requirements under Part 11B
a: a financial institution, or type of financial institution, is a non-reporting financial institution:
b: a financial account, or type of financial account, is an excluded account.
2: The determination may set out the period for which it is to apply, which must not begin before the latest reporting period that finishes before the determination is made.
3: A determination may provide for the change, extension, limitation, suspension, or cancellation of an earlier determination.
4: A determination under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must, within 30 days of making it, publish (in a publication chosen by the maker): LA19 ss 73 74(1)﻿(a) cl 14 •	the secondary legislation •	details of any changed, extended, limited, suspended, or cancelled secondary legislation The Ministry of Foreign Affairs and Trade considers that the secondary legislation may have international transparency obligations under the CPTPP s 75 LA19 ss 74(2) 75 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAW inserted 21 February 2017 section 14 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 91AAW(4) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Determinations relating to AIM method Heading inserted 1 April 2018 section 52(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
91AAX: Accounting and rate determinations relating to AIM method
1: The Commissioner may determine, for the purposes of section RC 7B(3)﻿(a)
2: In making a determination the Commissioner must have regard to—
a: the accuracy of assessments of tax liabilities that would result from the use of the tax adjustments and tax rates:
b: the compliance costs incurred by taxpayers:
c: the resources available to approved AIM providers.
3: A determination may set out the tax year or years for which it is to apply, or a date from which it is to apply (the implementation date
4: A determination (a later determination
5: A determination under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in a publication chosen by the maker within 30 days of making it LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAX inserted 1 April 2018 section 52(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 91AAX(5) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
91AAY: Class of taxpayers that must not use AIM method
1: The Commissioner may determine, for the purposes of section RC 5(5B)﻿(f)
2: In making a determination the Commissioner must have regard to the risk that allowing the class of taxpayers to use the AIM method will result in less net revenue collectable from the class of taxpayers over time.
3: A determination may set out the tax year or years for which it is to apply, or a date from which it is to apply (the implementation date
4: A determination (a later determination
5: A determination under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in a publication chosen by the maker within 30 days of making it LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAY inserted 1 April 2018 section 52(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 91AAY(5) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
91AAZ: AIM method information
1: The Commissioner may determine, for the purposes of section 45
2: In making a determination the Commissioner must have regard to—
a: the Commissioner’s information needs in the context of the duties and obligations in section 6A
b: the compliance costs incurred by taxpayers:
c: the resources available to approved AIM providers.
3: A determination may set out the tax year or years for which it is to apply, or a date from which it is to apply (the implementation date
4: A determination (a later determination
5: A determination under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must publish it in a publication chosen by the maker within 30 days of making it LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91AAZ inserted 1 April 2018 section 52(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 91AAZ(5) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
5A: Binding rulings
Part 5A inserted 10 April 1995 Tax Administration Amendment Act 1995
91A: Purpose of this Part
The purpose of this Part is to—
a: provide taxpayers with certainty about the way the Commissioner will apply taxation laws; and
b: help them to meet their obligations under those laws,— by enabling the Commissioner to issue rulings that will bind the Commissioner on the application of those laws. The Part also recognises the importance of collecting the taxes imposed by Parliament and the need for full and accurate disclosure by taxpayers who seek to obtain binding rulings. Section 91A: inserted 10 April 1995 Tax Administration Amendment Act 1995
91B: Interpretation
In this Part— discretion
a: the exercising of a power by the Commissioner:
b: the forming of an opinion by the Commissioner:
c: the attaining by the Commissioner of a state of mind taxation law section 91C(1) Section 91B: inserted 10 April 1995 Tax Administration Amendment Act 1995
91C: Taxation laws in respect of which binding rulings may be made
1: The Commissioner may make a binding ruling on any provision of—
a: the Estate and Gift Duties Act 1968
b: the Gaming Duties Act 1971
c: the Goods and Services Tax Act 1985 sections 12 13
d: the Stamp and Cheque Duties Act 1971
db: the Unclaimed Money Act 1971
e: the Income Tax Act 1994,
i: sections 90 90AC
ia: section 90A
ii: section 91
iii: section EF 1(3) of the Income Tax Act 1994 in relation to accrual expenditure; or
iv: any of sections EG 4, EG 10, EG 11, and EG 12 of the Income Tax Act 1994 in relation to depreciable property; or
v: section EL 4
vi: section EL 9(3) of the Income Tax Act 1994 in relation to non-specified livestock; or
eb: the Income Tax Act 2004
i: sections 90 90AC
ii: section 90A
iii: section 91
iv: section 91AAD 91AAE
v: any of sections 91AAF to 91AAM
vi: section EA 3(8)
ec: the Income Tax Act 2007
i: sections 90 90AC arrangement, other than as permitted by section 91CC
ii: section 90A
iii: section 91
iv: section 91AAD or 91AAE
v: any of sections 91AAF to 91AAM
vi: section EA 3(8)
f: any Order in Council or regulation made under section 225 paragraphs (a) to (ec)
i: any provision to the extent that it is or could be the subject of a determination referred to in paragraph (e), (eb), or (ec)
ii: section RD 24
1A: The Commissioner may make a binding ruling under section 91GB
1B: The Commissioner may make a binding ruling on how the record-keeping requirements of this Act apply. The provisions are—
a:
b: section 17G
c: section 22
d: section 22AA
e: section 22AAB
f: section 22A
g: section 22B
h:
i: section 32
j: section 87
k: section 152
2: The Commissioner may also make a binding ruling on how the Commissioner will exercise his or her discretion under a provision specified in subsection (1).
3: The Commissioner may not make a binding ruling on a provision that authorises or requires the Commissioner to—
a: impose or remit a penalty; or
b: inquire into the correctness of any return or other information supplied by any person; or
c: prosecute any person; or
d: recover any debt owing by any person.
4: Section 91C inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91C(1)﻿(db) inserted 30 March 2021 section 167 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 91C(1)﻿(e) amended 8 December 2009 section 139(1) Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 Section 91C(1)﻿(e) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91C(1)﻿(e)﻿(i) amended 20 May 1999 section 76(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91C(1)﻿(e)﻿(ia) replaced 20 May 1999 section 76(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91C(1)﻿(e)﻿(v) amended 23 September 1997 section 74(1) Taxation (Remedial Provisions) Act 1997 Section 91C(1)﻿(e)﻿(vi) inserted 23 September 1997 section 74(2) Taxation (Remedial Provisions) Act 1997 Section 91C(1)﻿(eb) inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 91C(1)﻿(eb) amended 8 December 2009 section 139(2) Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 Section 91C(1)﻿(eb) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91C(1)﻿(ec) inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91C(1)﻿(ec)﻿(i) amended 18 March 2019 section 54(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91C(1)﻿(f) amended 17 July 2013 section 113(1) Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 Section 91C(1)﻿(f) amended 19 December 2007 section 230(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 91C(1)﻿(f)﻿(i) amended 17 July 2013 section 113(2) Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 Section 91C(1)﻿(f)﻿(i) amended 19 December 2007 section 230(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 91C(1)﻿(f)﻿(ii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91C(1A) inserted 20 May 1999 section 76(3) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91C(1B) replaced 1 April 2019 section 54(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91C(1B)﻿(a) repealed 1 April 2020 section 54(5) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91C(1B)﻿(h) repealed 1 April 2020 section 54(5) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91C(4) repealed 31 March 2023 section 190(1) section 190(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
91CB: Binding rulings on certain matters
1: The Commissioner may make a private ruling or a short-process ruling Income Tax Act 2007 Goods and Services Tax Act 1985
a: whether a person carries on business through a permanent establishment or a fixed establishment:
b: whether a person is resident or non-resident:
c: whether 2 persons are associated:
d: whether a person is a non-profit body for the purposes of the Goods and Services Tax Act 1985
e: whether a person is a unit trust:
f: whether a person is a portfolio investment entity.
2: The Commissioner may make a binding ruling on whether an item of property is—
a: trading stock as that term is defined in section YA 1
b: revenue account property as that term is defined in section YA 1
3: The Commissioner may make a binding ruling as to whether—
a: an amount that a person derives from disposing of personal property is income of the person under section CB 4
b: an amount that a person derives from disposing of land is income of the person under section CB 6 CB 7
c:
4: Despite sections 91E to 91EJ 91F to 91FK Section 91CB inserted 18 March 2019 section 55 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91CB(1) amended 1 October 2019 section 56 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91CB(2)﻿(a) amended 26 June 2019 section 100(1) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 91CB(3)﻿(a) amended 26 June 2019 section 100(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 91CB(3)﻿(c) repealed 26 June 2019 section 100(3) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
91CC: Binding rulings on certain determination matters
1: For the purposes of the financial arrangements rules in subpart EW
a: whether an amount is solely attributable to an excepted financial arrangement under section EW 6
b: the use of a spreading method described in section EW 14(2)﻿(aa) to (e) sections EW 15E EW 15I
c: the value of property or services referred to in section EW 32(6)
2: For the purposes of subsection (1), it does not matter whether the arrangement is a single or recurring arrangement. Section 91CC inserted 18 March 2019 section 55 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Public rulings Heading inserted 10 April 1995 Tax Administration Amendment Act 1995
91D: Commissioner may make public rulings
The Commissioner may at any time make a public ruling on how a taxation law applies in relation to any type of person and any type of arrangement. Section 91D inserted 10 April 1995 Tax Administration Amendment Act 1995
91DA: Content and notification of a public ruling
1: A public ruling must state—
a: that it is a public ruling made under section 91D
b: the taxation law or laws on which it is a ruling; and
c: the arrangement to which the ruling applies; and
d: how the taxation law or laws apply to the arrangement; and
e: either—
i: the period or tax year
ii: in the case of a ruling issued for an indefinite period, the date or tax year Anything that does not contain these statements is not a public ruling.
2: The Commissioner shall notify the making of a public ruling by notice in a publication chosen by the Commissioner
3: The notice shall indicate the subject of the public ruling and state where a copy of the ruling may be obtained.
4: The Commissioner must publish each public ruling, in full, in a publication of the department. Section 91DA inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91DA(1) replaced 20 May 1999 section 77(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91DA(1)﻿(e) replaced 17 October 2002 section 82(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 91DA(1)﻿(e)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91DA(1)﻿(e)﻿(ii) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91DA(2) amended 7 September 2010 section 152 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91DA(4) inserted 20 May 1999 section 77(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91DB: Effect of a public ruling
1: Notwithstanding anything in any other Act, if—
a: a public ruling on a taxation law applies to a person in relation to an arrangement; and
b: the person applies the taxation law in the way stated in the ruling,— the Commissioner must apply the taxation law in relation to the person and the arrangement in accordance with the ruling.
2: Section 91DB inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91DB(2) repealed 20 May 1999 section 78(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91DC: Application of a public ruling
1: A public ruling on a taxation law applies to a person and an arrangement—
a: if the taxation law is expressly referred to in the ruling; and
b: for an arrangement that is specified in the ruling; and
c: for an arrangement that is entered into either—
i: during the period or tax year
ii: in the case of a ruling issued for an indefinite period, on or after the date, or on or after the first day of the tax year
d: either—
i: for the period or tax year
ii: in the case of a ruling issued for an indefinite period, for an indefinite period.
2: Subsection (1) does not apply to a taxpayer who has issued the Commissioner with a notice of proposed adjustment to change the effect of a ruling previously applied by the taxpayer. Section 91DC replaced 20 May 1999 section 79(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91DC(1)﻿(b) replaced 17 October 2002 section 83(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 91DC(1)﻿(c) replaced 17 October 2002 section 83(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 91DC(1)﻿(c)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91DC(1)﻿(c)﻿(ii) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91DC(1)﻿(d) inserted 17 October 2002 section 83(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 91DC(1)﻿(d)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004
91DD: Extension of a public ruling
1: The Commissioner may extend the period for which a public ruling applies by publishing a notice of extension in a publication chosen by the Commissioner
2: A notice of extension must state—
a: that it is an extension of a public ruling under this section; and
b: the original period or tax year
c: the new period or tax year Section 91DD: inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91DD(1) amended 2 June 2016 section 141 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91DD(2)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91DD(2)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004
91DE: Withdrawal of a public ruling
1: The Commissioner may at any time withdraw a public ruling.
2: The Commissioner must notify the withdrawal by giving adequate notice in a publication chosen by the Commissioner
3: A public ruling is withdrawn on the date stated in the notice of withdrawal. The date cannot be before the date on which notice is given under subsection (2).
4: If the Commissioner withdraws a public ruling, the ruling does not apply to an arrangement entered into after the date of withdrawal.
4A: If the Commissioner withdraws a public ruling, the ruling continues to apply—
a: to an arrangement to which it previously applied that was entered into before the date of withdrawal; and
b: either—
i: for the remainder of the period or tax year
ii: in the case of a ruling issued for an indefinite period, for 3 years after the date stated in the notice of withdrawal.
5: A notice of withdrawal must specify—
a: that it is a withdrawal of a public ruling under this section; and
b: the ruling that is being withdrawn; and
c: either—
i: the original period or tax year
ii: in the case of a ruling issued for an indefinite period, the original date or tax year
d: the date of the withdrawal. Anything that does not contain these statements is not a notice of withdrawal of a public ruling. Section 91DE inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91DE(2) replaced 20 May 1999 section 81(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91DE(2) amended 7 September 2010 section 153 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91DE(3) replaced 20 May 1999 section 81(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91DE(4) replaced 17 October 2002 section 84(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 91DE(4A) inserted 17 October 2002 section 84(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 91DE(4A)﻿(b)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91DE(5)﻿(c) replaced 17 October 2002 section 84(2) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 91DE(5)﻿(c)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91DE(5)﻿(c)﻿(ii) amended 1 April 2005 section YA 2 Income Tax Act 2004 Private rulings Heading inserted 10 April 1995 Tax Administration Amendment Act 1995
91E: Commissioner to make private rulings on
application
1: Subject to section 91EF
1B: The Commissioner may make a private ruling on the status of a person, item, or matter under section 91CB
2: The Commissioner may make a private ruling on how a taxation law applies to the arrangement described in an application whether or not reference was made to that taxation law in the application.
3: The Commissioner may decline to make a private ruling if—
a: the Commissioner considers that the correctness of the ruling would depend on which conditions were stipulated
b: the arrangement on which the ruling is sought, or a separately identifiable part of that arrangement, is substantially the same as an arrangement which is , challenge, ; or
c: the applicant has outstanding debts relating to earlier binding ruling applications.
3B: Despite subsection (1), the Commissioner may decide to not make a private ruling, to the extent to which it would be a ruling on how section GA 1
4: The Commissioner may not make a private ruling if—
a: the application for the ruling would require the Commissioner to determine a proscribed question, other than a matter referred to in section 91CB(3)
b: at the time the application is made or at any time before the ruling is issued, the Commissioner considers that the person to whom the ruling is to apply is not seriously contemplating the arrangement for which the ruling is sought; or
c: the application is frivolous or vexatious; or
d: the matter on which the ruling is sought—
i: concerns a tax (excluding provisional tax), duty, or levy that is due and payable, unless the application is received before the tax (excluding provisional tax), duty, or levy is due and payable; or
ii: is being dealt with, or in the Commissioner's opinion should be dealt with, by one or both competent authorities of the parties to a double tax agreement; or
e: a private ruling already exists on how the relevant taxation law applies to the person and the arrangement, and the proposed ruling would apply to a period or a tax year
f: an assessment relating to the person, the arrangement, and a period or a tax year
g: the Commissioner is auditing or investigating how the taxation law applies to the person and to the arrangement for a period or a tax year
ga: a notice of proposed adjustment has been issued, and the proposed ruling would apply to the same—
i: person; and
ii: arrangement; and
iii: tax type or separately identifiable issue; or
h: in the Commissioner's opinion the applicant has not provided sufficient information in relation to the application after the Commissioner has requested further information; or
i: in the Commissioner's opinion it would be unreasonable to make a ruling in view of the resources available to the Commissioner ; or
j: the application for the ruling would require the Commissioner to form an opinion as to a generally accepted accounting practice
4A: Subsection (4)﻿(a) does not apply if the application for the ruling relates to how either sections GC 6 to GC 19 or YD 5
4B: In this section and sections 91EA to 91ED 91EH 91EI section 91CB
5: The Commissioner may not, before 1 April 1996 or such other date as may be specified by the Governor-General by Order in Council for the purposes of this subsection, make a private ruling on an arrangement if that arrangement was entered into before the date on which the Commissioner received the application for the ruling.
6: An order under subsection (5) is secondary legislation ( see Part 3
6: The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91E inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91E heading amended 2 June 2016 section 142(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91E(1) replaced 20 May 1999 section 82(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(1B) inserted 18 March 2019 section 57(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91E(3)﻿(a) amended 18 March 2019 section 57(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91E(3)﻿(b) amended 7 September 2010 section 154(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91E(3)﻿(b) amended 20 May 1999 section 82(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(3)﻿(b) amended 23 September 1997 section 75(1) Taxation (Remedial Provisions) Act 1997 Section 91E(3)﻿(c) inserted 20 May 1999 section 82(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(3B) inserted 2 November 2012 section 195 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 91E(4)﻿(a) amended 18 March 2019 section 57(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91E(4)﻿(b) replaced 20 May 1999 section 82(3) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(4)﻿(d)﻿(i) replaced 20 May 1999 section 82(4) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(4)﻿(d)﻿(ii) replaced 23 September 1997 section 75(3) Taxation (Remedial Provisions) Act 1997 Section 91E(4)﻿(e) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91E(4)﻿(e) amended 20 May 1999 section 82(5) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(4)﻿(f) replaced 20 May 1999 section 82(6) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(4)﻿(f) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91E(4)﻿(g) replaced 20 May 1999 section 82(7) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(4)﻿(g) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91E(4)﻿(ga) replaced 2 June 2016 section 142(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91E(4)﻿(i) amended 26 November 1998 section 29 Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 91E(4)﻿(j) inserted 26 November 1998 section 29 Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 91E(4)﻿(j) amended 7 September 2010 section 154(4) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91E(4)﻿(j) amended 25 November 2003 section 121 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 91E(4A) replaced 20 May 1999 section 82(8) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91E(4A) amended 18 March 2019 section 57(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91E(4A) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 91E(4B) inserted 18 March 2019 section 57(5) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91E(6) inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 91E(6) repealed 21 June 2005 section 141 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005
91EA: Effect of a private ruling
1: Notwithstanding anything in any other Act, if—
a: a private ruling on a taxation law applies to a person in relation to an arrangement and a tax type for an arrangement
b: the person applies the taxation law for the tax type the Commissioner must apply the taxation law in relation to the person, the tax type, and the arrangement
1A: Subsection (1) does not apply if a taxpayer has issued the Commissioner with a notice of proposed adjustment to change the effect of a ruling previously applied by the taxpayer.
1B: For the purposes of a ruling under section 91CB
2: Section 91EA inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EA(1) amended 7 September 2010 section 155(3) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91EA(1)﻿(a) amended 7 September 2010 section 155(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91EA(1)﻿(b) amended 7 September 2010 section 155(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91EA(1A) inserted 20 May 1999 section 83(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EA(1B) inserted 1 October 2019 section 58 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EA(2) repealed 20 May 1999 section 83(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91EB: Application of a private ruling
1: A private ruling on a taxation law for a tax type
a: only if the taxation law is expressly referred to in the ruling; and
b: only for the period or tax year
2: A private ruling does not apply to a person in relation to a tax type for an arrangement, to the extent to which, in relation to the tax type
a: the arrangement is materially different from the arrangement identified in the ruling; or
ab: the circumstances are materially different from the circumstances described in the ruling; or
b: there was a material omission or misrepresentation in, or in connection with, the application for the ruling; or
c: the private ruling states an assumption that the Commissioner made about a future event or other matter, and the assumption subsequently proves to be materially incorrect; or
d: the Commissioner stipulates a condition that is not satisfied.
3: For the purposes of subsection (2), a private ruling ceases to apply to the person in relation to an arrangement and a tax type for the arrangement, from the date on which the relevant event described in subsection (2)﻿(a), (b), and (d) occurs unless the ruling expressly provides otherwise. Section 91EB inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EB(1) amended 7 September 2010 section 156(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91EB(1)﻿(b) replaced 20 May 1999 section 84(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EB(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91EB(2) amended 7 September 2010 section 156(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91EB(2)﻿(ab) inserted 26 June 2019 section 101 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 91EB(2)﻿(c) replaced 2 June 2016 section 143 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91EB(2)﻿(d) inserted 20 May 1999 section 84(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EB(3) inserted 18 March 2019 section 59 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EC: Applying for a private ruling
1: A person, in their own right or on behalf of a person who is yet to come into legal existence, may apply to the Commissioner for a private ruling on how a taxation law applies, or would apply, to—
a: the person making the application or the prospective person, as the case may be; and
b: an arrangement, whether a single or a recurring arrangement.
2: Two or more persons may jointly apply, or a person on behalf of 2 or more persons who are yet to come into legal existence, may apply to the Commissioner for a private ruling on how a taxation law applies, or would apply, to each person and to an arrangement, whether a single or a recurring arrangement.
3: An application for a private ruling—
a: must be made in the form prescribed by the Commissioner; and
b: must comply with the disclosure requirements of section 91ED
4: An applicant for a private ruling may at any time withdraw the application by notice
5: The withdrawal of an application by a joint applicant for a private ruling shall not be treated as withdrawing the application of the other party or parties to the application unless the Commissioner considers that the withdrawal—
a: materially affects the arrangement identified in the application; or
b: results in insufficient information in relation to the application being provided to the Commissioner. Section 91EC inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EC(1) replaced 20 May 1999 section 85(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EC(2) replaced 20 May 1999 section 85(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EC(4) amended 2 June 2016 section 144 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91ED: Disclosure requirements
1: An application for a private ruling must—
a: identify the applicant; and
b: disclose all relevant facts and documents relating to the arrangement for which the ruling is sought; and
c: state the taxation laws in respect of which the ruling is sought; and
d: state the propositions of law (if any) which are relevant to the issues raised in the application; and
e: provide a draft ruling.
1B: In the case of an application for a private ruling that relates to how either sections GC 6 to GC 19 YD 5
a: they have examined the application; and
b: to the best of their knowledge and belief, the information disclosed for the application is comprehensive.
2: If the Commissioner considers that it would be unreasonable to require the applicant to comply with any of the requirements in paragraphs (c) to (e) of subsection (1), the Commissioner may waive those requirements. Section 91ED inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91ED(1B) inserted 2 November 2012 section 196 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 91ED(1B) amended 18 March 2019 section 60 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EE: Commissioner may request further information
The Commissioner may at any time request Section 91EE inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EE amended 2 June 2016 section 145 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91EF: Conditions on which private ruling based
1: If the Commissioner considers that the correctness of a private ruling would depend on conditions being stipulated
a: stipulate the conditions on which the Commissioner bases the ruling; or
b: decline to make the ruling.
2:
3: The Commissioner may stipulate conditions stipulating the conditions section 91E(4)﻿(a) Section 91EF inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EF heading replaced 18 March 2019 section 61(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EF(1) amended 18 March 2019 section 61(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EF(1)﻿(a) replaced 18 March 2019 section 61(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EF(2) repealed 18 March 2019 section 61(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EF(3) inserted 7 September 2010 section 157 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91EF(3) amended 18 March 2019 section 61(5)﻿(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EF(3) amended 18 March 2019 section 61(5)﻿(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EG: Right to consultation
Before the Commissioner makes a private ruling, the Commissioner must give the applicant a reasonable opportunity to be consulted if the content of the proposed ruling differs from that applied for Section 91EG inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EG amended 2 June 2016 section 146 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91EH: Content and notification of a private ruling
1: A private ruling must state—
a: that it is a private ruling made under section 91E
b: the identity of the person, the taxation law, and the arrangement (which may be identified by reference to the arrangement in the application) to which the ruling applies; and
c: how the taxation law applies to the arrangement and to the person; and
d: the period or tax year
e:
f: conditions stipulated by the Commissioner. Anything that does not contain these statements is not a private ruling.
1B:
2: The Commissioner shall notify the making of a private ruling by sending a copy of the ruling to the person or persons who applied for it. Section 91EH inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EH(1) replaced 20 May 1999 section 86(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EH(1)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91EH(1)﻿(e) repealed 18 March 2019 section 62(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EH(1B) repealed 18 March 2019 section 62(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EI: Withdrawal of a private ruling
1: The Commissioner may at any time withdraw a private ruling by notifying the person to whom the ruling applies
2: The private ruling is withdrawn from the date specified in the notice of withdrawal. That date may not be earlier than the date on which the person could reasonably be expected to receive the notice of withdrawal.
2A: A status ruling on a withdrawn private ruling does not apply on and after the date specified in the notice of withdrawal.
3: If the Commissioner withdraws a private ruling in relation to an arrangement—
a: the ruling does not apply if the arrangement was entered into after the date of withdrawal; but
b: the ruling continues to apply, for the remainder of the period or tax year withdrawal; and
c: a status ruling that has been made on the private ruling continues to apply, for the remainder of the period or tax year
4: If the Commissioner withdraws a private ruling on the status of a person, item, or matter under section 91CB
a: the ruling continues to apply for the remainder of the period or tax year specified in the ruling; and
b: a status ruling that has been made on the private ruling continues to apply, for the remainder of the period or tax year specified in the ruling. Section 91EI inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91EI(1) amended 2 June 2016 section 148 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91EI(2A) inserted 20 May 1999 section 87(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EI(3) amended 23 March 2020 section 212(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 91EI(3)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91EI(3)﻿(b) amended 20 May 1999 section 87(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EI(3)﻿(b) amended 20 May 1999 section 87(3) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EI(3)﻿(c) inserted 20 May 1999 section 87(3) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91EI(3)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91EI(4) inserted 23 March 2020 section 212(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
91EJ: Treatment of information
1: Information supplied to the Commissioner by the applicant for a private ruling is the factual basis on which the Commissioner makes a private ruling.
2: Despite subsection (1), the Commissioner,—
a: as part of the process of making a private ruling, may, but does not have to, inquire into the correctness or existence of the facts contained in the information supplied before making the private ruling:
b: is not stopped by the process of making the private ruling or by the use of the information as the basis of the private ruling from denying, outside the process of making the ruling or subsequent to making the ruling, the correctness or existence of the facts contained in the information supplied. Section 91EJ replaced 7 September 2010 section 159 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Short-process rulings Heading inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EK: Commissioner may make short-process rulings
1: The Commissioner may make a short-process ruling on how a taxation law applies, or would apply, to a person in relation to their particular circumstances.
2: The Commissioner may decline to make a short-process ruling if it is considered that the question asked, because of its nature or in the circumstances set out in the application, make it inappropriate for a response under a shortened process, for example, when an application—
a: raises an issue involving an apparent gap or deficiency in policy settings:
b: is directly in opposition to an existing policy of the Commissioner or technical position taken by the Commissioner:
c: raises an issue that has, or would have, significant implications or wide effect as a precedent:
d: fails to provide sufficient information:
e: raises a question that is better answered by the Commissioner through another process.
3: The Commissioner may also decline to make a short-process ruling for a reason set out in section 91E(3), (3B), (4), and (4A) Section 91EK inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EL: Applying for short-process ruling
1: A person who meets the requirements of subsection (3) may apply, in their own right or on behalf of a person who is yet to come into legal existence, to the Commissioner for a short-process ruling on how a taxation law applies, or would apply, to the person in relation to a particular set of circumstances and a tax type to which the circumstances relate.
2: Two or more persons may apply jointly for a short-process ruling under subsection (1).
3: The requirements are—
a: the person’s annual gross income for the tax year before that in which the application is made is $20,000,000 or less; and
b: the person is seeking the ruling on a matter concerning a tax (other than provisional tax), duty, or levy that is expected to amount to less than $1,000,000.
4: For the purposes of subsection (3)﻿(a),—
a: if the person applying is part of a group of companies, the group must meet the threshold requirement:
b: if persons apply jointly for a short-process ruling, each person must meet the threshold requirement:
c: if a person applies for a short-process ruling on behalf of another person, the other person must meet the threshold requirement:
d: if the person applying is not yet in legal existence, the person must have a reasonable expectation of meeting the threshold requirement for the tax year to which the ruling relates.
5: For the purposes of subsection (3)﻿(b), if the expected amount is unknown, the person must state this fact in the application, and the Commissioner may then consider under section 91EK(2)
6: The application must meet the requirements of section 91EO
7: The person may withdraw the application at any time by notifying the Commissioner.
8: The amounts specified in subsection (3)﻿(a) and (b) may be varied from time to time by the Governor-General by Order in Council.
9: An order under subsection (8) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91EL inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91EL(9) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
91EM: Effect of short-process ruling
1: This section applies, despite anything in another Act, when—
a: a short-process ruling on a taxation law applies to a person in relation to a particular set of circumstances and a tax type to which the circumstances relate; and
b: the person applies the taxation law for the tax type in the way stated in the ruling.
2: The Commissioner must apply the taxation law in relation to the person, the particular circumstances, and the tax type as provided in the ruling.
3: Subsection (2) does not apply if a person has issued the Commissioner with a notice of proposed adjustment to change the effect of a ruling that the person has previously applied. Section 91EM inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EN: Application of short-process ruling
1: A short-process ruling on a taxation law applies to a person in relation to a particular set of circumstances and a tax type to which the circumstances relate only for—
a: the taxation law expressly referred to in the ruling; and
b: the period or the tax year for which the ruling applies.
2: A short-process ruling does not apply to a person in relation to the particular circumstances and the related tax type to the extent to which—
a: the circumstances are materially different to the circumstances described in the ruling; or
b: a material omission or misrepresentation was made in connection with the application for the ruling; or
c: the ruling is based on an express understanding about a future event or other matter, and the understanding subsequently proves to be materially incorrect; or
d: the Commissioner stipulates a condition that is not met. Section 91EN inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EO: Disclosure requirements
An application for a short-process ruling must—
a: identify the person applying for the ruling; and
b: describe the circumstances on which the ruling is sought; and
c: disclose all relevant facts and documents relating to the circumstances described; and
d: state the general tax outcome in relation to which the ruling is sought. Section 91EO inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EP: Commissioner may request further information
The Commissioner may at any time request further relevant information from a person applying for a short-process ruling. Section 91EP inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91EQ: Conditions on which short-process ruling based
1: If the Commissioner considers that the correctness of a short-process ruling would depend on conditions stipulated about a future event or other matter, the Commissioner may—
a: state the conditions on which the Commissioner bases the ruling; or
b: decline to make the ruling.
2: The Commissioner may stipulate conditions about the answer to a proscribed question, and stipulating those conditions is treated as not determining the proscribed question for the purposes of section 91E(4)﻿(a) Section 91EQ inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91ER: Right to consultation
Before the Commissioner makes a short-process ruling, the Commissioner must give the person applying for the ruling a reasonable opportunity to be consulted if the content of the proposed ruling differs from that for which the application is made. Section 91ER inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91ES: Content and notification of short-process ruling
1: A short-process ruling must state—
a: that it is a short-process ruling made under section 91EK
b: the identity of the person, the taxation law, and the particular set of circumstances to which the ruling applies; and
c: how the taxation law applies to the person, the circumstances, and the related tax type; and
d: the period or tax year for which the ruling applies; and
e: any conditions stipulated by the Commissioner.
2: The Commissioner must notify the person who applied for the ruling of the content of the ruling by sending a copy of the ruling to the person. Section 91ES inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91ESB: Withdrawal of a short-process ruling
1: The Commissioner may at any time withdraw a short-process ruling by notifying the person to whom the ruling applies that the ruling has been withdrawn.
2: The short-process ruling is withdrawn from the date stated in the notice of withdrawal. That date may not be earlier than the date on which the person could reasonably be expected to receive the notice of withdrawal.
3: If the Commissioner withdraws a short-process ruling in relation to an arrangement—
a: the ruling does not apply if the arrangement was entered into after the date of withdrawal; but
b: the ruling continues to apply, for the remainder of the period or tax year stated in the ruling, if the arrangement was entered into before the date of withdrawal.
4: If the Commissioner withdraws a short-process ruling on the status of a person, item, or matter under section 91CB Section 91ESB inserted 23 March 2020 section 213(1) section 213(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
91ET: Treatment of information
1: Information supplied to the Commissioner by the applicant for a short-process ruling is the factual basis on which the Commissioner makes the ruling.
2: Despite subsection (1), the Commissioner—
a: may, as part of the process of making the ruling, inquire into the correctness or existence of the facts contained in the information supplied before making the ruling:
b: is not stopped by the process of making the ruling or by the use of the information as the basis of the ruling from denying, outside the process of making the ruling or after making the ruling, the correctness or existence of the facts contained in the information supplied. Section 91ET inserted 1 October 2019 section 63 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Product rulings Heading inserted 10 April 1995 Tax Administration Amendment Act 1995
91F: Commissioner may make product rulings
1: The Commissioner may make a product ruling on how any taxation law applies to a particular arrangement if—
a: the Commissioner receives an application for a product ruling on the arrangement; and
b: the Commissioner is satisfied that a private ruling cannot be made because it is not practicable to identify the taxpayers who may enter into the arrangement; and
c: the characteristics of the taxpayers who may enter into the arrangement would not affect the content of the ruling.
1B: The Commissioner may make a product ruling on the status of a person, item, or matter under section 91CB(2) or (3)
2: The Commissioner may make a product ruling on how a taxation law applies to the arrangement described in an application whether or not reference was made to that taxation law in the application.
3: The Commissioner may decline to make a product ruling if—
a: the Commissioner considers that the correctness of the ruling would depend on which conditions were stipulated
b: the arrangement on which the ruling is sought, or a separately identifiable part of that arrangement, is substantially the same as an arrangement which is subject to an objection, challenge, or appeal, whether in relation to the applicant or any other person; or
bb: the applicant is a promoter who, in the Commissioner's opinion, did not comply with section 91FD
c: the applicant has outstanding debts relating to earlier binding ruling applications.
4: The Commissioner may not make a product ruling if—
a: the application for the ruling would require the Commissioner to determine a proscribed question, other than a matter referred to in section 91CB(3)
b: at the time the application is made or at any time before the ruling is issued, the Commissioner considers that the person to whom the ruling is to apply is not seriously contemplating the arrangement for which the ruling is sought; or
c: the application is frivolous or vexatious; or
d: the matter on which the ruling is sought is being dealt with, or in the Commissioner's opinion should be dealt with, by one or both competent authorities of the parties to a double tax agreement; or
e: a product ruling already exists on how the taxation law applies to the arrangement, and the proposed ruling would apply to a period or tax year
f: in the Commissioner's opinion the applicant has not provided sufficient information in relation to the application after the Commissioner has requested further information; or
g: in the Commissioner's opinion it would be unreasonable to make a ruling in view of the resources available to the Commissioner ; or
h: the application for the ruling would require the Commissioner to form an opinion as to a generally accepted accounting practice Section 91F inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91F(1B) inserted 18 March 2019 section 64(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91F(3)﻿(a) amended 18 March 2019 section 64(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91F(3)﻿(b) replaced 7 September 2010 section 160(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91F(3)﻿(bb) inserted 7 September 2010 section 160(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91F(3)﻿(c) inserted 20 May 1999 section 89(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91F(4)﻿(a) amended 18 March 2019 section 64(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91F(4)﻿(b) replaced 20 May 1999 section 89(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91F(4)﻿(d) replaced 23 September 1997 section 76(3) Taxation (Remedial Provisions) Act 1997 Section 91F(4)﻿(e) replaced 20 May 1999 section 89(3) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91F(4)﻿(e) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91F(4)﻿(g) amended 26 November 1998 section 30 Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 91F(4)﻿(h) inserted 26 November 1998 section 30 Taxation (Tax Credits, Trading Stock, and Other Remedial Matters) Act 1998 Section 91F(4)﻿(h) amended 7 September 2010 section 160(3) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91F(4)﻿(h) amended 25 November 2003 section 122 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003
91FA: Effect of a product ruling
1: Notwithstanding anything in any other Act, if—
a: a product ruling on a taxation law applies to an arrangement and a tax type for an arrangement
b: a person who enters into the arrangement applies the taxation law for the tax type the Commissioner must apply the taxation law in relation to the person, the tax type, and the arrangement
1A: Subsection (1) does not apply if a taxpayer has issued the Commissioner with a notice of proposed adjustment to change the effect of a ruling previously applied by the taxpayer.
2: Section 91FA inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FA(1) amended 7 September 2010 section 161(3) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FA(1)﻿(a) amended 7 September 2010 section 161(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FA(1)﻿(b) amended 7 September 2010 section 161(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FA(1A) inserted 20 May 1999 section 90(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FA(2) repealed 20 May 1999 section 90(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91FB: Application of a product ruling
1: A product ruling on a taxation law for a tax type applies, whether in relation to an arrangement or otherwise,
a: only if the taxation law is expressly referred to in the ruling; and
b: only for the period or tax year
2: A product ruling does not apply to a tax type, whether in relation to an arrangement or otherwise
a: the arrangement is materially different from the arrangement identified in the ruling; or
b: there was a material omission or misrepresentation in, or in connection with, the application for the ruling; or
c: the product ruling states an assumption that the Commissioner made about a future event or other matter, and the assumption subsequently proves to be materially incorrect; or
d: the Commissioner stipulates a condition that is not satisfied.
3: For the purposes of subsection (2), a product ruling ceases to apply to the person in relation to an arrangement and a tax type for the arrangement, from the date on which the relevant event described in subsection (2)﻿(a), (b), and (d) occurs unless the ruling expressly provides otherwise. Section 91FB inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FB(1) amended 18 March 2019 section 65(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FB(1) amended 7 September 2010 section 162(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FB(1)﻿(b) replaced 20 May 1999 section 91(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FB(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91FB(2) amended 18 March 2019 section 65(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FB(2) amended 7 September 2010 section 162(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FB(2)﻿(c) replaced 2 June 2016 section 149 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91FB(2)﻿(d) inserted 20 May 1999 section 91(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FB(3) inserted 18 March 2019 section 65(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91FC: Applying for a product ruling
1: A person, in their own right or on behalf of a person who is yet to come into legal existence, may apply to the Commissioner for a product ruling on how a taxation law applies, or would apply—
a: to an arrangement; or
b: to the consumer of the product that is the subject of the ruling, and to the arrangement; or
c: to the person.
1A: A person making an application under subsection (1) or a prospective person, as the case may be, must intend to be a party to the proposed arrangement or a promoter of the proposed arrangement
1B: For the purpose of subsection (1)﻿(b), a consumer
2: An application for a product ruling—
a: must be made in the form prescribed by the Commissioner; and
b: must comply with the disclosure requirements of section 91FD
3: An applicant for a product ruling may at any time withdraw the application by notice Section 91FC inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FC(1) replaced 20 May 1999 section 92(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FC(1)﻿(b) amended 18 March 2019 section 66 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FC(1)﻿(c) inserted 18 March 2019 section 66 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FC(1A) inserted 20 May 1999 section 92(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FC(1A) amended 7 September 2010 section 163 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FC(1B) inserted 20 May 1999 section 92(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FC(3) amended 1 April 2005 section YA 2 Income Tax Act 2004
91FD: Disclosure requirements
1: An application for a product ruling must—
a: identify the applicant; and
b: disclose all relevant facts and documents relating to the arrangement for which the ruling is sought; and
bb: if the person making the application is the promoter of the arrangement, make a statutory declaration that paragraph (b) has been complied with and that all relevant facts are correct; and
c: explain—
i: why it is not practicable to seek a private ruling; and
ii: why the characteristics of the taxpayers who may enter into the arrangement are not relevant to the content of the ruling; and
d: state the taxation laws in respect of which the ruling is sought; and
e: state the propositions of law (if any) which are relevant to the issues raised in the application; and
f: provide a draft ruling.
2: If the Commissioner considers that it would be unreasonable to require the applicant to comply with any of the requirements in paragraphs (d) to (f) of subsection (1), the Commissioner may waive those requirements. Section 91FD inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FD(1)﻿(bb) inserted 7 September 2010 section 164 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FD(1)﻿(bb) amended 29 March 2018 section 339 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
91FE: Commissioner may request further information
The Commissioner may at any time request Section 91FE inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FE amended 2 June 2016 section 150 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91FF: Conditions on which product ruling based
1: If the Commissioner considers that the correctness of a product ruling would depend on conditions being stipulated
a: stipulate the conditions on which the Commissioner bases the ruling; or
b: decline to make the ruling.
2:
3: The Commissioner may stipulate conditions about the answer to a proscribed question other than a matter referred to in section 91CB(3) section 91F(4)﻿(a) Section 91FF inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FF heading replaced 18 March 2019 section 67(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FF(1) amended 18 March 2019 section 67(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FF(1)﻿(a) replaced 18 March 2019 section 67(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FF(2) repealed 18 March 2019 section 67(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FF(3) replaced 18 March 2019 section 67(5) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91FG: Right to consultation
Before the Commissioner makes a product ruling, the Commissioner must give the applicant a reasonable opportunity to be consulted if the content of the proposed ruling differs from that applied for Section 91FG inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FG amended 2 June 2016 section 151 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91FH: Content and notification of a product ruling
1: A product ruling must state—
a: that it is a product ruling made under section 91F
b: the name of the person who applied for the ruling; and
c: the taxation law and the arrangement to which the ruling applies; and
d: how the taxation law applies to the arrangement; and
e: the period or tax year
f:
g: conditions stipulated by the Commissioner. Anything that does not contain these statements is not a product ruling.
1B:
2: The Commissioner must send a copy of the ruling to the applicant as soon as practicable after the date on which the ruling is made.
3: Unless the applicant applies for earlier publication
4: If the applicant applies for earlier publication
a: notify the making of the product ruling by notice in a publication chosen by the Commissioner
b: publish the product ruling in a publication of the department as soon as possible.
5: After the 2-month period has ended, the Commissioner must—
a: notify the making of a product ruling by notice in a publication chosen by the Commissioner
b: publish each product ruling, in full, in a publication of the department.
6: A taxpayer, other than the applicant, cannot obtain a copy of a product ruling before it is published by the Commissioner. Section 91FH replaced 20 May 1999 section 93(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FH(1)﻿(e) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91FH(1)﻿(f) repealed 18 March 2019 section 68(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FH(1B) repealed 18 March 2019 section 68(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 91FH(3) amended 2 June 2016 section 152(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91FH(4) amended 2 June 2016 section 152(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91FH(4)﻿(a) amended 7 September 2010 section 166(2) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FH(5)﻿(a) amended 7 September 2010 section 166(3) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010
91FI: Extension of a product ruling
Section 91FI repealed 20 May 1999 section 94(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91FJ: Withdrawal of a product ruling
1: The Commissioner may at any time withdraw a product ruling.
2: The Commissioner must notify the withdrawal by giving adequate notice in a publication chosen by the Commissioner
3: A product ruling is withdrawn on the date stated in the notice of withdrawal. The date cannot be before the date on which notice is given under subsection (2).
3A: A status ruling on a withdrawn product ruling does not apply on and after the date specified in the notice of withdrawal.
4: If the Commissioner withdraws a product ruling in relation to an arrangement—
a: the ruling does not apply to an arrangement entered into after the date of withdrawal; but
b: the ruling continues to apply, for the remainder of the period or tax year withdrawal; and
c: a status ruling that has been made on the product ruling continues to apply, for the remainder of the period or tax year
4B: If the Commissioner withdraws a product ruling on the status of an item or matter under section 91CB
a: the ruling continues to apply for the remainder of the period or tax year specified in the ruling; and
b: a status ruling that has been made on the product ruling continues to apply, for the remainder of the period or tax year specified in the ruling.
5: A notice of withdrawal must specify—
a: that it is a withdrawal of a product ruling under this section; and
b: the ruling that is being withdrawn; and
c: the original period or tax year
ca: any status ruling that applied to the product ruling; and
cb: that the status ruling is also being withdrawn; and
d: the date of the withdrawal. Anything that does not contain these statements is not a notice of withdrawal of a product ruling.
6: The Commissioner shall also give notice of the withdrawal Section 91FJ inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91FJ(2) replaced 20 May 1999 section 95(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(2) amended 7 September 2010 section 167 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 91FJ(3) replaced 20 May 1999 section 95(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(3A) inserted 20 May 1999 section 95(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(4) amended 23 March 2020 section 214(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 91FJ(4)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91FJ(4)﻿(b) amended 20 May 1999 section 95(3) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(4)﻿(b) amended 20 May 1999 section 95(4) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(4)﻿(c) inserted 20 May 1999 section 95(4) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(4)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91FJ(4B) inserted 23 March 2020 section 214(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 91FJ(5)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 91FJ(5)﻿(c) amended 20 May 1999 section 95(5) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(5)﻿(ca) inserted 20 May 1999 section 95(6) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(5)﻿(cb) inserted 20 May 1999 section 95(6) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91FJ(6) amended 1 April 2005 section YA 2 Income Tax Act 2004
91FK: Treatment of information
1: Information supplied to the Commissioner by the applicant for a product ruling is the basis on which the Commissioner makes a product ruling.
2: Despite subsection (1), the Commissioner,—
a: as part of the process of making a product ruling, may, but does not have to, inquire into the existence or correctness of facts contained in the information supplied before making the product ruling:
b: is not stopped by the process of making the product ruling or by the use of the information as the basis of the product ruling from inquiring, outside the process of making the ruling or subsequent to making the ruling, into the existence or correctness of facts contained in the information supplied. Section 91FK inserted 7 September 2010 section 168 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Rulings generally Heading inserted 10 April 1995 Tax Administration Amendment Act 1995
91G: Effect of legislative change on binding ruling
A binding ruling does not apply from the date a taxation law is repealed or amended to the extent that the repeal or amendment changes the way the taxation law applies in the ruling. For a limited purpose and period, section 100(2) Section 91G replaced 20 May 1999 section 96(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91G amended 1 April 2019 section 340 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
91GA: Applying for ruling on effect of change in legislation
1: A person who applied for a private ruling made under section 91E
2: A person who applied for a product ruling made under section 91F
3: A ruling made under subsection (1) or (2) is a status ruling
4: For a limited purpose and period, section 100(2) Section 91GA inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91GA(4) inserted 1 April 2019 section 341 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
91GB: Commissioner to make status rulings on
application
1: The Commissioner must make a status ruling on whether the amendment or repeal of a taxation law that is stated as applying in a private or a product ruling has changed the way that the law applies in the ruling.
2: The Commissioner may make a status ruling on whether the amendment or repeal of a taxation law has changed the way that the law applies in a private or a product ruling whether or not reference was made to that taxation law in the application.
3: The Commissioner may not make a status ruling if—
a: the application is frivolous or vexatious; or
b: the Commissioner considers that the correctness of a private or product ruling would depend on an understanding about a future event or other matter; or
c: the Commissioner considers that it would be unreasonable to make a ruling in view of the resources available to the Commissioner. Section 91GB inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91GB heading amended 2 June 2016 section 153 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91GB(3)﻿(b) replaced 18 March 2019 section 69 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
91GC: Requirements for status ruling applications
1: An application for a status ruling must be made in the form prescribed by the Commissioner and must—
a: identify the applicant; and
b: identify the private or product ruling on which the status ruling is sought; and
c: state the taxation laws that are stated as applying in the private or product ruling that have been amended or repealed; and
d: state any propositions of law that are relevant to the issues raised in the application; and
e: provide a draft ruling.
2: If the Commissioner considers that it would be unreasonable to require the applicant to comply with any of the requirements in subsection (1)﻿(d) or (1)﻿(e), the Commissioner may waive those requirements. Section 91GC inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91GD: Commissioner may request further information
The Commissioner may at any time request Section 91GD inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91GD amended 2 June 2016 section 154 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91GE: Right to consultation
Before the Commissioner makes a status ruling, the Commissioner must give the applicant a reasonable opportunity to be consulted if the content of the proposed ruling differs from that applied for Section 91GE inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91GE amended 2 June 2016 section 155 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91GF: Content of status ruling
A status ruling must identify the private or product ruling on which it is a ruling and state—
a: that it is a status ruling made under section 91GA
b: whether the amendment or repeal of a taxation law has changed the way that the law applies in the ruling. Anything that does not contain these statements is not a status ruling. Section 91GF inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91GG: Notification of status ruling
1: The Commissioner must send a copy of a status ruling to the applicant as soon as practicable after the date on which the ruling is made.
2: In the case of a status ruling on a product ruling, the Commissioner must also—
a: notify the making of a status ruling by notice in a publication chosen by the Commissioner
b: publish the status ruling in a publication of the department.
3: The Commissioner must notify the making of and publish a status ruling as soon as possible but not before the 2-month period specified in section 91FH(3) applied for Section 91GG inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91GG(2)﻿(a) amended 2 June 2016 section 156(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 91GG(3) amended 2 June 2016 section 156(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
91GH: Effect of status ruling
If a person applies a taxation law in accordance with a status ruling, the Commissioner must also apply the taxation law in accordance with the status ruling. Section 91GH inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91GI: Effect of minor error on binding ruling
1: The Commissioner does not have to withdraw and reissue a new ruling to correct a typographical or a minor error if the correction does not change the meaning of the ruling.
2: A ruling that is not withdrawn and reissued remains valid. Section 91GI inserted 20 May 1999 section 97(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
91H: Applications for rulings not to affect obligations and powers
The fact that there has been an application for a private ruling or a product ruling does not affect a person's obligation to provide any return, make any payment, or do any other act, or the Commissioner's power to make or amend any assessment. Section 91H inserted 10 April 1995 Tax Administration Amendment Act 1995
91I: Regulations
1: The Governor-General may from time to time, by Order in Council, make regulations prescribing or providing for the fixing of fees payable in respect of applications for private, product and status rulings
2: Any such regulations may—
a: specify the persons by whom any fees are payable:
b: prescribe specific fees for specific work or services:
c: prescribe a scale of fees or a rate based on the time involved in carrying out the work or services:
d: allow the Commissioner to waive, in whole or in part, any fees that are payable.
3: Regulations under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 91I inserted 10 April 1995 Tax Administration Amendment Act 1995 Section 91I(1) amended 20 May 1999 section 98(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91I(2)﻿(c) amended 20 May 1999 section 98(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91I(2)﻿(d) inserted 20 May 1999 section 98(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 91I(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
91J: Commissioner may not issue ruling to applicant with outstanding debts
1: The Commissioner may refuse to issue a private, a product, or a status ruling to an applicant with an outstanding debt that relates to an earlier binding ruling application.
2: An applicant has an outstanding debt if she or he has not paid, on or before 60 days after the date stated in an invoice sent by Inland Revenue, the amount stated in the invoice.
3: This section applies only to an outstanding debt that first arises on or after 1 June 1999. Section 91J inserted 20 May 1999 section 99(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
6: Assessments
92: Taxpayer assessment of income tax
1: A taxpayer who is required to furnish a return of income for a tax year tax year
2: An assessment under this section is made on the date on which the taxpayer's return of income is received at an office of the department.
2B: For the purposes of subsections (1) and (2), an assessment of a taxpayer who is an individual to whom Part 3 subpart 3B section 22I(1)﻿(b) section 22I(2)
3:
4:
5:
6: This section does not apply to a taxpayer—
a: in respect of whom the Commissioner has made an assessment; and
b: for the tax year
7: The nominated company for a consolidated group is treated as a taxpayer for the purposes of this section. A company that is part of a consolidated group in a tax year must not make a separate assessment for a tax year, but this restriction applies only to a tax year, or part of a tax year, in which the company is part of the group. Section 92 replaced 24 October 2001 section 208(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 92 heading replaced 1 October 2004 section 112(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 92(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 92(2) replaced 1 October 2004 section 112(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 92(2B) inserted 1 April 2019 section 70(1) section 70(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 92(3) repealed 1 October 2004 section 112(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 92(4) repealed 1 October 2005 section 142(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 92(5) repealed 1 April 2016 section 197(1) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 92(6)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 92(7) inserted 1 April 2008 section ZA 2 Income Tax Act 2007
92AAA: Determination on cost of timber
Section 92AAA repealed 24 February 2016 section 260 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
92AA: Assessment for tax credits under Part M of Income Tax Act 2007
Section 92AA repealed 1 April 2016 section 198(1) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012
92AB: Assessments of liabilities of shareholders of qualifying companies
1: The Commissioner may assess the liability of a shareholder who has agreed under section HA 8
2: A person assessed under subsection (1) is liable as agent for the company.
3: The Commissioner may reduce a person’s agreed liability if, in the relevant income year,—
a: they first acquire shares in the company; or
b: they dispose of all their shares in the company.
4: To reduce a person’s liability under subsection (3),—
a: the Commissioner must be satisfied that the reduction is appropriate; and
b: the person must provide adequate accounts and other relevant information to show that the company’s income tax liability attributable to the part of the income year in which they were a shareholder is proportionately smaller than the liability attributable to the full income year.
5: An assessment of the company or the person does not prevent an assessment of the other. 2004 No 35 s HG 8(1), (2) Section 92AB inserted 1 April 2008 section ZA 2 Income Tax Act 2007
92A: Basic rates of income tax
1: The Commissioner may for a tax year
2: If the annual rates for any tax year Section 92A inserted 26 July 1996 Taxation (Core Provisions) Act 1996 Section 92A(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 92A(1) amended 24 October 2001 section 210(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 92A(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
92B: Taxpayer assessment of GST
1: A taxpayer who is required under the Goods and Services Tax Act 1985
2: An assessment under this section is made on the date on which the taxpayer's GST tax return is received at an office of the department.
3: This section does not apply to a taxpayer for a GST return period if the Commissioner has made an assessment of the GST payable by the taxpayer for the return period. Section 92B inserted 21 December 2004 section 113(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
93: Assessment of
FBT
1: The Commissioner may, in respect of any person who is chargeable with FBT income year FBT imposed FBT in proceedings challenging the assessment FBT
2: Sections 109 111 113
a: the term tax already assessed section 113 FBT
b: the term taxpayer sections 111 113 FBT
3: An assessment made under this section shall be subject to challenge imposed section BB 1 Income Tax Act 2007 and Part 8A 1976 No 65 s 336V Section 93 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 93(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 93(1) amended 3 April 2006 section 240(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 93(1) amended 1 October 1996 section 15(1) Tax Administration Amendment Act (No 2) 1996 Section 93(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 93(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 93(2)﻿(b) amended 30 June 2014 section 159 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 93(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 93(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 93(3) amended 1 October 1996 section 15(2)﻿(a) Tax Administration Amendment Act (No 2) 1996 Section 93(3) amended 1 October 1996 section 15(2)﻿(b) Tax Administration Amendment Act (No 2) 1996 Section 93(3) amended 26 July 1996 Taxation (Core Provisions) Act 1996
93B: Trustee income: Commissioner’s power to assess
1: This section applies when a person—
a: fails to disclose details of a trust under section 59
b: fails to provide information that the Commissioner has asked for under section 17
c: is unable to obtain sufficient information to calculate the amount of trustee income in an income year.
2: The Commissioner may determine in a fair and reasonable manner the amount of trustee income for the income year. 2004 No 35 s HH 7 Section 93B inserted 1 April 2008 section ZA 2 Income Tax Act 2007
93C: Foreign tax credits: Commissioner’s power to amend assessments
1: This section applies when a person is entitled to a tax credit under section LK 1
a: the amount of the credit cannot be determined before the time by which the person must file a return of income for an income year; and
b: the person asks the Commissioner for an amended assessment within 4 years after the end of the income year.
2: The Commissioner must amend the assessment for the income year to reflect the amount of the credit. 2004 No 35 s LC 4(1C) Section 93C inserted 1 April 2008 section ZA 2 Income Tax Act 2007
94: Assessment of qualifying company election tax and additional tax
1: The Commissioner may, in respect of any company liable to pay qualifying company election tax under section HA 42 section 139B imposed
2: Sections 108 to 111 113 114
a: the term tax already assessed section 113 late payment penalty
b: the term taxpayer sections 111 113
c: the term amount assessed section 108(1) property
3: An assessment made under subsection (1) is subject to challenge in the same manner as an assessment of income tax imposed under section BB 1 Part 8A 1976 No 65 s 393L(3), (4), (5) Section 94(1) replaced 1 October 1996 section 16(1) Tax Administration Amendment Act (No 2) 1996 Section 94(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 94(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 94(2)﻿(a) amended 25 November 2003 section 123(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 94(2)﻿(b) amended 30 June 2014 section 160(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 94(2)﻿(c) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 94(2)﻿(c) amended 30 June 2014 section 160(2) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 94(2)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 94(3) replaced 1 April 2008 section ZA 2 Income Tax Act 2007
94A: Assessment of shortfall penalties
1: The Commissioner may make or amend an assessment of a civil penalty other than under section 142H 142I
2: The Commissioner must assess a shortfall penalty in the same way as the tax to which it relates, but separately from the tax. However, this subsection does not apply to a penalty under section 141ED
3: The Commissioner may assess a shortfall penalty before or after unpaid tax has been assessed, or has become assessable or payable, or has been paid.
4: If the Commissioner assesses a shortfall penalty in respect of unpaid income tax before the passing of the annual taxing Act, the unpaid income tax shall be calculated by reference to the rates determined by the last preceding annual taxing Act.
5: Unless a tax law specifically provides otherwise, a payment made by, or an amount applied on behalf of, a taxpayer on account of a shortfall penalty does not give rise to a credit towards or in respect of any other tax or tax liability. Section 94A inserted 26 July 1996 section 17 Tax Administration Amendment Act (No 2) 1996 Section 94A(1) amended 1 July 2017 section 15 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 94A(2) amended 6 October 2009 section 654(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
94B: Liability of wholly-owned group and other bodies to pay shortfall penalties
1: If the Commissioner treats the companies in a wholly-owned group as if they were a single taxpayer for the purpose of determining a tax shortfall,—
a: the Commissioner may assess one company in the group for the shortfall penalty; but
b: all the other companies remain liable to pay the shortfall penalty until it is paid in full.
2: All the partners in a partnership, and all the persons in any other group of persons that derive or incur amounts jointly or that are assessed together, are liable individually and collectively for a shortfall penalty imposed by the Commissioner—
a: in respect of a tax position taken; or
b: as a consequence of how or the way in which a tax position is taken— by the partnership or the other group of persons, as the case may be.
3: For the purposes of subsection (2),—
a: where a shortfall penalty is imposed in respect of a partnership, the part of that penalty imposed on each partner shall be in proportion to the partner's share or interest in the partnership; and
b: where a shortfall penalty is imposed in respect of a group of persons (other than a partnership), that penalty shall be imposed in such proportions as the Commissioner determines on any 1 or more of the persons in that group. Section 94B inserted 26 July 1996 section 17 Tax Administration Amendment Act (No 2) 1996 Section 94B(2) amended 26 July 1996 Taxation (Core Provisions) Act 1996
94C: Assessment of penalties under sections 142H and 142I
1: The Commissioner may, for a financial institution having obligations under Part 11B section 142H
2: The Commissioner may, for a person or entity having obligations under Part 11B section 142I Section 94C inserted 1 July 2017 section 16 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
95: Assessment of withdrawal tax
Section 95 repealed 2 June 2016 section 157 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
96: Assessment of New Zealand superannuitant surcharge
Section 96 repealed 20 August 1997 section 15 Taxation (Superannuitant Surcharge Abolition) Act 1997
97: Assessment of imputation penalty tax
1: The Commissioner may, in respect of any company chargeable with imputation penalty tax, make an assessment of the amount of imputation penalty tax that in the judgment of the Commissioner ought to be imposed
2: The company shall be liable to pay the imputation penalty tax so assessed except in so far as the company establishes in proceedings challenging the assessment
3: Sections 109 111 113
a: in sections 111 113 taxpayer
b: in section 113 tax already assessed
4: An assessment made under this section shall be subject to challenge imposed section BB 1 Income Tax Act 2007 and Part 8A 1976 No 65 s 394N(5)–(8) Section 97(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 97(2) amended 1 October 1996 section 20(1) Tax Administration Amendment Act (No 2) 1996 Section 97(3)﻿(a) amended 30 June 2014 section 162 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 97(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 97(4) amended 1 October 1996 section 20(2)﻿(a) Tax Administration Amendment Act (No 2) 1996 Section 97(4) amended 1 October 1996 section 20(2)﻿(b) Tax Administration Amendment Act (No 2) 1996 Section 97(4) amended 26 July 1996 Taxation (Core Provisions) Act 1996
97B: Assessment of Maori authority distribution penalty tax
1: The Commissioner may, in respect of a Maori authority chargeable with Maori authority distribution penalty tax, make an assessment of the amount of Maori authority distribution penalty tax that the Commissioner considers should be imposed on the Maori authority.
2: The Maori authority is liable to pay the Maori authority distribution penalty tax assessed except to the extent that the Maori authority establishes in proceedings challenging the assessment that the assessment is excessive or that the Maori authority is not chargeable with the Maori authority distribution penalty tax.
3: Sections 109 111 113
a: the references to taxpayer sections 111 113
b: the reference to tax already assessed section 113
4: An assessment made under this section is subject to challenge in the same manner as an assessment of income tax imposed under section BB 1 Income Tax Act 2007 Part 7 Section 97B inserted 26 March 2003 section 108(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 97B(3)﻿(a) amended 30 June 2014 section 163 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 97B(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007
97C: Assessment of R&D repayment tax
1: The Commissioner may, for a company chargeable with R&D repayment tax, make an assessment of R&D repayment tax that the Commissioner considers should be imposed on the company.
2: The company is liable to pay the R&D repayment tax assessed except to the extent to which the company establishes in proceedings challenging the assessment that the assessment is excessive or that the company is not chargeable with the R&D repayment tax.
3: Sections 109 111 113
a: the references to taxpayer
b: the references to tax already assessed section 113
4: An assessment made under this section is subject to challenge in the same manner as an assessment of income tax imposed under section BB 1 Part 7 Section 97C inserted 24 February 2016 section 261 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
98: Assessment of
ESCT
1: The Commissioner may, in respect of any employer or person ESCT section RD 67 employer's superannuation cash contribution ESCT imposed employer or person employer or person in proceedings challenging the assessment employer or person
2: Sections 109 111 113
a: in sections 111 113 taxpayer ESCT
b: in section 113 tax already assessed ESCT
3: An assessment made under this section shall be subject to challenge imposed section BB 1 Income Tax Act 2007 and Part 8A 1976 No 65 s 336ZG Section 98 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 98(1) amended 2 November 2012 section 199(a) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 98(1) amended 2 November 2012 section 199(b) Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 98(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 98(1) amended 1 October 1996 section 21(1) Tax Administration Amendment Act (No 2) 1996 Section 98(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 98(2)﻿(a) amended 30 June 2014 section 164 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 98(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 98(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 98(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 98(3) amended 1 October 1996 section 21(2)﻿(a) Tax Administration Amendment Act (No 2) 1996 Section 98(3) amended 1 October 1996 section 21(2)﻿(b) Tax Administration Amendment Act (No 2) 1996 Section 98(3) amended 26 July 1996 Taxation (Core Provisions) Act 1996
98B: Assessment of retirement scheme contribution withholding tax
1: The Commissioner may, for any person who is chargeable with RSCT under section RH 2
2: The person is liable to pay the tax so assessed except to the extent that the person establishes in proceedings challenging the assessment that the assessment is excessive or that the person is not chargeable with the tax assessed.
3: Sections 109 111 113
a: in sections 111 113 taxpayer
b: in section 113 tax already assessed
4: An assessment made under this section shall be subject to challenge in the same manner as an assessment of income tax imposed under section BB 1 Income Tax Act 2007 Part 8A Section 98B inserted 19 December 2007 section 231(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 98B(1) replaced 1 April 2008 section 231(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 98B(3)﻿(a) replaced 1 April 2008 section 231(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 98B(3)﻿(a) amended 30 June 2014 section 165 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 98B(3)﻿(b) replaced 1 April 2008 section 231(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 98B(4) amended 1 April 2008 section 231(4) Taxation (Business Taxation and Remedial Matters) Act 2007
99: Assessment of
RWT
1: The Commissioner may make an assessment of any amount that, in the Commissioner's opinion, any person is liable to account for or pay to the Commissioner under the RWT rules, and any person who is so assessed shall be liable to pay the amount so assessed, except so far as the person establishes in proceedings challenging the assessment
2: Sections 108 to 111 113 114
a: the term amount assessed section 108(1) section 108(2) resident passive income
b: the term taxpayer sections 111 113
c: the term tax already assessed section 113
3: An assessment made under this section shall be subject to challenge imposed section BB 1 Income Tax Act 2007 and Parts 7 8A 1976 No 65 s 327T Section 99 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 99(1) amended 1 October 1996 section 22(1) Tax Administration Amendment Act (No 2) 1996 Section 99(2)﻿(a) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 99(2)﻿(a) amended 30 June 2014 section 166(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 99(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 99(2)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 99(2)﻿(b) amended 30 June 2014 section 166(2) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 99(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 99(3) amended 1 October 1996 section 22(2)﻿(a) Tax Administration Amendment Act (No 2) 1996 Section 99(3) amended 1 October 1996 section 22(2)﻿(b) Tax Administration Amendment Act (No 2) 1996 Section 99(3) amended 26 July 1996 Taxation (Core Provisions) Act 1996
100: Assessment of
NRWT
1: The Commissioner may, in respect of any person who is chargeable with NRWT section RF 3 non-resident passive income NRWT imposed in proceedings challenging the assessment
2: The Commissioner may make an assessment of any amount which in the Commissioner's judgment any person is liable to account for or pay to the Commissioner under subpart RF in proceedings challenging the assessment
3: Sections 109 to 111 113 114
a: the term tax already assessed section 113 NRWT
b: the term taxpayer sections 111 113 NRWT
4: An assessment made under this section shall be subject to challenge imposed section BB 1 Income Tax Act 2007 and Part 8A 1976 No 65 s 321 Section 100 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 100(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 100(1) amended 1 October 1996 section 23(1) Tax Administration Amendment Act (No 2) 1996 Section 100(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 100(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 100(2) amended 25 November 2003 section 124 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 100(3)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 100(3)﻿(b) amended 30 June 2014 section 167 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 100(3)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 100(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 100(4) amended 1 October 1996 section 23(2)﻿(a) Tax Administration Amendment Act (No 2) 1996 Section 100(4) amended 1 October 1996 section 23(2)﻿(b) Tax Administration Amendment Act (No 2) 1996 Section 100(4) amended 26 July 1996 Taxation (Core Provisions) Act 1996
101: Assessment of further income tax
1: The Commissioner may, in respect of any company liable to pay further income tax under sections OB 65 to OB 67 imposed in proceedings challenging the assessment
2: Sections 109 111 113
a: in sections 111 113 taxpayer
b: in section 113 tax already assessed
3: An assessment made under this section shall be subject to challenge in the same manner as an assessment of income tax and Part 8A income tax tax sections OB 65 to OB 67 1976 No 65 s 394L(7), (8), (9) Section 101(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 101(1) amended 1 October 1996 section 24(1) Tax Administration Amendment Act (No 2) 1996 Section 101(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 101(2)﻿(a) amended 30 June 2014 section 168 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 101(3) replaced 23 September 1997 section 77 Taxation (Remedial Provisions) Act 1997 Section 101(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007
101B: Assessment of
imputation additional tax
1: The Commissioner may, in respect of any company liable to pay imputation additional tax section OB 72 imputation additional tax imputation additional tax imputation additional tax
2: Sections 109 111 113
a: in sections 111 113 taxpayer imputation additional tax
b: in section 113 tax already assessed imputation additional tax
3: An assessment made under this section is subject to challenge in the same manner as an assessment of income tax and Part 8A income tax tax imputation additional tax section OB 72 Section 101B inserted 21 June 2005 section 143 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 101B heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 101B(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 101B(2)﻿(a) amended 30 June 2014 section 169 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 101B(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 101B(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 101B(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007
102: Assessment of
FDP Section 102 repealed 6 October 2009 section 655(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
103: Assessment of
further FDP Section 103 repealed 6 October 2009 section 656(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
103A: Assessment of
FDP Section 103A repealed 6 October 2009 section 657(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
104: Assessment of
FDP Section 104 repealed 6 October 2009 section 658(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
104B: Determination of credits and debits in memorandum accounts
1: In this section,— credit date debit date memorandum account person
2: The Commissioner may determine that a memorandum account is corrected by—
a: adjusting the amount of a credit or debit recorded in the account; or
b: changing a credit date or a debit date recorded in the account.
3: Notice of the determination must be given to the memorandum account person affected by the determination as soon as is convenient after the determination has been made.
4: Notice of the determination may be included in a notice of assessment.
5: Failure to give the notice of determination does not invalidate the determination.
6: Particulars of the determination are treated as correctly reflecting what should have been recorded in the memorandum account.
7: The memorandum account person must record those changes that are necessary or appropriate to ensure that all memorandum accounts of the person correctly reflect the determination.
8: Subsections (6) and (7) do not apply to the extent to which it is established in proceedings under a challenge that the determination is not correct. 2004 No 35 ss ME 20 ME 40 MF 6 MG 12 MI 12 MJ 8 MK 9 Section 104B inserted 1 April 2008 section ZA 2 Income Tax Act 2007
105: Assessments and determinations made by electronic means
Any assessment or determination made by the Commissioner 1974 No 133 s 21D Section 105 amended 24 October 2001 section 211(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
106: Assessment where default made in furnishing returns
1: If any person makes default in furnishing any return, or if the Commissioner is not satisfied with the return made by any person, or if the Commissioner has reason to suppose that any person, although the person has not made a return, is a taxpayer, the Commissioner may make an assessment of the amount on which in the Commissioner's judgment tax ought to be imposed or in proceedings challenging the assessment
1A: If the Commissioner considers that the information provided in an individual’s final account for a tax year is not likely to be correct, the Commissioner may make an assessment of the amount on which the Commissioner considers tax ought to be imposed and of the amount of that tax.
1B: Tax assessed under subsection (1A) in relation to an individual is payable by the individual unless the individual disputes the assessment and complies with the requirements of section 89D
1C:
1D: If a person who is required to provide a GST tax return for a GST return period does not provide a GST tax return for the return period, or provides a GST tax return with which the Commissioner is not satisfied, the Commissioner may make an assessment of the GST payable by the person for the return period.
1E: A person who is assessed under subsection (1D) is liable to pay the GST assessed unless the person establishes in proceedings challenging the assessment that the assessment is excessive, or that the person is not chargeable with GST.
2: An assessment made under this section shall not be invalidated by virtue of the fact that it is made automatically by a computer or other electronic means in response to or as a result of information entered or held in the computer or other electronic medium. 1976 No 65 s 21 Section 106(1) amended 1 October 1996 section 28 Tax Administration Amendment Act (No 2) 1996 Section 106(1) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 106(1A) replaced 1 April 2019 section 71(1) section 71(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 106(1B) replaced 1 April 2019 section 71(1) section 71(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 106(1C) repealed 23 March 2020 section 215 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 106(1D) inserted 21 December 2004 section 114(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 106(1E) inserted 21 December 2004 section 114(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
107: Amended assessment Where, whether before or after the commencement of this Act,—
a: any taxpayer, in respect of tax year
b: the Commissioner has amended amending tax year the validity of the amended tax year Section 107 replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 107 heading amended 24 October 2001 section 212(3) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 107 amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 107 amended 24 October 2001 section 236(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 107(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 107(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 107(b) amended 24 October 2001 section 212(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 107(b) amended 24 October 2001 section 236(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
107A: Time bar for amendment of assessments
1: When any person has made returns and has been assessed for income tax for any year, it shall not be lawful for the Commissioner to amend
2: Notwithstanding subsection (1), in any case where, in the opinion of the Commissioner, the returns so made are fraudulent or wilfully misleading or omit all mention of income which is of a particular nature or was derived from a particular source, and in respect of which a return is required to be made, it shall be lawful for the Commissioner to amend
3: Subsections (1) and (2) apply to a return filed in the period between 1 October 1996 and 31 March 1997, and, for such a return, a reference to section 108 Section 107A inserted 23 September 1997 section 78(1) Taxation (Remedial Provisions) Act 1997 Section 107A(1) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 107A(2) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
108: Time bar for amendment of income tax assessment
1: Except as specified in this section or in section 108B
a: a taxpayer furnishes an income tax return and an assessment has been made; and
b: 4 years have passed from the end of the tax year the Commissioner may not amend increase the amount assessed or decrease the amount of a net loss
1A:
1B:
1C: The Commissioner may not amend an assessment so as to increase an amount assessed when—
a: a taxpayer
i: provides a return
ib: provides a return for an amount required to be deducted under section 221
ii: provides a statement section 86K by the taxpayer:
iii: makes an application for a refund made under section 41A
b: 4 years have passed from the end of the period in which the taxpayer provided the return or statement, or made the application
1D: For the purposes of the time bar in subsection (1C)﻿(b), a taxpayer who furnishes a statement referred to in subsection (1C)﻿(a)﻿(ii) is treated as having met the requirements for furnishing a tax return for non-resident withholding tax.
1E: Despite subsection (1), the Commissioner may not amend an assessment so as to increase an amount of research and development tax credit if 1 year has passed from the latest date to provide a return of income for the relevant tax year, except if the increase is to take into account—
a: a notice of proposed adjustment initiated by a taxpayer in accordance with section 113E
b: a request under section 113 section 113E
2: If the Commissioner is of the opinion that a tax return provided by a taxpayer—
a: is fraudulent or wilfully misleading; or
b: does not mention the Commissioner may amend
2B: A period equal to the number of days in the period described in this subsection is added to the 4 years under subsection (1), if a taxpayer successfully challenges a Commissioner's refusal under section 89K(4)
a: starts on the day of the refusal:
b: finishes on the day on which that challenge is finally judged successful by the relevant Taxation Review Authority or court, or the day on which the Commissioner concedes.
3: This section overrides every other provision of this Act, and any other rule or law, that limits the Commissioner's right to amend assessments.
3B: The Commissioner may amend an assessment or a determination to give effect to section LA 6(3)
4: Subsection (1) applies to all returns filed on or after 1 April 1997. Section 108 replaced 1 October 1996 section 29 Tax Administration Amendment Act (No 2) 1996 Section 108 heading replaced 24 October 2001 section 213(3) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 108(1) amended 27 February 2014 section 139(1) Taxation (Annual Rates, Foreign Superannuation, and Remedial Matters) Act 2014 Section 108(1) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 108(1)﻿(a) replaced 24 October 2001 section 213(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 108(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 108(1A) repealed 1 April 2019 section 72(1) section 72(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108(1B) repealed 1 April 2019 section 32(1) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 108(1C) inserted 30 March 2017 section 335 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 108(1C)﻿(a) amended 1 April 2019 section 72(2)﻿(a) section 72(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108(1C)﻿(a)﻿(i) amended 1 April 2019 section 72(2)﻿(b) section 72(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108(1C)﻿(a)﻿(ib) inserted 30 March 2022 section 201 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 108(1C)﻿(a)﻿(ii) amended 1 April 2019 section 72(2)﻿(c)﻿(i) section 72(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108(1C)﻿(a)﻿(ii) amended 1 April 2019 section 72(2)﻿(c)﻿(ii) section 72(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108(1C)﻿(a)﻿(iii) inserted 1 April 2019 section 72(2)﻿(d) section 72(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108(1C)﻿(b) amended 1 April 2019 section 72(2)﻿(e) section 72(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108(1D) inserted 30 March 2017 section 335 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 108(1E) replaced 30 March 2021 section 168 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 108(2) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 108(2)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 108(2)﻿(b) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 108(2B) inserted 29 August 2011 section 175 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 108(3B) replaced 1 April 2008 section ZA 2 Income Tax Act 2007
108A: Time bar for amending GST assessment
1: Subject to this section and section 108B
2:
3: The Commissioner may, at any time, amend an assessment to increase the amount of the assessment if the Commissioner considers that the person assessed has knowingly or fraudulently failed to disclose to the Commissioner all of the material facts that are necessary for determining the amount of GST payable for a GST return period.
3B: A period equal to the number of days in the period described in this subsection is added to the 4 years under subsection (1), if a taxpayer successfully challenges a Commissioner's refusal under section 89K(4)
a: starts on the day of the refusal:
b: finishes on the day on which that challenge is finally judged successful by the relevant Taxation Review Authority or court, or the day on which the Commissioner concedes.
4: This section overrides every other provision of this Act, and any other rule or law, that limits the Commissioner's right to amend GST assessments. Section 108A inserted 1 October 1996 section 29 Tax Administration Amendment Act (No 2) 1996 Section 108A heading replaced 1 April 2005 section 115(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 108A(1) replaced 1 April 2005 section 115(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 108A(2) repealed 1 April 2005 section 115(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 108A(3) replaced 1 April 2005 section 115(4) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 108A(3B) inserted 29 August 2011 section 176 Taxation (Tax Administration and Remedial Matters) Act 2011
108AB: Time bar for amending assessment of KiwiSaver contributions
1: The Commissioner may not amend an assessment so as to increase an amount assessed when—
a: a taxpayer provides employment income information that includes—
i: an amount required to be deducted under Part 3
ii: an amount of KiwiSaver Act 2006
b: 4 years have passed from the date on which the taxpayer provided the employment income information.
2: However, if the Commissioner is of the opinion that employment income information provided by a taxpayer is fraudulent or wilfully misleading, the Commissioner may amend the assessment at any time so as to increase its amount.
3: This section overrides every other provision of this Act, and any other rule or law, that limits the Commissioner’s right to amend assessments. Section 108AB inserted 30 March 2022 section 202 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
108AC: Time bar for amending assessment of student loan deductions
1: The Commissioner may not amend an assessment when—
a: a taxpayer provides employment income information that includes an amount of salary or wage deductions required to be made under the Student Loan Scheme Act 2011
b: 4 years have passed from the date on which the taxpayer provided the employment income information.
2: However, the Commissioner may amend the assessment at any time if the Commissioner is of the opinion that either or both of the following apply:
a: employment income information provided by a taxpayer is fraudulent or wilfully misleading:
b: there would be a significant adverse effect on a borrower, as defined in section 4(1)
3: This section is subject to section 64 Section 108AC inserted 1 April 2023 section 192 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
108B: Extension of time bars
1: The application of a time bar that is referred to in subsection (3) may be delayed for a taxpayer by a waiver—
a: for 12 months
i: the taxpayer and the Commissioner agree to the waiver; and
ii: their agreement is recorded in a document; and
b: for a further 6 months from the end of the 12-month period referred to in paragraph (a), by
1B: A waiver under subsection (1) does not affect the application of a time bar to an assessment of the taxpayer by the Commissioner on a ground that was not identified and known to the taxpayer and the Commissioner before the time at which the time bar would have applied but for subsection (1).
2: An agreement under subsection (1)﻿(a)
2B: A notice under subsection (1)﻿(b) must be given to the Commissioner before the expiry of the 12-month period referred to in subsection (1)﻿(a).
3: Subsection (1) applies to—
a: the time bar occurring under section 25 of the Income Tax Act 1976 after the period of 4 years from the end of the year in which the notice of original assessment was issued; and
b: the time bar occurring under section 107A
c: the time bar occurring under section 108 section 29
d: the time bar occurring under section 108(1), (1B), and (1C) section 29 tax year
e: the time bar occurring under the former section 31
f: the time bar occurring under section 108A(1) in which the GST tax return was provided; and
fb: the time bar occurring under section 108AB
g: Section 108B replaced 20 May 1999 section 101(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 108B(1) replaced 21 December 2004 section 116(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 108B(1)﻿(a) replaced 2 June 2016 section 159(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 108B(1)﻿(a) amended 1 April 2019 section 73(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108B(1)﻿(b) amended 2 June 2016 section 159(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 108B(1B) inserted 21 December 2004 section 116(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 108B(2) amended 18 December 2006 section 194(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 108B(2B) inserted 18 December 2006 section 194(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 108B(3)﻿(d) amended 1 April 2019 section 73(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 108B(3)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 108B(3)﻿(f) amended 30 March 2022 section 203(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 108B(3)﻿(f) amended 21 December 2004 section 116(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 108B(3)﻿(fb) inserted 30 March 2022 section 203(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 108B(3)﻿(g) repealed 21 December 2004 section 116(3) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
109: Disputable decisions deemed correct except in proceedings
Except in objection proceedings under Part 8 Part 8A
a: no disputable decision may be disputed in a court or in any proceedings on any ground whatsoever; and
b: every disputable decision and, where relevant, all of its particulars are deemed to be, and are to be taken as being, correct in all respects. Section 109 replaced 1 October 1996 section 30 Tax Administration Amendment Act (No 2) 1996
109A: Transitional provision affecting assessments
A notice of assessment issued on or after 1 April 1995 and relating to return periods before that date shall be deemed to have been made under the Tax Administration Act 1994. Section 109A inserted 23 September 1997 section 79(1) Taxation (Remedial Provisions) Act 1997
110: Evidence of returns and assessments
1: The production of any document under the hand of the Commissioner or an officer of the department return an officer of the department
1B: For the purposes of subsection (1), a return or assessment includes the final account of an individual relating to the information that is held by the Commissioner on their assessable income.
2: The production of any document under the hand of the Commissioner or an officer of the department section 36 any of the other Inland Revenue Acts or the Goods and Services Tax Act 1985 an officer of the department 1976 No 65 s 28 Section 110(1) amended 1 April 2019 section 74(1) section 74(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 110(1) amended 7 October 1998 section 29(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 110(1) amended 2 September 1996 section 44(2) Taxation (Remedial Provisions) Act 1996 Section 110(1B) inserted 1 April 2019 section 74(2) section 74(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 110(2) amended 1 April 2019 section 343 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 110(2) amended 1 October 1996 section 31 Tax Administration Amendment Act (No 2) 1996 Section 110(2) amended 2 September 1996 section 44(2) Taxation (Remedial Provisions) Act 1996 Section 110(2) amended 12 December 1995 Tax Administration Amendment Act (No 3) 1995
111: Commissioner to give notice of assessment to taxpayer
1: As soon as conveniently may be after making an assessment provided that where—
a: the taxpayer has, in the taxpayer's return to which the assessment relates, calculated the amount on which tax is payable or the amount of the tax; or
b: the assessment has been made on default by the taxpayer in furnishing any return for the year to which the assessment relates; or
ba: the assessment is made after a failure by the taxpayer to comply with their obligations under Part 3 subpart 3B
bb: an assessment is deemed to be made under Part 3 subpart 3B
c: the Commissioner causes a separate statement in relation to the assessment to be given to the taxpayer setting forth the amount on which tax is payable and the amount of the tax,— it shall not be necessary to set forth in the notice of the assessment any particulars other than particulars as to the amount of tax to be paid by the taxpayer or the amount of tax to be refunded.
2:
3:
4:
5:
6: Omitting to give a notice under this section does not invalidate the assessment or in any manner affect the operation of the assessment.
7: If requested to do so, the Commissioner must give a notice of assessment who confirms the amount of their income tax liability under section 22H
8: If the Commissioner makes an assessment in relation to goods that are treated under section 5(2) 1976 No 65 s 29 Section 111(1) amended 24 October 2001 section 214(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 111(1)﻿(ba) replaced 1 April 2019 section 75(1) section 75(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 111(1)﻿(bb) inserted 7 October 1998 section 30(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 111(1)﻿(bb) amended 1 April 2019 section 75(2) section 75(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 111(2) repealed 24 October 2001 section 214(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 111(3) repealed 24 October 2001 section 214(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 111(4) repealed 24 October 2001 section 214(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 111(5) repealed 24 October 2001 section 214(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 111(6) replaced 24 October 2001 section 214(3) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 111(7) inserted 7 October 1998 section 30(2) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 111(7) amended 1 April 2019 section 75(3) section 75(4) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 111(7) amended 24 October 2001 section 214(4) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 111(8) inserted 21 December 2004 section 117(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
112: Commissioner to make determination of life insurer's policyholder
net loss Section 112 repealed 24 October 2001 section 215(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
113: Commissioner may at any time amend assessments
1: Subject to section 89N
2: If any such amendment 1976 No 65 s 23 Section 113(1) amended 30 March 2022 section 204(1) section 204(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 113(1) amended 21 December 2004 section 118(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 113(2) amended 21 December 2004 section 118(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
113A: Correction of certain errors in subsequent returns
1: This section applies for the purposes of this Act and the Goods and Services Tax Act 1985
a: a person—
i: has made an assessment of income tax or goods and services tax in a return that results in a tax liability for the person; or
ii: has provided a return that results in a liability for fringe benefit tax for the person; and
b: 1 or more errors in the assessment or return, as applicable, cause a tax discrepancy in the amount of the liability.
2: This section does not apply in relation to an assessment or return for an ancillary tax other than fringe benefit tax as described in subsection (1)﻿(a)﻿(ii).
3: If the total tax discrepancy amounts to $1,000 or less, the person may make a correction in the next return that is due after the discovery of the error or errors.
3B: If the total tax discrepancy is caused by an error or errors that, for the person, is not a material error or are not material errors, the person may make a correction in the next return that is due after the discovery of the error or errors.
4: For the purposes of subsection (3B) the amount of the total tax discrepancy caused by the error or errors or return, as applicable,
a: $10,000; and
b: 2% of the person’s—
i: output tax, in the case of an assessment of goods and services tax; or
ii: annual gross income, in any other case.
5: Subsections (3) and (3B) do not apply assessment of their liability for income tax or goods and services tax, or return for fringe benefit tax, Section 113A replaced 18 March 2019 section 76 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 113A(1) replaced 23 March 2020 section 217(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(2) replaced 23 March 2020 section 217(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(3) replaced 23 March 2020 section 217(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(3B) inserted 23 March 2020 section 217(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(4) amended 30 March 2022 section 205(a) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 113A(4) amended 23 March 2020 section 217(2)﻿(a) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(4) amended 23 March 2020 section 217(2)﻿(b) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(4)﻿(a) replaced 23 March 2020 section 217(2)﻿(c) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(4)﻿(b) replaced 30 March 2022 section 205(b) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 113A(5) amended 23 March 2020 section 217(3)﻿(a) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 113A(5) amended 23 March 2020 section 217(3)﻿(b) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
113B: Amended assessments if dividend recovered or repaid
1: This section applies if—
a: a company recovers a dividend from a shareholder under section 56
b: the release of a debt is treated as a dividend and the released amount is repaid; or
c: close company expenditure to which section CD 41(2)
d: a loan made before 1 April 1992 was treated as a dividend under section 4(1)﻿(b) of the Income Tax Act 1976 and the loan is repaid.
2: If the Commissioner is given notice of the recovery or repayment, the Commissioner must amend each relevant assessment to the extent necessary to ensure that the dividend and any attached imputation credit
3: This section applies despite the time bar. 1994 No 164 s CF 2(8)﻿(a)﻿(i) Section 113B inserted 1 April 2005 section YA 2 Income Tax Act 2004 Section 113B(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 113B(2) amended 1 April 2017 section 336 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
113C: Amended assessments for attributed repatriation dividends
Section 113C repealed 24 February 2016 section 262 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
113D: Amended assessments for research and development tax credits
Section 113D repealed 1 April 2019 section 33 section 3 Taxation (Research and Development Tax Credits) Act 2019
113E: Amended assessments: research and development tax credits
1: A person may only—
a: issue 1 notice of proposed adjustment in relation to an increase in the amount of a person’s research and development tax credit for a tax year before the earlier of—
i: 1 year after the due date to provide their return of income for the tax year:
ii: 4 months after they provide their return of income for the tax year; or
b: make 1 request under section 113
2: A person must not make a request under section 113 section 33E Section 113E inserted 1 April 2019 section 34 section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 113E(1)﻿(a) replaced 23 March 2020 section 218(1) section 218(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
113F: Amended assessments: election under section HC 33 to satisfy trustee liability
1: This section applies when a person chooses under section HC 33 affected year
2: The Commissioner may from time to time and at any time make an assessment or reassessment for the trustee and the affected year as a consequence of the election notwithstanding that tax already assessed may have been paid.
3: The person who makes the election must provide the Commissioner with the information required by the Commissioner for determining the correct assessment for the affected year. Section 113F inserted 23 March 2020 section 219 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
113G: Amended assessments: tax year to which net loss carried back under section IZ 8
1: This section applies if—
a: a person elects to carry back a net loss from a tax year (the loss year section IZ 8
b: the Commissioner amends the assessment for the loss year because the person’s assessment for the loss year is based on an amount for the net loss carried back that does not meet the requirements of that section.
2: Despite the time bar, the Commissioner may amend the assessment for the tax year preceding the loss year at the same time as the Commissioner amends the assessment for the loss year. Section 113G inserted 30 April 2020 section 21 COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020
114: Validity of assessments
An assessment made by the Commissioner is not invalidated—
a: through a failure to comply with a provision of this Act or another Inland Revenue Act; or
b: because the assessment is made wholly or partially in compliance with—
i: a direction or recommendation made by an authorised officer on matters relating to the assessment:
ii: a current policy or practice approved by the Commissioner that is applicable to matters relating to the assessment. Section 114 replaced 21 December 2004 section 119 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
115: Determination of claims for foreign tax credits
Section 115 repealed 24 October 2001 section 217(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
116: Notice of foreign tax credit determination to taxpayer
Section 116 repealed 24 October 2001 section 218(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
117: Foreign tax credit determination deemed correct except in proceedings on objection
Section 117 repealed 1 October 1996 section 33 Tax Administration Amendment Act (No 2) 1996
118: Evidence of foreign tax credit determination
Section 118 repealed 24 October 2001 section 219(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
119: Commissioner may determine amount of provisional tax
1: The Commissioner may at any time determine the amount that, in the opinion of the Commissioner, ought to be the provisional tax payable by a person for a tax year
a: the person defaults in furnishing the annual return of income required to be furnished for the immediately preceding tax year
b: the Commissioner is not satisfied with a return made by the person for any of the 2 immediately preceding tax years
c: the Commissioner has reason to believe that the person, although the person has not furnished a return, is a provisional taxpayer; or
cb: the taxpayer is using the AIM method and the approved AIM provider’s product that they are using calculates tax liabilities that are not reasonably accurate assessments of tax liabilities for the relevant income and expenditure; or
d: the Commissioner considers that any estimate of residual income tax furnished by a taxpayer pursuant to section RC 7
i: at the time the estimate was furnished; or
ii: on any instalment date; or
e: the person is required, under sections RC 7 RC 18(5)
2: The Commissioner may at any time determine the amount that, in the opinion of the Commissioner, ought to be the provisional tax payable by a provisional taxpayer for a tax year
a:
b: the Commissioner considers, by reason of any of sections HD 29(3) LJ 1 LK 1 LK 6
3: An amount of provisional tax determined by the Commissioner under subsection (1) shall not exceed the amount of provisional tax that would be payable if the taxpayer had not estimated.
4: Where the Commissioner determines an amount under subsection (1) or subsection (2), the Commissioner must give the taxpayer notice accordingly
a: subject to paragraph (b), the amount of the consequent shortfall shall be due and payable by the taxpayer on such day as is specified in the notice, being a day not less than 30 days after the issuing of the notice; or
b: where the notice specifies that an estimate furnished by the taxpayer was not fair and reasonable, the consequent shortfall for any instalment date for which the estimate had effect, or would but for the determination have effect, shall be treated as being or having been due and payable by the taxpayer on that instalment date, except to the extent superseded by any further estimate or determination.
5: The amount of any provisional tax determined by the Commissioner in accordance with this section shall be open to objection under Part 8 or may be challenged under Part 8A 1976 No 65 s 379 1993 No 17 s 71 Section 119(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 119(1)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 119(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 119(1)﻿(cb) inserted 1 April 2018 section 53(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 119(1)﻿(d) replaced 23 September 1997 section 80(1) Taxation (Remedial Provisions) Act 1997 Section 119(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 119(1)﻿(d)﻿(ii) amended 1 October 2007 section 241(1)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 119(1)﻿(e) inserted 1 October 2007 section 241(1)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 119(1)﻿(e) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 119(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 119(2)﻿(a) repealed 23 September 1997 section 80(2) Taxation (Remedial Provisions) Act 1997 Section 119(2)﻿(b) replaced 23 September 1997 section 81 Taxation (Remedial Provisions) Act 1997 Section 119(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 119(3) replaced 23 September 1997 section 80(3) Taxation (Remedial Provisions) Act 1997 Section 119(4) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 119(5) amended 1 October 1996 section 34 Tax Administration Amendment Act (No 2) 1996
119A: Amount of provisional tax based on 1997–98 or earlier income year
Section 119A repealed 10 October 2000 section 69(1) Taxation (GST and Miscellaneous Provisions) Act 2000
7: Interest
Part 7 replaced 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
120: Commissioner to pay interest on certain excess tax
Section 120 repealed 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
120A: Purpose of this Part and nature of interest
1: The purpose of this Part is—
a: in appropriate circumstances—
i: to compensate the Commissioner for the loss of use of money through taxpayers paying too little tax; and
ii: to compensate taxpayers for the loss of use of money through their paying too much tax; and
b: to encourage taxpayers to pay the correct amount of tax on time.
2: Interest payable under this Part is not a penalty.
3: Where the Commissioner withholds RWT or NRWT Section 120A inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120A(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007
120AA: Application of Part
1: This Part does not apply if—
a: a taxpayer has paid qualifying tax in dispute; and
b: the taxpayer has objected, appealed, or stated a case relating to the qualifying tax in dispute paid; and
c: the taxpayer has indicated to the Commissioner, before the date that the Taxation (Accrual Rules and Other Remedial Matters) Act 1999 receives the Royal assent, that repealed sections 120 139
d: the decision on the objection, appeal, or case stated requires the Commissioner to refund the qualifying tax in dispute paid or requires the taxpayer to pay deferrable tax, as that term was defined before its repeal by section 3
2: If subsection (1) applies, the Commissioner must apply, as appropriate—
a: sections 120 139 sections 36 43
b: sections 34A or 398 of the Income Tax Act 1976 as they applied immediately before the enactment of this Act. Section 120AA inserted 20 May 1999 section 102(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
120B: Persons excluded
Nothing in this Part applies to—
aa:
a: a person (other than an employer and the Commissioner) specified in section 157A
b: a liable person in relation to child support (both as defined in the Child Support Act 1991
bb: an employer in relation to amounts of compulsory employer contributions unpaid and specified in a notice under section 141(5)
bc: a non-resident employer who incorrectly concludes that they do not have to withhold and pay, or pay, an amount of tax for a PAYE income payment to a cross-border employee to the Commissioner in an income year, and the employer—
i: has either 2 or fewer employees present in New Zealand during the income year or pays $500,000 or less of employment-related taxes for the income year; and
ii: has, within 60 days of a relevant failure to withhold and pay, or pay, taken reasonable measures to manage their employment-related tax obligations:
c: a borrower in relation to repayment obligation (both as defined in the Student Loan Scheme Act 2011 Section 120B inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120B(aa) repealed 1 April 2016 section 263 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 120B(aa) inserted 1 April 2016 section 200 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 120B(bb) replaced 1 April 2021 section 169 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 120B(bc) inserted 1 April 2023 section 193 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 120B(c) amended 1 April 2012 section 223 Student Loan Scheme Act 2011 General provisions Heading inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
120C: Definitions
1: In this Part, unless the context otherwise requires,— Commissioner's paying rate section 120H date interest starts sections 120N 120O
a: for unpaid tax means—
i: if a taxpayer pays too little tax by a due date—
A: the day after the due date for payment of the tax; or
B: where the due date is a new due date or, in the case of GST, a later due date for payment of the tax, the day after the original due date for payment of the tax:
ii: if the Commissioner refunds or applies tax that should be kept and taken into account in satisfying a taxpayer’s tax liability at a due date, the day after the day on which the Commissioner refunds or applies the tax, unless subparagraph (iib) applies to the taxpayer; and
iib: for a qualifying individual or an individual who is treated as a qualifying individual
iii: for a provisional taxpayer to whom section 120KE(7)
b: for overpaid tax, other than a GST refund provided by section 19C(8) 20(5) FBT
i: if a taxpayer pays too much tax by or after a due date and subparagraph (iv) does not apply
A: the day after the later of the due date for payment of the tax and the date the payment is made; or
B: where the due date is a new due date, the day after the later of the original due date for payment of the tax and the date on which the payment is made; and
ii: if a tax return is also to be provided in respect of the tax, the day after the tax return is provided; and
iii: for a taxpayer whose assessment for a tax year is made under Part 3 subpart 3B section 22I(2) or (3)
iv: for a provisional taxpayer other than one to whom section 120KE(1) or (3)
v: for a provisional taxpayer to whom section 120KE(6)
A: the day after the date set out in section RC 18(3)
B: the day after their last ratio instalment date; and
c: for a GST refund provided by section 19C(8) 20(5) section 54B
i: the day after the earlier of—
A: the 10th working day
B: the original due date for payment of output GST in respect of that return period; and
ii: the day after the day on which the tax return is provided; and
iii:
d: for overpaid tax, being FBT a tax year filed; and
e: for tax paid, being a deposit to a tax pooling account in accordance with sections RP 17 to RP 21 section RP 18(5)
f: for unpaid tax, being terminal tax for the tax year in which a taxpayer dies, the due date for the deceased person's terminal tax, if—
i: each instalment of provisional tax payable by the deceased person for that tax year is paid by the due date under section RC 6
ii: the terminal tax payable by the deceased person for that tax year is paid by the due date under section RA 13
g: for unpaid tax, being terminal tax for which a taxpayer has a new due date for payment of the tax because section 142AC section 142AB(2) interest paid to a taxpayer interest paid paid interest period
a: for unpaid tax, means the period beginning on the date interest starts and ending on the date the tax is paid or credited as paid (both dates inclusive):
b: for overpaid tax, means the period (both dates inclusive) beginning on the date interest starts and ending on the earlier of—
i: the date the tax is refunded by the Commissioner; and
ii: the date the tax is applied by the Commissioner towards meeting another tax liability
iii: tax paid
a: an amount of tax that—
i: is paid or credited by the time for a tax liability; and
ii: has not been refunded or applied by the Commissioner to satisfy another tax liability:
b: an amount credited by the time to a tax pooling account under sections RP 17 to RP 21
c: an amount credited or transferred by the time to a taxpayer's account with the Commissioner from a tax pooling account under sections RP 17 to RP 21 tax payable an amount of tax that must be withheld or deducted taxpayer's paying rate section 120H
2: For the purposes of this Part, where, at any time,—
a: the tax paid by a taxpayer exceeds the tax payable, the excess is overpaid tax
b: the tax payable by a taxpayer exceeds the tax paid, the excess is unpaid tax
3: In the definition of tax paid paragraph (a)﻿(i) section MZ 5 section MZ 6 Section 120C inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120C(1) date interest starts replaced 1 April 2019 section 77(1) section 77(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 120C(1) date interest starts inserted 1 April 2019 section 77(1) section 77(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 120C(1) date interest starts amended 23 March 2020 section 220(1) section 220(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120C(1) date interest starts inserted 1 October 2007 section 242(1)﻿(a) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120C(1) date interest starts amended 21 February 2017 section 113(a) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120C(1) date interest starts amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120C(1) date interest starts paragraph (b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120C(1) date interest starts amended 25 September 2000 section 37(1) Taxation (FBT, SSCWT and Remedial Matters) Act 2000 Section 120C(1) date interest starts amended 1 October 2007 section 242(1)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120C(1) date interest starts replaced 1 April 2019 section 77(2) section 77(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 120C(1) date interest starts inserted 1 October 2007 section 242(1)﻿(c) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120C(1) date interest starts inserted 1 October 2007 section 242(1)﻿(c) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120C(1) date interest starts amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120C(1) date interest starts amended 21 February 2017 section 113(b) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120C(1) date interest starts amended 1 April 2014 section 114 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 Section 120C(1) date interest starts amended 29 March 2018 section 344(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 120C(1) date interest starts repealed 21 February 2017 section 113(c) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120C(1) date interest starts inserted 25 September 2000 section 37(2) Taxation (FBT, SSCWT and Remedial Matters) Act 2000 Section 120C(1) date interest starts amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120C(1) date interest starts amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120C(1) date interest starts amended 1 April 2003 section 109(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 120C(1) date interest starts inserted 1 April 2003 section 109(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 120C(1) date interest starts amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120C(1) date interest starts replaced 18 December 2006 section 195 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 120C(1) date interest starts amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120C(1) date interest starts amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120C(1) date interest starts inserted 1 April 2020 section 220(2) section 220(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120C(1) interest period paragraph (b)﻿(ii) amended 7 October 1998 section 31(b) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 120C(1) interest period repealed 21 June 2005 section 145(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 120C(1) tax paid replaced 6 October 2009 section 662 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 120C(1) tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120C(3) inserted 24 October 2001 section 220(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 120C(3) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120C(3) amended 26 March 2003 section 109(4) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
120D: Liability to pay interest
1: A taxpayer is liable to pay interest on unpaid tax to the Commissioner in accordance with this Part.
2: The Commissioner may recover interest payable on unpaid tax as though it were tax (of the same type as the unpaid tax) payable by the taxpayer.
3: The Commissioner is liable to pay interest on overpaid tax to a taxpayer in accordance with this Part.
4: Interest overpaid by the Commissioner may be recovered in the same manner as income tax that is payable under the Income Tax Act 2007 Section 120D inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120D(4) replaced 24 October 2001 section 221(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 120D(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120D(4) amended 1 April 2005 section YA 2 Income Tax Act 2004
120E: Amount of interest payable
1: The amount of interest payable—
a: by a taxpayer on unpaid tax; or
b: by the Commissioner on overpaid tax,— is calculated for each day in the interest period in accordance with the following formula: t × r ÷ 365 where— t is the unpaid tax or overpaid tax on which the interest is payable; and r is the Commissioner's paying rate or the taxpayer's paying rate applying on the day.
2: The amount of interest payable in an interest period, is the sum of the amounts calculated under subsection (1) for each day in the interest period.
3: The amount of interest outstanding at any time in an interest period is—
a: the sum of the amounts calculated under subsection (1) for each day in the interest period that falls before that time; less
b: any interest that has been paid by that time.
4: This section is subject to section 120EA Section 120E inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120E(4) inserted 26 July 1996 Taxation (Core Provisions) Act 1996
120EA: Amount of interest payable to or by life insurers
Section 120EA repealed 1 July 2010 section 663(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
120F: Interest priority and rights of Commissioner
1: The Commissioner must apply amounts paid on account of a taxpayer’s liability for unpaid tax and interest for a return period using the following pattern and order:
a: apply against interest on the amount of unpaid tax that arises first for the return period (the earliest unpaid tax
b: apply against the earliest unpaid tax, until that tax is paid; then
c: apply against the interest on the amount of unpaid tax that arises next for the return period (the next unpaid tax
d: apply against the next unpaid tax, until that tax is paid; then
e: apply to each later arising interest and unpaid tax amount, interest first, in time order that relevant unpaid tax amount arises for the return period, until they are paid.
2: The Commissioner may apply interest payable by the Commissioner to a taxpayer towards the payment of the taxpayer's unpaid tax on or after the date the taxpayer furnishes their return of income.
3: The Commissioner may apply interest under subsection (2) only if the Commissioner is not prevented, by a tax law, from applying the relevant overpaid tax towards the payment of the tax.
4: If, for a period,—
a: a taxpayer is liable to pay the Commissioner interest on unpaid tax; and
b: the Commissioner is liable to pay the taxpayer interest on overpaid tax,— the Commissioner may—
c: assess the taxpayer for the net amount of interest payable by the taxpayer for the period; or
d: pay the taxpayer the net amount of interest payable by the Commissioner for the period.
5: In this section, the expressions unpaid tax overpaid tax
a: any tax which has not been paid or which has been overpaid; and
b: any civil penalty imposed in respect of that tax which has not been paid or which has been overpaid,— as if the tax and the civil penalty were a single tax type. Example for section 120F(1) (illustrative only)
On 1 September 2019, an assessment of $100 tax to pay is raised for the 2018–19 tax year. This amount incurs $5 use of money interest. On 1 September 2020 a re-assessment of $120 tax to pay is raised for the 2018–19 tax year along with an additional amount of $3 UOMI. The taxpayer pays the balance of $128. Payments are applied against the $5 use of money interest (i.e. interest on the earliest unpaid amount), then against the $100 tax. Next, payments are applied against the $3 use of money interest on $20 tax to pay, then against the $20 tax. Section 120F inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120F(1) replaced 18 March 2019 section 78(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 120F(2) replaced 27 March 2001 section 48(1) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 120F example inserted 18 March 2019 section 78(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
120G: Payment date
Except where a tax law provides otherwise, interest payable by a taxpayer to the Commissioner on unpaid tax is payable immediately and without the need for a demand. Section 120G inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
120H: Setting and varying interest rates
1: The Governor-General may from time to time, by Order in Council,—
a: specify the criteria and other requirements by and against which interest rates will be set or reset and notified for the purposes of this Part:
b: set the Commissioner's paying rate and taxpayer's paying rate.
2: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 120H inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120H(2) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
120I: No right to object to interest
1: A taxpayer may not object to or challenge the imposition of interest payable under this Part.
2: Subsection (1) does not limit a taxpayer's right to object to or challenge the taxpayer's liability to pay tax. Section 120I inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Specific provisions Heading inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
120J: Purpose of specific provisions
1: The purpose of sections 120K to 120V
2: The specific rules or applications specified in sections 120K to 120V Section 120J inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120J(1) amended 23 September 1997 section 82 Taxation (Remedial Provisions) Act 1997 Section 120J(2) amended 23 September 1997 section 82 Taxation (Remedial Provisions) Act 1997
120K: Instalments of and due dates for provisional tax
Section 120K repealed 1 October 2007 section 243(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006
120KB: Provisional tax instalments and due dates generally
1: This section applies—
a: in a tax year other than a transitional year:
b: to a provisional taxpayer who is not a new provisional taxpayer.
2: A provisional taxpayer's residual income tax is due and payable as set out in section RC 9 residual income tax section RC 10
2B: Despite subsection (2), a provisional taxpayer’s residual income tax is due and payable in 3 instalments, on the dates of instalments B, D, and F for their corresponding income year, if section RC 13(1)﻿(b) RC 14(1)﻿(b)
3: If a provisional taxpayer uses a GST ratio to determine the amount of provisional tax payable, and an adjustment to a base amount referred to in section RC 8
4: For the purposes of this section and sections 120KBB residual income tax section YA 1
a: as increased by an amount calculated in relation to the person and the income year under section MF 6(2)
b: as reduced by an amount calculated in relation to the person and the income year under section LA 4(1) Section 120KB inserted 1 October 2007 section 243(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120KB(2) amended 23 March 2020 section 221(1) section 221(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120KB(2B) inserted 18 March 2019 section 79(1) section 79(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 120KB(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KB(4) amended 1 April 2017 section 114(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120KB(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KB(4)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KB(4)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007
120KBB: Interest for most standard method
1: This section applies if, for a tax year and a provisional taxpayer (the person
a: section 120KE for example
b: the person is an interest concession provisional taxpayer; and
c: the provisional tax associates of the person that are liable to pay provisional tax—
i: are interest concession provisional taxpayers:
ii: use, for the tax year, the GST ratio method described in section RC 5(6)
iii: use, for the tax year, the estimation method described in section RC 7 section IZ 8
d: there is no provisional tax interest avoidance arrangement in relation to the person.
2: If the person pays the amount of the instalments for the tax year other than the last 1, on or before those relevant instalment dates for the tax year in accordance with sections RC 9 RC 10 section 120KB(2) and (2B)
a: the person’s residual income tax for the tax year is not due and payable as set out in section RC 9
b: the amount of their residual income tax minus the total amount of those relevant instalments for the tax year is due and payable on the last instalment date for the tax year. A negative amount is treated as overpaid tax on the last instalment date, with nothing due and payable on the date.
3: If the person fails to pay the amount of any instalments for the tax year other than the last 1 on or before the relevant instalment dates for the tax year in accordance with sections RC 9 RC 10 section 120KB(2) and (2B)
a: the person’s residual income tax is not due and payable as set out in section RC 9 those instalments
b: the amount of unpaid tax that a person has in relation to each of those instalments
i: 1 divided by the number of instalment dates for the tax year, multiplied by their residual income tax, minus the amount paid in relation to the instalment:
ii: the amount they are liable to pay in accordance with sections RC 9 RC 10 date; and
c: the amount of unpaid tax that a person has in relation to the final instalment is equal to the amount given by section 120KB(2)
3B: For a person who uses the standard method, use of money interest and penalties for provisional tax under Parts 7 9 sections RC 5(2) and (3)
4: In this Part,—
a: interest concession provisional taxpayer
i: the person uses 1 of the standard methods described in section RC 5(2) or (3)
ii:
b: provisional tax interest avoidance arrangement
c: provisional tax associate person A
i: if person A is a company, another company in the same wholly-owned group of companies as person A:
ii: if person A is a company, another person that is associated with person A under section YB 3
iii: if person A is not a company or is a company acting as a trustee, another person that is associated with person A, treating, for the purposes of the definition of associated section YB 3 Section 120KBB inserted 1 April 2017 section 115(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120KBB heading amended 30 March 2021 section 170 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 120KBB(1)﻿(c) replaced 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 120KBB(2) amended 18 March 2019 section 80(1) section 80(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 120KBB(3) amended 18 March 2019 section 80(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 120KBB(3)﻿(a) amended 23 March 2020 section 222(1) section 222(6) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120KBB(3)﻿(b) amended 23 March 2020 section 222(2) section 222(6) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120KBB(3)﻿(b)﻿(ii) amended 23 March 2020 section 222(3) section 222(6) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120KBB(3)﻿(c) inserted 23 March 2020 section 222(3) section 222(6) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120KBB(3B) inserted 23 March 2020 section 222(4) section 222(7) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 section 120KBB(4)﻿(a)﻿(ii) repealed 23 March 2020 section 222(5) section 222(8) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120KBB(4)﻿(c)﻿(iii) amended 29 March 2018 section 345(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
120KBC: Interest for AIM method provisional taxpayers
1: This section applies if, for a tax year,—
a: a person is liable to pay provisional tax for the tax year and uses the AIM method described in section RC 5(5B)
b: there is no provisional tax interest avoidance arrangement in relation to the person.
2: If the person pays the amount of all 6 or 12 instalments, as applicable, on the instalment dates for the tax year in accordance with sections RC 9 RC 10B section 120KB(2)
a: the person’s residual income tax for the tax year is not due and payable as set out in section RC 9
b: the amount of their residual income tax minus the total amount paid in relation to the instalments for the tax year is due and payable in 1 instalment on their terminal tax date.
3: If the person fails to pay the amount of an instalment on the relevant instalment date for the tax year (a failed instalment sections RC 9 RC 10B section 120KB(2) Section 120KBC inserted 1 April 2018 section 54(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
120KC: Residual income tax of new provisional taxpayer
1: In a tax year other than a transitional year, and for the purposes of this Part, a new provisional taxpayer's residual income tax is treated as due and payable—
a: in 3 equal instalments on the interest instalment dates B, D, and F for the taxpayer's corresponding income year, if section RC 9(9)﻿(a)
b: in 2 equal instalments on the interest instalment dates, for the corresponding year,—
i: D and F, if section RC 9(9)﻿(b)﻿(i)
ii: C and F, if section RC 9(9)﻿(b)﻿(ii)
c: in 1 instalment on the interest instalment date F for the taxpayer's corresponding income year, if section RC 9(9)﻿(c)
2: In this section, a reference to an instalment classified by the alphanumeric designations A to F1 Schedule 3 Section 120KC inserted 1 October 2007 section 243(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120KC(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KC(1)﻿(b) replaced 19 December 2007 section 236(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 120KC(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KC(2) amended 1 April 2018 section 55(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120KC(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KC example replaced 1 October 2007 section 196(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 120KC example heading replaced 19 December 2007 section 237 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 120KC example amended 6 October 2009 section 664(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
120KD: Provisional tax instalments in transitional years
1: For a transitional year to which Schedule 3 section 120KE(1) or (3) sections RC 21 to RC 24
1B: This section does not apply to a person that section 120KBB
2: A provisional taxpayer in a transitional year is liable for use of money interest for unpaid tax in relation to the instalments of provisional tax payable in the months set out in Schedule 3 The date interest starts is the day after the day on which payment of the instalment is due under section RC 21
3: For the purposes of calculating the amount of interest due in relation to an instalment of provisional tax other than a final instalment, the amount of residual income tax payable on the instalment date is calculated using the formula— residual income tax × instalment period ÷ months in transitional year.
4: In the formula, the instalment period
a: 4, for provisional taxpayers who pay on the equivalent of instalment dates B, D, and F; or
b: 6, for provisional taxpayers who pay on the equivalent of instalment dates C and F.
5: For the purposes of calculating the amount of interest due in relation to a final instalment of provisional tax, the amount of residual income tax payable is the residual income tax for the tax year minus any amount treated as due on an instalment date referred to in subsection (3).
6: In this section, a provisional taxpayer Example
Section 120KD Mr Yellow, who has a March balance date, decides to change to a May balance date. The transitional year is 14 months long. He starts business on 31 July, estimating provisional tax at $15,000 for the income year. At the end of the year, Mr Yellow's residual income tax is $20,000. He is not subject to GST. Instalments in transitional year: 28th day of 5th, 9th, and 13th months after balance date, and final instalment on 28th day of month following final month in transitional year (s MB 20(2) and Schedule 13, Part B Income Tax Act 2004). But first business day falls within 30 days of the date that would be the first instalment, 28 August (s MB 20(4)﻿(a) of that Act), so no instalment is due. The April instalment only is due on 7 May. Amounts payable on the instalment dates are calculated under s MB 22 of that Act. First instalment due 15 January: $15,000 × 4/14 = $4,285 Second instalment due 7 May: $15,000 × 8/14 − $4,285 = $4,286 Final instalment due 28 June: $15,000 − $8,571 = $6,429. Three interest start dates apply: 16 January, 8 May, and 29 June (s 120KD(2)). First instalment 15 January on RIT: $20,000 × 4/14 = $5,714 interest payable from 16 January on: ($5,714 − $4,285) = $1,429 Second instalment 7 May on RIT: $20,000 × 4/14 = $5,714 interest payable from 8 May on: ($5,714 − $4,286) = $1,428 Final instalment 28 June on RIT: $20,000 − ($5,714 + $5,714) = $8,572 interest payable from 29 June on RIT: ($8,572 − $6,429) = $2,143. Section 120KD inserted 1 October 2007 section 243(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120KD(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KD(1) amended 19 December 2007 section 238(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 120KD(1B) inserted 1 April 2018 section 346(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 120KD(1B) amended 1 April 2018 section 347(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 120KD(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KD(2) amended 19 December 2007 section 238(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 120KD example replaced 1 October 2007 section 197(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 120KD example heading replaced 19 December 2007 section 239 Taxation (Business Taxation and Remedial Matters) Act 2007
120KE: Provisional tax and rules on use of money interest
1: A provisional taxpayer's residual income tax for a tax year is due and payable in 1 instalment on their terminal tax date if—
a: they are required to calculate instalments under the standard methods described in section RC 5(2) and (3) section RC 3(3)
b: their residual income tax is less than $60,000
c: they have not estimated their residual income tax under section RC 7
cb: they have not used the AIM method under section RC 7B
d: they have not used a GST ratio under section RC 8
e: there is no provisional tax interest avoidance arrangement in relation to the person.
2: When subsection (1) applies, in relation to the payment of provisional tax under section RC 9(3) or (5) RC 21
a: is not liable for use of money interest under section 120D
b: is not entitled to use of money interest under section 120D
3: A provisional taxpayer's residual income tax for a tax year is due and payable in 1 instalment on their terminal tax date if—
a: they use a GST ratio to determine the amount of provisional tax payable for the tax year; and
b: they use the GST ratio as the determination method for the whole of the corresponding income year.
4: When subsection (3) applies, in relation to the amount of provisional tax paid or payable for the period in the corresponding income year in which the GST ratio is used, the provisional taxpayer—
a: is not liable for use of money interest under section 120D
b: is not entitled to use of money interest under section 120D
5: Subsections (6) and (7) apply if, under section RC 18
6: A taxpayer is not entitled to use of money interest for overpaid tax under section 120D
a: the day after the date—
i: on which they inform section RC 18(2)
ii: set out in section RC 18(3)
b: the day after their last ratio instalment date.
7: For debit interest, the taxpayer is liable for use of money interest—
a: for the period of the tax year in which they use the GST ratio, from the later of the dates set out in subsection (6):
b: for the period of the tax year in which they estimate their provisional tax, from whichever dates of instalments B, D, and F for their corresponding income year occur 30 days after their last ratio instalment date.
8: In this section, a reference to an instalment classified by the alphanumeric designations A to F1 Schedule 3 Example
Section 120KE Dr Beige starts the income year (March balance date) using a GST ratio to determine the amount of provisional tax payable. He makes payments in June and August. On 10 September 2007, Dr Beige decides to change his determination method. He must then estimate his residual income tax for the income year (s MB 17(5) Income Tax Act 2004), and pay 2 instalments under the estimation method on instalment dates D and F (s MB 6(5) of that Act). Dr Beige provides a return for the income year that shows residual income tax of $30,000. Four interest start dates apply: for credit interest, the interest start date is 11 September 2007 (s 120KE(6)): for debit interest, the interest start dates are: 11 September for unpaid instalments under the GST ratio method (s 120KE(7)) 16 January 2008 for unpaid instalments under estimation method (s 120C(1)﻿(a)﻿(i)﻿(A)) 8 May 2008 for unpaid instalments under estimation method (s 120C(1)﻿(a)﻿(i)﻿(A)). Files return for year and RIT is $30,000 Balance is $25,500 ($30,000 − $4,500) Estimation instalments: interest calculated on unpaid tax of: on 16 Jan 2008 on $9,750 ($12,750 − $3,000) (s 120C(2)﻿(b)) on 8 May 2008 on $9,750 ($12,750 − $3,000) (s 120C(2)﻿(b)). Section 120KE inserted 1 October 2007 section 243(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120KE(1)﻿(a) replaced 30 March 2022 section 206(1) section 206(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 120KE(1)﻿(b) amended 1 April 2017 section 116(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120KE(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KE(1)﻿(cb) inserted 1 April 2018 section 56(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120KE(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KE(1)﻿(e) replaced 1 April 2017 section 116(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120KE(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KE(5) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120KE(6) replaced 19 December 2007 section 240(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 120KE(6)﻿(a)﻿(i) amended 2 June 2016 section 160 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 120KE(8) amended 1 April 2018 section 56(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 120KE(8) amended 1 April 2008 section ZA 2 Income Tax Act 2007
120KF: Tolerance for provisional tax instalments
Section 120KF repealed 30 March 2022 section 207(1) section 207(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
120L: Meaning of unpaid tax and overpaid tax for provisional tax purposes
1: For the purposes of determining amounts of unpaid tax and overpaid tax in respect of instalment dates for a tax year section 120KB(4)
2: If a taxpayer makes a payment, the Commissioner must apply the payment towards the provisional tax that is due on the earliest instalment date on which there is an unpaid amount, and then in order from earliest to latest.
2B: For the purposes of this section, provisional tax
3: Section 120L inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120L(1) amended 1 October 2007 section 244(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 120L(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120L(2) replaced 23 March 2020 section 224(1) section 224(4) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120L(2B) inserted 1 April 2020 section 224(2) section 224(5) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 120L(3) repealed 23 March 2020 section 224(3) section 224(4) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
120LB: Meaning of unpaid tax and overpaid tax for certain transferees under AIM method
Section 120LB repealed 23 March 2020 section 225(1) section 225(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
120M: Where provisional tax paid by company does not count as overpaid tax
No amount of tax paid by a company is to be treated as overpaid tax to the extent that—
a: the tax is provisional tax paid by the company for a tax year tax year sections RM 13 to RM 17 RM 32 RZ 6 but for those sections
b: the tax would not be in excess of the company's residual income tax for a tax year section RC 35 Section 120M inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120M(a) amended 6 October 2009 section 665 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 120M(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120M(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120M(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120M(b) amended 1 April 2005 section YA 2 Income Tax Act 2004
120N: Variation to definition of date interest starts for provisional tax
Where the due date for the payment of tax is an instalment date for provisional tax, the definition of date interest starts the later of the following days Section 120N inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
120O: Variation to definition of date interest starts
The definition of date interest starts the later of the following days
a: a payment required by sections RA 5 RD 4
b: a payment required by sections RA 5 RD 23(3)
c: a payment required by sections RA 6 RE 20 RE 21
d: a payment required by sections RA 6 RF 13
e: Section 120O replaced 23 September 1997 section 84 Taxation (Remedial Provisions) Act 1997 Section 120O(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120O(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120O(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120O(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120O(e) repealed 6 October 2009 section 666(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
120OB: Variation to definitions for determining interest chargeable or payable to PAYE intermediaries
1: Despite section 120C
a: paid to the person the salary or wages relating to an employee as required by sections RP 9 to RP 11
b: provided to the person the information requested by the person, as required by section RP 8(b)
2: In this Part— Commissioner's paying rate section 120H date interest starts
a: for unpaid tax means—
i: if a PAYE intermediary pays too little tax by a due date—
A: the day after the due date for payment of the tax; or
B: where the due date is a new due date, the day after the original due date for payment of the tax:
ii: if the Commissioner refunds tax which should be kept and taken into account in satisfying tax payable by a PAYE intermediary on a due date, the day after the day the Commissioner refunds the tax; and
b: for overpaid tax, if a PAYE intermediary pays too much tax by or after a due date—
i: the day after the later of the due date for payment of the tax and the date the payment is made; or
ii: where the due date is a new due date, the day after the later of the original due date for payment of the tax and the date on which the payment is made interest paid to a taxpayer interest paid paid interest period
a: for unpaid tax, means the period beginning on the date interest starts and ending on the date the tax is paid or credited as paid (both dates inclusive):
b: for overpaid tax, means the period beginning on the date interest starts and ending on the date the tax is refunded by the Commissioner (both dates inclusive); and tax paid
a: has been paid or credited as paid for an amount of tax that must be withheld or deducted
b: has not been refunded by the Commissioner tax payable an amount of tax that at the time is due to be withheld or deducted taxpayer's paying rate section 120H
3: For the purposes of this Part, where, at any time—
a: the tax paid by a PAYE intermediary exceeds the tax payable, the excess is overpaid tax; and
b: the tax payable by a PAYE intermediary exceeds the tax paid, the excess is unpaid tax. Section 120OB inserted 26 March 2003 section 110(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 120OB(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120OB(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120OB(2) tax paid amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120OB(2) tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007
120OC: Application of sections 120A, 120AA and 120D to 120I to PAYE intermediaries
1: Sections 120A 120AA 120D to 120I
2: Despite subsection (1), sections 120EA 120F(2) 120F(3) Section 120OC inserted 26 March 2003 section 110(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
120OD: Application of sections 120A, 120AA and 120C to 120I to intermediaries who operate tax pooling accounts
1: Sections 120A 120AA 120C to 120I sections RP 17 to RP 21
2: Despite subsection (1), sections 120EA 120F(2) 120F(3) Section 120OD inserted 1 April 2003 section 111 Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 120OD(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007
120OE: Interest paid on deposits in tax pooling accounts
1: Interest paid by the Commissioner on an amount deposited in a tax pooling intermediary's tax pooling account accrues to the benefit of the intermediary from the date of the deposit to, as applicable,—
a: the date the amount is refunded; or
b: the date of a transfer under section RP 19
2: The interest referred to in subsection (1) is payable to the intermediary on the date the amount is credited to another account with the Commissioner, or on the date the amount is refunded to the intermediary.
3: A deposit in a tax pooling account is treated as tax paid by the intermediary for the purposes of calculating use of money interest, but for no other purpose.
4: Subsection (5) applies when a payment is made either by a tax pooling intermediary to their client, or by a client to their tax pooling intermediary, and the payment represents a difference between funds held in a tax pooling account for a period of time and an amount paid for the entitlement to the funds.
5: The payment is treated as—
a: a payment of interest to the person who derives the payment for the purposes of section CC 4
b: expenditure incurred in deriving the income of the person making the payment. 2004 No 35 ss MBA 5(5), (6) MBA 9 Section 120OE inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120OE(1) replaced 6 October 2009 section 667 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
120P: Spreading tax liability or apportioning income back over earlier income years
1: If, under a tax law,—
a: a taxpayer elects to spread a tax liability over the tax year election tax year tax years
b: the Commissioner apportions income over a tax year apportionment tax year tax years to the extent the election or apportionment alters the taxpayer's liability to tax in a tax year tax year tax year affected tax tax year tax year
2: If a tax year tax year tax year tax year Section 120P inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120P heading amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120P(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120P(1)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120P(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 120P(2) inserted 23 September 1997 section 144(2) Taxation (Remedial Provisions) Act 1997 Section 120P(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
120PA: Applying
tax credit for supplementary dividend If a taxpayer sets off a tax credit for a supplementary dividend section LP 3(3) Section 120PA inserted 8 September 1999 section 71(1) Taxation (Remedial Matters) Act 1999 Section 120PA heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120PA amended 1 April 2008 section ZA 2 Income Tax Act 2007
120Q: Due date for underestimation penalty tax
For the purposes of this Part, the due date for the payment by a taxpayer of underestimation penalty tax is deemed to be the date of instalment F set out in Schedule 3 Section 120Q inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120Q amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120Q amended 1 October 2007 section 246(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006
120R: Special provision for
FDP Section 120R repealed 6 October 2009 section 668(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
120S: Amount in nature of interest to be added to fringe benefit tax paid on annual or income year basis
Section 120S repealed 25 September 2000 section 38(1) Taxation (FBT, SSCWT and Remedial Matters) Act 2000
120T: Interest on deferrable tax
1: Interest continues to accrue on deferrable tax even though a taxpayer has or may have no liability at the time to pay the deferrable tax.
2: Section 120T inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120T(2) repealed 26 March 2003 section 112(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
120U: Bond provided
for obligation to withhold or deduct amount of tax If—
a: under a tax law, a taxpayer provides the Commissioner with a bond or other security so that the taxpayer is not required to withhold or deduct an amount of
b: the Commissioner subsequently determines that the payment was liable to have an amount of tax withheld or deducted the due date for the purpose of the definition of date interest starts for withholding or deducting the amount of tax withheld or deducted Section 120U inserted 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996 Section 120U heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120U amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120U(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120U(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007
120V: Interest on
overpaid RWT If the Commissioner is required to make a refund of overpaid RWT under section RM 8 section 120D(3) Section 120V inserted 23 September 1997 section 86 Taxation (Remedial Provisions) Act 1997 Section 120V heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 120V amended 1 April 2008 section ZA 2 Income Tax Act 2007
120VB: Interest on overpaid AIM method provisional tax
No interest shall be payable by the Commissioner under section 120D(3) section RM 6B(2) Section 120VB inserted 1 April 2018 section 58(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
120VC: Interest on some provisional tax
No interest shall be payable by the Commissioner under section 120D(3) section 120KBB Section 120VC inserted 1 April 2017 section 117(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
120VD: Interest on tax credits for charitable or other public benefit gifts
No interest shall be payable by the Commissioner under section 120D(3) section LD 1 Section 120VD inserted 1 April 2019 section 82 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
120W: Commissioner's official opinions
1: A taxpayer that, but for this section, is liable to pay interest on unpaid tax to the Commissioner, is not liable to pay that interest to the extent to which it arises because they relied on a Commissioner's official opinion.
2: Subsection (1) applies if the relevant Commissioner's official opinion was given by the Commissioner on or after the day on which the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 120W inserted 7 September 2010 section 169 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010
120X: Petroleum miners’ tax losses
Section 120X repealed 1 April 2018 section 350(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
121: Interest to be charged where residual income tax exceeds provisional tax
Section 121 repealed 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
122: Interest on tax overpaid
Section 122 repealed 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
123: Amount in nature of interest to be added to fringe benefit tax paid on annual or income year basis
Section 123 repealed 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
124: Interest to be charged and payable with respect to certain dividend withholding payments
Section 124 repealed 26 July 1996 section 36(1) Tax Administration Amendment Act (No 2) 1996
7B: Third-party providers
Part 7B inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124B: What this Part does
What this Part does
1: This Part sets out the classes of persons who—
a: may apply to the Commissioner to be listed or approved, or may notify or inform the Commissioner of their status as, a provider of services to other persons in relation to—
i: their tax affairs:
ii: their social policy entitlements and obligations:
b: may be nominated by a person to act on their behalf in relation to—
i: their tax affairs:
ii: their social policy entitlements and obligations:
c: may notify the Commissioner of their intermediary status in relation to certain tax types. Classes
2: The classes are—
a: tax agents, see section 124C
b: representatives, see section 124D
c: nominated persons, see section 124F
d: PAYE intermediaries, see sections 124H to 124R
e: tax pooling intermediaries, see sections 124S to 124X
f: approved AIM providers, see sections 124Y to 124ZE
g: RWT proxies, see section 124ZF Section 124B inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Tax agents, representatives, and nominated persons Heading inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124C: Tax agents
Listing
1: The Commissioner must compile and maintain a list of persons who are tax agents. Applying for listing as tax agent
2: A person may apply to the Commissioner to be listed as a tax agent if they—
a: meet the requirements of subsection (3); and
b: for a person who is not a natural person, provide the information required under section 124E Eligibility requirements
3: A person is eligible to be listed as a tax agent if they—
a: prepare the returns of income required to be filed for 10 or more other persons; and
b: are—
i: a person carrying on a professional public practice:
ii: a person carrying on a business, occupation, or employment in which returns of income are prepared and filed:
iii: the Maori Trustee. Requirement to list
4: The Commissioner must list the person as a tax agent if the Commissioner is satisfied by the available information that—
a: the person meets the requirements of subsection (3); and
b: listing the person as a tax agent would not adversely affect the integrity of the tax system. Notification of listing
5: The Commissioner must notify the person when they are listed and the listing takes effect on a date set out in the notice. Notification of refusal to list
6: For the notification requirements applying when a person does not meet the eligibility requirements, or does not provide the required information under subsection (2)﻿(b) or meet the requirements of subsection (4)﻿(b), see section 124G(1) and (5) Section 124C inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124D: Representatives
Requirements for representatives
1: A person (a representative
a: meet the requirements of subsection (2); and
b: for a person who is not a natural person, provide the information required under section 124E(1) and (3)
c: are approved as a representative by the Commissioner under subsection (3). Eligibility requirements
2: A person is eligible to be a representative if they—
a: have signed authorities to act for 10 or more other persons in relation to their tax affairs or social policy entitlements and obligations, or both; and
b: are—
i: a person in a business, occupation, or employment in which they act on behalf of other persons in relation to their tax affairs or social policy entitlements and obligations, or both:
ii: a person carrying on a professional public practice dealing in matters relating to tax and social policy assistance:
iii: a person in a business, occupation, or employment in which they provide budget advisory services to other persons or claim entitlements to social policy assistance on behalf of other persons. Requirement to approve
3: The Commissioner must approve the person as representing another person if the Commissioner is satisfied by the available information that—
a: the person meets the requirements of subsection (2); and
b: approving the person as a representative would not adversely affect the integrity of the tax system. Notification of approval
4: The Commissioner must notify the person when they have been approved as a representative under subsection (3), and the approval takes effect on a date set out in the notice. Notification of removal of status
5: For the notification requirements applying when a person does not meet the eligibility requirements, or does not provide the required information under subsection (1)﻿(b) or meet the requirements of subsection (3)﻿(b), see section 124G(2) and (6) Examples
For the purposes of section 124D(2)﻿(b) filing and preparing tax returns setting up instalment arrangements managing a person’s correspondence with Inland Revenue. Section 124D inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124E: Information requirements for tax agents and representatives
Information requirements for certain entities
1: If the person applying to be a tax agent or a representative is not a natural person, they must provide the Commissioner with the names of the following:
a: for an entity that is a body corporate other than a closely-held company, each person who has the duties of tax manager, chief financial officer, chief executive officer, or director:
b: for a closely-held company, each shareholder:
c: for a partnership, each partner:
d: for an unincorporated body, each member. No previous information or inaccurate information
2: Subsection (1) also applies when a tax agent or a representative is a person other than a natural person who—
a: has not previously provided the information referred to in subsection (1) to the Commissioner:
b: has previously provided the information referred to in subsection (1) but the information is no longer accurate. Further information
3: In relation to both natural persons and persons other than natural persons, before deciding whether to list a person as a tax agent or to approve a person as a representative, the Commissioner may ask them for further information in relation to their application, and may obtain information relating to them from other persons. Changes in information
4: In relation to the requirement to provide names under subsection (1), the person must notify the Commissioner of any changes in the information held by the Commissioner. The notification must be made within 12 months after the date of the change of person, shareholder, partner, or member, as applicable. Section 124E inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124F: Nominated persons
Requirements for nominated persons
1: A person may nominate another person (a nominated person
a: informing the Commissioner of the nomination; and
b: providing the following information:
i: their name, contact address, and tax file number; and
ii: the name of the nominated person, and any other information that may lead the Commissioner to be satisfied about the identity of the nominated person; and
iii: the relevant tax types or social policy entitlements and obligations in relation to which the nominated person intends to act for them; and
iv: the relevant start and end dates, as applicable, applying in relation to the tax types and social policy entitlements and obligations. When person making nomination is not natural person
2: For the purposes of subsection (1), if the person making the nomination is not a natural person, they must provide the name and position of a natural person for the person who is making the nomination. Section 124F inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124G: Refusal, removal, or disallowance of status of tax agents, representatives, and nominated persons
Refusal to list persons as tax agents
1: The Commissioner must refuse to list a person on the list of tax agents if the Commissioner is satisfied that—
a: the person does not meet a requirement of section 124C(3)
b: listing the person would adversely affect the integrity of the tax system. Discretion to remove or to disallow persons as tax agents or representatives
2: The Commissioner may remove a person from the list of tax agents, or may disallow a person’s approval as a representative, if the Commissioner considers that—
a: the person does not meet the relevant eligibility requirements:
b: continuing to allow the person to act on behalf of another person in relation to their tax affairs or their social policy entitlements and obligations, or both, would adversely affect the integrity of the tax system. Discretion to disallow persons as nominated persons
3: The Commissioner may disallow a person’s status as a nominated person if the Commissioner considers that—
a: the person is not a person excluded under subsection (4) but who is acting—
i: in a fee-earning or other professional capacity for another person:
ii: for multiple persons, whether in a fee-earning or other capacity; and
b: continuing to allow the person to act on behalf of another person in relation to their tax affairs or their social policy entitlements and obligations, or both, would adversely affect the integrity of the tax system. Certain family members excluded
4: For the purposes of subsection (3)﻿(a), the persons excluded are—
a: a spouse, civil union partner, or de facto partner:
b: a relative, that is, another person connected with the person within 2 degrees of a relationship Notification of refusal to list
5: For the purposes of subsection (1), the Commissioner must—
a: notify the person of the refusal:
b: consider any arguments that are provided within 30 days from the date of the notice or, if appropriate in the circumstances, a later date set by the Commissioner. Notification of exercise of discretion to remove or disallow
6: For the purposes of subsection (2) or (3), the Commissioner must—
a: notify the person of the Commissioner’s intention to exercise the discretion
b: consider any arguments against the Commissioner’s intention to exercise the discretion Integrity concerns
7: The procedural requirements set out in subsection (6) may be disregarded if the Commissioner considers it necessary in the circumstances to protect the integrity of the tax system. However, for the purposes of subsections (2) and (3), the Commissioner must notify the person that, as applicable,—
a: they have been removed from the list of tax agents:
b: their status has been disallowed as a representative or nominated person. Effective date
8: Having considered any arguments provided under subsection (6)﻿(b), the Commissioner must notify a person on taking an action to remove or disallow the status of tax agent, representative, or nominated person. The removal or disallowance, as applicable, takes effect on the date of the notice. However, if the Commissioner disregards the requirement to notify the person for the reason set out in subsection (7), the effective date is the date of the notification under that subsection. Section 124G inserted 18 March 2019 section 84 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124G(4)﻿(b) amended 1 April 2023 section 194 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 124G(6)﻿(a) amended 23 March 2020 section 226(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124G(6)﻿(b) amended 23 March 2020 section 226(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124G(7) heading replaced 23 March 2020 section 226(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124G(7) replaced 23 March 2020 section 226(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124G(8) replaced 23 March 2020 section 226(4) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 PAYE intermediaries Heading replaced 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
124H: PAYE intermediaries
1: A person who meets the requirements of section 124K section 124I
2: 2004 No 35 ss NBA 1 NBB 3 Section 124H inserted 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124H renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124H heading replaced 1 April 2020 section 85(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124H(1) amended 18 March 2019 section 85(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124H(2) repealed 1 April 2020 section 85(3) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124I: Application for approval as PAYE intermediary
1: In order to become a PAYE intermediary, a person must—
a: meet the requirements of section 124K
b: have established a trust account that meets the requirements of section RP 6
c: operate systems to protect the personal information and payment details that are obtained in the course of running the account.
2: The Commissioner may approve an application if the Commissioner is satisfied that the applicant—
a: will comply with the PAYE rules and the ESCT rules if they assume an employer’s obligations under those rules; and
b: has systems to allow them to make payments and provide information in the format required by the Commissioner.
3: The Commissioner may approve a person as a PAYE intermediary for a set period. 2004 No 35 s NBA 2(1)﻿(a)–(c), (2), (3) Section 124I inserted 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124I renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124I(1)﻿(a) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124J: Revocation of approval
1: The Commissioner may revoke an approval given under section 124I
a: does not comply with the PAYE rules:
b: does not comply with the ESCT rules when they have assumed an employer’s obligations under those rules:
c: is no longer fit to be a PAYE intermediary because they do not meet the requirements of section 124K
d: when they are not a natural person, has been put into liquidation or receivership:
e: when they are a company, is no longer registered in New Zealand.
2: If the Commissioner revokes an approval under subsection (1)
3: A decision by the Commissioner under this section is not open to challenge. 2004 No 35 s NBA 2(4) Section 124J inserted 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124J renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124J(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124J(1)﻿(c) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124J(2) amended 24 February 2016 section 246 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
124K: Fitness of applicants
1: This section applies for the purposes of section 124I
a: an applicant who is a natural person or a corporation sole:
b: each member of an applicant that is an unincorporated body:
c: an officer of an applicant that is a body corporate:
d: a principal of an applicant.
2: The applicant, member, officer, or principal, as applicable,—
a: must not be a discharged or undischarged bankrupt ; and
b: must not have been convicted of an offence involving fraud ; and
c: must be eligible to be a company director. 2004 No 35 s NBA 2(1)﻿(c) Section 124K replaced 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124K renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124K(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124K(2)﻿(a) amended 29 March 2018 section 264 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 124K(2)﻿(b) amended 29 March 2018 section 264 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
124L: Application for approval as listed PAYE intermediary
Section 124L repealed 1 April 2020 section 86 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124M: Grounds for revocation of listing
Section 124M repealed 1 April 2020 section 86 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124N: Procedure for revocation of listing
Section 124N repealed 1 April 2020 section 86 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124O: Employers’ arrangements with PAYE intermediaries
1: An employer who wishes to enter an arrangement with a PAYE intermediary must notify the Commissioner of the proposed arrangement, providing—
a: the name of the PAYE intermediary:
b: the period for which the PAYE intermediary is to act for the employer:
c: the bank account number of the PAYE intermediary into which the employer will deposit amounts:
d: whether the proposed arrangement requires the PAYE intermediary to collect amounts under the ESCT rules.
1B: The notification requirements in subsection (1) are met if the PAYE intermediary provides the information set out in paragraphs (a) to (d).
2: On approval of the arrangement, the Commissioner must notify the employer, and the approval applies to pay periods that begin on or after 14 days after the date on which the notice is given.
3: An employer or a PAYE intermediary may end the arrangement by notifying the other party and the Commissioner. The notice must state the date that is after the notification for the end of the arrangement.
4: 2004 No 35 ss NBA 3 NBA 8 NBB 7 Section 124O replaced 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124O renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124O(1B) inserted 18 March 2019 section 87(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124O(4) repealed 18 March 2019 section 87(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124P: Privacy requirements
The PAYE intermediary must operate and maintain systems to protect the personal information and payment details that they acquire in running the systems. 2004 No 35 s NBA 5(3) Section 124P replaced 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124P renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124Q: Amended employment income information
The PAYE intermediary may provide the amended employment income information relating to the employee and a payday 2004 No 35 s NBA 5(4) Section 124Q replaced 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124Q renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124Q heading replaced 1 April 2019 section 267(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 124Q amended 1 April 2019 section 267(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
124R: Subsidy claim forms
Section 124R repealed 1 April 2020 section 88 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Tax pooling intermediaries Heading inserted 6 October 2009 section 598(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
124S: Establishing tax pooling accounts
A person who meets the requirements of section 124V section 124U 2004 No 35 s MBA 3(1) Section 124S replaced 6 October 2009 section 598(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124S renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124S amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124T: Role of Commissioner
1: The Commissioner is not required to oversee or audit the operation of a tax pooling account.
2: The Commissioner is not liable for any loss related to the operation of a tax pooling account through—
a: the failure of a tax pooling intermediary to deposit in a tax pooling account an amount paid to them by a taxpayer:
b: the unauthorised withdrawal by a tax pooling intermediary from a tax pooling account:
c: the failure of a tax pooling intermediary to apply 2004 No 35 s MBA 4(5), (6) Section 124T replaced 6 October 2009 section 598(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124T renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124T(2)﻿(c) amended 2 June 2016 section 80 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
124U: Applications to establish tax pooling accounts
1: In order to establish and maintain a tax pooling account, an intermediary must—
a: hold the account in their name; and
b: operate systems to protect the personal information and payment details that are obtained in the course of running the tax pooling account; and
c: record the balance in the tax pooling account contributed by each taxpayer.
2: A tax pooling account continues until it is wound up under section 124X 2004 No 35 s MBA 4 Section 124U replaced 6 October 2009 section 598(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124U renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124U(2) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124V: Fitness of applicants
1: This section applies for the purposes of section 124U
a: an applicant who is a natural person; and
b: an officer of an applicant who is not a natural person; and
c: a principal of an applicant.
2: The applicant—
a: must not be a discharged or undischarged bankrupt; or
b: must not have been convicted of an offence involving dishonesty; or
c: must be eligible to be a company director. 2004 No 35 s MBA 3(d) Section 124V replaced 6 October 2009 section 598(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124V renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124V(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124W: Requirements for applications to establish tax pooling accounts
1: An application to establish a tax pooling account must contain—
a: the applicant’s full name, address, and tax file number; and
b: a statement that the applicant—
i: will operate systems that allow them to meet the requirements set out in section 124U(1)
ii: will maintain and operate the systems to meet those requirements; and
c: confirmation that the applicant will establish a trust account into which they agree to pay amounts received in their role as intermediary; and
d: an undertaking that, before acting as intermediary for a taxpayer, the applicant will inform the taxpayer of the following matters:
i: the operation of the tax pooling account is not subject to the Commissioner’s oversight or audit:
ii: the Commissioner has no liability for any loss related to the tax pooling account:
iii: the applicant is fit to operate the tax pooling account as required by section 124V
iv: the applicant has met the requirements set out in paragraphs (a) to (c).
2: The Commissioner may approve an application to establish a tax pooling account if the Commissioner is satisfied that the applicant—
a: is able to operate the account correctly; and
b: has systems to allow them to make payments and provide information in the format required by the Commissioner. 2004 No 35 s MBA 3 Section 124W replaced 6 October 2009 section 598(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124W renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124W(1)﻿(b)﻿(i) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124W(1)﻿(d)﻿(iii) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124X: Winding up tax pooling accounts
1: An intermediary may wind up their tax pooling account at any time.
2: The Commissioner may require an intermediary to wind up their tax pooling account if—
a: the intermediary’s actions are preventing a taxpayer from effectively managing their liability to pay provisional tax and use of money interest; or
b: the intermediary is or has breached their obligations under this Part; or
c: the tax pooling account is in deficit; or
d: fewer than 100 taxpayers are, or are likely to be, making deposits in the tax pooling account; or
e: the intermediary does not meet the requirements of section 124U
f: when they are not a natural person, the intermediary has been put into liquidation or receivership.
3: For the purposes of subsection (2),—
a: the Commissioner may require the winding up immediately or may set another date for the winding up:
b: the Commissioner must give 30 days’ notice to the intermediary of any intended action using subsection (2)﻿(d).
4: On the winding up of a tax pooling account, the Commissioner may refund the balance of the account to the former holder of the account, or may apply to a court for directions for the disposal of the balance of the account. 2004 No 35 s MBA 8 Section 124X replaced 6 October 2009 section 598(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124X renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124X(2)﻿(e) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Approved AIM providers Heading inserted 1 April 2018 section 50(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Heading amended 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124Y: Approval of approved AIM providers
The Commissioner may approve a person as an approved AIM provider in relation to 1 or more of the person’s AIM-capable accounting systems (the products
a: specifying the name of the products; and
b: declaring that the person’s policy is to update the product regularly, to reflect changes in tax law or Commissioner’s requirements (for example: the software is updated to reflect a change in a determination by the Commissioner under section 91AAX
c: declaring any other matters required by the Commissioner to be declared for the purposes of assuring the Commissioner that the person’s product accurately calculates and communicates, in accordance with the Commissioner’s requirements, tax liabilities that are reasonably accurate assessments of tax liabilities for the relevant accounting income and expenditure. Section 124Y inserted 1 April 2018 section 50(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 124Y renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124Z: Revocation of approval of AIM providers: Commissioner
1: The Commissioner’s approval of a person as an approved AIM provider under section 124Y
a: anything in their statutory declaration under section 124Y
b: revoking the approval positively affects the integrity of the tax system.
2: A revocation under subsection (1) does not take effect until the tax year after the tax year in which the Commissioner has notified the approved AIM provider of the revocation.
3: The Commissioner must consult the approved AIM provider before the approval is revoked.
4: The Commissioner may reverse a revocation before it takes effect, if the circumstances that gave rise to the revocation have been remedied by the approved AIM provider and there are no other circumstances requiring revocation under subsection (1). Section 124Z inserted 1 April 2018 section 50(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 124Z renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124Z(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124Z(1)﻿(a) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124ZB: Revocation of approval of AIM providers: provider
1: The Commissioner’s approval of a person as an approved AIM provider under section 124Y
2: A revocation under subsection (1) does not take effect until the tax year after the tax year in which the Commissioner has received notification of the revocation.
3: A person who has given notice under subsection (1) must immediately give notice of their choice to revoke to all end-users of the person’s products that will be affected by the revocation. Section 124ZB inserted 1 April 2018 section 50(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 124ZB renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124ZB(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124ZC: Publication of approval or revocation
The Commissioner may publish a notice in a publication chosen by the Commissioner in relation to any matter in sections 124Y 124Z 124ZB Section 124ZC inserted 1 April 2018 section 50(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 124ZC renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124ZC heading replaced 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 124ZC amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124ZD: AIM method: approval of large business AIM-capable system
For the purposes of section RC 5(5B)﻿(c)﻿(iii) large business AIM-capable system section YA 1 Section 124ZD inserted 1 April 2018 section 50(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 124ZD renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124ZE: AIM method: approval of person over $5,000,000
For the purposes of section RC 5(5B)﻿(c)﻿(ii) Section 124ZE inserted 1 April 2018 section 50(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 124ZE renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 RWT proxies Heading inserted 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
124ZF: RWT proxies
1: If the requirements in subsection (2) are met, a person may choose to become an RWT proxy for a person who pays resident passive income that consists of a dividend by notifying the Commissioner.
2: The requirements are that—
a: the person paying the resident passive income is a non-resident unit trust; and
b: the person receiving the resident passive income is a natural person or a trustee of a qualifying trust who has asked the person referred to in subsection (1) to act as an RWT proxy in relation to the payment; and
c: the person has agreed to act as the RWT proxy; and
d: the payment of resident passive income is made while the notice is effective.
3: For the purposes of subsection (1), the notification to the Commissioner must contain the person’s election, their name, postal address, and the date from which the election applies.
4: The RWT proxy may cancel their election by notifying the Commissioner. The election stops applying from the later of—
a: the date set out in the notice of cancellation:
b: the date on which the Commissioner receives a notice of cancellation. 2004 No 35 s NF 2AA Section 124ZF replaced 6 October 2009 section 598(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124ZF renumbered 18 March 2019 section 9(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Payroll donations Heading repealed 1 April 2019 section 24(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Payroll donations Heading inserted 1 April 2019 section 24(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
124ZG: Transfer of payroll donations by employers
1: This section applies for a pay period and employer who agrees to offer payroll giving to their employees, when a person asks their employer to transfer an amount of a payroll donation from the person's pay to a donee organisation.
2: The employer or PAYE intermediary must transfer the amount to the recipient of the donation on or by the relevant date required by sections RA 15 RD 4
3: Before the transfer referred to in subsection (2) is made, the person must—
a: ensure that the recipient of the donation is a donee organisation; and
b: supply the employer with sufficient details of the recipient to enable the transfer to be made. Section 124ZG inserted 6 October 2009 section 610 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 124ZG renumbered 1 April 2019 section 24(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Research and development Heading inserted 1 April 2019 section 25 section 3 Taxation (Research and Development Tax Credits) Act 2019
124ZH: Approved research providers
1: A person is an approved research provider section 22(2)﻿(kd)
2: The Commissioner may, in accordance with this section, approve a person, if the person makes an application in accordance with subsection (3).
3: A person must apply to the Commissioner for approval in the form prescribed by the Commissioner.
4: The Commissioner may only approve a person if, in the opinion of the Commissioner, the person—
a: is capable of performing core research and development
b: has in New Zealand the facilities needed to perform core research and development
c: is available to perform core research and development
d: performs or will perform core research and development
5: A person may apply for approval as an approved research provider by providing information to the Commissioner in the prescribed form. They may also apply for a revocation of approval.
6: If the Commissioner approves a person, the Commissioner must notify the person and publish the approval, in a publication chosen by the Commissioner.
7: The Commissioner may, at the Commissioner’s discretion, revoke approval as an approved research provider. The Commissioner must give the person reasons for the exercise of the Commissioner’s discretion, and specify the date from which the revocation takes effect. Section 124ZH inserted 1 April 2019 section 25 section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 124ZH(4)﻿(a) amended 23 March 2020 section 227(1) section 227(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124ZH(4)﻿(b) amended 23 March 2020 section 227(1) section 227(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124ZH(4)﻿(c) amended 23 March 2020 section 227(1) section 227(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124ZH(4)﻿(d) amended 23 March 2020 section 227(1) section 227(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
124ZI: Certificates for research and development
1: For the purposes of section 68CC research and development certificate
2: For the purposes of this section, an accepted research and development certifier
a: that the person is competent in applying appropriate accounting and legal standards in relation to research and development tax credits; and
b: declaring any other matters required by the Commissioner to be declared for the purposes of assuring the Commissioner that the person has the legal, accounting, and scientific or technical expertise to complete a research and development certificate.
3: A person may request approval as an accepted research and development certifier by providing information to the Commissioner in the prescribed form. They may also surrender approval.
4: The Commissioner must not approve a person whose approval—
a: would adversely affect the integrity of the tax system:
b: the Commissioner has revoked under subsection (7) in the last 2 years:
c: was surrendered by the person in the last 2 years in anticipation of a revocation.
5: If the Commissioner approves a person, the Commissioner must notify the person, and publish the approval in a publication chosen by the Commissioner. The approval starts from the date that the person requests approval.
6: The Commissioner may, at the Commissioner’s discretion, revoke approval as an accepted research and development certifier. If the Commissioner revokes a person’s approval, the Commissioner must notify the person, and publish the revocation in a publication chosen by the Commissioner. The revocation starts from the date that the revocation is published.
7: The Commissioner must revoke a person’s approval if—
a: the person is liable for a promoter penalty under section 141EB
b: the person has given a research and development certificate to another person who has, in the 2 years before the income year,—
i: been liable to a shortfall penalty under section 141D 141E
ii: entered into a tax avoidance arrangement in relation to research and development tax credits:
c: the person’s approval would adversely affect the integrity of the tax system. Section 124ZI inserted 1 April 2020 section 44 section 38 Taxation (Research and Development Tax Credits) Act 2019 Section 124ZI(4) replaced 1 April 2020 section 228(1) section 228(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124ZI(7)﻿(b) replaced 1 April 2020 section 228(2) section 228(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 124ZI(7)﻿(c) inserted 1 April 2020 section 228(2) section 228(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
8: Objections
125A: Application of Part 8
1: Despite section 1(2)
a: every notice of assessment or reassessment issued by the Commissioner under a provision of the Inland Revenue Acts after 1 April 1995 and before 1 October 1996 for a particular item or matter, irrespective of the period to which the assessment or reassessment relates; and
b: every notice of assessment issued by the Commissioner under a provision of the Inland Revenue Acts on or after 1 October 1996, if before that date, a taxpayer has made a competent objection to a notice of assessment that precedes the notice of reassessment for the same particular item or matter.
2: The Commissioner may, after being notified that the taxpayer agrees
a: issued before 1 October 1996, is to be treated as if it had been issued on or after that date (in which case the provisions of Parts 4A 8A
b: issued on or after 1 October 1996, is to be treated as if it had been issued before that date (in which case the provisions of Part 8
3: Despite section 1(2) Part 3 Section 125A inserted 1 October 1996 section 37 Tax Administration Amendment Act (No 2) 1996 Section 125A renumbered 18 March 2019 section 83 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 125A(1) replaced 20 May 1999 section 104(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 125A(2) amended 2 June 2016 section 161 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 125A(3) inserted 20 May 1999 section 104(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 125A(3) amended 10 October 2000 section 71(1) Taxation (GST and Miscellaneous Provisions) Act 2000
125: Certain rights of objection not conferred
Except so far as may be expressly provided to the contrary in this Act or the Income Tax Act 2007
a: any decision or determination of the Commissioner made in exercise of any power or discretion conferred on the Commissioner to enlarge or extend the time for giving any notice, making any application, furnishing any return, or doing any other act, matter, or thing; or
b: any matter which is left to the discretion, judgment, opinion, approval, consent, or determination of the Minister or any act, matter, or thing done or omitted by the Minister under this Act or the Income Tax Act 2007
c: any matter in respect of which provision is made by this Act or the Income Tax Act 2007
i: for an objection to be heard and determined by; or
ii: for the matter to be inquired into, considered, reported upon, heard, decided, determined, or otherwise dealt with by; or
iii: for the matter to be the subject of any recommendation of— any special committee, tribunal, or authority (other than a Taxation Review Authority) established in that behalf or any person or official (other than the Commissioner); or
d: any decision or determination of the Commissioner approving or not approving a sickness, accident, or death benefit fund for the purposes of section CW 34
e: any determination of the Commissioner, for the purposes of section 130
f: any determination of the Commissioner as to whether and to what extent any person or class of persons is not required to comply with section EA 3 Income Tax Act 2007
g:
h: any valuation or apportionment made by the Valuer-General or a registered valuer Income Tax Act 2007
i: any determination of the FMA section EY 11 subsections (3) to (9)
j: any matter which by any provision in—
i: the PAYE rules
ii: the provisional tax rules; or
iii: any of sections CD 15 CD 19 HD 2 HD 3(2) HD 5(4) HD 15 HD 24 HD 26 to HD 29 LA 6 to LA 8 LJ 1 to LJ 7 RD 3 RM 2 RM 4 RM 8 RM 10 sections 18K 33 92A 184
iv: any of sections 17F 17G 18I 21B to 23 23B to 23Q 36 to 44D 58 62 63 78B 78C 80 89C 89K 89M 92 106 107 108 108A 108AB 108B 109 110 111 113 to 116 118 120A to 120U 131 138N 142A 142C 146 150A 157 160 166 166B 167 174AA 176 177 177A to 177D 183A 183D 183F , and 225B is left to the discretion, judgment, opinion, approval, consent, or determination of the Commissioner; or
k: any matter in respect of which it is expressly provided that there shall be no right of objection or challenge 1976 No 65 s 36 Section 125 amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(d) replaced 6 October 2009 section 669 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 125(e) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 125(e) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 125(f) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(f) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 125(g) repealed 20 May 1999 section 105(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 125(h) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(h) amended 1 July 1998 section 54(1) Rating Valuations Act 1998 Section 125(i) amended 1 May 2011 section 85(1) Financial Markets Authority Act 2011 Section 125(i) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(j)﻿(i) amended 26 March 2003 section 113(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 125(j)﻿(iii) replaced 2 September 1996 section 42(b) Taxation (Remedial Provisions) Act 1996 Section 125(j)﻿(iii) amended 1 April 2019 section 89(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 125(j)﻿(iii) amended 1 April 2017 section 337 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 125(j)﻿(iii) amended 17 July 2013 section 115 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 Section 125(j)﻿(iii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(j)﻿(iii) amended 17 October 2002 section 86(1)﻿(b) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 125(j)﻿(iv) replaced 1 October 1996 section 38(a) Tax Administration Amendment Act (No 2) 1996 Section 125(j)﻿(iv) amended 30 March 2022 section 208 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 125(j)﻿(iv) amended 1 April 2019 section 89(2)﻿(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 125(j)﻿(iv) amended 1 April 2019 section 89(2)﻿(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 125(j)﻿(iv) amended 1 April 2019 section 351 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 125(j)﻿(iv) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 125(j)﻿(iv) amended 1 April 2003 section 113(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 125(j)﻿(iv) amended 17 October 2002 section 86(2) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 125(j)﻿(iv) amended 27 March 2001 section 49(1) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 125(j)﻿(iv) amended 20 May 1999 section 105(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 125(k) amended 1 October 1996 section 38(b) Tax Administration Amendment Act (No 2) 1996
126: Procedure for objections to assessments
1: Any person who has been assessed for income tax may object to that assessment by delivering
a: the time for objection specified in the notice of assessment; or
b: any extended time for objection previously allowed by the Commissioner in respect of the assessment: provided that, where the assessment is an amended assessment, the person so assessed shall have no further right of objection than the person would have had if the amendment had not been made, except to the extent to which by reason of the amendment a fresh liability in respect of any particular is imposed on the person or an existing liability in respect of any particular is increased.
2: No notice of objection given after the time specified in the notice of assessment, or after such extended time as the Commissioner may allow under subsection (1), shall be of any force or effect unless the Commissioner accepts the same and gives notice to the objector accordingly. 1976 No 65 s 30 Section 126(1) amended 2 June 2016 section 162 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 126(1) amended 1 April 2005 section YA 2 Income Tax Act 2004
127: Commissioner to consider objections and may amend assessment
1: The Commissioner shall consider all such objections, and may consequently amend
2: If the Commissioner, after considering the objection, has allowed the objection in part and has reduced the assessment, the reduced assessment shall be the assessment to be dealt with by the Taxation Review Authority under section 134 1976 No 65 s 31(1), (3) Section 127(1) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
128: Payment of disputed tax where competent objection lodged
1:
2: A taxpayer is not liable to pay—
a: the deferrable tax relating to any tax in dispute; or
b: a shortfall penalty, where the penalty is payable in respect of any tax in dispute; or
c: the interest accruing under Part 7 until the due date for payment of that deferrable tax.
2B: Despite subsection (2), the Commissioner may require a taxpayer to pay all tax in dispute if the Commissioner considers that there is a significant risk that the tax in dispute will not be paid should the taxpayer not succeed in objection proceedings.
3: If and to the extent that a taxpayer succeeds in objection proceedings, the Commissioner must, after the day of determination of final liability, refund or pay to, or apply on behalf of, the taxpayer—
a: the tax in dispute paid in accordance with subsection (2B); and
b: interest accrued on the tax in dispute under Part 7
4: This section applies only where a taxpayer lodges a competent objection.
5: Part 7 a tax year tax year
6: If the competent objection or challenge relates to the 1996–97 or an earlier tax year Section 128 replaced 1 October 1996 section 39 Tax Administration Amendment Act (No 2) 1996 Section 128 heading replaced 1 April 2003 section 114(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 128(1) repealed 1 April 2003 section 114(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 128(2B) inserted 1 April 2003 section 114(3) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 128(3)﻿(a) replaced 1 April 2003 section 114(4) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 128(3)﻿(b) replaced 1 April 2003 section 114(4) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 128(5) inserted 8 September 1999 section 72(1) Taxation (Remedial Matters) Act 1999 Section 128(5) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 128(5) amended 1 April 2003 section 114(5) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 128(6) inserted 8 September 1999 section 72(1) Taxation (Remedial Matters) Act 1999 Section 128(6) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 128(6) amended 1 April 2003 section 114(6) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
128A: Waiver of payment or security
Section 128A repealed 1 April 2003 section 115 Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
129: Determination of objection not to affect other matters
The determination of an objection under this Part shall relate solely to the matters which are the subject of the objection, and shall not affect the right of the Commissioner to amend the assessment objected to in any manner rendered necessary by any other matter. Section 129 replaced 26 July 1996 Taxation (Core Provisions) Act 1996
130: Objections to allowance determinations
1: Notwithstanding anything in this Act or the Income Tax Act 2007 , before 1 April 1995, was granted or was to be granted subsection (2) or subsection (3) of section 73 of the Income Tax Act 1976
2: Notwithstanding anything in this Act or the Income Tax Act 1994, where any employer or workers' union, or the authorised representative of any employer or group of employees (referred to in this section as the applicant , being an allowance paid or payable before 1 April 1995, subsection (2) or subsection (3) or subsection (4) of section 73 of the Income Tax Act 1976 was granted or was
3: No notice of objection given after the time specified in subsection (1) or subsection (2) shall be of any force or effect unless the Commissioner accepts the same and gives notice to the objector accordingly.
4: The Commissioner shall consider every objection made under this section and may consequently amend
5: For the purposes of this section, sections 128 129 135 section 126(1)
6: In this section, award collective agreement instrument 1976 No 65 s 73 Section 130(1) amended 2 June 2016 section 163(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 130(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 130(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 130(1) amended 10 April 1995 Tax Administration Amendment Act 1995 Section 130(1) amended 10 April 1995 Tax Administration Amendment Act 1995 Section 130(2) amended 2 June 2016 section 163(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 130(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 130(2) amended 10 April 1995 Tax Administration Amendment Act 1995 Section 130(2) amended 10 April 1995 of the Tax Administration Amendment Act 1995 Section 130(2) amended 10 April 1995 Tax Administration Amendment Act 1995 Section 130(4) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
131: Objections to determinations
Section 131 repealed 24 October 2001 section 223(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
132: Application of this Part to objections to foreign tax credit determinations
Section 132 repealed 24 October 2001 section 224(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
133: Wrong PAYE
withholding A taxpayer may object to an assessment that is issued by the Commissioner in relation to an amount of tax withheld on the basis of a determination under section RD 3(5) Section 133 replaced 1 October 1996 section 40 Tax Administration Amendment Act (No 2) 1996 Section 133 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 133 amended 1 April 2008 section ZA 2 Income Tax Act 2007 Case stated
134: Objector may require that objections be submitted to Taxation Review Authority
If an objection is not wholly allowed by the Commissioner, the objector may, within 2 months after the date on which notice of the disallowance is given to the objector by or on behalf of the Commissioner, by notice Taxation Review Authorities Act 1994 1976 No 65 s 31(2) Section 134 amended 1 April 2005 section YA 2 Income Tax Act 2004
135: Powers of Taxation Review Authority on determination of objection or case stated
1: On hearing any objection a Taxation Review Authority may—
a: confirm or cancel or vary the assessment, or reduce the amount of the assessment, or increase the amount of the assessment to the extent to which the Commissioner was empowered to make an assessment of an increased amount at the time the Commissioner made the assessment to which the objection relates, and that last-mentioned assessment shall be altered by the Commissioner to such extent as may be necessary to conform to that determination:
b: make any assessment which the Commissioner was empowered to make at the time the Commissioner made the assessment to which the objection relates, or direct the Commissioner to make such an assessment, in which case an assessment shall be made by the Commissioner so as to conform to that direction.
2: Notwithstanding subsection (1), where the objection relates to a determination or binding ruling either section 90(1) 90AC(1) a determination or binding ruling alter the determination or ruling alter the determination or ruling either section 90(6) sections 90AC(6) 90AE provided that no such fresh determination or ruling
3: The time bar shall not apply with respect to—
a: any determination of the Authority under subsection (1)﻿(a) or any amendment
b: any assessment made by the Authority or the Commissioner under subsection (1)﻿(b). 1976 No 65 s 32 Section 135(2) amended 18 March 2019 section 90(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 135(2) amended 18 March 2019 section 90(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 135(2) amended 20 May 1999 section 107(a) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 135(2) amended 20 May 1999 section 107(b) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 135(2) proviso amended 18 March 2019 section 90(c) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 135(3)﻿(a) amended 24 October 2001 section 236(3) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
136: When objection may be referred directly to High Court
1: Notwithstanding anything in this Part, where—
a: an objection to an assessment is made in accordance with section 126(1)
b: the objection is not wholly allowed by the Commissioner; and
c: the objection is one to which subsection (2) or subsection (3) applies,— the objection may be referred directly to the High Court by way of case stated in accordance with this section.
2: Where an objection relates to a question of law only,—
a: the objector may, within 2 months after the date on which notice of the disallowance is given to the objector by or on behalf of the Commissioner, by notice
b: the Commissioner, in any case where under section 134
3: Where an objection relates to a question of fact (whether or not it also relates to a question of law),—
a: the objector may, within 2 months after the date on which notice of the disallowance is given to the objector by or on behalf of the Commissioner, give notice
b: the Commissioner may, in any case where the objector has under section 134
4: Where any notice is given by the objector or the Commissioner under subsection (3), the objection shall be referred directly to the High Court if both the Commissioner and the objector consent, or with the leave of that court granted on the application of the objector or the Commissioner upon the ground that in the opinion of the court, by reason of the amount of the tax in dispute between the parties or of the general or public importance of the matter or of its extraordinary difficulty or for any other reason, it is desirable that the objection be heard and determined by the High Court instead of by a Taxation Review Authority.
5: Within 3 months after—
a: the date of the objector's giving notice under subsection (2)﻿(a) or subsection (3)﻿(a), where it is the objector who requires or desires the Commissioner to state a case for the opinion of the High Court; or
b: the date of the objector's giving notice in relation to the objection under section 134 the objector shall serve on the Commissioner, by delivery to the National Office the Commissioner has given notice of
6: The points of objection shall state, with sufficient particularity so as to fairly advise
a: the facts upon which the objector relies in support of the objection; and
b: the propositions of law (if any) on which the objector relies in support of the objection; and
c: the issues which the objector considers require to be determined by the court.
7: The objector shall annex to the points of objection copies of any documents upon which the objector intends to rely in support of the objection: provided that where the documents upon which the objector intends to rely are numerous, the objector may annex a list of those documents instead of copies of the actual documents.
8: If the objector fails to serve on the Commissioner the points of objection within the period referred to in subsection (5), or within such further period as may be allowed under subsection (12), the objection shall be deemed to be withdrawn and the Commissioner shall not be required to take any further steps in relation to the objection.
9: Where under this section an objection is to be referred directly to the High Court, the Commissioner shall, within 3 months after the date of service of the points of objection or within such further period as may be allowed under subsection (12), state and sign a case which shall comprise—
a: a notice in the prescribed form containing—
i: particulars of the assessment made by the Commissioner to which the objection has been made; and
ii: the grounds of objection given by the objector; and
iii: the question for the determination of the court; and
b: the points of objection served by the objector; and
c: a notice in the prescribed form stating—
i: any further facts which the Commissioner considers are relevant to the issues to be determined by the court; and
ii: the issues which the Commissioner claims require to be determined by the court.
10: The case so stated and signed, together with one copy, shall be filed by the Commissioner—
a: in the registry of the High Court specified by the objector in the notice under subsection (2)﻿(a) or subsection (3)﻿(a), where such a notice has been given by the objector; or
b: in such registry of the High Court as the Commissioner thinks fit in any other case, having due regard to the convenience of the objector.
11: A copy of the case so filed shall be served by the Commissioner on the objector either personally or by sending it to the objector by registered post addressed to the objector at the address for service specified by the objector in the points of objection, or at such other address as the objector has given notice of to the Commissioner
12: The High Court may, on the
a: extend the time for service by the objector on the Commissioner of the points of objection; or
b: extend the time for the filing of the case by the Commissioner— until such time as the court thinks fit, whether the application is made before or after the expiry of the time limit: provided that when application is made for an extension of time more than 2 months after the date for service of the points of objection or the date for filing the case, as the case may be, an order for extension of time shall be made only in exceptional circumstances.
13: Where the Commissioner fails to file a case within the time specified in subsection (9), or within such further time as may be allowed under subsection (12), the objector may apply to the High Court for an order directing the Commissioner to allow the objector's objection, and the High Court—
a: shall make such an order accordingly, unless it is satisfied that there are reasonable grounds for the failure to file the case:
b: may, where it refuses to make such an order, make such other orders as in the circumstances it thinks fit, whether relating to the filing of the case in the High Court, the remitting of the objection to a Taxation Review Authority for hearing and determination, or otherwise.
14: The contents of the case shall not be conclusive as to the matters set forth in it either against the objector or the Commissioner, except so far as agreed to by or on behalf of the objector and the Commissioner, with the agreement recorded in a document
15: At any time before the case stated is set down for hearing—
a: the Commissioner may file an amended case and serve a copy on the objector at the objector's address for service:
b: the objector may serve on the Commissioner amended points of objection at the Commissioner's address for service specified in the case.
16: Sections 16(2) 17 18
17: On hearing any case stated under this section, the High Court may—
a: confirm or cancel or vary the assessment, or reduce the amount of the assessment, or increase the amount of the assessment to the extent to which the Commissioner was empowered to make an assessment of an increased amount at the time the Commissioner made the assessment to which the objection relates, and that last-mentioned assessment shall be amended
b: make any assessment which the Commissioner was empowered to make at the time the Commissioner made the assessment to which the objection relates, or direct the Commissioner to make such an assessment, in which case an assessment shall be made by the Commissioner so as to conform to that direction.
18: Notwithstanding subsection (17), where the objection relates to a determination or binding ruling section 90(1) a determination or binding ruling alter the determination or ruling alter the determination or ruling section 90(6) provided that no such fresh determination or ruling
19: The time bar shall not apply with respect to—
a: any determination of the court under subsection (17)﻿(a) or any amendment
b: any assessment made by the court or the Commissioner under subsection (17)﻿(b).
20: Where any notice is given by the objector to the Commissioner under subsection (3)﻿(a) and the Commissioner gives notice to the objector that the Commissioner does not consent to the objection being referred directly to the High Court under this section, then—
a: if within 1 month after the last-mentioned notice is given to the objector by the Commissioner no application is made by the objector to the High Court for the leave of the court to refer the objection directly to that court; or
b: if on any such application the High Court refuses to grant such leave,— the first-mentioned notice shall have effect as if it were a notice requiring the objection to be heard and determined by a Taxation Review Authority, and this Part shall apply accordingly. 1976 No 65 s 33 1993 No 130 s 6(2), (3) Section 136(2)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 136(3)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 136(5) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 136(6) amended 2 June 2016 section 164(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 136(5) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 136(11) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 136(12) amended 2 June 2016 section 164(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 136(14) amended 2 June 2016 section 164(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 136(17)﻿(a) amended 24 October 2001 section 236(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 136(18) amended 18 March 2019 section 91(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 136(18) amended 18 March 2019 section 91(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 136(18) proviso amended 18 March 2019 section 91(c) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 136(19)﻿(a) amended 24 October 2001 section 236(3) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
137: Test case procedure
1: Where—
a: an objector has given notice under section 134 section 136(2)﻿(a) seeking
b: the Commissioner considers that determination of the objection, whether on a question of law only or on both a question of fact and a question of law, is likely to be determinative of all or a substantial number of the issues involved in 1 or more other objections,— the Commissioner may designate that objection as a test case, and shall notify the objector accordingly.
2: The Commissioner may, notwithstanding section 136(4)
a: the objector's consent; or
b: the leave of the High Court,— and subsections (5) to (19) of section 136
3: The Commissioner may in relation to any objection, at any time after the objection has been lodged and before it has been determined by a Taxation Review Authority or the High Court, give notice to the objector or challenge
4: Subject to subsection (9), the notice
5: Upon receipt by an objector of the notice
6: Within 14 days after the receipt by the Commissioner of the notice from the objector referred to in subsection (5), the Commissioner may apply to the High Court by originating application for an order that the objection be stayed pending the determination of the test case or the further order of the court.
7: An application by the Commissioner under subsection (6) shall be made on notice to the objector whose objection the Commissioner seeks to have stayed.
8: Where an objection has been stayed, the objector, the Commissioner, or both of them, may at any time apply to the High Court for an order that the objection cease to be stayed.
9: A stay under subsection (4) shall lapse on the expiry of 14 days following the day on which occurs any of the following:
a: the expiry of the 14-day period specified in subsection (6), where the objector has issued a notice
b: the making by the High Court of an order dismissing an application by the Commissioner under subsection (6):
c: the making by the High Court, on an application under subsection (8), of an order that the objection cease to be stayed:
d: the determination of the test case which caused the objection to be stayed by the expiration of all rights of appeal.
10: For the purposes of this Act,—
a: for so long as an objection is stayed under this section, any time limits or periods specified in or under this Act (other than in subsections (5) to (9)) in relation to proceedings on the objection shall not apply:
b: where the stay of an objection lapses under subsection (9), any time limits or periods so specified shall be treated as if they were extended by the period commencing with the date of the Commissioner's notice
11: The Commissioner may serve a notice under subsections (3) and (7) by formally notifying either the objector or a solicitor who is authorised to accept service on their behalf at the contact address referred to in section 14G(c) 1976 No 65 s 33A Section 137(1)﻿(a) amended 2 June 2016 section 165(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 137(3) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 137(3) amended 1 October 1996 section 41 Tax Administration Amendment Act (No 2) 1996 Section 137(4) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 137(5) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 137(9)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 137(10)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 137(11) replaced 2 June 2016 section 165(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
138: Determination by Taxation Review Authority of objection in relation to allowances
1: If an objection under section 130
2: A Taxation Review Authority shall consider every objection referred to the Authority by the Commissioner under subsection (1) and shall in each case redetermine, in relation to the determination to which the objection is made, the extent (if any) to which the allowance to which that determination applies constitutes a reimbursement of expenditure incurred by that person in deriving the person's
3: For the purpose of considering an objection referred to an Authority by the Commissioner under subsection (1), the Taxation Review Authority may call for such evidence as the Authority may require and shall, notwithstanding anything in this or any other Inland Revenue Act, have free access to all records under the control of the Commissioner which relate directly to the remuneration paid to the employee or, as the case may be, the group of employees where any allowance granted or to be granted (to that employee or to the employees in that group) is the allowance to which the objection referred to that Taxation Review Authority by the Commissioner under subsection (1) relates.
4: Notwithstanding anything in this or any other Inland Revenue Act, every decision or determination of a Taxation Review Authority made under subsection (2) shall be final and conclusive. 1976 No 65 s 73 Section 138(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 138(2) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 138(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
8A: Challenges
Part 8A inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996
138A: Application of this Part
1: Despite section 1(2)
a: every notice of disputable decision issued by the Commissioner under a provision of the Inland Revenue Acts on or after 1 October 1996, irrespective of the period to which the notice of disputable decision relates; and
b: any assessment, reassessment, or determination of the Commissioner if a notice of assessment or reassessment to which section 125A(2)﻿(a)
2: This Part does not apply to any assessment or reassessment or determination or decision of the Commissioner to which Part 8 section 125A Section 138A inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138A(1) replaced 20 May 1999 section 108(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 138A(1)﻿(b) amended 1 April 2019 section 92(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 138A(2) amended 1 April 2019 section 92(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
138B: When disputant entitled to challenge assessment
1: A disputant is entitled to challenge an assessment by commencing proceedings in a hearing authority if—
a: the assessment includes an adjustment proposed by the Commissioner which the disputant or their look-through company
b: where the assessment is an amended assessment, an adjustment proposed by the Commissioner that is included in the assessment—
i: imposes a fresh liability (being a liability that was not included in an earlier assessment) in respect of a particular; or
ii: increases an existing liability (being a liability that was included in an earlier assessment but to a lesser extent) in respect of a particular; and
c: the disputant files the proceedings, in accordance with the Taxation Review Authority Regulations 1994 (or any regulations made in substitution for those regulations) or the High Court Rules 2016
2: A disputant is entitled to challenge an assessment by commencing proceedings in a hearing authority if—
a: the assessment was the subject of an adjustment proposed by the disputant which the Commissioner has rejected by
b: the disputant is subsequently issued with an amended assessment; and
c: the disputant files the proceedings, in accordance with the Taxation Review Authority Regulations 1994 (or any regulations made in substitution for those regulations) or the High Court Rules 2016
3: Subject to subsection (4), a disputant is entitled to challenge an assessment by commencing proceedings in a hearing authority if—
a: the assessment was the subject of an adjustment proposed by the disputant which the Commissioner has rejected by
b: the Commissioner has issued a challenge notice to the disputant; and
c: the disputant files the proceedings, in accordance with the Taxation Review Authorities Regulations 1998 High Court Rules 2016
4: Despite subsection (3), the disputant is entitled to challenge an assessment by commencing proceedings in a hearing authority if—
a: the assessment was the subject of an adjustment (the adjustment
b: the Commissioner has issued a challenge notice to the disputant; and
c: the adjustment—
i: is in relation to a matter for which the material facts and relevant law are identical to those for another assessment for the taxpayer, for another period, that is at the time of proposing the adjustment the subject of court proceedings; or
ii: corrects a tax position taken by the taxpayer or an associated person as a consequence or result of an incorrect tax position taken by another taxpayer and, at the time of proposing the adjustment, the incorrect tax position taken by the other taxpayer is the subject of, or was the subject of, court proceedings; and
d: the disputant files the proceedings, in accordance with the Taxation Review Authorities Regulations 1998 High Court Rules 2016 Section 138B inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138B(1)﻿(c) amended 18 October 2016 section 183(c) Senior Courts Act 2016 Section 138B(2)﻿(a) amended 2 June 2016 section 166(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 138B(2)﻿(c) amended 18 October 2016 section 183(c) Senior Courts Act 2016 Section 138B(3) replaced 29 August 2011 section 177(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 138B(3)﻿(a) amended 2 June 2016 section 166(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 138B(3)﻿(c) amended 18 October 2016 section 183(c) Senior Courts Act 2016 Section 138B(4) inserted 29 August 2011 section 177(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 138B(4)﻿(a) amended 2 June 2016 section 166(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 138B(4)﻿(d) amended 18 October 2016 section 183(c) Senior Courts Act 2016
138C: When disputant entitled to challenge disputable decision other than assessment
A disputant is entitled to challenge a disputable decision that is not an assessment by commencing proceedings in a hearing authority if—
a: the disputable decision was the subject of an adjustment proposed by the disputant which the Commissioner has rejected; and
b: the disputant files the proceedings in accordance with the Taxation Review Authority Regulations 1994 (or any regulations made in substitution for those regulations) or the High Court Rules 2016 Section 138C inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138C(b) amended 18 October 2016 section 183(c) Senior Courts Act 2016
138D: Challenge may in exceptional circumstances be commenced after response period
1: If a hearing authority considers that exceptional circumstances apply, the hearing authority may, on application by a disputant, allow the disputant to commence a challenge to a notice of a disputable decision after the response period.
2: For the purposes of subsection (1), an exceptional circumstance
a: that could not have been anticipated; and
b: the effect of which could not have been avoided by compliance with accepted standards of business organisation and professional conduct. Section 138D inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996
138E: Certain rights of challenge not conferred
1: This Part does not confer a right of challenge with respect to—
a: a decision of the Commissioner under a tax law to enlarge or extend the time for giving notice, making an application, furnishing a tax return, or doing any other act, matter, or thing; or
b: a decision of the Minister under a tax law, or an act, matter, or thing done or omitted by the Minister under a tax law; or
c: a matter in respect of which provision is made by a tax law—
i: for a challenge or objection to the matter to be heard and determined by; or
ii: for the matter to be inquired into, considered, reported upon, heard, decided, determined, or otherwise dealt with by; or
iii: for the matter to be the subject of any recommendation of,— a special committee, tribunal, or authority (other than a Taxation Review Authority) established in that behalf or a person or official (other than the Commissioner); or
d: a valuation or apportionment made by the Valuer-General or a registered valuer Income Tax Act 2007
e: a matter which by a provision in—
i: the PAYE rules
ii: the provisional tax rules; or
iii: any of sections CD 15 CD 19 HD 2 HD 3(2) HD 5(4) HD 15 HD 24 HD 26 to HD 29 LA 6 to LA 8 LJ 1 to LJ 7 RD 3 RM 2 to RM 4 RM 8 RM 10 sections 18K 33 92A 139 184
iv: any of sections 6E 6F 17F 17G 18I 21B to 23 36 to 46 58 62 63 68CB 68CC 68CD 78B 78C 80 89C 89K 89L 89M 89N(1)﻿(c)﻿(viii) and (3) 92 106 107 108B 109 110 111 113 114 120A to 120U , 124ZH 124ZI Part 7B 138I(2B) 138N 139B 142A 142C 146 150A 157 160 166 166B 167 174AA 176 177 177A to 177D 183A 183D 183F , and 225B Act ; or
ivb: any of Parts 1 to 3
v: any of Parts 4 6 7 11 section 76 is left to the discretion, judgment, opinion, approval, consent, or determination of the Commissioner; or
ea: the Commissioner's interpretation of how a taxation law applies to a person, whether or not the person has come into legal existence, and to an arrangement, whether or not a single or a recurring arrangement, as set out in a binding ruling made under Part 5A
eb: the Commissioner's interpretation of whether the amendment or repeal of a taxation law has changed the way that the law applies in a private or a product ruling, as set out in a status ruling made under section 91GA
f: a matter in respect of which a tax law provides that there shall be no right of objection or challenge to the decision of the Commissioner.
2: Subsection (1) may be overruled by a tax law or other law that expressly confers a right of objection or challenge in respect of a decision made by any person. Section 138E inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138E(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 138E(1)﻿(d) amended 1 July 1998 section 54(1) Rating Valuations Act 1998 Section 138E(1)﻿(e)﻿(i) amended 26 March 2003 section 116(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138E(1)﻿(e)﻿(iii) replaced 23 September 1997 section 87(1) Taxation (Remedial Provisions) Act 1997 Section 138E(1)﻿(e)﻿(iii) amended 1 April 2019 section 93(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 138E(1)﻿(e)﻿(iii) amended 17 July 2013 section 116 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 Section 138E(1)﻿(e)﻿(iii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 138E(1)﻿(e)﻿(iii) amended 17 October 2002 section 87(1)﻿(b) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 138E(1)﻿(e)﻿(iv) replaced 24 October 2001 section 225(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 138E(1)﻿(e)﻿(iv) amended 30 March 2022 section 209(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 138E(1)﻿(e)﻿(iv) amended 30 March 2022 section 209(2) section 209(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 138E(1)﻿(e)﻿(iv) amended 1 April 2020 section 46(1) section 38 Taxation (Research and Development Tax Credits) Act 2019 Section 138E(1)﻿(e)﻿(iv) amended 23 March 2020 section 229(1) section 229(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 138E(1)﻿(e)﻿(iv) amended 1 April 2019 section 35 section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 138E(1)﻿(e)﻿(iv) amended 1 April 2019 section 93(2)﻿(a) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 138E(1)﻿(e)﻿(iv) amended 1 April 2019 section 93(2)﻿(b) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 138E(1)﻿(e)﻿(iv) amended 1 April 2019 section 93(2)﻿(c) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 138E(1)﻿(e)﻿(iv) amended 21 February 2017 section 118 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 138E(1)﻿(e)﻿(iv) amended 29 August 2011 section 178 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 138E(1)﻿(e)﻿(iv) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 138E(1)﻿(e)﻿(iv) amended 21 December 2004 section 122 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 138E(1)﻿(e)﻿(iv) amended 1 April 2003 section 116(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138E(1)﻿(e)﻿(iv) amended 17 October 2002 section 87(2) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 138E(1)﻿(e)﻿(iv) amended 24 October 2001 section 225(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 138E(1)﻿(e)﻿(ivb) inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 138E(1)﻿(e)﻿(v) inserted 21 December 2004 section 122 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 138E(1)﻿(ea) inserted 20 May 1999 section 110(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 138E(1)﻿(eb) inserted 20 May 1999 section 110(2) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
138F: Challenging disputable decisions which are not assessments
1: A disputant may challenge under section 138B
2: Subsection (1) does not apply if—
a: the disputant has issued a notice of proposed adjustment in respect of the disputable decision; and
b: the disputant's grounds for challenging the assessment are the same grounds, or substantially the same as the grounds, that were specified in the notice of proposed adjustment.
3: In subsection (1), a disputable decision Section 138F inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138F(1) amended 21 December 2004 section 123 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
138G: Effect of disclosure notice
1: Unless subsection (1B) or (2) apply
1B: If the Commissioner did not issue a statement of position in response to the disputant’s statement of position on or before the required date, and did not issue a statement of position when issuing a disclosure notice, subsection (1) does not apply to limit the issues or propositions of law that may be raised by—
a: the Commissioner, if section 89M(6BA)﻿(b)﻿(i)
b: the Commissioner or the disputant, if section 89M(6BA)﻿(b)﻿(ii)
2: A hearing authority may, on application by a party to a challenge to a disputable decision, allow the applicant to raise in the challenge
a: the applicant could not, at the time of delivery of the applicant's statement of position, have, with due diligence,
b: having regard to the provisions of section 89A
3: For the purposes of subsection (1), a statement of position section 89M(13) Section 138G inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138G heading amended 29 August 2011 section 179(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 138G(1) replaced 29 August 2011 section 179(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 138G(1) amended 24 February 2016 section 264(1) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 138G(1B) inserted 24 February 2016 section 264(2) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 138G(2) amended 29 August 2011 section 179(3)﻿(a) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 138G(2)﻿(a) amended 29 August 2011 section 179(3)﻿(b) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 138G(2)﻿(b) amended 29 August 2011 section 179(3)﻿(c) Taxation (Tax Administration and Remedial Matters) Act 2011
138H: Application to strike out proceedings
The Commissioner may apply to a hearing authority to strike out a challenge commenced by a disputant if the Commissioner considers that the disputant has failed to comply with any of the requirements of section 89M section 138B Section 138H inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996
138I: Payment of disputed tax
1:
2: A disputant is not liable to pay—
a: the deferrable tax relating to any tax in dispute; or
b: a shortfall penalty, where the penalty is payable in respect of any tax in dispute; or
c: the interest accruing under Part 7 until the due date for payment of that deferrable tax.
2B: Despite subsection (2), the Commissioner may require a disputant to pay all tax in dispute that is the subject of the challenge if the Commissioner considers that there is a significant risk that the tax in dispute will not be paid should the disputant's challenge not be successful.
3: The Commissioner must, after the day of determination of final liability, refund or pay to, or apply on behalf of, a disputant whose challenge is successful—
a: the tax in dispute paid in accordance with subsection (2B); and
b: interest accrued on the tax in dispute under Part 7
4: Part 7 a tax year tax year
5: If the challenge relates to the 1996–97 or an earlier tax year Section 138I inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138I heading replaced 1 April 2003 section 117(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138I(1) repealed 1 April 2003 section 117(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138I(2B) inserted 1 April 2003 section 117(3) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138I(3)﻿(a) replaced 1 April 2003 section 117(4) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138I(3)﻿(b) replaced 1 April 2003 section 117(4) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138I(4) inserted 8 September 1999 section 73 Taxation (Remedial Matters) Act 1999 Section 138I(4) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 138I(4) amended 1 April 2003 section 117(5) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138I(5) inserted 8 September 1999 section 73 Taxation (Remedial Matters) Act 1999 Section 138I(5) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 138I(5) amended 1 April 2003 section 117(6) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
138J: Waiver of payment or security
Section 138J repealed 1 April 2003 section 118 Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
138K: Determination of challenge not to affect other matters
The determination of a challenge by a hearing authority under this Part—
a: relates solely to the matter that is the subject of the disputable decision being challenged; and
b: does not affect the right of the Commissioner to make a disputable decision relating to a different matter and to amend the disputable decision being challenged in any way rendered necessary by the later disputable decision. Section 138K replaced 23 September 1997 section 143(2) Taxation (Remedial Provisions) Act 1997
138L: Challenging civil penalties
1: A taxpayer assessed by the Commissioner for a civil penalty—
a: may challenge the penalty in the same way as a taxpayer may challenge the assessment of tax to which the penalty relates; and
b: has the same rights and obligations, in relation to proceedings concerning the penalty, as a person has in relation to proceedings concerning the tax.
2: Notwithstanding subsection (1), a taxpayer has no right to challenge—
a: a civil penalty imposed for—
i: the late provision of a tax return; or
ii: the late payment of tax; or
ab: a civil penalty imposed under section 215
b: the percentage applicable to the civil penalty. Section 138L inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138L(2)﻿(ab) inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 138L(2)﻿(ab) amended 1 April 2009 section 20 Taxation (KiwiSaver) Act 2007 Section 138L(2)﻿(b) replaced 23 September 1997 section 88 Taxation (Remedial Provisions) Act 1997
138M: Wrong PAYE
withholding A disputant may—
a: dispute a notice of proposed adjustment; or
b: challenge an assessment— that is issued by the Commissioner in relation to an amount of tax withheld on the basis of a determination under section RD 3(5) Section 138M inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138M heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 138M amended 1 April 2008 section ZA 2 Income Tax Act 2007
138N: Proceedings may be transferred to different hearing authorities
1: If a disputant commences a challenge in the High Court,—
a: the Commissioner may apply to the High Court to have the challenge transferred to a Taxation Review Authority; or
b: the High Court may, of its own motion, transfer the challenge to a Taxation Review Authority.
2: If a disputant commences a challenge in a Taxation Review Authority, the Commissioner may apply to the High Court to have the challenge transferred to the High Court.
3: The High Court may order that any proceedings transferred to the High Court under this section are to be transferred into the Court of Appeal. Section 138N inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138N(2) replaced 29 August 2011 section 180(1) Taxation (Tax Administration and Remedial Matters) Act 2011
138O: Transfer from small claims jurisdiction of Taxation Review Authority
Section 138O repealed 29 August 2011 section 181(1) Taxation (Tax Administration and Remedial Matters) Act 2011
138P: Powers of hearing authority
1: On hearing a challenge, a hearing authority may—
a: confirm or cancel or vary an assessment, or reduce the amount of an assessment, or increase the amount of an assessment to the extent to which the Commissioner was able to make an assessment of an increased amount at the time the Commissioner made the assessment to which the challenge relates; or
b: make an assessment which the Commissioner was able to make at the time the Commissioner made the assessment to which the challenge relates, or direct the Commissioner to make such an assessment.
1B: If a taxpayer brings a challenge and proves, on the balance of probabilities, that the amount of an assessment is excessive by a specific amount, a hearing authority must reduce the taxpayer's assessment by the specific amount.
2: If the challenge relates to a disputable decision that is not an assessment, the hearing authority—
a: must not make or alter the disputable decision; and
b: may direct the Commissioner to alter the disputable decision to the extent necessary to conform to the decision of the hearing authority with the effect the hearing authority specifies.
3: Subject to subsection (4), the Commissioner must make or amend
4: The Commissioner is not required to make or amend
5: The time bars in sections 108 108A 108AB 108B
a: a determination of a hearing authority made under subsection (1)﻿(a) or subsection (1B) amendment
b: an assessment made by a hearing authority under subsection (1)﻿(b) or the Commissioner under subsection (3). Section 138P inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138P(1B) inserted 26 March 2003 section 119(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138P(3) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 138P(4) amended 24 October 2001 section 236(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 138P(5) amended 30 March 2022 section 210 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 138P(5)﻿(a) amended 26 March 2003 section 119(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 138P(5)﻿(a) amended 24 October 2001 section 236(3) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001
138Q: Challenges designated as test cases
1: The Commissioner may designate a challenge as a test case, if the Commissioner considers that determination of the challenge is likely to be determinative of all or a substantial number of the issues involved in 1 or more other challenges.
2: Test cases are to be heard in the High Court. Section 138Q inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996
138R: Stay of proceedings for similar cases
1: The Commissioner may stay proceedings by issuing a notice notifying a disputant that a challenge is to be stayed because a test case on a similar challenge or objection is to be heard by the High Court.
2: The Commissioner may issue a notice staying proceedings under subsection (1) only if—
a: the Commissioner considers that the test case is likely to be determinative of all or a substantial number of the issues in the challenge proposed to be stayed; and
b: the challenge proposed to be stayed has not been determined by a hearing authority.
3: When a disputant receives a notice staying proceedings, the disputant may issue a notice requiring that there be no stay of proceedings that notifies the Commissioner that the disputant requires the challenge to be heard even though a test case is to be heard.
4: Within 14 days after the Commissioner receives a notice requiring that there be no stay of proceedings, the Commissioner may apply to the High Court for an order that the challenge be stayed pending the determination of the test case or the further order of the court.
5: If a challenge is stayed, the disputant or the Commissioner may apply to the High Court for an order that the challenge cease to be stayed.
6: A stay under subsection (1) lapses on the expiry of 14 days following the day on which any of the following occurs:
a: the expiry of the 14-day period specified in subsection (4), if the disputant has issued a notice requiring there to be no stay of proceedings and the Commissioner has not within the 14-day period made an application under subsection (4); or
b: the making by the High Court of an order dismissing an application by the Commissioner under subsection (4); or
c: the making by the High Court, on an application under subsection (5), of an order that the challenge cease to be stayed; or
d: the determination of the test case which caused the challenge to be stayed by the expiration of all rights of appeal.
7: For so long as a challenge is stayed,—
a: any time limits or periods specified in or under this Act (other than in this section) in relation to the challenge are not to apply; and
b: where the stay of a challenge lapses, any time limits or periods so specified are to be treated as if they were extended by the period commencing with the date of the notice staying proceedings, and ending with the day on which the stay lapses.
8: The Commissioner may give notices required by this section by formally notifying either the disputant or a solicitor who is authorised to accept service on their behalf at the contact address referred to in section 14G(c) Section 138R inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138R(8) replaced 2 June 2016 section 167 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
138S: Challenge to be heard before Taxation Review Authority
1: A challenge to a disputable decision made by the Commissioner under—
a: the Student Loan Scheme Act 2011 Student Loan Scheme Act 2011
b: the Child Support Act 1991
c: any other tax law, where that tax law or another tax law specifies that the disputable decision is to be determined by a Taxation Review Authority,— is to be commenced, heard, and finally determined by a Taxation Review Authority.
2: Subsection (1) prevails over any other section in this Part. Section 138S inserted 1 October 1996 section 42 Tax Administration Amendment Act (No 2) 1996 Section 138S(1)﻿(a) amended 1 April 2012 section 223 Student Loan Scheme Act 2011
9: Penalties
Part 9 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
139: Purposes of this Part
The purposes of this Part are—
a: to encourage taxpayers to comply voluntarily with their tax obligations and to co-operate with the department; and
b: to ensure that penalties for breaches of tax obligations are imposed impartially and consistently; and
c: to sanction non-compliance with tax obligations effectively and at a level that is proportionate to the seriousness of the breach. Section 139 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Civil penalties Heading inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
139A: Late filing
penalty for certain returns
1: This section applies to tax returns required to be furnished under sections 33 41 to 44 79 annual tax returns the annual ICA return section 69(1) (2)﻿(a) by an Australian ICA company a tax year the statement required to be provided under section 54B and the employment income information required to be provided under sections 23E to 23J
2: A taxpayer is liable to pay a late filing penalty if—
a: the taxpayer does not complete and provide on time—
i: an annual tax return:
ii: an annual ICA return section 69(1) and (2)﻿(a)
iii:
iiib: a return required to be furnished under section 57B
iiic: a statement for payment of RLWT required to be provided under section 54B
iv: their employment income information
b: the Commissioner notifies the taxpayer that the penalty is payable.
3: The late filing penalty for an annual tax return for a taxpayer with net income—
a: below $100,000, is $50;
b: between $100,000 and $1,000,000 (both figures inclusive), is $250;
c: above $1,000,000, is $500.
4: The late filing penalty for an annual ICA return employment income information
5: Except in the case of a late filing penalty resulting from employment income information sections 16 to 18
a: send
b: publicly notify that a late filing penalty may be imposed on taxpayers who omit to file the required return.
6: Subsections (7) and (8)
7: The
a: first, that a late filing penalty will be payable for a further failure to provide income information on time:
b: secondly, that the penalty is payable when a further failure occurs after the notice referred to in paragraph (a) has been given.
8: For employment income information, the maximum penalty that may be imposed in relation to a month, regardless of the number of failures to provide employment income information, is $250.
9:
10: Section 139A inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 139A heading amended 19 December 2007 section 241(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139A(1) replaced 7 October 1998 section 32(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 139A(1) amended 30 March 2021 section 171(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 139A(1) amended 1 April 2019 section 352(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139A(1) amended 1 July 2016 section 82(1) Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 139A(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139A(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139A(1) amended 25 November 2003 section 128(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 139A(2)﻿(a) replaced 25 November 2003 section 128(2) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 139A(2)﻿(a)﻿(ii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139A(2)﻿(a)﻿(iii) repealed 30 March 2021 section 171(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 139A(2)﻿(a)﻿(iiib) inserted 1 October 2007 section 198 Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 139A(2)﻿(a)﻿(iiic) inserted 1 July 2016 section 82(2) Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 139A(2)﻿(a)﻿(iv) amended 1 April 2019 section 352(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139A(4) replaced 7 October 1998 section 32(3) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 139A(4) amended 1 April 2019 section 352(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139A(4) amended 1 July 2016 section 82(3) Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 139A(4) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139A(4) amended 25 November 2003 section 128(3) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 139A(5) inserted 23 September 1997 section 89 Taxation (Remedial Provisions) Act 1997 Section 139A(5) amended 1 April 2019 section 352(4) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139A(5) amended 1 April 2008 section 241(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139A(5)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139A(6) replaced 1 April 2019 section 352(5) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139A(6) amended 1 April 2023 section 195(1) section 195(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 139A(7) inserted 1 April 2019 section 352(5) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139A(7) amended 1 April 2023 section 195(2) section 195(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 139A(8) inserted 1 April 2019 section 352(5) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139A(9) repealed 1 April 2023 section 195(3) section 195(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 139A(10) repealed 1 April 2022 section 211(1) section 211(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
139AAA: Late filing penalty for GST returns
1: This section applies to a tax return (a GST return sections 16 to 18
2: A registered person is liable to pay a late filing penalty if—
a: the registered person does not complete and provide a GST return by the due date for filing the GST return; and
b: the registered person has failed to file on time a GST return due in the period—
i: beginning with the later of 1 April 2008 and the day 12 months before the due date; and
ii: ending before the due date; and
c: the Commissioner notifies the registered person that the penalty is payable.
3: The late filing penalty for a GST return for a registered person is—
a: $250, if on the due date for filing the GST return the registered person accounts for tax payable on an invoice basis or hybrid basis; or
b: $50, if on the due date for filing the GST return the registered person accounts for tax payable on a payments basis.
4: The Commissioner must—
a: give notice to the registered person that a late filing penalty will be payable for a further failure to file a GST return on time, if the registered person has filed on time all GST returns due for filing in the period—
i: beginning with the later of 1 April 2008 and the day 12 months before the due date; and
ii: ending before the due date; or
b: give notice to the registered person that the penalty is payable, if the registered person has not filed on time all GST returns due for filing in the period referred to in paragraph (a). Section 139AAA inserted 1 April 2008 section 242(1) Taxation (Business Taxation and Remedial Matters) Act 2007
139AA: Non-electronic filing penalty
1: This section applies to—
a: an employer who must comply, in a prescribed electronic format, with section 23E
aba: a person who is required to provide investment income information to the Commissioner under sections 25F to 25M 25N
ab: a portfolio investment entity; and
ac: a portfolio investor proxy; and
ad: a registered person; and
b: a PAYE intermediary.
2: The person
3: Subsection (2) does not apply if the employer is authorised under sections 23D(4) 23G
4: For employment income information, the maximum penalty that may be imposed in relation to a month, regardless of the number of failures to provide employment income information, is the greater of $250 or $1 for each employee whose employment income information is not in the prescribed electronic form or delivered by the prescribed means of electronic communication at any time in the month.
5: For GST purposes, the non-electronic filing penalty is $250.
6: For investment income information, the non-electronic filing penalty is $250.
7: Section 139AA inserted 7 October 1998 section 33(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 139AA(1) replaced 26 March 2003 section 120(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 139AA(1)﻿(a) amended 1 April 2019 section 353(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(1)﻿(aba) inserted 1 April 2020 section 353(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(1)﻿(ab) inserted 1 October 2007 section 199(1) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 139AA(1)﻿(ac) inserted 24 February 2016 section 265 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 139AA(1)﻿(ad) inserted 29 March 2018 section 353(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(2) replaced 1 October 2007 section 199(2) Taxation (Savings Investment and Miscellaneous Provisions) Act 2006 Section 139AA(2) amended 29 March 2018 section 353(4) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(3) amended 1 April 2019 section 353(5) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(4) replaced 1 April 2019 section 353(6) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(5) inserted 29 March 2018 section 353(7) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(6) inserted 1 April 2020 section 353(8) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 139AA(7) repealed 1 April 2022 section 212(1) section 212(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
139AB: Penalty for member of large multinational group failing to provide information
1: A member of a large multinational group is liable to pay a penalty under this section if—
a: the Commissioner requires the member under section 17 section 17E(2)
b: the member fails to provide the information or document within the time allowed by the Commissioner.
2: The penalty under this section is the amount specified by the Commissioner, which must not exceed $100,000. Section 139AB inserted 27 June 2018 section 59 Taxation (Neutralising Base Erosion and Profit Shifting) Act 2018 Section 139AB(1)﻿(a) amended 30 March 2021 section 172 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
139AC: Penalty for trustee’s failure to register, provide information for, foreign exemption trust
1: A trustee of a foreign exemption trust is liable to pay a penalty under this section if the trustee fails to comply with the requirements of section 22 59B 59C 59D
2: The penalty under this section is the amount specified by the Commissioner, which must not be more than $1,000.
3: A trustee is not liable to pay a penalty under this section for a failure to comply with requirements if the Commissioner is satisfied that the trustee makes reasonable efforts to comply with the requirements and to remedy the non-compliance with the requirements.
4: The due date for payment of a penalty imposed under this section is the later of—
a: 30 days after the date on which the Commissioner issues the notice of assessment for the penalty:
b: the date specified by the Commissioner in the notice of assessment as being the due date for payment of the penalty. Section 139AC inserted 1 April 2023 section 196 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
139B: Late payment penalty
1: This section applies to a taxpayer if and to the extent to which the taxpayer does not pay by the default date unpaid tax
a: the unpaid tax is provisional tax or a penalty relating to a failure to pay provisional tax:
b: ignoring any failure to pay for which a penalty or interest section 183AA the Commissioner determines that the taxpayer has failed to pay on time
i: beginning with the later of 1 April 2008 and the day 2 years before the default date; and
ii: ending before the default date:
c: ignoring any failure to pay for which a penalty or interest section 183AA the Commissioner determines that the taxpayer has paid on time amounts
i: the Commissioner gives the taxpayer a notice setting a further date for payment of the unpaid tax; and
ii: the taxpayer does not pay the unpaid tax before the date that is the earlier of the further date and the date that is 1 month after the date of the notice.
1B:
2: The taxpayer is liable to pay a late payment penalty consisting of—
a: an initial late payment penalty equal to the total of—
i: 1% of the unpaid tax; and
ii: 4% of the amount of tax to pay at the end of the sixth day after the day on which a penalty under subparagraph (i) is imposed; and
b: an incremental late payment penalty equal to 1% of the amount of tax to pay determined on each day that falls 1 month after a day on which a penalty is imposed under—
i: this subsection:
ii: subsection (2A)﻿(a) or (2B) as they were before the enactment of section 243
2A:
2B: Despite subsection (2)﻿(b), a taxpayer is not liable to pay an incremental late payment penalty to the extent to which the relevant tax to pay is—
a: GST for a GST return period ending within 8 days of 31 March 2017:
b: GST for a GST return period ending after 31 March 2017:
bb: further income tax under section OB 65 OB 66 OK 21 OK 22
bc: imputation additional tax under section OB 71 OB 72
c: provisional tax or income tax for the 2017–18 or later income years:
d: described in section MF 5 MF 6
e: civil penalties for tax and periods described in paragraphs (a) to (d)
f: an electronic sales suppression penalty under section 141EE
3: An initial late payment penalty is added to the unpaid tax to which it relates—
a: on the day after the default date for the unpaid tax, if it is imposed under subsection (2)﻿(a)﻿(i):
b: at the end of the sixth day after the day referred to in paragraph (a), if it is imposed under subsection (2)﻿(a)﻿(ii).
3A:
3B: The part of an initial late payment penalty imposed under subsection (2)﻿(a)﻿(ii) section 157 clause 4(3) section 43 subsection (2)﻿(a)﻿(i) withheld or deducted
4: An incremental late payment penalty is to be added to the tax to pay to which it relates on the day after the last day of successive monthly intervals during which the tax to pay remains unpaid.
5: If an incremental late payment penalty would, apart from this subsection, be added to any tax to pay on a date that does not exist in a month, the penalty is to be added to the tax to pay on the last day of the month.
5A: An incremental late payment penalty is not to be added if, for a month during which the tax to pay remains unpaid, the Commissioner has exercised powers available under section 157 clause 4(3) section 43 withheld or deducted
5B: A taxpayer is liable to pay a late payment penalty under subsection (2) in relation to a default date if—
a: the Commissioner has given the taxpayer a notice of a further date for the payment of unpaid tax under subsection (1)﻿(c)﻿(i); and
b: after giving the notice, the Commissioner becomes aware of a default by the taxpayer that arose before the date of the notice; and
c: the further date for payment referred to in paragraph (a)—
i: falls outside the period referred to in subsection (1)﻿(b); and
ii: should have been given in relation to the default referred to in paragraph (b).
5C: If the taxpayer enters into an instalment arrangement for the default under section 177B section 139BA(1)
6: In this section and section 139BA
aa: the term default date
i: its due date; or
ii: its collection date, described in section 142A(6)
a: the term tax to pay
b: the unpaid tax is deemed to be the last part of any tax to pay that a taxpayer pays:
bb: for a person that section 120KBB unpaid tax 1 or more of any of the instalments of provisional tax other than the final instalment
c: the term unpaid tax section 141ED Section 139B inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 139B(1) replaced 1 April 2008 section 243(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139B(1) amended 21 February 2017 section 119(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(1) amended 1 April 2016 section 266 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 139B(1) amended 1 April 2016 section 201 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 139B(1)﻿(b) amended 21 February 2017 section 119(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(1)﻿(b) amended 21 December 2010 section 157(1) Taxation (GST and Remedial Matters) Act 2010 Section 139B(1)﻿(b) amended 1 October 2010 section 55(1) Taxation (Budget Measures) Act 2010 Section 139B(1)﻿(c) amended 21 February 2017 section 119(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(1)﻿(c) amended 21 December 2010 section 157(2) Taxation (GST and Remedial Matters) Act 2010 Section 139B(1)﻿(c) amended 1 October 2010 section 55(2) Taxation (Budget Measures) Act 2010 Section 139B(1B) repealed 1 April 2022 section 213(1) section 213(5) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 139B(2) replaced 1 April 2008 section 243(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139B(2A) repealed 1 April 2008 section 243(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139B(2B) replaced 1 April 2017 section 120(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(2B)﻿(bb) inserted 18 March 2019 section 95 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 139B(2B)﻿(bc) inserted 18 March 2019 section 95 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 139B(2B)﻿(f) inserted 30 March 2022 section 213(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 139B(3) replaced 1 April 2008 section 243(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139B(3A) repealed 1 April 2008 section 243(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139B(3B) replaced 17 October 2002 section 88(4) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 139B(3B) amended 30 March 2022 section 213(3) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 139B(3B) amended 1 April 2017 section 120(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(3B) amended 1 April 2008 section 243(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139B(3B) amended 1 April 2008 section 243(2)﻿(b) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139B(3B) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139B(5A) replaced 17 October 2002 section 88(6) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 139B(5A) amended 30 March 2022 section 213(4) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 139B(5A) amended 1 April 2017 section 120(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(5A) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139B(5B) inserted 6 October 2009 section 672(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 139B(5C) inserted 6 October 2009 section 672(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 139B(6) amended 17 October 2002 section 88(7) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 139B(6)﻿(aa) inserted 21 February 2017 section 119(5) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(6)﻿(bb) inserted 1 April 2017 section 120(4) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139B(6)﻿(bb) amended 23 March 2020 section 230(1) section 230(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 139B(6)﻿(c) replaced 6 October 2009 section 672(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
139BA: Imposition of late payment penalties when financial relief sought
1: If a taxpayer has outstanding tax and asks for default date section 139B(2)﻿(a)﻿(i) section 139B(2)﻿(a)﻿(ii)
2: If a taxpayer has outstanding tax and asks for default date
3: Subsections (1) and (2) apply until the earlier of—
a: the date that the Commissioner makes a decision not to give financial relief; and
b: the last day of the response period allowed by section 177(4)
4: If an instalment arrangement is entered into, an incremental late payment penalty is not to be added if, for a month during which the tax to pay remains unpaid, the taxpayer complies with all of their obligations under the arrangement.
5: If an instalment arrangement is cancelled on the basis of false or misleading information provided by the taxpayer, the Commissioner must impose those late payment penalties not imposed as if the instalment arrangement had not been entered into.
6: If financial relief is not given, the Commissioner must impose those late payment penalties not imposed as if the request for financial relief had not been made. Section 139BA inserted 17 October 2002 section 89(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 139BA(1) amended 21 February 2017 section 121(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139BA(1) amended 2 June 2016 section 168(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 139BA(1) amended 1 April 2008 section 244(1)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139BA(1) amended 1 April 2008 section 244(1)﻿(b) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 139BA(2) amended 21 February 2017 section 121(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139BA(2) amended 2 June 2016 section 168(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 139BA(3)﻿(b) replaced 6 October 2009 section 673(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
139C: Late payment penalty and provisional tax
1: A late payment penalty will only arise on provisional tax that is unpaid at the expiry of an instalment date, or a Commissioner-set instalment date, to the extent that the provisional tax payable exceeds the provisional tax paid. Subsection (1B) overrides this subsection and subsection (1D) modifies this subsection
1B: Subsection (1C) applies if—
a: a person makes an election under section RM 11 elected amount
b: the Commissioner reassesses the amount of the GST refund as being less than the elected amount.
1C: The person is not liable for a late payment penalty in relation to the amount of any shortfall in the person's payment of provisional tax that arises as a result of the reassessment referred to in subsection (1B) until—
a: the date that is 30 days after the date on which the Commissioner gives notice of the reassessment, if the Commissioner does not set a date under paragraph (b); or
b: a date set by the Commissioner that is later than the date referred to in paragraph (a).
1D: Despite subsection (1), for a person that section 120KBB section 120KBB(3) the date. Subsection (1E) applies to the final instalment
1E: Despite subsection (1), for a person that section 120KBB
2: In subsection (1)— Commissioner-set instalment date section 119(4)﻿(a) provisional tax paid
a: paid in excess of the amount of provisional tax payable on any earlier instalment date or Commissioner-set instalment date for that tax year
b: not credited to the amount of provisional tax payable on any earlier instalment date or Commissioner-set instalment date for that tax year provisional tax payable
a: in respect of an instalment date and a taxpayer to whom section RC 10 Income Tax Act 2007
i: the amount calculated as payable under section RC 10 of that Act
ii: the amount calculated as payable under section RC 10 of that Act section RC 5 of that Act
aa: in respect of an instalment date and a taxpayer to whom sections RC 10 RC 21 Income Tax Act 2007
i: the amount calculated as payable under sections RC 10 RC 21
ii: the amount calculated as payable under sections RC 10 RC 21 item residual income tax section RC 10(2) of that Act
ab: for an instalment date and a taxpayer to whom section RC 11
i: the amount calculated under section RC 11
ii: the amount calculated as payable under section RC 11
b: in respect of a Commissioner-set instalment date, means the provisional tax payable on the Commissioner-set instalment date in accordance with section 119(4)﻿(a) Section 139C inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 139C(1) amended 1 April 2017 section 122(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139C(1B) inserted 1 October 2007 section 247(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 139C(1B)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139C(1C) inserted 1 October 2007 section 247(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 139C(1D) inserted 1 April 2017 section 122(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 139C(1D) amended 23 March 2020 section 231(1) section 231(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 139C(1E) inserted 23 March 2020 section 231(2) section 231(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 139C(2) provisional tax paid paragraph (a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139C(2) provisional tax paid paragraph (b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139C(2) provisional tax payable replaced 10 October 2000 section 73(1) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 139C(2) provisional tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139C(2) provisional tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139C(2) provisional tax payable amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139C(2) provisional tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139C(2) provisional tax payable amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139C(2) provisional tax payable inserted 10 October 2000 section 73(1) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 139C(2) provisional tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139C(2) provisional tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139C(2) provisional tax payable amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139C(2) provisional tax payable amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 139C(2) provisional tax payable amended 1 October 2007 section 247(3)﻿(c) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 139C(2) provisional tax payable amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 139C(2) provisional tax payable inserted 19 December 2007 section 245(1) Taxation (Business Taxation and Remedial Matters) Act 2007
140: Where another person withholds RWT
For the purposes of determining a person’s liability to pay a late payment penalty, the person is treated as having withheld or accounted for an amount of tax if—
a: they are liable to pay the late payment penalty for—
i: not withholding resident withholding tax (RWT) under the RWT rules; or
ii: not accounting for RWT under the RWT rules; and
b: they can satisfy the Commissioner that another person, under the RWT rules,—
i: withheld the RWT; or
ii: accounted for the RWT. Section 140 replaced 1 April 2008 section ZA 2 Income Tax Act 2007
140A: Underestimation penalty where income tax underestimated as at final instalment date
Section 140A repealed 23 September 1997 section 91 Taxation (Remedial Provisions) Act 1997
140B: Imputation penalty tax payable where end of year debit balance
1: A company that is liable to pay further income tax under section OB 65 or imputation additional tax section OB 72
2: The amount of the imputation penalty tax payable by a company is 10% of the amount of—
a: further income tax that gives rise to the liability for further imputation penalty tax:
b: imputation additional tax
3: The amount given by subsection (2) for the year ending 31 March 2010 is reduced by the amount of imputation penalty tax payable under section 140BB Section 140B inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 140B(1) amended 1 April 2017 section 338 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 140B(1) amended 6 October 2009 section 674(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 140B(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 140B(1) amended 21 June 2005 section 146(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 140B(2) replaced 21 June 2005 section 146(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 140B(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 140B(3) inserted 19 December 2007 section 246(1) Taxation (Business Taxation and Remedial Matters) Act 2007
140BB: Transitional imputation penalty tax payable in some circumstances
Section 140BB repealed 1 October 2010 section 43 Taxation (Budget Measures) Act 2010
140C: Transitional imputation penalty tax payable in some circumstances
Section 140C repealed 17 July 2013 section 117 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013
140CA: Transitional FDP penalty tax payable in some circumstances
Section 140CA repealed 6 October 2009 section 678(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
140CB: Maori authority distribution penalty tax payable where end of year debit balance
1: A Maori authority that is liable to pay further income tax under sections OK 21 OK 22
2: The amount of the Maori authority distribution penalty tax is 10% of the amount of further income tax that gives rise to the liability for the Maori authority distribution penalty tax. Section 140CB inserted 26 March 2003 section 121(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 140CB(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007
140D: Application of other provisions of Act to imputation penalty tax and dividend withholding payment penalty tax
Section 140D repealed 1 April 2008 section ZA 2 Income Tax Act 2007
140DB: Application of other provisions of Act to Maori authority distribution penalty tax
Section 140DB repealed 1 April 2008 section ZA 2 Income Tax Act 2007
141: Tax shortfalls
1: Tax shortfalls are to be calculated by the Commissioner in accordance with this section unless otherwise specified in a provision of an Inland Revenue Act
2: A tax shortfall calculation is required each time a taxpayer is liable to pay a shortfall penalty , subject to sections 141AA(1) 141EE(4)
3: A separate tax shortfall calculation is required—
a: for each return period; and
b: for each tax type; and
c: for each tax position taken by a taxpayer.
4: Each tax deemed to be another tax is a separate tax type.
5: If, in a return period—
a: a taxpayer is liable to pay 1 or more shortfall penalties in respect of the same tax type; and
b: the taxpayer's liability to the tax is overstated in 1 or more respects— the tax shortfall for a tax type shall be calculated by—
c: setting off the tax effects of the overstatements against the understatement, in the case of 1 tax shortfall; and
d: setting off the tax effects of the overstatements prorated against the understatements, in the case of more than 1 tax shortfall.
6: If—
a: a taxpayer's tax position in respect of a tax type (in this subsection referred to as tax one
b: as a result or consequence of the adjustment, the Commissioner also adjusts the taxpayer's tax position in respect of another type of tax (in this subsection referred to as tax two the Commissioner may, for the purpose of imposing a penalty, treat an amount up to the refund, or increased refund, of tax two as though it were tax one paid by the taxpayer in the return period, and in so doing reduce the tax shortfall for tax one.
7: If—
a: a taxpayer's tax position in respect of a tax type in a return period is adjusted by the Commissioner, and the tax effect of the adjustment is a tax shortfall; and
b: linked to the adjustment, the Commissioner adjusts another taxpayer's tax position in respect of the same tax type in the same return period, and the tax effect of the further adjustment is an entitlement to a refund or an increased refund of tax or a reduction in tax to pay
c: the 2 taxpayers are associated persons,— the Commissioner may, for the purpose of imposing a penalty, treat an amount up to the refund, or increased refund, or reduction,
7B: The Commissioner may exercise the discretion under subsection (7) in relation to a taxpayer and an associated person having a different return period if—
a: subsection (7) would apply to the taxpayer in the absence of this subsection if the associated person's return period were the same as the taxpayer's return period; and
b: the taxpayer's return period affected by the adjustment referred to in subsection (7)﻿(a) overlaps the associated person's return period affected by the adjustment referred to in subsection (7)﻿(b); and
c: the taxpayer's tax position is not an abusive tax position and does not involve evasion or a similar act.
7C:
7D:
8: The Commissioner may treat the companies in a wholly-owned group as if they were a single taxpayer for the purposes of determining a tax shortfall.
9: If, in the application of subsection (6),
10: If—
a: in a return period, a taxpayer takes a taxpayer's tax position—
i: in respect of, or as a consequence of entering into, an arrangement; or
ii: in respect of an article, item, or matter; and
b: in the same return period, the taxpayer takes a similar or identical taxpayer's tax position—
i: in respect of, or as a consequence of entering into, a similar or identical arrangement; or
ii: in respect of a similar or identical article, item, or matter,— the tax shortfalls arising from the taxpayer's tax positions are to be aggregated and deemed to be 1 tax shortfall.
11:
12: The tax effect of a tax position taken by a taxpayer in a return period is to be calculated having regard to—
a: the marginal rate or rates of tax applicable to the taxpayer during the return period; and
b: where the taxpayer has no tax to pay in the return period, the rate of tax or lowest marginal rate of tax that would apply to the taxpayer during the return period, if the taxpayer had tax to pay.
12A: Where a life insurer derives policyholder income in a tax year sections 141A to 141EB underwriting result in the formula in section EY 43(1)
13: In this section, tax
14: For the purposes of determining the amount of a tax shortfall in relation to an instalment date and a provisional taxpayer other than a date and taxpayer using the AIM method,
a: the lesser of—
i: the amount of provisional tax payable on the instalment date if an estimate had not applied at that instalment date; and
ii: the amount that would have been payable on that instalment date if the taxpayer's provisional tax payable for the tax year tax year
b: the amount of provisional tax payable on that instalment date as determined by the estimate applying as at that instalment date. Section 141 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141(1) amended 31 March 2023 section 197(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 141(2) amended 30 March 2022 section 214 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 141(2) amended 21 December 2004 section 125(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 141(3) replaced 23 September 1997 section 92(1) Taxation (Remedial Provisions) Act 1997 Section 141(5) replaced 23 September 1997 section 92(2) Taxation (Remedial Provisions) Act 1997 Section 141(7) amended 1 April 2008 section 250(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141(7)﻿(b) amended 1 April 2008 section 250(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141(7)﻿(c) replaced 1 April 2010 section 679(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 141(7B) inserted 1 April 2008 section 250(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141(7C) repealed 31 March 2023 section 197(2) section 197(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 141(7D) repealed 31 March 2023 section 197(2) section 197(3) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 141(9) amended 23 September 1997 section 92(3) Taxation (Remedial Provisions) Act 1997 Section 141(11) repealed 24 October 2001 section 227(1) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 141(12A) inserted 26 July 1996 Taxation (Core Provisions) Act 1996 Section 141(12A) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141(12A) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 141(12A) amended 26 March 2003 section 123(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141(14) inserted 23 September 1997 section 92(4) Taxation (Remedial Provisions) Act 1997 Section 141(14) amended 1 April 2018 section 59(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 141(14)﻿(a)﻿(ii) amended 1 April 2005 section YA 2 Income Tax Act 2004
141AA: Shortfall penalty if non-resident contractor relieved from all liability to pay tax on contract payment
1: If a person makes a schedular payment each month
a: for which the person is required to deliver to the Commissioner employment income information
b: in which the person fails to withhold an amount of tax that is required
2: A person who is liable to pay a shortfall penalty under subsection (1) is not liable to pay a shortfall penalty based on the tax shortfall that, but for this section, would be calculated under section 141 amount of tax required to be withheld
3: The liability under subsection (1) of a person is limited to a total of $1,000 for each month employment income information Section 141AA inserted 21 December 2004 section 126(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 141AA(1) amended 1 April 2019 section 354(a) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141AA(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141AA(1)﻿(a) amended 1 April 2019 section 354(b) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141AA(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141AA(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141AA(3) amended 1 April 2019 section 354(a) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141AA(3) amended 1 April 2019 section 354(b) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
141A: Not taking reasonable care
1: A taxpayer is liable to pay a shortfall penalty if the taxpayer does not take reasonable care in taking a taxpayer's tax position not taking reasonable care
2: The penalty payable for not taking reasonable care is 20% of the resulting tax shortfall.
2B: A taxpayer who, in taking a tax position, relies on an action or advice of a tax advisor engaged by the taxpayer, or by a company in the same group of companies as the taxpayer, takes reasonable care in relying on the action or advice except if the taxpayer—
a: is the employer of the tax advisor:
b: does not provide to the tax advisor adequate information relating to the tax position:
c: does not provide to the tax advisor adequate instructions relating to the tax position:
d: has reason to believe that the action or advice is incorrect:
e: has previously, for a period ending less than 4 years before the beginning of the period to which the tax position relates, had a tax shortfall for the same type of tax arising from a corresponding tax position and does not take reasonable care to avoid the further tax shortfall.
3: A taxpayer who takes an acceptable tax position
4: Subsection (3) and section 141B(1B)
5: Section 141A inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141A(1) amended 23 September 1997 section 93(1) Taxation (Remedial Provisions) Act 1997 Section 141A(2B) inserted 1 April 2008 section 251(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141A(3) replaced 23 September 1997 section 93(2) Taxation (Remedial Provisions) Act 1997 Section 141A(3) amended 26 March 2003 section 124(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141A(4) inserted 26 March 2003 section 124(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141A(5) repealed 24 February 2016 section 267 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
141B: Unacceptable tax position
1: A taxpayer takes an unacceptable tax position if, viewed objectively, the tax position fails to meet the standard of being about as likely as not to be correct.
1B: A taxpayer does not take an unacceptable tax position merely by making a mistake in the calculation or recording of numbers used in, or for use in preparing, a return
1C: A taxpayer does not take an unacceptable tax position if—
a: the taxpayer adopts IFRSs for the purposes of financial reporting before the 2007–08 income year; and
b: the taxpayer's tax position relates to a period—
i: starting on and including the first day of the first income year for which a person adopts IFRSs for the purposes of financial reporting; and
ii: finishing on and including the last day of the 2006–07 income year; and
c: a tax shortfall for a return period in the period described in paragraph (b) arises from actual or potential accounting under IFRSs; and
d: the tax shortfall is due to an application of IFRSs which, if viewed objectively, passes the standard of being about as likely as not to represent acceptable accounting practice under IFRSs; and
e: the taxpayer has fully disclosed the IFRS-related tax position.
1D: A taxpayer does not take an unacceptable tax position to the extent to which they have taken their position because they have relied on a Commissioner's official opinion.
1E: A taxpayer does not take an unacceptable tax position merely by using the AIM method and an approved AIM provider’s AIM-capable accounting system.
1F: Subsection (1E) does not apply for a taxpayer that—
a: is approved under section 124ZE
b: uses a large business AIM-capable system.
2: A taxpayer is liable to pay a shortfall penalty if the taxpayer takes an unacceptable tax position in relation to income tax as defined in section YA 1 section RA 2
a: $50,000:
b: 1% of the taxpayer's total tax figure for the relevant return period.
3: For the purposes of this section, a taxpayer's total tax figure is—
a: the amount of tax paid or payable by the taxpayer in respect of the return period for which the taxpayer takes the taxpayer's tax position before , in the case of income tax,
b: where the taxpayer has no tax to pay in respect of the return period, an amount equal to the product of—
i: the net loss of the taxpayer in respect of the return period, ascertained in accordance with the provisions of the Income Tax Act 2007
ii: the basic rate of income tax for companies in the relevant return period,— that is shown as tax paid or payable, or as net losses of the taxpayer, or as a refund to which the taxpayer is entitled, in a tax return provided
4: Where subsection (2) applies, the shortfall penalty payable is 20% of the resulting tax shortfall.
5: For the purposes of this section, the question whether any tax position
6: The time at which a taxpayer takes a tax position for a return period is—
a: the time at which the taxpayer provides the return containing the taxpayer's tax position, if the taxpayer provides a tax return for the return period:
b: the due date for providing the tax return for the return period, if the taxpayer does not provide a tax return for the return period.
7: The matters that must be considered in determining whether the taxpayer has taken an unacceptable tax position include—
a: the actual or potential application to the tax position of all the tax laws that are relevant (including specific or general anti-avoidance provisions); and
b: decisions of a court or a Taxation Review Authority on the interpretation of tax laws that are relevant (unless the decision was issued up to 1 month before the taxpayer takes the taxpayer's tax position).
8: For the purpose of determining whether the resulting tax shortfall is in excess of the amounts specified in subsection (2)
a: a tax return provided by—
i: a partnership; or
ib: a look-through company; or
ii: any other group of persons that derive or incur amounts jointly or that are assessed together,— is to be treated as if it were a tax return of every taxpayer who is a partner in the partnership, effective look-through interest holder for the look-through company,
b: the tax rate in a return period applying to a partnership or a look-through company
9: The amounts or the percentage specified in subsection (2) may be varied from time to time by the Governor-General by Order in Council.
10: An order under subsection (9) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 141B inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141B heading replaced 26 March 2003 section 125(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141B(1) replaced 26 March 2003 section 125(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141B(1B) inserted 26 March 2003 section 125(3) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141B(1B) amended 1 April 2008 section 252(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141B(1C) inserted 19 December 2007 section 252(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141B(1D) inserted 7 September 2010 section 171(1) Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 141B(1E) inserted 1 April 2018 section 60(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 141B(1F) inserted 1 April 2018 section 60(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 141B(1F)﻿(a) amended 18 March 2019 section 96 section 97 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 141B(2) replaced 1 April 2008 section 252(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141B(2) amended 30 June 2014 section 170(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 141B(3) amended 23 September 1997 section 94(2) Taxation (Remedial Provisions) Act 1997 Section 141B(3) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 141B(3)﻿(a) amended 23 September 1997 section 94(3) Taxation (Remedial Provisions) Act 1997 Section 141B(3)﻿(b) replaced 1 April 2008 section 252(4) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141B(5) amended 21 June 2005 section 147(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 141B(6) replaced 21 June 2005 section 147(2) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 141B(7) amended 26 March 2003 section 125(5) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141B(8) amended 6 October 2009 section 680(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 141B(8)﻿(a)﻿(ib) inserted 1 April 2011 section 158(1) Taxation (GST and Remedial Matters) Act 2010 Section 141B(8)﻿(a) proviso amended 1 April 2011 section 158(2) Taxation (GST and Remedial Matters) Act 2010 Section 141B(8)﻿(a)﻿(ii) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 141B(8)﻿(b) amended 1 April 2011 section 158(3) Taxation (GST and Remedial Matters) Act 2010 Section 141B(8)﻿(b) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 141B(10) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
141C: Gross carelessness
1: A taxpayer is liable to pay a shortfall penalty if the taxpayer is grossly careless in taking a taxpayer's tax position gross carelessness
2: The penalty payable for gross carelessness is 40% of the resulting tax shortfall.
3: For the purposes of this Part, gross carelessness
4: A taxpayer who takes an acceptable tax position Section 141C inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141C(1) amended 23 September 1997 section 95(1) Taxation (Remedial Provisions) Act 1997 Section 141C(4) inserted 23 September 1997 section 95(2) Taxation (Remedial Provisions) Act 1997 Section 141C(4) amended 26 March 2003 section 126(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
141D: Abusive tax position
1: The purpose of this section is to penalise those taxpayers who, having taken an unacceptable tax position
2: A taxpayer is liable to pay a shortfall penalty if the taxpayer takes an abusive tax position (referred to as an abusive tax position
3: The penalty payable for taking an abusive tax position is 100% of the resulting tax shortfall.
3B: The penalty payable for taking an abusive tax position is reduced to 20% of the resulting tax shortfall if—
a: the taxpayer is a party to an arrangement to which section 141EB
b: the sum of the tax shortfall from the arrangement for the taxpayer and the tax shortfalls from the arrangement for persons with whom the taxpayer is associated is less than $50,000; and
c: the taxpayer has independent advice stating that the taxpayer's tax position is not an abusive tax position.
4: This section applies to a taxpayer if the taxpayer has taken an unacceptable tax position.
5: Section 141B(6)
6: A taxpayer's tax position may be an abusive tax position if the tax position is an incorrect tax position under, or as a result of, either or both of—
a: a general tax law; or
b: a specific or general anti-avoidance tax law.
7: For the purposes of this Part and section 177C abusive tax position
a: is an unacceptable tax position at the time at which the tax position is taken; and
b: viewed objectively, the taxpayer takes—
i: in respect, or as a consequence, of an arrangement that is entered into with a dominant purpose of avoiding tax, whether directly or indirectly; or
ii: where the tax position does not relate to an arrangement described in subparagraph (i), with a dominant purpose of avoiding tax, whether directly or indirectly. Section 141D inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141D(1) amended 26 March 2003 section 127(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141D(3B) inserted 26 March 2003 section 127(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141D(3B)﻿(b) replaced 1 April 2010 section 681 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 141D(4) replaced 1 April 2008 section 253(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141D(7) amended 17 October 2002 section 90(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 141D(7)﻿(a) replaced 26 March 2003 section 127(4) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
141E: Evasion or similar act
1: A taxpayer is liable to pay a shortfall penalty if, in taking a tax position, the taxpayer—
a: evades the assessment or payment of tax by the taxpayer or another person under a tax law; or
b: knowingly applies or permits the application of the amount of a deduction or withholding of tax made or deemed to be made under a tax law for any purpose other than in payment to the Commissioner; or
c: knowingly does not make a deduction, withholding of tax, or transfer of payroll donation required to be made by a tax law; or
d: obtains a refund or payment of tax, knowing that the taxpayer is not lawfully entitled to the refund or payment under a tax law; or
da: attempts to obtain a refund or payment of tax, knowing that the taxpayer is not lawfully entitled to the refund or payment under a tax law; or
e: enables another person to obtain a refund or payment of tax, knowing that the other person is not lawfully entitled to the refund or payment under a tax law; or
f: attempts to enable another person to obtain a refund or payment of tax, knowing that the other person is not lawfully entitled to the refund or payment under a tax law— (referred to as evasion or a similar act
2: No person shall be chargeable with a shortfall penalty under subsection (1)﻿(b) if that person satisfies the Commissioner that the amount of the deduction or withholding
2B: No person shall be chargeable with a shortfall penalty under subsection (1)﻿(b) for taking a tax position if the person is chargeable with a shortfall penalty under section 141ED
3: If a taxpayer enables or attempts to enable
4: The penalty payable for evasion or a similar act described in subsection (1) is 150% of the resulting tax shortfall. Section 141E inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141E(1)﻿(c) replaced 6 October 2009 section 682 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 141E(1)﻿(da) inserted 27 March 2001 section 52(1) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 141E(1)﻿(e) amended 27 March 2001 section 52(2) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 141E(1)﻿(f) inserted 27 March 2001 section 52(2) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 141E(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141E(2B) inserted 1 April 2008 section 254(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141E(3) amended 27 March 2001 section 52(3) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001
141EA: Shortfall penalty and provisional tax
Despite sections 141A to 141E
a: the taxpayer pays by the instalment date the amount, determined using the GST ratio, of the instalment but underpays their annual liability:
b: the taxpayer pays by the instalment date the amount, determined using the GST ratio, of the instalment but the GST ratio is changed after the instalment date by a reassessment of their residual income tax. Section 141EA inserted 1 October 2007 section 251(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006
141EB: Promoter penalties
1: The promoter of an arrangement is liable to a promoter penalty if—
a: a taxpayer becomes a party to the arrangement and a shortfall penalty for an abusive tax position is imposed on the taxpayer as a result of the arrangement; and
b: the arrangement is offered, sold, issued or promoted to 10 or more persons in a tax year
2: For the purpose of subsection (1)﻿(b), an arrangement is treated as being offered, sold, issued or promoted to 10 or more persons if 10 or more persons claim tax-related benefits as a result of the arrangement.
3: An arrangement is treated as being offered, sold, issued or promoted to all owners of an effective look-through interest for a look-through company (the LTC the LTC
4: The amount of the promoter penalty is the greater of nil and the sum of tax shortfalls resulting from taking an abusive tax position on the arrangement, for which the promoter would have been liable if the promoter had—
a: been a party to the arrangement in the place of each party to the arrangement to whom the arrangement was offered, sold, issued or promoted; and
b: taken a tax position under which the arrangement is treated as producing
c: had the taxation-related characteristics that would, under the tax position referred to in paragraph (b), produce for the promoter the maximum taxation-related benefits from the arrangement.
5: A promoter who satisfies paragraph (a) of the definition of promoter in section 141EC
a: jointly and severally with the other such promoters of the arrangement, for the whole promoter penalty:
b: jointly and severally with each promoter of the arrangement who is liable for part of the promoter penalty under subsection (6), for the part of the promoter penalty for which the other promoter is liable.
6: A promoter who does not satisfy paragraph (a) of the definition of promoter in section 141EC Section 141EB inserted 26 March 2003 section 128(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141EB(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 141EB(3) amended 30 June 2014 section 171(1)﻿(a) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 141EB(3) amended 30 June 2014 section 171(1)﻿(b) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 141EB(4)﻿(b) amended 25 November 2003 section 129(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003
141EC: Definition of promoter
1: In sections 91FC 91FD 141EB promoter
a: a person who is a party to, or is significantly involved in formulating, a plan, software,
b: a person who is aware of material and relevant aspects of the arrangement and who sells, issues or promotes the selling or issuing of, the arrangement, whether or not for remuneration :
c: a person who provides services on a contingency fee basis in relation to research and development tax credit claims.
2: For the purpose of subsection (1), promoter Section 141EC inserted 26 March 2003 section 128(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141EC(1) amended 7 September 2010 section 172 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 Section 141EC(1)﻿(a) amended 1 April 2019 section 36(1)﻿(a) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 141EC(1)﻿(a) amended 1 April 2019 section 36(1)﻿(b) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 141EC(1)﻿(b) amended 1 April 2019 section 36(2) section 3 Taxation (Research and Development Tax Credits) Act 2019 Section 141EC(1)﻿(c) inserted 1 April 2019 section 36(2) section 3 Taxation (Research and Development Tax Credits) Act 2019
141ED: Penalty for unpaid amounts of employers’ withholding payments
1: A taxpayer is liable to pay a shortfall penalty (the employers’ withholding payment penalty
a: the taxpayer—
i: provides employment income information to the Commissioner under subpart 3C
ii: is required to pay to the Commissioner an amount of tax (the required amount section RD 4(1)
iii: fails to pay some or all of the required amount (the unpaid amount
b: the Commissioner, after the due date for the payment of the required amount, gives the taxpayer notice (the Commissioner’s notice
i: that the taxpayer is liable to pay a penalty for failing to pay the unpaid amount by the due date and of how the penalty is calculated; and
ii: of the circumstances in which further penalties will be imposed and of how a further penalty will be calculated; and
iii: of actions that the taxpayer may take to avoid the imposition of further penalties; and
c: subsection (3) does not apply to the taxpayer.
1B: This section and sections 139A 139B
a: has either 2 or fewer employees present in New Zealand during the income year or pays $500,000 or less of employment-related taxes for the income year; and
b: has, within 60 days of a relevant failure to withhold and pay, or pay, taken reasonable measures to manage their employment-related tax obligations.
2: Before giving to the taxpayer the first Commissioner's notice in relation to the required amount
3: A taxpayer is not liable to pay an employers’ withholding payment penalty
a: the taxpayer is a receiver or liquidator—
i: appointed after the end of the month in which the employment income information is provided to the Commissioner; and
ii: having insufficient funds available to pay the unpaid amount:
ab: during the period, the taxpayer is negotiating an instalment arrangement with the Commissioner to pay the unpaid amount:
b: the taxpayer—
i: agrees with the Commissioner, before the penalty date under subsection (4) for the due amount, to an instalment arrangement (the instalment arrangement section 177B
ii: pays the unpaid amount under the instalment arrangement.
4: An employers’ withholding payment penalty payable penalty date
a: the date of the Commissioner's notice, if the penalty is the first penalty in relation to the required amount
b: 1 month after the penalty date for the preceding penalty, if paragraph (a) does not apply.
5: The amount of the employers’ withholding payment penalty
a: 10% of the unpaid amount on the day before the penalty date, if the taxpayer—
i: fails to agree to an instalment arrangement with the Commissioner before the day that is 1 month after the penalty date; and
ii: fails to pay the unpaid amount before the day that is 1 month after the penalty date; or
b: 10% of the unpaid amount on the day before the penalty date, if the taxpayer—
i: agrees to an instalment arrangement with the Commissioner before the penalty date; and
ii: fails to comply with the instalment arrangement before the day that is 1 month after the penalty date; or
c: 5% of the unpaid amount on the day before the penalty date, if—
i: the taxpayer pays the unpaid amount, or agrees to an instalment arrangement with the Commissioner, after the penalty date and before the day that is 1 month after the penalty date; and
ii: paragraph (b) does not apply.
5B: For the purposes of subsection (5), if the required amount the employment income information
5C: An amount paid by the taxpayer or applied by the Commissioner on account of the taxpayer in relation to the taxpayer's liability to pay unpaid tax and a penalty under this section must first be applied towards payment of the penalty.
6: A taxpayer may be liable to pay more than 1 employers’ withholding payment penalty arising from the employment income information
7: The maximum amount of penalties under this section that may be imposed is 150% of the required amount
8: If the penalty date for a penalty would, in the absence of this subsection, be a date in a month that does not exist in the month, the penalty date is the date of the last day in the month. Section 141ED inserted 1 April 2008 section 255(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141ED heading replaced 1 April 2019 section 355(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(1) replaced 1 April 2019 section 355(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(1B) inserted 1 April 2023 section 198 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 141ED(2) amended 1 April 2019 section 355(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(3) amended 1 April 2019 section 355(4)﻿(a) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(3)﻿(a)﻿(i) replaced 1 April 2019 section 355(4)﻿(b) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(3)﻿(ab) inserted 6 October 2009 section 683(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 141ED(4) amended 1 April 2019 section 355(5)﻿(a) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(4)﻿(a) amended 1 April 2019 section 355(5)﻿(b) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(5) amended 1 April 2019 section 355(6) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(5B) inserted 6 October 2009 section 683(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 141ED(5B) amended 1 April 2019 section 355(7)﻿(a) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(5B) amended 1 April 2019 section 355(7)﻿(b) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(5C) inserted 6 October 2009 section 683(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 141ED(6) amended 1 April 2019 section 355(8) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 141ED(7) amended 1 April 2019 section 355(9) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
141EE: Penalty for acquiring or possessing electronic sales suppression tools
1: This section applies to a person who—
a: is required by a tax law to make or keep records; and
b: knowingly acquires, or has possession or control of an electronic sales suppression tool (the suppression tool
c: has a purpose in relation to the suppression tool of evading the assessment or payment of tax under a tax law, whether by them or by another person.
2: This section does not apply when the person—
a: acquires a business whose operations include the use of the suppression tool or the right to use it; and
b: could not reasonably be expected to be aware of the existence of the suppression tool in the business; and
c: has not used the suppression tool in the business.
3: The person is liable to pay an electronic sales suppression penalty of $5,000.
4: For the purposes of the imposition of a penalty under subsection (3), a person to whom this section applies is liable to pay a single penalty for all related tax types and periods. A further penalty may be imposed for a later period of time for the continued possession or control of, or right to use, the suppression tool.
5: For the purposes of subsection (1)﻿(c), and without limiting the provision, a person is treated as meeting the purpose test if they have used the suppression tool to evade the assessment or payment of tax. Section 141EE inserted 30 March 2022 section 215 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
141F: Commissioner to determine portions in which shortfall penalty payable by taxpayer and officers of taxpayer
1: If—
a: a taxpayer is required to make or account for a deduction or withholding of tax under a tax law; and
b: an officer of the taxpayer fails to make a deduction or withholding of tax under a tax law or applies or permits to be applied the amount of the deduction or withholding of tax other than in payment to the Commissioner,— 1 shortfall penalty, calculated in accordance with this Part, may be imposed in respect of each tax position taken by the taxpayer.
2: If the Commissioner determines that a shortfall penalty is required to be imposed, the Commissioner may determine the portion that each of the taxpayer and the officers is to be liable for that penalty having regard to—
a: the acts or omissions of the taxpayer and the officers; and
b: whether those acts or omissions were reasonable in the circumstances of the case. Section 141F replaced 23 September 1997 section 96 Taxation (Remedial Provisions) Act 1997
141FB: Reduction of penalties for previous behaviour
1: A shortfall penalty (called the current penalty section 141E
a: convicted of an offence that is a disqualifying offence:
b: liable for another shortfall penalty that is a disqualifying penalty for the purpose of this subsection.
2: A shortfall penalty (called the current penalty sections 141A to 141D
a: convicted of an offence that is a disqualifying offence:
b: liable for another shortfall penalty that is a disqualifying penalty for the purpose of this subsection.
3: For the purpose of this section— disqualifying offence
a: an offence under section 143A 143B 143F 143G 143H 145
i: on or after 26 March 2003; and
ii: before the taxpayer takes the tax position to which the current penalty relates:
b: an offence under section 143 144
i: on or after 26 March 2003; and
ii: after the date that precedes, by the period specified in subsection (4), the date on which the taxpayer takes the tax position to which the current penalty relates; and
iii: before the taxpayer takes the tax position to which the current penalty relates disqualifying penalty
a: for the purpose of subsection (1), a shortfall penalty that—
i: relates to the type of tax to which the current penalty relates; and
ii: is for evasion or a similar act; and
iii: is not reduced for voluntary disclosure by the taxpayer; and
iv: relates to a tax position that is taken on or after 26 March 2003 and before the date on which the taxpayer takes the tax position to which the current penalty relates:
b: for the purpose of subsection (2), a shortfall penalty that—
i: relates to the type of tax to which the current penalty relates; and
ii: if the current penalty is—
A: for gross carelessness or taking an abusive tax position, is a shortfall penalty for evasion or a similar act or for gross carelessness or taking an abusive tax position:
B: for not taking reasonable care or taking an unacceptable tax position, is a shortfall penalty of any sort; and
iii: is not reduced for voluntary disclosure by the taxpayer; and
iv: relates to a tax position that is taken—
A: on or after 26 March 2003; and
B: after the date that precedes, by the period specified in subsection (4), the date on which the taxpayer takes the tax position to which the current penalty relates; and
C: before the date on which the taxpayer takes the tax position to which the current penalty relates.
4: The period referred to in the definitions of disqualifying offence and disqualifying penalty, in subsection (3), and in subsection (5) is—
a: 2 years, if the current penalty relates to—
i: the taxpayer's application of the PAYE rules:
ii: FBT:
iii: GST:
iv: RWT:
b: 4 years, if the period is not given by paragraph (a).
5: For the purpose of subsections (1) and (2)
a: the Commissioner becomes aware of both tax shortfalls as a consequence of a single investigation or voluntary disclosure; and
b: the taxpayer—
i: takes both tax positions on the same date:
ii: is not liable for a shortfall penalty at any time in the period specified in subsection (4) that ends on the earliest date on which the taxpayer takes a tax position that gives rise to a tax shortfall of which the Commissioner becomes aware as a consequence of the investigation or disclosure to which paragraph (a) refers.
6: Despite subsection (1), no reduction in the amount payable is allowed when an electronic sales suppression penalty is imposed under section 141EE(3)
a: who is liable to a penalty under section 141E(1)
b: whose use of an electronic sales suppression tool contributes to the evasion or similar act. Section 141FB replaced 21 December 2004 section 127 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 141FB(4)﻿(a)﻿(ii) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141FB(4)﻿(a)﻿(iii) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141FB(4)﻿(a)﻿(iv) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141FB(5) amended 21 June 2005 section 148 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 141FB(6) inserted 30 March 2022 section 216 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
141FC: Loss attributing qualifying companies—reduction of shortfall penalties
Section 141FC repealed 21 December 2004 section 128(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004
141FD: Shareholders of
loss-attributing qualifying companies Section 141FD repealed 30 June 2014 section 172(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014
141G: Reduction in penalty for voluntary disclosure of tax shortfall
1: A shortfall penalty payable by a taxpayer under any of sections 141A to 141EB
a: before the taxpayer is first notified of a pending tax audit or investigation (referred to in this section as pre-notification disclosure
b: after the taxpayer is notified of a pending tax audit or investigation, but before the Commissioner starts the audit or investigation (referred to in this section as post-notification disclosure
2: The Commissioner may from time to time—
a: specify the information required for a full voluntary disclosure; and
b: the form in which it must be provided.
3: The level by which the shortfall penalty is reduced—
a: for pre-notification disclosure is—
i: 100%, if the shortfall penalty is for not taking reasonable care, for taking an unacceptable tax position, or for an unacceptable interpretation; or
ii: 75%, if subparagraph (i) does not apply:
b: for post-notification disclosure is 40%.
4: A taxpayer is deemed to have been notified of a pending tax audit or investigation, or that the tax audit or investigation has started, if—
a: the taxpayer; or
b: an officer of the taxpayer; or
c: a shareholder of the taxpayer, if the taxpayer is a close company; or
d: a tax adviser acting for the taxpayer; or
e: a partner in partnership with the taxpayer; or
f: a person acting for or on behalf of or as a fiduciary of the taxpayer,— is notified of the pending tax audit or investigation, or that the tax audit or investigation has started.
5: An audit or investigation starts at the earlier of—
a: the end of the first interview an officer of the department has with the taxpayer or the taxpayer's representative after the taxpayer receives the notice referred to in subsection (4); and
b: the time when—
i: an officer of the department inspects information (including books or records) of the taxpayer after the taxpayer receives the notice referred to in subsection (4); and
ii: the taxpayer is notified of the inspection. Section 141G inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141G(1) amended 26 March 2003 section 130(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141G(3)﻿(a) replaced 19 December 2007 section 256(1) Taxation (Business Taxation and Remedial Matters) Act 2007
141GB: Reduction of electronic sales suppression penalties
1: This section applies when a person—
a: is liable to pay an electronic sales suppression penalty imposed under section 141EE
b: discloses to the Commissioner details relating to the acquisition, possession, control, or use of the electronic sales suppression tool.
2: The penalty payable by the person may be reduced if, in the Commissioner’s opinion, the person has made a full disclosure of all the details relating to the suppression tool.
3: The disclosure referred to in subsection (1) may be either—
a: a pre-notification disclosure made before the person is notified of a pending tax audit or investigation; or
b: a post-notification disclosure made after the person is notified of a pending tax audit or investigation, but before the Commissioner starts the audit or investigation.
4: The level by which the penalty is reduced under subsection (2) is,—
a: for pre-notification disclosure, 100%:
b: for post-notification disclosure, 40%.
5: Section 141G(4) and (5)
a: whether a person has been notified of a pending tax audit or investigation; and
b: the time at which an audit or investigation starts.
6: The Commissioner may specify the information required for a full disclosure and the form in which it must be provided. Section 141GB inserted 30 March 2022 section 217 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
141H: Reduction for disclosure of unacceptable
tax position
1: A shortfall penalty payable by a taxpayer under section 141B section 141D
2: The level by which a shortfall penalty is to be reduced for adequate disclosure is 75%.
3: The Commissioner may from time to time specify—
a: the type of information required for adequate disclosure; and
b: the form in which the information must be provided. Section 141H inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141H heading amended 26 March 2003 section 131(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
141I: Reduction where temporary shortfall
1: A shortfall penalty payable by a taxpayer under any of sections 141A to 141EB
2: The level by which a shortfall penalty is to be reduced for a temporary tax shortfall is 75% of the penalty that applies to all or that part of the tax shortfall that is a temporary tax shortfall.
3: A tax shortfall is a temporary tax shortfall for the return period of a tax position if, when the Commissioner considers the assessment of a shortfall penalty, the Commissioner is satisfied that—
a: the tax shortfall has been or will be, in an earlier or later return period, permanently reversed or corrected—
i: before the end of the 4-year period beginning after the day on which the taxpayer took the tax position; and
ii: with the effect that the taxpayer pays or returns for the relevant return periods the correct total amount of tax, not including penalties and interest, in respect of the tax position; and
iii: as a result of actions taken by the taxpayer or by the operation of law or circumstances; and
b: no tax shortfall will arise in a later return period in respect of a similar tax position; and
c: no arrangement exists with the purpose or effect of creating for another return period a tax deferral or advantage related to the tax position. Section 141I inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141I(1) amended 26 March 2003 section 132(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141I(3) replaced 1 April 2008 section 257(1) Taxation (Business Taxation and Remedial Matters) Act 2007
141J: Limitation on reduction of shortfall penalty
1: This section applies to a shortfall penalty payable by a taxpayer if—
a: the taxpayer makes a voluntary disclosure; and
b: the shortfall penalty is payable in respect of a temporary tax shortfall; and
c: the shortfall penalty would be reduced under section 141G 141H
2: The shortfall penalty is reduced by—
a: 100%, if—
i: the shortfall penalty is for not taking reasonable care, for taking an unacceptable tax position, or for taking a tax position involving an unacceptable interpretation of a tax law; and
ii: the tax shortfall is voluntarily disclosed under section 141G
b: 75%, if paragraph (a) does not apply.
3: Section 141J(1) replaced 19 December 2007 section 258(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141J(2) inserted 19 December 2007 section 258(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 141J(3) repealed 6 October 2009 section 684(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
141JAA: Shortfall penalty for not taking reasonable care or for taking unacceptable tax position may not be more than $50,000
1: Despite section 141J if the taxpayer voluntarily discloses the shortfall under section 141G
a: the date that is 3 months after the due date of the return to which the shortfall relates; and
b: the date that follows the due date of the return to which the shortfall relates by the lesser of—
i: 1 return period; and
ii: 6 months.
2: This section does not apply if section 141K Section 141JAA inserted 26 March 2003 section 133(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141JAA(1) amended 21 December 2010 section 159 Taxation (GST and Remedial Matters) Act 2010
141JA: Application of Part 9 to non-filing taxpayers
Section 141JA repealed 23 March 2020 section 232 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
141JB: Application of Part 9 to PAYE intermediaries
1: The provisions relating to the late filing penalty, the late payment penalty and shortfall penalties apply to a person acting as a PAYE intermediary for an employer in relation to an employee and a pay period as if the person were the employer, unless the employer has failed for the pay period to—
a: pay to the person the salary or wages relating to the employee as required by sections RP 9 to RP 11
b: provide the information required by the person as required by section RP 8(b)
2: The provisions relating to the late filing penalty, the late payment penalty and shortfall penalties do not apply to a PAYE intermediary but continue to apply to the employer if an employer has not paid gross salary or wages to the intermediary or has not supplied the information required by the intermediary within the agreed time. Section 141JB inserted 26 March 2003 section 134(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 141JB(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 141JB(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007
141K: Increased penalty for obstruction
1: A shortfall penalty payable by a taxpayer under any of sections 141AA 141EB
2: The level by which a shortfall penalty may be increased for obstruction is 25%. Section 141K inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141K(1) amended 21 June 2005 section 149 Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005 Section 141K(1) amended 26 March 2003 section 135(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
141KB: Discretion to cancel some shortfall penalties
Section 141KB repealed 1 April 2008 section 259(1) Taxation (Business Taxation and Remedial Matters) Act 2007
141L: Duty of Commissioner to report on application of penalties
1: The Commissioner shall, as soon as practicable after the end of each financial year, notify the Minister by providing a report sections 141A to 141EB
2: The Minister shall, as soon as practicable, lay a copy of that report before the House of Representatives. Section 141L inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 141L(1) amended 2 June 2016 section 170 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 141L(1) amended 26 March 2003 section 136(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
142: Due date for payment of late filing penalty
1: Except in the case of employment income information or a return required by sections 16 to 18
a: the terminal tax date for the tax year
b:
c: for the reconciliation statement that is required by regulation 3 of the Accident Rehabilitation and Compensation Corporation Insurance (Earnings Definitions) Regulations 1992 or regulation 15 of the Accident Insurance (Premium Payment Procedures) Regulations 1999 or any successor to that regulation made under the Accident Compensation Act 2001 reconciliation statement; or
d: for an annual ICA return section 69(1) (2)﻿(a) by an Australian ICA company a tax year annual ICA return
e:
1A: The due date for the payment of a late filing penalty for failing to provide employment income information is 30 days after the end of the month in which the employer is required to deliver their employment income information to the Commissioner.
1B: The due date for the payment of a late filing penalty for a return required by sections 16 to 18
a: the 28th day of the second month following the end of the taxable period, if paragraphs (b) and (c) do not apply; or
b: the 15th day of February, if the month following the end of the taxable period is December; or
c: the 7th day of June, if the month following the end of the taxable period is April.
2: In subsection (1), annual tax return reconciliation statement section 139A Section 142 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 142(1) amended 1 April 2019 section 357(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 142(1) amended 1 April 2008 section 260(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 142(1) amended 7 October 1998 section 34(1)﻿(a) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 142(1)﻿(a) replaced 26 March 2003 section 137(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 142(1)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 142(1)﻿(b) repealed 26 March 2003 section 137(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 142(1)﻿(c) replaced 7 October 1998 section 34(1)﻿(c) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 142(1)﻿(c) amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 142(1)﻿(c) amended 25 November 2003 section 132 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 142(1)﻿(c) amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 142(1)﻿(d) replaced 25 November 2003 section 132 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 142(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 142(1)﻿(d) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 142(1)﻿(e) repealed 7 October 1998 section 34(1)﻿(c) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 142(1A) replaced 1 April 2019 section 357(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 142(1B) inserted 1 April 2008 section 260(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 142(2) amended 1 April 2019 section 357(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
142A: New due date for payment of tax that is not a penalty
1A: This section applies for the transitional period described in subsection (10).
1: Subsection (2) applies for a transfer concession tax type electronic default assessment section 106(2)
a: an assessment (the new assessment
b: an amended assessment (the increased assessment
ia: to which paragraph (a) does not apply; and
i: of an amount of tax exceeding the amount for which the taxpayer is liable immediately before the increased assessment; and
ii: made less than 30 days before, or on or after, the due date for the tax for which the taxpayer is liable immediately before the increased assessment.
1B:
2: The Commissioner must—
a: fix a date that is 30 or more days after the date of the notice of the assessment for the payment of—
i: the tax under a new assessment:
ii: the increase of tax under an increased assessment; and
b: give notice of the date to the taxpayer in the notice of the assessment.
3: Subsection (2) does
a: to any provisional tax that remains unpaid on an instalment date; or
ab:
b: if the Commissioner has notified the taxpayer before the due date for the payment of the tax that
c: if the Commissioner considers that setting a new due date may prejudice the Commissioner's ability to recover the tax or increased tax.
4: Subsections (5), (6), and (7) apply for a tax type that is not a transfer concession tax type if the Commissioner makes for a taxpayer, other than by an assessment (an electronic default assessment section 106(2)
a: an assessment (the new assessment
b: an amended assessment (the increased assessment
i: to which paragraph (a) does not apply; and
ii: of an amount of tax exceeding the amount for which the taxpayer is liable immediately before the increased assessment; and
iii: made less than 30 days before, or on or after, the due date for the tax for which the taxpayer is liable immediately before the increased assessment.
5: The date of the notice of the relevant assessment is the due date for the payment of—
a: the tax under a new assessment:
b: the increase of tax under an increased assessment.
6: Despite subsection (5),—
a: the Commissioner must fix a date (the collection date
b: the collection date must be 30 or more days after the due date set under subsection (5); and
c: the Commissioner must not take any action to collect the tax or increased tax before the collection date, other than under section RM 10(3) section 46(6)
7: The Commissioner must give notice, in the notice of assessment, of the collection date and that—
a: the Commissioner does not require payment of the tax or increased tax before the collection date; but
b: despite the collection date, any refund of tax that the taxpayer is entitled to may be credited against the tax or increased tax before the collection date, under section RM 10(3) section 46(6)
8: Subsections (5), (6), and (7) do not apply—
a: to any provisional tax that remains unpaid on an instalment date; or
b: if the Commissioner has notified the taxpayer before the due date for the payment of the tax that subsections (5), (6), and (7) will not apply in respect of the tax as calculated by the taxpayer, or in respect of an amount of tax estimated by the taxpayer; or
c: if the Commissioner considers that setting a collection date may prejudice the Commissioner’s ability to recover the tax or increased tax.
9: In this section,—
a: transfer concession tax type
b: tax
10: For the purposes of subsection (1), the transitional period is the period of co-existence of 2 Inland Revenue software platforms that starts on the date on which the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 section 142AB(5)
11: Section 142AB section 139B Section 142A inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 142A(1A) inserted 1 April 2018 section 358(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 142A(1) replaced 1 April 2008 section 261(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 142A(1) amended 21 February 2017 section 123(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142A(1) amended 30 June 2014 section 173(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 142A(1)﻿(a) replaced 30 June 2014 section 173(2) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 142A(1)﻿(b)﻿(ia) inserted 30 June 2014 section 173(3) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 142A(1B) repealed 1 April 2008 section 261(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 142A(2) replaced 1 April 2008 section 261(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 142A(3) amended 1 April 2008 section 261(2)﻿(a) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 142A(3)﻿(ab) repealed 30 June 2014 section 173(4) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 142A(3)﻿(b) amended 1 April 2008 section 261(2)﻿(b) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 142A(4) replaced 21 February 2017 section 123(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142A(5) replaced 21 February 2017 section 123(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142A(6) inserted 21 February 2017 section 123(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142A(7) inserted 21 February 2017 section 123(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142A(8) inserted 21 February 2017 section 123(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142A(9) inserted 21 February 2017 section 123(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142A(10) inserted 1 April 2018 section 358(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 142A(11) inserted 1 April 2018 section 358(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
142AB: New due date for new and increased assessments
1: This section applies, subject to the particular commencement dates for different tax types described in subsection (5), when the Commissioner makes either of the following assessments for a taxpayer, other than an assessment (a default assessment section 106(1)
a: an assessment (the new assessment
b: an amended assessment (the increased assessment
i: of an amount of tax that is more than the amount for which the taxpayer is liable immediately before the increased assessment; and
ii: made less than 30 days before, or on or after, the due date for the tax for which the taxpayer is liable immediately before the increased assessment; and
iii: that is not an increased assessment to a default assessment.
2: The Commissioner must—
a: fix a date that is 30 or more days after the date of the notice of the assessment for the payment of—
i: the tax under a new assessment:
ii: the increase of tax under an increased assessment; and
b: notify the taxpayer of the date in the notice of assessment.
3: Subsection (2) does not apply—
a: to an amount of provisional tax that remains unpaid on an instalment date; or
b: when the Commissioner has notified the taxpayer before the due date for the payment of the tax that subsection (2) will not apply to the tax as calculated by the taxpayer or to an amount of tax estimated by the taxpayer; or
c: when the Commissioner considers that setting a new due date may prejudice the Commissioner’s ability to recover the tax or increased tax.
4: In this section, tax
5: This section comes into force on a date appointed by the Governor-General by Order in Council, and 1 or more orders may be made appointing different dates for different tax types and for different purposes. To the extent to which it is not previously brought into force, this section comes into force on 1 April 2023.
6: For a tax type in relation to which an order is made under subsection (5), this section applies to a new assessment for the tax type or an increased assessment for the tax type and section 142A
7: An order under subsection (5) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 142AB inserted 1 April 2018 section 359 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 142AB section YA 1 brought into force 18 July 2019 clause 2 Taxation (New Due Date for New and Increased Assessments) Commencement Order 2019 Section 142AB brought into force 18 June 2018 clause 2 Taxation (New Due Date for New and Increased Assessments) Commencement Order 2018 Section 142AB(7) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
142AC: New due date for payment of terminal tax by certain individuals
1: This section applies when—
a: an individual ( person A
i: a tax credit under section LC 13
ii: an entitlement to a tax credit under the family scheme; and
b: person A has met their obligations, if any, under sections 22F(1) 41
c: person A’s pre-populated account for the tax year cannot be finalised under section 22H
d: person A’s pre-populated account for the tax year is finalised under section 22H
e: person A has terminal tax due for the tax year.
2: The assessment that person A would be treated as having made under section 22I(1) section 142AB Section 142AC inserted 1 April 2020 section 233(1) section 233(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020
142B: Due date for shortfall penalties
1: A shortfall penalty is due and payable—
a: if the tax shortfall is an amount of unpaid tax—
i: for which no new due date is set, on such date as the Commissioner notifies the taxpayer to be the due date for payment of the penalty (which date shall be not less than 30 days after the date on which the Commissioner issues the taxpayer with a notice of assessment for the penalty); or
ii: which has a new due date set under section 142A(2)
iii: which has a new due date set under section 142A(5)
b: in all other cases, on the date the Commissioner notifies the taxpayer to be the due date for payment of the penalty.
2:
3: A shortfall penalty that is an electronic sales suppression penalty under section 141EE Section 142B inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 142B(1)﻿(a)﻿(ii) replaced 21 February 2017 section 124 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142B(1)﻿(a)﻿(iii) inserted 21 February 2017 section 124 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 142B(2) repealed 1 April 2023 section 200 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 142B(3) inserted 30 March 2022 section 218 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
142C: Due date for payments by officers
The due date for payment of an amount payable by an officer under section 141F Section 142C inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
142D: Due date for repayment of excess refund or credit of tax
1: Where the Commissioner is satisfied that a credit of tax ( excess tax credit
a: the day specified by the Commissioner in the notice to the person requiring payment of the refund to the Commissioner; and
b: 30 days after the date of that notice.
2: If—
a: the Commissioner refunds too much tax to a taxpayer or credits a taxpayer with the payment of too much tax; and
b: a tax law provides for that tax to be repayable to the Commissioner on a set date or on a date to be specified by the Commissioner; and
c: the Commissioner considers that applying that tax law may prejudice the Commissioner's ability to recover that tax,— tax is repayable to the Commissioner on the date specified by the Commissioner in a notice to the taxpayer given under this section. Section 142D inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
142E: Due dates for payment of imputation penalty tax
1: Imputation penalty tax is due and payable on 20 June following the end of the tax year
2:
3: Section 142E inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 142E heading replaced 6 October 2009 section 686(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 142E(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 142E(2) repealed 6 October 2009 section 686(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 142E(3) repealed 23 September 1997 section 98 Taxation (Remedial Provisions) Act 1997
142F: Due date for payment of deferrable tax
Deferrable tax is due and payable on the day which is the 30th day after the last day of the relevant period of deferral. Section 142F inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
142G: Due date for payment of non-electronic filing penalties
A non-electronic filing penalty under section 139AA
a: for employment income information, 30 days after the end of the month in which the employer is required to provide to the Commissioner the information in the prescribed electronic form or by means of the prescribed electronic communication:
b: for GST purposes, 30 days after the end of the month in which the registered person is required to provide to the Commissioner the GST information in the prescribed electronic form or by means of the prescribed electronic communication:
c: for investment income information, 30 days after the end of the month in which the payer of investment income is required to provide to the Commissioner the information in the prescribed electronic form or by means of the prescribed electronic communication. Section 142G replaced 1 April 2019 section 360(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 142G(c) inserted 1 April 2020 section 360(3) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
142GB: Due date for payment of penalty by member of large multinational group
The due date for payment, by a member of a large multinational group, of a penalty under section 139AB Section 142GB inserted 1 July 2018 section 60 Taxation (Neutralising Base Erosion and Profit Shifting) Act 2018
142H: Failures of financial institutions to meet requirements under Part 11B and CRS applied standard
1: If a financial institution fails to meet a requirement under Part 11B
2: A financial institution is not liable to pay a penalty under subsection (1) for a failure that—
a: the financial institution proves is due to circumstances outside the control of the financial institution:
b: occurs before 1 July 2019, if the Commissioner is satisfied that the financial institution makes reasonable efforts to meet the requirement and reasonable efforts to correct the failure within a reasonable period of time after the financial institution becomes aware of the failure.
3: If a financial institution fails to meet a requirement under Part 11B
4: A financial institution is not liable to pay a penalty under subsection (3) for a failure that occurs before 1 July 2019 for an account if the Commissioner is satisfied that the financial institution makes reasonable efforts to meet the requirement and makes reasonable efforts to correct the failure for the account within a reasonable period of time after the financial institution becomes aware of the failure.
5: If a financial institution fails to take reasonable care to meet a requirement of a financial institution under Part 11B
a: $20,000 for the first failure:
b: $40,000 for each further failure.
6: The total amount of penalties for a reporting period for which a financial institution is liable must not exceed—
a: $10,000, for penalties under subsections (1) and (3):
b: $100,000, for penalties under subsection (5).
7: The due date for payment of a penalty imposed under this section is the later of—
a: 30 days after the date on which the Commissioner issues the notice of assessment for the penalty:
b: the date specified by the Commissioner in the notice of assessment as being the due date for payment of the penalty. Section 142H inserted 1 July 2017 section 17 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
142I: Failures to meet requirements under Part 11B to provide information, including self-certifications
1: This section applies to a person or entity (the information provider Part 11B
2: The information provider is liable to pay a penalty of $1,000 if the information provider—
a: provides false information, other than a self-certification, relating to the information provider:
b: signs or otherwise affirms a false self-certification for the information provider:
c: provides false information, other than a self-certification, relating to another person or entity:
d: provides a false self-certification for another person or entity:
e: fails to provide information, other than a self-certification, relating to the information provider within a reasonable time after receiving a request for which the information is required to be provided:
f: fails to sign, or otherwise affirm, and provide a self-certification relating to the information provider within a reasonable time after receiving a request for which the self-certification is required to be provided:
g: fails to provide information, other than a self-certification, relating to another person or entity within a reasonable time after receiving a request for which the information is required to be provided:
h: fails to provide a self-certification relating to another person or entity within a reasonable time after receiving a request obliging the self-certification to be provided:
i: after providing a person or entity with a self-certification or other information, fails to inform the person or entity of a material change in the circumstances relating to the self-certification or information within a reasonable time after the information provider becomes aware of the change.
3: An information provider is not liable to pay a penalty under subsection (2) for a failure to provide information, including a self-certification, within the control of the information provider, if the Commissioner is satisfied that the failure occurred through no fault of the information provider.
4: An information provider is not liable to pay a penalty under subsection (2) for a failure to provide information, including a self-certification, relating to another person or entity and not within the control of the information provider, if the Commissioner is satisfied that the information provider makes reasonable efforts to meet the requirement.
5: The due date for payment of a penalty imposed under this section is the later of—
a: 30 days after the date on which the Commissioner issues the notice of assessment for the penalty:
b: the date specified by the Commissioner in the notice of assessment as being the due date for payment of the penalty. Section 142I inserted 1 July 2017 section 17 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Criminal penalties Heading inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
143: Absolute liability offences
and strict liability offences
1: A person commits an offence against this Act if the person—
a: does not keep the documents
ab: fails to register with a foreign government agency as required by Part 11B
b: does not provide information (including tax returns and tax forms) to the Commissioner or any other person when required to do so by a tax law; or
ba: does not provide taxable supply information section 19K or 19L
c: does not apply for registration as required under section 51
d: claims, under section 20(3)
1B: No person who is a trustee of a foreign trust documents section 22
a: the person did not know of the requirements of section 22
b: another trustee section 22(2C)
1C: No person who is a trustee of a foreign exemption trust may be convicted of an offence against subsection (1)﻿(b) for not disclosing information required to be disclosed under section 59B 59D
2: No person may be convicted of an offence against subsection (1)﻿(b) for not providing information (other than tax returns and tax forms) to the Commissioner if the person proves that, as and when the person was required by the Commissioner to provide the information—
a: the person did not have the information in the person's knowledge, possession or control; and
b: no non-resident, who under section 17E(1)
2B: No person may be convicted of an offence against subsection (1)﻿(ab) if the relevant failure to register occurred through no fault of the person.
2C: No person may be convicted of an offence against subsection (1) if the requirement with which the person fails to comply is a requirement under the CRS applied standard and Part 11B
2D: No person may be convicted of an offence against subsection (1)﻿(d) if the person proves that the person, either or both,—
a: took reasonable care when claiming the amounts of input tax:
b: corrected, under section 113A
3: A person who is convicted of an offence against subsection (1) is liable—
a: the first time the person is convicted in relation to a particular type of offence, to a fine not exceeding $4,000:
b: the second time the person is convicted of the same type of offence, to a fine not exceeding $8,000:
c: on every other occasion the person is convicted of the same type of offence, to a fine not exceeding $12,000.
4: In this section and in sections 143A 143B tax return an individual’s final account under Part 3 subpart 3B Section 143 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 143 heading amended 30 March 2022 section 219(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143(1)﻿(a) amended 29 August 2011 section 182(1) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 143(1)﻿(ab) inserted 1 July 2014 section 174(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 143(1)﻿(ba) inserted 10 October 2000 section 75(1) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 143(1)﻿(ba) amended 1 April 2023 section 219(2)﻿(a) section 219(7) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143(1)﻿(ba) amended 1 April 2023 section 219(2)﻿(b) section 219(7) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143(1)﻿(c) amended 30 March 2022 section 219(3) section 219(6) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143(1)﻿(d) inserted 30 March 2022 section 219(4) section 219(6) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143(1B) inserted 1 October 2006 section 254 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 143(1B) amended 1 April 2023 section 202(1)﻿(a) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 143(1B) amended 29 August 2011 section 182(2) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 143(1B)﻿(b) amended 1 April 2023 section 202(1)﻿(b) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 143(1C) replaced 1 April 2023 section 202(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 143(2) replaced 25 November 2003 section 133 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 143(2)﻿(b) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143(2B) inserted 1 July 2014 section 174(2) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 143(2C) inserted 1 July 2017 section 18 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 143(2D) inserted 30 March 2022 section 219(5) section 219(6) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143(4) inserted 7 October 1998 section 36(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 143(4) amended 1 April 2019 section 99(1) section 99(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
143A: Knowledge offences
1: A person commits an offence against this Act if the person—
a: knowingly does not keep the documents
ab: knowingly fails to register with a foreign government agency as required by Part 11B
ac: knowingly fails to provide information, including a self-certification, to another person when required to do so under Part 11B
b: knowingly does not provide information (including tax returns and tax forms) to the Commissioner or any other person when required to do so by a tax law; or
c: knowingly provides altered, false, incomplete, or misleading information (including tax returns and tax forms) to the Commissioner or any other person in respect of a tax law or a matter or thing relating to a tax law; or
d: knowingly applies or permits the application of the amount of a deduction or withholding of tax made or deemed made under a tax law for any purpose other than in payment to the Commissioner; or
e: knowingly does not make a deduction or withholding of tax required to be made by a tax law; or
f:
fb: knowingly does not issue a receipt relating to a supply of distantly taxable goods as required by section 19M(4)
fc: knowingly does not provide information relating to a supply of distantly taxable goods as required by section 12C
g: in relation to a recipient of a supply of distantly taxable goods or registered person; or
h: in relation to an underlying supplier, of a supply of distantly taxable goods or remote services by a marketplace, knowingly provides altered, false, or misleading information relating to the country or territory in which the underlying supplier is resident.
2: No person may be convicted of an offence against subsection (1)﻿(ac) for knowingly failing to provide information, including a self-certification, to another person or against
a: the person did not have the information in the person's knowledge, possession or control; and
b: no non-resident, who under section 17E(1)
3:
4: No person may be convicted of an offence under subsection (1)﻿(d) for knowingly applying or permitting the application of an amount of withholding or deduction of tax for a purpose other than in payment to the Commissioner, if the person satisfies the court that the amount of the deduction or withholding has been accounted for, and that the person's failure to account for it within the prescribed time was due to illness, accident, or other cause beyond the person's control.
5: Without limiting any other provision of this Act, the term withholding or deduction of tax
a: a PAYE income payment:
b: a combined tax and earner-related payment:
c: an amount of tax withheld for—
i: resident passive income:
ii: non-resident passive income:
iii: an employer's superannuation cash contribution
d: a deduction of contribution that was payable under Part 3, subpart 1
e: a salary or wage deduction made under the Student Loan Scheme Act 2011
f:
g: an amount of RSCT withheld:
h: amounts of compulsory employer contributions that must be paid under Part 3, subpart 3A section 101I(5)
6:
7: Subject to subsections (8) and (9), a person who is convicted of an offence against subsection (1) is liable—
a: the first time the person is convicted in relation to a particular type of offence, to a fine not exceeding $25,000; and
b: on every other occasion the person is convicted for the same type of offence, to a fine not exceeding $50,000.
8: A person who is convicted of a knowledge offence against subsection (1)﻿(d), where the offence does not relate to—
a: section 157
b: section 43
c: another tax law specifying obligations in relation to withholdings or deductions of tax that operates by incorporating, or by reference to, section 157 is liable on each occasion the person is convicted of that type of offence to—
d: imprisonment for a term not exceeding 5 years; or
e: a fine not exceeding $50,000; or
f: both.
9: A person who is convicted of an offence against subsection (1)﻿(b) or subsection (1)﻿(c) relating to information required to be provided under section 59 section 61 Section 143A inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 143A(1)﻿(a) amended 29 August 2011 section 183 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 143A(1)﻿(ab) inserted 1 July 2014 section 175 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 143A(1)﻿(ac) inserted 1 July 2017 section 19(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 143A(1)﻿(f) repealed 30 March 2022 section 220(1) section 220(4) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143A(1)﻿(fb) inserted 1 December 2019 section 102 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 143A(1)﻿(fb) amended 1 April 2023 section 220(2) section 220(5) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143A(1)﻿(fc) inserted 1 December 2019 section 102 Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 143A(1)﻿(fc) amended 1 April 2023 section 220(3) section 220(5) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 143A(1)﻿(g) inserted 1 October 2016 section 83 Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 Section 143A(1)﻿(g) amended 23 March 2020 section 234(1) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 143A(1)﻿(g) amended 23 March 2020 section 234(2) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 143A(1)﻿(h) inserted 23 March 2020 section 234(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 143A(2) replaced 25 November 2003 section 134 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 143A(2) amended 1 July 2017 section 19(2)﻿(a) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 143A(2) amended 1 July 2017 section 19(2)﻿(b) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 143A(2)﻿(b) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143A(3) repealed 6 October 2009 section 687(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 143A(5)﻿(a) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 143A(5)﻿(b) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 143A(5)﻿(c) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 143A(5)﻿(c)﻿(iii) amended 2 November 2012 section 202 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 143A(5)﻿(d) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 143A(5)﻿(e) replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 143A(5)﻿(f) repealed 1 April 2008 section ZA 2 Income Tax Act 2007 Section 143A(5)﻿(g) replaced 1 April 2008 section 262(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 143A(5)﻿(h) inserted 1 April 2009 section 21 Taxation (KiwiSaver) Act 2007 Section 143A(6) repealed 6 October 2009 section 687(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
143B: Evasion or similar offence
1: A person commits an offence against this Act if the person—
a: knowingly does not keep the documents
b: knowingly does not provide information (including tax returns and tax forms) to the Commissioner or any other person when required to do so by a tax law; or
c: knowingly provides altered, false, incomplete, or misleading information (including tax returns and tax forms) to the Commissioner or any other person in respect of a tax law or a matter or thing relating to a tax law; or
d: knowingly does not make a deduction or withholding of tax required to be made by a tax law; or
e: pretends to be another person for any purpose or reason relating to a tax law,— and does so—
f: intending to evade the assessment or payment of tax by the person or any other person under a tax law; or
g: to obtain a refund or payment of tax in the knowledge that the person is not lawfully entitled to the refund or payment under a tax law; or
h: to enable another person to obtain a refund or payment of tax in the knowledge that the other person is not lawfully entitled to the refund or payment under a tax law.
2: A person who evades or attempts to evade the assessment or payment of tax by the person or another person under a tax law commits an offence against this Act.
3: In this section, tax section 4(1)
4: A person who is convicted of an offence against subsection (1) or subsection (2) is liable to—
a: imprisonment for a term not exceeding 5 years; or
b: a fine not exceeding $50,000; or
c: both. Section 143B inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 143B(1)﻿(a) amended 29 August 2011 section 184 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 143B(3) replaced 1 April 2012 section 223 Student Loan Scheme Act 2011
143BB: Manufacturing or supplying electronic sales suppression tools
1: A person commits an offence against this Act if they knowingly manufacture, develop, or publish an electronic sales suppression tool (the suppression tool section 141EE 143BC
2: A person commits an offence against this Act if they—
a: knowingly supply, make available for use, or otherwise provide the suppression tool or a right to use the suppression tool to a person resident in New Zealand:
b: knowingly provide a service to a person resident in New Zealand that includes the use of the suppression tool.
3: A person who is convicted of an offence under subsection (1) or (2) is liable to a fine not exceeding $250,000. Section 143BB inserted 30 March 2022 section 221 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
143BC: Acquiring or possessing electronic sales suppression tools
1: A person commits an offence against this Act if they—
a: are required by a tax law to make or keep records; and
b: knowingly acquire, or have possession or control of an electronic sales suppression tool (the suppression tool
c: have a purpose in relation to the suppression tool of evading the assessment or payment of tax under a tax law, whether by them or by another person.
2: Subsection (1) does not apply when the person—
a: acquires a business whose operations include the use of the suppression tool or a right to use it; and
b: could not reasonably be expected to be aware of the existence of the suppression tool in the business; and
c: has not used the suppression tool in the business.
3: A person who is convicted of an offence under subsection (1) is liable to a fine not exceeding $50,000.
4: For the purposes of the imposition of a penalty under subsection (3), a person to whom this section applies is treated as committing a single offence in relation to all tax types and periods. A further penalty may be imposed for a later period of time for the continued possession or control of, or right to use, the suppression tool.
5: For the purposes of subsection (1)﻿(c), and without limiting the provision, a person is treated as meeting the purpose test if they have used the suppression tool to evade the assessment or payment of tax. Section 143BC inserted 30 March 2022 section 221 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
143C: Offences related to disclosure of sensitive revenue information by revenue officers
1: A revenue officer commits an offence against this Act if they—
a: knowingly act in contravention of section 18(1)
b: disclose revenue information knowing that it may adversely affect the integrity of the tax system or prejudice the maintenance of the law.
2: A revenue officer
a: imprisonment for a term not exceeding 6 months; or
b: a fine not exceeding $15,000; or
c: both. Section 143C inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 143C heading replaced 18 March 2019 section 100(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143C(1) replaced 26 June 2019 section 103(1) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 143C(2) amended 26 June 2019 section 103(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019
143D: Offences related to disclosure of certain information by persons other than revenue officers
1: This section applies in relation to a disclosure of information that the Commissioner has obtained under the Inland Revenue Acts or information that is obtained through a function lawfully conferred on the Commissioner to a person who is—
a: a person who acquires, has access to, or is given the information through—
i: the agency of the Commissioner under schedule 7, part A, clauses 7 10 11 12 clauses 21 22 34 41 43 46
ii: their access to the digital storage systems of the department; or
iii: their access to the information under an approved information-sharing agreement referred to in section 18E(2)
ab: a person who acquires, has access to, or is given the information as an officer, employee, or agent of an agency referred to in schedule 7, part C, clauses 20 23 23B 24 to 29 30 31 33 34A 35 to 38 39B 42 44 45 45B
b: a person, other than a revenue officer, who is employed by or provides services to a government agency and is required by the agency to perform their duties, and with facilities, shared with revenue officers who are expected by the Commissioner to perform their duties in the place and with the facilities; or
c: a person who, by the nature of their physical access to the premises or digital storage systems of the department, may have, or is likely to have access to the information, and has been required by the Commissioner to sign a certificate under section 18B(2)
d: a person who accompanies the Commissioner as described in section 16B(6)﻿(b)
e: a person employed in the department responsible for the administration of the Public Records Act 2005 section 26 section 18(1)
2: The person commits an offence if they—
a: knowingly fail to comply with section 18B(2)
b: despite complying with section 18B(2)
3: A person who is convicted of an offence under this section is liable to—
a: imprisonment for a term not exceeding 6 months; or
b: a fine not exceeding $15,000; or
c: both. Section 143D replaced 18 March 2019 section 101 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143D(1)﻿(ab) inserted 30 March 2022 section 222 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
143E: Offences related to disclosure of certain information to employees
1: For the purposes of section 18(2)
a: are a person who has access to, acquires, or obtains, information on a matter relating to a revenue law described in section 16C(1)﻿(a) to (c)
b: are an employer or principal of an agent (the employer
c: knowingly or negligently allow an employee to acquire, have access to, or be given the information before the employee has signed a certificate of confidentiality referred to in section 18B(2)
2: For the purposes of section 18(2)
a: are a person who has access to, acquires, or obtains information on a matter relating to a revenue law described in section 16C(1)﻿(a) to (c)
b: are a director, manager, secretary, member, or principal officer of the employer (the director
c: knowingly allow an employee to acquire, have access to, or be given revenue information before the employee has signed a certificate of confidentiality referred to in section 18B(2)
3: A person who is convicted of an offence under subsection (1) or (2) is liable to a fine not exceeding $15,000.
4: The person is—
a: a person who is or has been a member of, or who is appointed or employed by, the Accident Compensation Corporation; or
b: a person who is or has been appointed or employed by the Regulator under the Accident Insurance Act 1998
c: a person, association, company, firm, body, or institution to which powers and functions have been delegated or sub-delegated under accident compensation legislation; or
d: an officer, employee, or agent of the person or other entity referred to in paragraph (c); or
e: a person who is or has been a member of or who is or has been appointed or employed by the New Zealand Superannuation Corporation; or
f: a person or entity referred to in paragraph (c) to which powers and functions have been delegated or sub-delegated under the New Zealand Superannuation Act 1974
5: For the purposes of this section,—
a: an employee
b: accident compensation legislation Accident Compensation Act 1982 Accident Rehabilitation and Compensation Insurance Act 1992 Accident Insurance Act 1998 Accident Compensation Act 2001 Section 143E replaced 18 March 2019 section 101 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
143EB: Offences related to disclosure of certain information by employers and directors
1: A person referred to in section 143E(1) or (2) section 16C(1)﻿(a) to (c)
2: A person who is convicted of an offence under this section is liable to—
a: imprisonment for a term not exceeding 6 months; or
b: a fine not exceeding $15,000; or
c: both. Section 143EB inserted 18 March 2019 section 101 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
143F: Offence in relation to inquiries
1: A person commits an offence against this Act if the person—
a: is summoned under section 17J
b: is sworn as a witness at an inquiry under section 17J
c: is required to give evidence under section 17I
d: is sworn as a witness at an inquiry under section 17I
i: to answer any question put to the person touching upon the subject matter of the inquiry; or
ii: to produce to the Commissioner or authorised officer a document required to be produced under section 17I(2)
2: A person who is convicted of an offence against subsection (1) is liable—
a: the first time the person is convicted of that type of offence to—
i: a fine not exceeding $2,000; or
ii: a fine not exceeding $50 for each day of default; or
iii: both; and
b: the second time the person is convicted of the same type of offence to—
i: a fine not exceeding $4,000; or
ii: a fine not exceeding $100 for each day of default; or
iii: both; and
c: on every other occasion the person is convicted of the same type of offence to—
i: a fine not exceeding $6,000; or
ii: a fine not exceeding $150 for each day of default; or
iii: both. Section 143F inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 143F(1)﻿(a) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143F(1)﻿(b) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143F(1)﻿(c) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143F(1)﻿(d) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143F(1)﻿(d)﻿(ii) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
143G: Offence in relation to court orders
1: A person who fails to comply with the terms of a court order made under section 17H
2: A person who commits an offence under subsection (1) is liable on conviction to imprisonment for a period not exceeding 3 months or a fine not exceeding $1,000 for each offence. Section 143G inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 143G(1) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 143G(2) replaced 26 August 2020 section 29 Contempt of Court Act 2019
143H: Obstruction
1: A person who obstructs the Commissioner or an officer of the department acting in the lawful discharge of the duties or in the exercise of the Commissioner's or officer's powers under a tax law commits an offence against this Act.
2: A person who is convicted of an offence under subsection (1) is liable—
a: the first time the person is convicted of that type of offence, to a fine not exceeding $25,000; and
b: on every other occasion the person is convicted of the same type of offence, to a fine not exceeding $50,000. Section 143H inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
144: Certain offences in relation to Stamp and Cheque Duties Act 1971
Section 144 repealed 22 July 2014 section 5(4) Cheque Duty Repeal Act 2014
145: Penalties for offences for which no specific penalty imposed
A person who is convicted of an offence against this Act or any other Inland Revenue Act for which no penalty is prescribed is liable—
a: the first time the person is convicted of that type of offence, to a fine not exceeding $15,000; and
b: on every other occasion the person is convicted of the same type of offence, to a fine not exceeding $25,000. Section 145 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
146: Publication of names
Section 146 repealed 21 June 2005 section 150(1) Taxation (Base Maintenance and Miscellaneous Provisions) Act 2005
147: Employees and officers
1: An employee, agent, or officer of a body corporate commits an offence against this Act if—
a: the body corporate commits an offence against this Act (the principal offence
b: the principal offence—
i: was caused by an act done or carried out by, or by an omission of, or through knowledge attributable to, the employee, agent, or officer; or
ii: is evasion committed by the employee, agent, or officer.
2: An employee, agent, or officer who does or carries out the act or omission, or has the knowledge or intent referred to in subsection (1), is liable on conviction for up to the same maximum fine or term of imprisonment, or both, that could apply to an individual, if an individual had committed the principal offence.
2B: A natural person is not liable under this section in relation to an offence by a trustee of a foreign trust section 147B the trustee
3: An employee or officer of a body corporate includes a person who, by reason of the person's employment with, or position in relation to, the body corporate, is responsible by law, contract, or otherwise for undertaking an action on behalf of the body corporate. Section 147 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 147(2B) inserted 1 October 2006 section 255 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 147(2B) amended 1 April 2023 section 203(a) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 147(2B) amended 1 April 2023 section 203(b) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
147B: Directors and officers of resident foreign trustee
A natural person who is resident in New Zealand commits an offence against this Act if—
a: the natural person, in relation to a resident trustee of a foreign trust
i: a director of the resident trustee
ii: in a position in the resident trustee resident trustee
b: the resident trustee section 143A principal offence
c: the cause of the principal offence was—
i: an act done or carried out by the person:
ii: an omission of the person:
iii: through knowledge attributable to the person. Section 147B inserted 1 October 2006 section 256 Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 147B(a) amended 1 April 2023 section 204(a) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 147B(a)﻿(i) amended 1 April 2023 section 204(b) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 147B(a)﻿(ii) amended 1 April 2023 section 204(c) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 147B(b) amended 1 April 2023 section 204(d) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
148: Aiding or abetting
1: A person who aids, abets, incites, or conspires with another person to commit an offence (the principal offence
2: A person convicted of an offence of aiding, abetting, inciting, or conspiring under subsection (1) is liable for up to the same maximum fine or term of imprisonment, or both, that could apply to a person who commits the principal offence. Section 148 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Proceedings and evidence Heading inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
149: Imposition of civil and criminal penalties
1: Each time a taxpayer breaches a tax obligation the taxpayer may be liable to a civil penalty or, on conviction, to a criminal penalty, or to both.
2: A taxpayer is liable to only one shortfall penalty , other than under section 141ED
3: If a taxpayer could, apart from subsection (2), be liable to more than 1 shortfall penalty for a tax shortfall, the highest shortfall penalty is to be imposed.
4: The Commissioner may assess and impose civil penalties after a taxpayer has been prosecuted for an offence under this Act, whether or not the prosecution is successful.
5: If a shortfall penalty, other than under section 141ED
a: under this Act for taking the incorrect tax position; or
b: under the Student Loan Scheme Act 2011
c: in relation to an obligation arising under the Student Loan Scheme Act 2011 Section 149 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 149(2) amended 1 April 2008 section 263(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 149(5) replaced 1 April 2012 section 223 Student Loan Scheme Act 2011
149A: Standard of proof and onus of proof
1: The standard of proof in civil proceedings relating to the imposition of penalties is the balance of probabilities.
2: The onus of proof in civil proceedings—
a: relating to evasion or similar act to which section 141E
b: relating to any other matter or thing rests with the taxpayer.
3: The standard of proof in criminal proceedings relating to the imposition of penalties is beyond reasonable doubt.
4: The onus of proof in criminal proceedings relating to any matter or thing rests with the Commissioner.
5: The standard of proof for the purposes of an application for a court order under section 17H
6: The onus of proof for the purposes of an application for a court order under section 17H Section 149A inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 149A(5) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 149A(6) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
149B: Proceedings for offences
1: A charging document for an offence against this Act may be filed only by the Commissioner.
2: Nothing in subsection (1) applies to offences against section 143G Section 149B replaced 1 July 2013 section 413 Criminal Procedure Act 2011
150: Charging document
1: A charging document sections 143A(1)﻿(b) 143B(1)﻿(b) 143C(1) 143D(1) 143E(1) 143F(1) 143H(1) 147(1)
2: If a charging document the charging document
3: All charges shall be heard together unless the court, either before or at any time during the hearing, considers it just that a charge should be heard separately and makes an order to that effect.
4: In this section and in sections 150A 150B 152
a: to an offence against section 143A(1)﻿(b) section 143H(1) sections 6 to 12 16 to 18J 105 147 150C 224(1) 227
b: to an offence against section 147(1) sections 16 to 17E 17H 17I 35 40 and references to sections 143A(1)﻿(b) 143H(1) 147(1) Section 150 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 150 heading amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150(1) amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150(2) amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150(4)﻿(a) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 150(4)﻿(b) amended 18 March 2019 section 113 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
150A: Charging document may be filed
1: A charging document
a: this Act (other than an offence against any of sections 143A(1)﻿(b) 143B(1)﻿(b) 143C(1) 143D(1) 143E(1) 143F(1) 143H(1) 147(1)
b: any regulation made under section 225 Income Tax Act 2007 Goods and Services Tax Act 1985 may be filed
2: Subsection (1) applies only where the offence against this Act relates to a tax law that is a provision of the Income Tax Act 2007 Goods and Services Tax Act 1985 Section 150A inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 150A heading amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150A(1) amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150A(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 150A(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007
150B: Charging document may be filed
1: A charging document
a: this Act (other than an offence against any of sections 143A(1)﻿(b) 143B(1)﻿(b) 143C(1) 143D(1) 143E(1) 143F(1) 143H(1) 147(1)
b: any regulation made under Gaming Duties Act 1971 may be filed
2: Subsection (1) applies only if the offence against this Act relates to a tax law that is a provision of the Gaming Duties Act 1971 Section 150B inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 150B heading amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150B(1) amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150B(1)﻿(b) amended 20 May 1999 section 7 Stamp Duty Abolition Act 1999 Section 150B(2) replaced 20 May 1999 section 7 Stamp Duty Abolition Act 1999
150C: Authority to
file charging document The fact that an officer of the department authorised in that behalf by the Commissioner files a charging document Section 150C inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 150C heading amended 1 July 2013 section 413 Criminal Procedure Act 2011 Section 150C amended 1 July 2013 section 413 Criminal Procedure Act 2011
150D: Evidence in proceedings for failure to furnish returns or information
In any proceedings against a person for refusing or failing to provide a tax return or documents documents documents Section 150D inserted 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 150D amended 2 June 2016 section 171 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 150D amended 29 August 2011 section 185(a) Taxation (Tax Administration and Remedial Matters) Act 2011 Section 150D amended 29 August 2011 section 185(b) Taxation (Tax Administration and Remedial Matters) Act 2011
150E: Evidence inconsistent with instrument not admissible to reduce stamp duty
Section 150E repealed 20 May 1999 section 7 Stamp Duty Abolition Act 1999
151: Non-presentation of instrument for stamping
Section 151 repealed 20 May 1999 section 7 Stamp Duty Abolition Act 1999
152: Evidence of financial or property transactions
1: A record, or entry in a record, made in the regular course of business by a person (not being a bank as defined in section 2 of the Banking Act 1982) in carrying on any business is admissible in any specified proceedings (as defined in subsection (16) of this section) as evidence of the transactions, dealings, matters, and amounts disclosed in that record or entry.
2: Subject to this section, a copy of a record, or of an entry in a record, that would be admissible in evidence under subsection (1), or a copy of any such copy, is admissible as evidence of the record or entry and of the transactions, dealings, matters, and amounts disclosed in that record or entry, whether or not notice to produce the record or entry or copy has been given.
3: The circumstances of the making of a record, entry, or copy that would be admissible in evidence under subsection (1) or subsection (2) does not affect its admissibility; but, in estimating the weight, if any, to be attached to it, regard is to be had to all the circumstances from which an inference can reasonably be drawn as to its accuracy or otherwise, and in particular to the question whether or not it was made contemporaneously with the occurrence or existence of the facts stated in it or within a reasonable time thereafter, and to the question of whether or not the maker had an incentive to conceal or misrepresent facts.
4: Where the original of a record is in the custody or control of the record holder, a copy of the record or of an entry in the record shall be admissible in evidence under this section, if it is first proved—
a: that the record is in the custody or control of the record holder; which proof may be given, either orally or by affidavit, by the record holder or by any of the record holder's officers or employees or by such other person as the court thinks fit; and
b: that the copy has been examined with the original record or entry, as the case may be, and is a correct copy; which proof shall be given, either orally or by affidavit, by some person who has examined the copy with the original record.
5: Where the original of a record is not in the custody or control of the record holder, but a copy (whether a counterpart, a carbon copy, or other copy) purporting to be a copy of the original record and appearing to have been made in the regular course of business is in the custody or control of the record holder, that purported copy or a copy of it or of any entry in it shall be admissible in evidence under this section, if it is first proved—
a: that the original of the record is not in the custody or control of the record holder, and that the purported copy of the original record is in the custody or control of the record holder and in the belief of the witness or deponent, as the case may be, would have been made in the regular course of business at or about the same time as the original record would have been made; which proof may be given, either orally or by affidavit, by the record holder or by any of the record holder's officers or employees or by such other person as the court thinks fit; and
b: that, in the case of a copy of the purported copy of the original record or a copy of an entry in that purported copy, the copy has been examined with the purported copy or the entry in it, as the case may be, and is a correct copy; which proof shall be given, either orally or by affidavit, by some person who has examined the copy with the purported copy.
6: An affidavit for the purposes of this section may be sworn before a person authorised to take affidavits.
7: The death of a person by whom an affidavit has been made for the purposes of this section shall not affect the admissibility of the affidavit.
8: Where an affidavit sworn for the purposes of this section is filed in a court, the court may, of its own motion or on the application of the defendant in the proceedings, order that the deponent attend for cross-examination before the court at the hearing; and, unless the deponent attends accordingly, the deponent's affidavit is not to be admissible in evidence under this section except where the court in any special case otherwise orders.
9: Where, in any specified proceedings, a record or copy of a record or entry in a record or in a copy of any record that is admissible in evidence under this section is tendered in evidence, the court may require the production by a person of a record or copy of a record in the person's possession or under the person's control that the court considers is or may be relevant.
10: In any specified proceedings, the following provisions of this subsection shall apply for the purposes of section 5
a: every record holder is to be deemed to be an authorised person, whether or not the record holder is already an authorised person as defined in section 3
b: every record to which this section relates, and every copy purporting to be a copy of an original record that would have been admissible in evidence in accordance with subsection (5) if it were available for that purpose and proof had been given as provided in that subsection or, where applicable, in subsection (8), shall be deemed to be a document to which section 5
11: Where, in any specified proceedings, the Commissioner intends to tender in evidence under this section a record or copy of a record or entry in a record or in a copy of a record, the Commissioner shall give to the other party or parties, as the case may be, notice
12: Where a notice is given by the Commissioner under subsection (11), the other party or parties, as the case may be, may at any time before the hearing apply to the court for an order that a record or copy or entry specified in the notice is not to be admitted in evidence upon the ground that it is or is likely to be false or fraudulent or that for any other reason it is inexpedient in the interests of justice that the record or copy or entry should be admitted, and if the court is satisfied as to the grounds of the application it shall order accordingly.
13: Subsections (9) and (10), and also subsection (8) where an affidavit has been filed, shall, with the necessary modifications, apply with respect to the hearing of an application under subsection (12) as if it were the hearing of the charge
14: Nothing in this section affects the provisions of section 5 of the Banking Act 1982, and that section shall apply to all specified proceedings.
15: For the purposes of this section, where it appears to the court that a record or a copy of a record is part of the records kept or held in relation to a business, the court may infer that the record or copy and entries in the record or copy were made in the regular course of business by a person in carrying on that business.
16: This section applies with respect to the following:
a: all records and copies of records to which this section relates, whether the records or copies came into existence before or after the date of the passing of this Act:
b: all proceedings for offences against any of the Inland Revenue Acts, or any former Inland Revenue Act which continues to apply by virtue of a provision of an Inland Revenue Act, and all proceedings in the course of which the Commissioner has the burden of proving any such offence commenced whether before or after the date of the passing of this Act (such proceedings collectively referred to in this section as specified proceedings
c: all offences alleged to have been committed against any of the Inland Revenue Acts, or any former Inland Revenue Act which continues to apply by virtue of a provision of an Inland Revenue Act, whether before or after the date of the passing of this Act.
17: This section does not apply in relation to offences against any of sections 143A(1)﻿(b) 143B(1)﻿(b) 143C(1) 143D(1) 143E(1) 143F(1) 143H(1) 147(1)
18: In this section— business
a: in respect of offences that do not relate to GST, a business, profession, trade, manufacture, occupation, or calling of any kind; and includes the activities of a department of State or of an organisation or society:
b: in respect of offences that relate to GST, a taxable activity as defined in section 6 record
a: a book of account or accounting record recording receipts, payments, sales, purchases, income, expenditure, or other financial or property transactions, dealings, or matters:
b: a voucher, invoice, receipt, or other document or paper recording receipts, payments, sales, purchases, income, expenditure, or other financial or property transactions, dealings, or matters, or verifying, explaining, or relating to any entry in any such book of account or accounting record:
c: a wages book or wages record record holder
a: the person carrying on the business in the regular course of which the record or the copy of the record was made:
b: a person carrying on a business and having the custody or control of the record or of the copy of the record, being a record or copy that was made in the regular course of a business of which the first-mentioned business is wholly or in part the successor:
c: a person carrying on a business and having the custody or control of the record or of the copy of the record, being a record or copy that was made in the regular course of that business by any predecessor of that person in carrying on that business or part of that business:
d: a person having the custody or control of the record or of the copy of the record, being a record or copy that was made in the regular course of a business that has terminated. Section 152 replaced 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996 Section 152(11) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 152(13) amended 1 July 2013 section 413 Criminal Procedure Act 2011 Special additional taxes Heading repealed 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
153: Imputation penalty tax payable where end of year debit balance of imputation credit account
Section 153 repealed 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
154: Dividend withholding payment penalty tax payable where end of year debit balance
Section 154 repealed 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
155: Application of other provisions of this Act to imputation penalty tax and dividend withholding payment penalty tax
Section 155 repealed 26 July 1996 section 43 Tax Administration Amendment Act (No 2) 1996
10: Recoveries
General
156: Mode of recovery of unpaid tax
1: All unpaid tax shall be recoverable by the Commissioner on behalf of the Crown by suit in the Commissioner's official name.
2: Notwithstanding anything in the District Court Act 2016 1976 No 65 s 399 Section 156(2) amended 1 March 2017 section 261 District Court Act 2016
156A: Recovery of civil penalties
1: For all purposes relating to the recovery of an unpaid civil penalty by the Commissioner, the civil penalty is deemed to be a tax of the same type as the tax—
a: for which the penalty is imposed; or
b: if the penalty is a late filing penalty, for which the tax return is to be provided; or
c: if the penalty is a non-electronic filing penalty, for which the return is provided.
2: A late filing penalty payable in respect of a reconciliation statement that is to be provided under regulation 3 of the Accident Rehabilitation and Compensation Insurance (Earnings Definitions) Regulations 1992 (or any successor to that regulation) or under section 457(2) of the Accident Insurance Act 1998 or under regulation 15 of the Accident Insurance (Premium Payment Procedures) Regulations 1999 or regulations made under the Accident Compensation Act 2001
3: Without limiting subsection (1), a civil penalty is recoverable from a taxpayer—
a: at any time after it has become payable:
b: whether or not the taxpayer has been convicted of an offence under this Act or a former Act in relation to any act, omission, matter, or thing that gives rise to the liability to pay the civil penalty, or otherwise.
4: Subsection (3) applies to a person acting as a PAYE intermediary if section 141JB(1) Section 156A inserted 26 July 1996 section 44 Tax Administration Amendment Act (No 2) 1996 Section 156A(1)﻿(a) replaced 6 October 2009 section 689 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 156A(1)﻿(b) replaced 6 October 2009 section 689 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 156A(1)﻿(c) inserted 6 October 2009 section 689 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 156A(2) amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 156A(2) amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 156A(2) amended 19 December 1998 Accident Insurance Act 1998 Section 156A(4) inserted 26 March 2003 section 139(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
157: Deduction of tax from payments due to defaulters
1: Where a taxpayer has made default in the payment to the Commissioner of any income tax (or a part of any income tax) or any interest under Part 7
a: deduct or extract, in 1 sum, from any amount that is, or becomes, an amount payable in relation to the taxpayer such sum as is equal to the lesser of—
i: the amount that, according to the notice, is required to be deducted or extracted:
ii: the amount that, at the time at which the deduction or extraction is required to be made in compliance with the notice, is the amount payable in relation to the taxpayer:
b: subject to subsection (3), deduct or extract from time to time, by way of instalment, from any amount that is, or from time to time becomes, an amount payable in relation to the taxpayer such sum as is equal to the lesser of—
i: the amount that, at the time at which the deduction or extraction is required to be made in compliance with the notice, is the amount required to be so deducted or extracted:
ii: the amount that, at the time at which, according to the notice, the amount of the instalment is required to be deducted or extracted, is the amount payable,— and require that person to pay to the Commissioner, within such time as is specified in the notice, every sum so deducted or extracted, to the credit of,—
c: to the extent that that sum is in respect of or in relation to income tax (or any part of any income tax) or any interest under Part 7
d: to the extent that that sum is in respect of or in relation to the whole or any part of an amount of tax withheld or deducted that amount of tax
1A: A notice of amount to be deducted or extracted issued under subsection (1) may include a daily amount of interest as well as the amount required to be deducted or extracted.
1B: The daily amount of interest notified under subsection (1A) shall be calculated for each day, commencing on the date of the notice and ending on the day on which the sum required by the notice is deducted or extracted.
2: This section shall bind the Crown.
3: Where any notice under this section relates to any amount payable that consists of wages or salary, the sums required to be deducted from that amount shall be computed so as to not exceed the greater of—
a: an amount equal to the lesser of—
i: an amount calculated at the rate of 10% per week of the income tax due and payable by the taxpayer at the date of the notice:
ii: an amount calculated at the rate of 20% of the wages or salary payable:
b: $10 per week.
4: Any notice under this section may be at any time revoked by the Commissioner by a subsequent notice to the person to whom the original notice was given (in this section referred to as the debtor must be revoked by the Commissioner on application for revocation by the taxpayer tax year
5: The Commissioner must provide a copy of a notice given to a person under subsection (1) or (4) to the affected taxpayer, and the copy must be provided at the time the notice is given.
5B: Despite subsection (5), for a notice relating to an amount of wages or salary described in subsection (3), the Commissioner may dispense with the requirement to send a copy of the notice to the affected taxpayer if, after making reasonable inquiries, the Commissioner has, or can find, no valid address for the affected taxpayer.
6: Whenever by virtue of a notice under this section any deduction or extraction is made from any amount payable to any taxpayer, the taxpayer shall be entitled to receive from the debtor a notice
7: Any person making any deduction, extraction, or payment in accordance with a notice under this section shall be deemed to have been acting under the authority of the taxpayer to whom the notice relates and of all other persons concerned and is by this subsection indemnified in respect of such deduction, extraction, or payment.
8: The sum deducted or extracted from any amount in accordance with a notice under this section shall be deemed to be held in trust for the Crown, and, without prejudice to any other remedies against the debtor or any other person, shall be recoverable in the same manner in all respects as if it were income tax payable by the debtor.
9: Where, in relation to any notice under this section and during any period, that period being—
a: where a notice under subsection (1) requires any person, being a bank, to deduct or extract no more than 1 sum, the period that commences on the day on which the notice to the person is given and expires with the day on which the deduction or extraction is required to be made in compliance with the notice:
b: where a notice under subsection (1) requires any person, being a bank, to deduct or extract more than 1 sum, by way of instalment,—
i: in relation to the sum first required to be deducted or extracted in compliance with the notice, the period that commences on the day on which the notice to the person is given and expires with the day on which the deduction or extraction is so required to be made:
ii: in relation to each succeeding sum required to be deducted or extracted in compliance with the notice, the period that commences on the day immediately following the day on which the previous deduction or extraction (being the deduction or extraction that, in relation to that succeeding sum, was the deduction or extraction last required to be made) was required to be made in compliance with the notice and expires with the day on which that succeeding sum is so required to be deducted or extracted,— any amount is, or becomes, an amount payable in relation to the taxpayer, that amount, or the aggregate of all such amounts, shall, until the expiry of that period and to the extent of an amount equal to the sum that, in compliance with the notice, is required to be deducted or extracted, be deemed to be an amount held in trust for the Crown, and without prejudice to any other remedies against the debtor or any person, shall, if the deduction or extraction required to be made under the notice is not so made, be recoverable in the same manner in all respects as if it were income tax payable by the debtor.
10: In this section— amount payable
a: any amount that, on the day on which a notice to the person is given under subsection (1) in relation to the taxpayer, is payable by the person (whether on the person's own account, or as an agent, or as a trustee, or otherwise however) to the taxpayer:
b: any amount that, on any day following the day referred to in paragraph (a), is, or becomes, before any revocation (under subsection (4)) of the notice so given, payable by the person (whether on the person's own account, or as an agent, or as a trustee, or otherwise), to the taxpayer;— and includes—
c: where the person is a bank, money (including any interest on that money) that—
i: on the day on which a notice to the person is given under subsection (1) in relation to the taxpayer, is on deposit or is deposited with the person to the credit of the taxpayer; or
ii: on any day following the day referred to in subparagraph (i) is on deposit or is deposited, before any revocation (under subsection (4)) of the notice so given, with the person to the credit of the taxpayer,— whether the deposit or the depositing is on current account, or so as to bear interest for a fixed term or without limitation of time, and whether or not the taxpayer has made any application to withdraw or uplift the money:
cb: where the person is a tax pooling intermediary, money that is paid to the Commissioner, on the date the Commissioner receives the payment;— but does not include money deposited in any account that is—
d: a Home Lay-by Account within the meaning of the Post Office Act 1959
e:
f:
g: bank
a: any building society registered under the Building Societies Act 1965
b: any person (not being a person of the kind referred to in paragraph (a)) that is a bank within the meaning of the Banking Act 1982 income tax
a: income tax payable under the Income Tax Act 2007 Income Tax Act 2004
b: an amount of tax withheld, or combined tax and earner-related payment, to which section RD 4(1) or combined tax and earner levy deduction section NC 15 of the Income Tax Act 2004 or or section 285 of the Accident Insurance Act 1998 or section 221 Accident Compensation Act 2001
bb: amounts paid to an intermediary in accordance with sections RP 17 to RP 21 subpart MBA
c: an amount to which section RD 4(4) section NC 16(b) of the Income Tax Act 2004 or
d: an amount which, under section 168
e: an amount that under sections RA 10 RD 70 section NE 5 of the Income Tax Act 2004 or
f: an amount of unpaid tax subject to Part 10A
g: an amount of unpaid contribution that was payable under subpart 1
h: an amount of short payment under Part 3, subpart 3
i: an amount of compulsory employer contributions unpaid, specified in a notice under section 141(5)
j: an amount payable in relation to a loan made under the small business cashflow scheme:
k: an amount payable in relation to a grant made under the COVID-19 resurgence support payments scheme or another COVID-19 support payments scheme
kb: an amount payable in relation to a grant made under the cost of living payments scheme:
l: KiwiSaver Act 2006 taxpayer
a: in relation to income tax within the meaning of paragraphs (b) and (d) of the definition of income tax in this subsection, includes an employer and a PAYE intermediary; and
b: in relation to income tax within the meaning of paragraph (e) of the definition of income tax in this subsection, includes an employer.
11: For the purposes of the definition of amount payable
a: is held in a joint bank account in the name of the taxpayer and 1 or more other persons; and
b: can be withdrawn from the account by or on behalf of the taxpayer without a signature or other authorisation being required at the time of the withdrawal from, or on behalf of, the other person or persons.
12: Subsection (11) does not apply when the joint bank account is an account of a partnership that files a return of income under section 33(1) 1976 No 65 s 400 1994 No 76 s 72 Section 157(1) replaced 23 September 1997 section 99(1) Taxation (Remedial Provisions) Act 1997 Section 157(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(1)﻿(d) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 157(1A) inserted 23 September 1997 section 99(1) Taxation (Remedial Provisions) Act 1997 Section 157(1B) inserted 23 September 1997 section 99(1) Taxation (Remedial Provisions) Act 1997 Section 157(4) amended 2 June 2016 section 172(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 157(4) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(5) replaced 2 June 2016 section 172(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 157(5B) inserted 2 June 2016 section 172(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 157(6) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(10) amount payable amended 29 August 2011 section 186 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 157(10) amount payable inserted 29 August 2011 section 186 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 157(10) amount payable repealed 2 June 2016 section 172(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 157(10) amount payable repealed 3 June 2017 section 4(2) Statutes Repeal Act 2017 Section 157(10) amount payable repealed 3 June 2017 section 4(2) Statutes Repeal Act 2017 Section 157(10) income tax replaced 23 September 1997 section 99(2) Taxation (Remedial Provisions) Act 1997 Section 157(10) income tax amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 157(10) income tax amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(10) income tax amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 157(10) income tax amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 157(10) income tax amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(10) income tax amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 157(10) income tax amended 19 December 1998 Accident Insurance Act 1998 Section 157(10) income tax inserted 1 April 2003 section 140(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 157(10) income tax amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 157(10) income tax amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(10) income tax amended 1 April 2019 section 361 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 157(10) income tax amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 157(10) income tax amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(10) income tax amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 157(10) income tax amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 157(10) income tax inserted 20 May 1999 section 111(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 157(10) income tax inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 157(10) income tax inserted 1 April 2008 section 22 Taxation (KiwiSaver) Act 2007 Section 157(10) income tax inserted 1 April 2008 section 22 Taxation (KiwiSaver) Act 2007 Section 157(10) income tax amended 1 April 2021 section 173(1) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 157(10) income tax amended 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 157(10) income tax inserted 16 May 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act 2020 Section 157(10) income tax inserted 18 February 2021 section 6 Taxation (COVID-19 Resurgence Support Payments and Other Matters) Act 2021 Section 157(10) income tax amended 25 November 2021 section 6 Taxation (COVID-19 Support Payments and Working for Families Tax Credits) Act 2021 Section 157(10) income tax inserted 25 May 2022 section 6 Taxation (Cost of Living Payments) Act 2022 Section 157(10) income tax inserted 1 April 2021 section 173(2) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 157(10) penalty repealed 26 July 1996 section 45(2) Tax Administration Amendment Act (No 2) 1996 Section 157(10) taxpayer replaced 26 March 2003 section 140(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 157(11) inserted 21 December 2010 section 161 Taxation (GST and Remedial Matters) Act 2010 Section 157(12) inserted 21 December 2010 section 161 Taxation (GST and Remedial Matters) Act 2010
157A: Application of Parts 7 and 9 to defaulters
1: A person, not being an employer, who—
a: receives a notice requiring the person to deduct or extract an amount from payments to a taxpayer from the Commissioner under—
i: section 157
ib: section 12L
ii: section 43
iii: section 154
iv: section 193
v: another tax law specifying obligations in relation to withholdings or deductions of tax that operates by incorporating, or by reference to, section 157
b: fails to comply with the Commissioner's notice,— is liable to prosecution for an offence under Part 9
c: to pay interest on the amount of unpaid tax under Part 7
d: to pay a civil penalty under Part 9
2: Subsection (1) overrides all other provisions of this Act. Section 157A inserted 26 July 1996 section 46 Tax Administration Amendment Act (No 2) 1996 Section 157A(1)﻿(a)﻿(ib) inserted 30 March 2022 section 223 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 157A(1)﻿(a)﻿(iv) replaced 1 April 2012 section 223 Student Loan Scheme Act 2011
158: Procedure in High Court where defendant absent from New Zealand
In any action in the High Court for the recovery of tax from a defendant absent from New Zealand the High Court may grant leave to serve the writ out of New Zealand, or to proceed without service in the same manner as may be provided in other cases by the rules of the High Court for the time being in force, save that no security shall be required from the Commissioner. 1976 No 65 s 401
159: Procedure in District Court where defendant absent from New Zealand
In an action in the District Court notice of claim be effected by delivery of a duplicate or sealed copy of the notice of claim to the defendant in a way described in section 14F(2) 1976 No 65 s 402 Section 159 amended 1 March 2017 section 261 District Court Act 2016 Section 159 amended 2 June 2016 section 173 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 159 amended 29 August 2011 section 187 Taxation (Tax Administration and Remedial Matters) Act 2011
160: Commissioner may appear in legal proceedings by officer of
public service In any action in the District Court public service 1976 No 65 s 403 Section 160 heading amended 7 August 2020 section 135 Public Service Act 2020 Section 160 amended 7 August 2020 section 135 Public Service Act 2020 Section 160 amended 1 March 2017 section 261 District Court Act 2016
161: Costs against Commissioner
In all proceedings in any court for the recovery of tax, costs may be awarded to or against the Commissioner in the same manner as in other cases, but all costs so awarded against the Commissioner shall be payable out of money appropriated by Parliament, and not otherwise. 1976 No 65 s 404
162: Proceedings not affected by vacancy or change in office of Commissioner
No action instituted by the Commissioner for the recovery of tax, and no proceedings objecting to or challenging an assessment of tax or other disputable decision 1976 No 65 s 405 Section 162 amended 1 October 1996 section 47 Tax Administration Amendment Act (No 2) 1996
163: No limitation of action to recover tax
No relief in respect of a claim for recovery of tax is barred or otherwise affected by the following:
a: the Limitation Act 2010
b: any other enactment that prescribes a limitation period or other limitation defence. 1976 No 65 s 406 Section 163 replaced 1 January 2011 section 58 Limitation Act 2010
164: Crown Proceedings Act 1950 not affected
Nothing in this Act or the Income Tax Act 2007 Crown Proceedings Act 1950 Income Tax Act 2007 1976 No 65 s 407 Section 164 amended 1 April 2008 section ZA 2 Income Tax Act 2007
165: Recovery of tax paid by one person on behalf of another
Every person who under this Act pays any tax for or on behalf of any other person shall be entitled to recover the amount so paid from that other person as a debt, or to retain or deduct that amount out of or from any money which is or becomes payable by the person to that other person; and if the person has paid the tax as mortgagee, then, until repaid, it shall be deemed to form part of the money secured by the mortgage, and shall bear interest at the same rate accordingly. 1976 No 65 s 408
165AA: Recovery of tax paid by superannuation fund
Section 165AA repealed 1 April 2011 section 173 Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010
165A: Recovery of excess tax credits allowed
1: If the Commissioner is satisfied that a credit of tax allowed or credited to a person under a tax law exceeded the amount properly allowable or able to be credited to the person under that tax law, the Commissioner may recover the amount of the excess from the person in the same manner, with any necessary modifications, as if the excess were income tax payable under the Income Tax Act 2007
2: Subsection (1) is subject to sections LA 3 to LA 5 LJ 7 LK 4 Section 165A replaced 26 March 2003 section 141(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 165A(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 165A(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007
165B: Recovery of overpaid refunds: NRWT
1: This section applies for the purposes of the NRWT rules when the amount of a refund made to a person is more than the amount properly refundable to them.
2: The Commissioner may recover the amount overpaid as if it were income tax.
3: If the person has led the Commissioner by wilful default or neglect to pay the refund, the amount of the overpayment is due on the date the refund was paid. In every other case, the amount of the overpayment is due on the 5th working day of the month after that in which the Commissioner notifies the person that the amount of the overpayment is payable. 2004 No 35 s NG 16(5) Section 165B inserted 1 April 2008 section ZA 2 Income Tax Act 2007
166: Tax paid in excess may be set off against additional tax when assessment reopened
1: Subject to sections OA 2(5) RA 19 RA 20 RM 13 to RM 17 RM 32 RZ 6 section 104B
a: the Commissioner assesses the taxpayer with tax for a tax year amends
b: the Commissioner is satisfied that in respect of a tax year the Commissioner may, to the extent that in the Commissioner's opinion is equitable, allow any amount so paid in excess to be deducted from or set off against any tax due and unpaid for any year or years within that group of years, notwithstanding that the time limited for the making of a refund of any tax so paid in excess may have expired.
2: This section shall apply with respect to tax assessed whether before or after the commencement of this Act and whether under this Act or under the income tax provisions of any former Act. 1976 No 65 s 410 Section 166(1) amended 1 April 2017 section 339 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 166(1)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 166(1)﻿(a) amended 24 October 2001 section 231(1)﻿(b) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 Section 166(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004
166B: Shipping business of absentee taxpayer
1: This section applies if an assessment is made in relation to—
a: an absentee who carries on a shipping business carrying goods or passengers; or
b: a person who—
i: is the master of a ship owned by or under charter to the absentee; and
ii: is treated as an agent under section HD 21
2: The Commissioner may require a Customs officer to withhold the clearance of the ship pending the payment of any tax assessed. 2004 No 35 s HK 18 Section 166B inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Deductions
167: Recovery of
tax and payments or PAYE intermediaries
1: Every amount of tax or combined tax and earner-related payment withheld or deducted or section 285 of the Accident Insurance Act 1998 or section 221 Accident Compensation Act 2001
2: When an amount of tax or combined tax and earner-related payment has been withheld or deducted or section 285 of the Accident Insurance Act 1998 or section 221 Accident Compensation Act 2001 tax or payment withheld or deducted (or any part of it) in the manner required by subsection (1) or the PAYE rules, the amount of the tax or payment
a: where the employer is, or 1 of whom is, an individual, upon the employer’s bankruptcy or upon the employer making an assignment for the benefit of the employer’s creditors, the amount of the tax or payment shall have the ranking provided for in section 274
b: where the employer is a company, upon the liquidation of the company, the amount of the tax or payment Schedule 7
c: where the employer is a company, upon the appointment of a receiver on behalf of the holder of any debenture given by the company secured by a charge over any property of the company, or upon possession being taken on behalf of the debenture holder of the property, the amount of the tax or payment Schedule 7
2B: This section applies to a person instead of an employer if—
a: the person is acting as a PAYE intermediary for the employer in relation to an employee and a pay period; and
b: the employer, for the pay period, has—
i: paid to the person the salary or wages relating to the employee as required by sections RP 9 to RP 11
ii: provided the information required by the person as required by section RP 8(b)
2C: For the purpose of applying this section to a person acting as a PAYE intermediary, a reference to an employer is to be read as a reference to a person acting as a PAYE intermediary.
3: This section shall apply notwithstanding anything in any other Act
4: In this section— tax deduction combined tax and earner-related payment late payment penalty or any shortfall penalty 1976 No 65 s 365 1994 No 76 s 56 Section 167 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167 heading amended 26 March 2003 section 142(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 167(1) amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 167(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167(1) amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 167(1) amended 1 April 2000 Accident Insurance Amendment Act 2000 Section 167(2) amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 167(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167(2) amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 167(2) amended 19 December 1998 Accident Insurance Act 1998 Section 167(2)﻿(a) replaced 1 April 2023 section 205 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 167(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167(2)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167(2B) inserted 25 November 2003 section 136(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 167(2B)﻿(b)﻿(i) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167(2B)﻿(b)﻿(ii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167(2C) inserted 25 November 2003 section 136(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 167(3) amended 5 December 2013 section 14 Companies Amendment Act 2013 Section 167(4) floating charge repealed 1 May 2002 section 191(1) Personal Property Securities Act 1999 Section 167(4) tax deduction combined tax and earner-related payment amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 167(4) tax deduction combined tax and earner-related payment amended 26 July 1996 section 49 Tax Administration Amendment Act (No 2) 1996
168: Employer
or PAYE intermediary withhold or deduct tax or payments
1: Where an employer fails to withhold or deduct an amount of tax or combined tax and earner-related payment or section 285 of the Accident Insurance Act 1998 or section 221 Accident Compensation Act 2001 section RD 4 tax or combined tax and earner-related payment
2: The right of the Commissioner to recover from the employer the amount in respect of which default has been made shall be in addition to any right of the Commissioner to recover that amount from the employee under the PAYE rules; and nothing in those rules shall be construed as preventing the Commissioner from taking such steps as the Commissioner thinks fit to recover that amount from the employer and from the employee concurrently, or from recovering that amount wholly from the employer or from the employee or partly from the employer and partly from the employee.
3: Where any amount, including a penalty, recoverable in accordance with the PAYE rules from the employee is in fact paid by the employer, the amount so paid may be recovered by the employer from the employee.
4: This section applies to a person instead of an employer if the person is acting as a PAYE intermediary for the employer in relation to an employee and a pay period, and the employer, for the pay period, has—
a: paid to the person the salary or wages relating to the employee as required by sections RP 9 to RP 11
b: provided the information required by the person as required by section RP 8
5: For the purpose of applying this section to a person acting as a PAYE intermediary, references to an employer are to be read as references to a person acting as a PAYE intermediary. 1976 No 65 s 366 Section 168 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 168 heading amended 26 March 2003 section 143(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 168(1) amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 168(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 168(1) amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 168(1) amended 19 December 1998 Accident Insurance Act 1998 Section 168(4) inserted 26 March 2003 section 143(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 168(4)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 168(4)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 168(5) inserted 26 March 2003 section 143(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
169: Unpaid
tax payments or PAYE intermediary's
1: Where an employer fails wholly or in part to withhold or deduct an amount of tax or combined tax and earner-related payment or section 285 of the Accident Insurance Act 1998 or section 221 Accident Compensation Act 2001 or that section 285 or that section 221 that tax, payment, or sum, late payment penalty or shortfall penalty that tax, payment, or sum,
1B: This section applies to a person instead of an employer if the person is acting as a PAYE intermediary for the employer in relation to an employee and a pay period, and the employer, for the pay period, has—
a: paid to the person the salary or wages relating to the employee as required by sections RP 9 to RP 11
b: provided the information required by the person as required by section RP 8(b)
1C: For the purpose of applying this section to a person acting as a PAYE intermediary, references to an employer are to be read as references to a person acting as a PAYE intermediary.
2: Every charge created by this section shall be subject to all mortgages, charges, or encumbrances existing at the time of the creation of the charge, but, subject to this section, shall have priority over all other mortgages, charges, or encumbrances. Notwithstanding anything in any other Act, if any property subject to the charge created by this section is also subject to a charge created by that other Act, the charges shall rank equally with each other unless by virtue of that Act the charge so created would be deferred to the charge created by this section.
3: Despite section 23(b)
4: Particulars recorded under subsection (3) are to operate and take priority according to the provisions of the applicable registration Act.
4B: If a mortgage that affects the same property is registered before the registration of the charge under this section and money secured by the mortgage is advanced after the registration of the charge under this section, the charge has priority over the mortgage in respect of that money.
5: On the satisfaction of a registered charge, the Commissioner must release the charge in the manner required by the Act under which it was registered, with such modifications as may be necessary, and without being required to pay a fee.
6: Any charge created by this section which is registered against any property shall operate to secure any amount secured by any prior unregistered charge and unpaid at the time of the registration of the charge, and also to secure any amount secured by any charge coming into existence after the registration of the charge, to the intent that the registered charge shall operate to secure the total of all amounts for the time being owing by the employer under all charges created by this section.
7: If any amount constitutes by virtue of this section a charge on any property the High Court may make such order as it thinks fit, either for the sale of that property or any part of that property, or for the appointment of a receiver of the rents, profits, or income of that property, and for the payment of the amount of the charge and the costs of the Commissioner out of the proceeds of the sale or out of the rents, profits, or income.
8: Where any property has been sold under any such order, the High Court may, on the application of the purchaser or the Commissioner, make an order vesting the property in the purchaser.
9: Every such vesting order shall have the same effect as if all persons entitled to the property had been free from all disability and had duly executed all proper conveyances, transfers, and assignments of the property for such estate or interest as is specified in the order, Land Transfer Act 2017
10: This section shall apply subject to section 167
11: In this section, registration Act
a: subpart 5
b: the Personal Property Securities Act 1999 1976 No 65 s 367 1994 No 76 s 57 Section 169 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 169 heading amended 26 March 2003 section 144(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 169(1) amended 21 December 2010 section 189 Taxation (GST and Remedial Matters) Act 2010 Section 169(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 169(1) amended 1 April 2002 section 338 Injury Prevention, Rehabilitation, and Compensation Act 2001 Section 169(1) amended 19 December 1998 Accident Insurance Act 1998 Section 169(1) amended 26 July 1996 section 50 Tax Administration Amendment Act (No 2) 1996 Section 169(1B) inserted 26 March 2003 section 144(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 169(1B)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 169(1B)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 169(1C) inserted 26 March 2003 section 144(2) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 169(3) replaced 25 November 2003 section 137(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 169(4) replaced 25 November 2003 section 137(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 169(4B) inserted 25 November 2003 section 137(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 169(5) replaced 25 November 2003 section 137(1) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 169(9) amended 12 November 2018 section 250 Land Transfer Act 2017 Section 169(9) amended 25 November 2003 section 137(2) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 169(11) replaced 25 November 2003 section 137(3) Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 169(11)﻿(a) amended 12 November 2018 section 250 Land Transfer Act 2017
170: Recovery of
RWT
1: The amount of RWT withheld under
2: The provisions of section 167(2) RWT tax
3: This section shall apply notwithstanding anything in any other Act 1976 No 65 s 327Q Section 170 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 170(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 170(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 170(3) amended 5 December 2013 section 14 Companies Amendment Act 2013
171: Person failing to
withhold RWT
1: Where a person fails to withhold RWT the tax been correctly withheld
2: The right of the Commissioner to recover from the person the amount in respect of which default has been made shall be in addition to any right of the Commissioner to recover from the recipient of that amount any income tax in respect of an income tax liability that would have arisen if the only resident passive income
3: Notwithstanding subsections (1) and (2), where and to the extent to which any person (in this subsection referred to as the first person withheld RWT from the resident passive income which the first person failed to withhold section 172 that tax 1976 No 65 s 327S Section 171 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 171(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 171(2) replaced 26 July 1996 Taxation (Core Provisions) Act 1996 Section 171(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 171(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 171(3) amended 1 April 2008 section ZA 2 Income Tax Act 2007
172: Unpaid
RWT constitutes
1: Where a person fails wholly or in part to withhold RWT that tax late payment penalty or shortfall penalty
2: Subject to subsection (3), the provisions of section 169
3: Any amount secured by a charge under this section shall rank in any liquidation or receivership of a person that is a company, or any bankruptcy or assignment for the benefit of creditors of a person that is an individual, equally with any amounts secured under section 169 1976 No 65 s 327R Section 172 heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 172(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 172(1) amended 26 July 1996 section 51 Tax Administration Amendment Act (No 2) 1996
173: Overpayment of family tax credit, etc
Section 173 repealed 7 October 1998 section 38 Taxation (Simplification and Other Remedial Matters) Act 1998
10A: Tax recovery agreements
Part 10A inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
173A: Application of Part
This Part applies to tax recovery agreements negotiated between the government of a territory outside New Zealand and the Government of New Zealand. Section 173A inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
173B: Definitions
In this Part— contested act of assistance tax recovery agreement
a: a convention or an agreement negotiated to assist in the recovery of unpaid tax due to either or both of the Governments that are parties to the convention or the agreement that has—
i: been brought into effect by Order in Council under section 173C
ii: entered into force according to its tenor; or
b: a double tax agreement, to the extent that it provides for the recovery of unpaid tax. Section 173B inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 173B competent authority repealed 1 July 2014 section 176 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 173B contested tax repealed 8 December 2009 section 142 Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009
173C: Tax recovery agreements
1: The Governor-General may, by Order in Council, declare that a tax recovery agreement has effect for unpaid tax.
2: A tax recovery agreement has effect—
a: even if a provision in the agreement is inconsistent with a provision in this Act or in any other enactment; and
b: subject to this Part.
3: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 173C inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 173C(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
173D: Taxes that may be recovered
1: To the extent that the taxes are prescribed in a tax recovery agreement, the agreement may provide for assistance in the recovery of taxes that are imposed by the laws of New Zealand and the territory with which the agreement is negotiated.
2: For the purposes of this Part, assistance in the recovery of taxes Section 173D inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 173D(2) inserted 6 October 2009 section 690(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
173E: Requests for assistance
1: A competent authority may make a request for assistance under a tax recovery agreement.
2: A request for assistance must be accompanied by—
a: written particulars of—
i: the amount of unpaid tax to which the request for assistance in recovery relates; and
ii: the extent, if any, to which the requesting party considers the unpaid tax is contested; and
b: a declaration made by the applicant's competent authority that the unpaid tax is a tax prescribed in the agreement and that any other conditions in the tax recovery agreement concerning the making of a request have been complied with; and
c: a certified or notarized copy of the instrument that allows enforcement of the unpaid tax in the state of the applicant. Section 173E inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
173F: Scope of assistance
1: Subject to subsections (2) and (3), when assisting a competent authority in response to a request made under a tax recovery agreement, the Commissioner may apply any provision or exercise any authority, discretion, power, provision, or right that is available to the Commissioner under the laws of New Zealand.
2: Parts 4A 5 5A 6 7 8 8A 9 sections 143C to 143E Part 12 sections 203 to 205
3: Part 11 Section 173F inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
173G: Limitations on assistance in recovery
1: The Commissioner may assist in recovering an amount of unpaid tax only if—
a: payment of the amount is enforceable under the laws of the state of the applicant requesting assistance under a tax recovery agreement; and
b: the amount is owed by a person who cannot, under the laws of the state of the applicant, prevent collection of the amount.
1B: The circumstances in which the Commissioner may provide assistance under this section include the following in relation to the amount of unpaid tax:
a: the period within which the person may exercise a right to contest the assessment has expired:
b: the person has withdrawn an objection in relation to the amount:
c: the person has waived a right to contest the assessment:
d: the person is required to pay some or all of the amount, regardless of any right to contest the assessment:
e: the person is otherwise unable, under the laws of the state of the applicant, to prevent collection of the amount.
1C: For the purposes of this section and section 173E(2)﻿(a)
2: Subsection (1) does not apply if, after consultation, the competent authorities determine that the taxpayer to whom the request for assistance relates—
a: acknowledges that the amount of unpaid tax will no longer be contested; or
b: may leave New Zealand in order to defeat recovery action; or
c: may take steps in relation to the existence or location of the taxpayer's assets that make it more difficult for the Commissioner to recover the unpaid tax; or
d: is contesting the assessment solely to delay or frustrate recovery action.
3: Assistance must not be given—
a: for an amount of unpaid tax that became uncontested more than 6 years before the tax recovery agreement entered into force in New Zealand; or
b: if the request for assistance is first made more than 15 years after the date on which the unpaid tax became uncontested. Section 173G inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 173G(1) replaced 8 December 2009 section 143 Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 Section 173G(1B) inserted 8 December 2009 section 143 Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 Section 173G(1C) inserted 8 December 2009 section 143 Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009
173H: Contested act of assistance
1: This section applies to a contested act of assistance and applies whether or not another remedy is available under the laws of New Zealand or the laws of the other party to a tax recovery agreement.
2: A person that claims to be affected by a contested act of assistance may advise the competent authority of the reasons why the person considers the act is a contested act of assistance.
3: On receipt of a request under subsection (2), the competent authority must, without undue delay,—
a: endeavour to resolve with the person the dispute concerning the contested act of assistance; or
b: refer the request, together with reasons, to the competent authority of the other territory, and endeavour, by mutual agreement, to resolve the dispute. Section 173H inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
173I: Rights of appeal
1: A taxpayer may appeal to the District Court on a question of law or fact that arises from the exercise of any authority, discretion, power, provision, or right by the Commissioner or another competent authority under this Part.
2: The District Court may reverse or modify the effect of the authority, discretion, power, provision, or right exercised, or refer the matter back to the Commissioner or the other competent authority for further consideration. Section 173I inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
173J: Certificates given by Commissioner
1: The Commissioner may sign a certificate on any matter referred to in subsection (2) if the Commissioner first determines that assistance may be given under this Part.
2: A certificate under subsection (1) may include the following:
a: that the request is made under section 173E
b: that the request complies with this Part.
3: In all proceedings concerning an act of the Commissioner to which section 173F(1) Section 173J inserted 20 May 1999 section 112(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999
10B: Transfers of excess tax
Part 10B inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
173K: Application
1: This Part applies if tax has been paid in excess of the amount properly payable—
a: to the extent that the tax paid in excess by or on behalf of a taxpayer is refundable and after the date the tax was paid, and before it is transferred under this Part, has not been applied to satisfy a tax liability or other amount due:
b: to allow the Commissioner to transfer all or part of the excess at the taxpayer's request.
2: For the purpose of the Inland Revenue Acts—
a: tax transferred by the transferor is treated as a refund to the transferor on the date of transfer; and
b: tax transferred to the transferee is treated as tax paid by the transferee on the date of transfer, except for the purpose of imposing a shortfall penalty under Part 9
3: Subsection (2) does not apply for Part O Section 173K inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173K(3) inserted 30 March 2022 section 224 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Transfer rules Heading inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
173L: Transfer of excess tax within taxpayer's accounts
1: A taxpayer or their agent may request that the Commissioner transfer an amount of the excess to another period or another tax type of the taxpayer. If the date chosen under subsection (2) is after the start of the requested period for the taxpayer, the maximum amount that the Commissioner may transfer is the total of—
a: debt owing by the taxpayer to the Commissioner for the requested period at the date chosen under subsection (2); and
b: the taxpayer’s deferrable tax for the requested period at the date chosen under subsection (2); and
c: the amount of an adjustment for the requested period under a notice of proposed adjustment, if there is no deferrable tax under paragraph (b) for the period; and
d: any amount agreed with the Commissioner.
2: The taxpayer may choose the date on which the amount
a: in the case of a GST refund provided by section 19C(8) 20(5) the applicable date set out in subsection (2B)
b: in the case of tax withheld or deducted the amount was withheld or deducted
bb: in the case of a tax credit for expenditure on research and development, a day after the end of the accounting year to which the credit relates:
c: in any other case, a date that occurs on or after the date the excess tax is paid.
2B: For the purposes of subsection (2)﻿(a), the applicable date is—
a: when the taxpayer files their return before the due date, the earlier of—
i: the day
ii: the day after the end of the GST return period in which the refund arose:
b: when the taxpayer files their return on the due date, the day after the end of the GST period in which the refund arose:
c: when the taxpayer files their return after the due date, the day
3: Despite subsection (2)﻿(b) and (bb),—
a: a taxpayer who has an early balance date must, for tax withheld or deducted on their behalf or a tax credit for expenditure on research and development, choose a day after the end of the tax year in which the amount was withheld or deducted or the tax year corresponding to the accounting year to which the credit relates:
b: a taxpayer who has excess tax withheld or deducted on their behalf and has filed a tax return for the tax year in which the excess tax arises before the end of that tax year must, for the excess tax, choose the day on or after the date that the return is filed. Section 173L inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173L(1) replaced 21 February 2017 section 125(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 173L(2) amended 21 February 2017 section 125(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 173L(2)﻿(a) amended 29 March 2018 section 362(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 173L(2)﻿(a) amended 21 February 2017 section 125(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 173L(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 173L(2)﻿(bb) inserted 6 October 2009 section 691(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 173L(2B) inserted 29 March 2018 section 362(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 section 173L(2B)﻿(a)﻿(i) amended 23 March 2020 section 236(1) section 236(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 section 173L(2B)﻿(c) amended 23 March 2020 section 236(2) section 236(3) Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 173L(3) replaced 1 April 2019 section 102 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
173M: Transfer of excess tax to another taxpayer
1: A taxpayer or their agent may request that the Commissioner transfer an amount of the excess to another taxpayer. If the date chosen under subsection (4) is after the start of the requested period for the other taxpayer, the maximum amount that the Commissioner may transfer is the total of—
a: debt owing by that other taxpayer to the Commissioner at the date chosen under subsection (4) for the requested period; and
b: the other taxpayer’s deferrable tax at the date chosen under subsection (4) for the requested period; and
c: the amount of an adjustment for the requested period under a notice of proposed adjustment, if there is no deferrable tax under paragraph (b) for the period; and
d: any amount agreed with the Commissioner.
2: A request may be made for a transfer between a taxpayer and—
a: a company in the same group of companies; or
b: a shareholder employee of the taxpayer; or
c: a company in which the taxpayer is a shareholder employee; or
d: a partner in the same partnership; or
e: a relative; or
f: a trustee of a family trust of which the taxpayer is a beneficiary; or
fb: a tax pooling intermediary's tax pooling account; or
g: another taxpayer not listed in paragraphs (a) to (fb).
3: A taxpayer, being a trustee of a family trust, may request a transfer to a beneficiary of the trust. If the date chosen under subsection (4) is after the start of the requested period for the beneficiary, the maximum amount that the Commissioner may transfer is the total of—
a: debt owing by the beneficiary to the Commissioner at the date chosen under subsection (4) for the requested period; and
b: the beneficiary’s deferrable tax at the date chosen under subsection (4) for the requested period; and
c: the amount of an adjustment for the requested period under a notice of proposed adjustment, if there is no deferrable tax under paragraph (b) for the period; and
d: any amount agreed with the Commissioner.
4: The taxpayer may choose the date on which the amount
a: if subsection (2)﻿(a) to (2)﻿(f) or subsection (3) applies, a date allowed by section 173L
ab: if subsection (2)﻿(fb) applies, a date that occurs on or after the date of the request:
b: if subsection (2)﻿(g) applies, the later of the following dates:
i: a date that occurs on or after the date of the request; and
ii: a date that occurs after the date that the relevant return is filed for the period in which the excess arose.
5: In this section— family trust
a: a natural person for whom the settlor has natural love and affection; or
b: an organisation or a trust whose income is exempt under section CW 41 CW 42
c: a natural person that satisfies paragraph (a) and an organisation or a trust that satisfies paragraph (b) relative marriage, civil union or de facto relationship
6: For the purpose of the relative
a: persons are connected by blood relationship if one is the child of the other:
b: persons are connected by marriage, civil union or de facto relationship if one person is in a marriage, civil union or de facto relationship with the other:
c:
7: Section 173M inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173M(1) replaced 21 February 2017 section 126(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 173M(2)﻿(fb) inserted 6 October 2009 section 692(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 173M(2)﻿(g) replaced 6 October 2009 section 692(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 173M(3) replaced 21 February 2017 section 126(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 173M(4) amended 21 February 2017 section 126(3) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 173M(4)﻿(ab) inserted 6 October 2009 section 692(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 173M(5) family trust amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 173M(5) relative amended 1 April 2023 section 206(1) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 173M(5) relative amended 26 April 2005 section 3(1) Tax Administration Amendment Act 2005 Section 173M(6)﻿(b) replaced 26 April 2005 section 3(1) Tax Administration Amendment Act 2005 Section 173M(6)﻿(c) amended 1 April 2023 section 206(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 173M(7) repealed 26 April 2005 section 3(1) Tax Administration Amendment Act 2005
173MB: Limitation on transfer by PAYE intermediary
Despite sections 173L 173M section RP 6(4)
a: may not be treated as tax overpaid by the person other than as a PAYE intermediary for the employer; and
b: may not be transferred to the person in another capacity or to another taxpayer. Section 173MB inserted 26 March 2003 section 145(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 173MB amended 1 April 2008 section ZA 2 Income Tax Act 2007
173N: Transfer of excess tax:
tax credits Despite sections 173L 173M tax credit section 41A
a: a date that occurs on or after the date of the request; and
b: a date that occurs after the date on which the taxpayer applies for a refund under section 41A Section 173N inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173N heading amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 173N amended 1 April 2008 section ZA 2 Income Tax Act 2007
173O: Transfer of excess tax if no date specified by taxpayer
1: If a taxpayer or their agent requests a transfer under this Part but does not choose the date on which the excess is transferred, the Commissioner may transfer the excess on a date on which the Commissioner considers appropriate.
2: Even if the Commissioner transfers the excess on a date on which the Commissioner considers appropriate, the taxpayer or their agent may subsequently choose a date allowed by sections 173L 173M Section 173O inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Application of transfer rules to excess provisional tax Heading inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
173P: Transfer of excess provisional tax if provisional tax paid is more than taxpayer's provisional tax liability, determined before assessment
1: This section applies in respect of excess provisional tax if—
a: a taxpayer or their agent requests a transfer allowed by section 173L section 173M(2)﻿(a) to 173M(2)﻿(f), or section 173M(3)
b: on the date that the Commissioner actions the request, the taxpayer has paid more provisional tax for a tax year
c: the request is actioned before an assessment is made under Part 6
2: The excess provisional tax that may be transferred on a particular date ( date A provisional tax paid − refunds − provisional tax liability where—
provisional tax paid: is the provisional tax paid for a tax year
a: voluntary payments made under section RC 12
b: tax transferred to the taxpayer:
refunds: are the refunds of the provisional tax that are paid to the taxpayer on or before date A, including transfers by the taxpayer or offsets by the Commissioner against unpaid tax
provisional tax liability: is the provisional tax payable by date A.
3: The Commissioner must not transfer an amount on date A if, as a result, the taxpayer would not satisfy their provisional tax liability in respect of the tax year date B Section 173P inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173P(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173P(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173P(2) provisional tax paid amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 173P(3) amended 1 April 2005 section YA 2 Income Tax Act 2004
173Q: Transfer of excess provisional tax if taxpayer estimates or revises estimate of residual income tax, determined before assessment
1: This section applies in respect of excess provisional tax if—
a: a taxpayer or their agent requests a transfer allowed by section 173L section 173M(2)﻿(a) to 173M(2)﻿(f) section 173M(3)
b: on the date that the Commissioner actions the request, the taxpayer—
i: has paid provisional tax for a tax year
ii: pays provisional tax for a tax year section RC 5(2) and (3)
c: the request is actioned before an assessment is made under Part 6
2: The excess provisional tax that may be transferred on a particular date ( date A provisional tax paid − refunds − estimated RIT where— provisional tax paid is the provisional tax paid for a tax year
a: voluntary payments made under section RC 12
b: tax transferred to the taxpayer refunds are the refunds of the provisional tax that are paid to the taxpayer on or before date A, including transfers by the taxpayer or offsets by the Commissioner against unpaid tax estimated RIT is the taxpayer's estimated residual income tax or revised estimated residual income tax that would be due by date A for the purpose of calculating interest under Part 7 section 120KE(1)
3: The Commissioner must not transfer an amount on date A if, as a result,—
a: a taxpayer to whom subsection (1)﻿(b)﻿(i) applies would not have paid, on a date ( date B Part 7 section 120K(4)
b: a taxpayer to whom subsection (1)﻿(b)﻿(ii) applies would not have paid, on a date ( date B Part 7 section 120K(4)
4: The amount that may be transferred under subsection (2) may not be more than—
a: if subsection (1)﻿(b)﻿(i) applies, the net provisional tax paid less the revised estimated residual income tax for the tax year
b: if subsection (1)﻿(b)﻿(ii) applies, the net provisional tax paid less the estimated residual income tax for the tax year Section 173Q inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173Q(1)﻿(b)﻿(i) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173Q(1)﻿(b)﻿(ii) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 173Q(1)﻿(b)﻿(ii) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173Q(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 173Q(2) amended 1 October 2007 section 259(1)﻿(c) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 173Q(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173Q(4)﻿(a) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173Q(4)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004
173R: Transfer of excess tax if provisional tax is more than taxpayer's residual income tax, determined after assessment
1: This section applies in respect of excess tax if—
a: a taxpayer or their agent requests a transfer allowed by section 173L section 173M(2)﻿(a) to 173M(2)﻿(f) section 173M(3)
b: on the date that the Commissioner actions the request, the taxpayer has paid more provisional tax than the taxpayer's residual income tax for a tax year
2: The excess provisional tax that may be transferred on a particular date ( date A provisional tax paid − refunds − residual income tax where—
provisional tax paid: is the provisional tax paid for the tax year
a: voluntary payments made under section RC 12
b: tax transferred to the taxpayer
refunds: are the refunds of the provisional tax that are paid to the taxpayer on or before date A, including transfers by the taxpayer or offsets by the Commissioner against unpaid tax
residual income tax: is the taxpayer's residual income tax that would be due by date A for the purpose of calculating interest under Part 7 section 120KE(1)
3: The Commissioner must not transfer an amount on date A if, as a result, the taxpayer would be liable to pay interest on unpaid tax under Part 7 Part 9 tax year date B
4: The amount that may be transferred under subsection (2) may not be more than the net provisional tax paid for a tax year Section 173R inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173R(1)﻿(b) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173R(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 173R(2) amended 1 October 2007 section 260(1)﻿(b) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 173R(2) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173R(3) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 173R(4) amended 1 April 2005 section YA 2 Income Tax Act 2004 Miscellaneous Heading inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
173S: Transfers of interest on overpaid tax
1: If the Commissioner is liable to pay interest to a taxpayer under Part 7
2: The Commissioner may only transfer the interest on the date that it would have been payable under Part 7
3: If the date under subsection (2) is after the start of the requested period for the taxpayer or the other taxpayer, the maximum amount that the Commissioner may transfer is the total of—
a: debt owing by the taxpayer, or by the other taxpayer as the case may be, to the Commissioner for the requested period at the date under subsection (2); and
b: the taxpayer’s, or the other taxpayer’s as the case may be, deferrable tax for the requested period at the date under subsection (1); and
c: the amount of an adjustment for the requested period under a notice of proposed adjustment, if there is no deferrable tax under paragraph (b) for the period; and
d: any amount agreed with the Commissioner. Section 173S inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 173S(3) inserted 21 February 2017 section 127 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
173T: Application of excess tax if taxpayer has unsatisfied tax liability
If a taxpayer has excess tax and the Commissioner applies all or part of the excess in satisfaction of tax or another amount due, the taxpayer or their agent may request the Commissioner to apply all or part of the excess on a date allowed by section 173L Section 173T inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
173U: Transfers of excess financial support
Despite sections 173L 173M section 2(1) Section 173U inserted 17 October 2002 section 91(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
173V: Transfer of unclaimed money on request
If a taxpayer is entitled to a payment from the Commissioner of unclaimed money under the Unclaimed Money Act 1971 Section 173V inserted 30 March 2021 section 174 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
11: Remission, relief, and refunds
174: Application of Part to
tax years
1: Despite section 1(2)
2: Despite section 1(2) Section 174 replaced 20 May 1999 section 113(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 174 heading amended 1 April 2005 section YA 2 Income Tax Act 2004
174AA: Power of Commissioner in respect of small amounts of refunds or tax payable
Despite any other provision of this Act or the Income Tax Act 2007 write off tax, refrain from making an assessment of tax, refrain from collecting tax or refrain from
a: the balance of the tax payable is not more than $20; or
b: the tax paid, withheld, or deducted is not more than $5. Section 174AA inserted 20 May 1999 section 113(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 174AA amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 174AA amended 1 April 2003 section 146 Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 174AA(b) replaced 30 March 2017 section 340(1) Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
174A: Partial refunds of GST
1: The Commissioner may refund overpaid GST that a person pays—
a: for a GST return period; or
b: for more than 1 GST return period, if the return periods are the subject of one notice of proposed adjustment,— even if other GST liabilities of the person in respect of the GST return period or periods remain the subject of a notice of proposed adjustment or an outstanding assessment or assessments.
2: The Commissioner must not refund overpaid GST under subsection (1) unless—
a: the Commissioner considers there is no risk to the revenue in making the refund; and
b: the person generally complies with all return and payment obligations under the Goods and Services Tax Act 1985
c: the person is not in breach in any material respect of any of the taxpayer's other tax obligations; and
d: after the refund is made, the person will have paid or be credited as having paid GST for the GST return period or periods in an amount at least equal to the GST that remains the subject of the notice of proposed adjustment or assessment or assessments referred to in subsection (1). Section 174A inserted 26 July 1996 section 53 Tax Administration Amendment Act (No 2) 1996
175: Small amounts of additional tax, etc, not to be charged
Section 175 repealed 26 July 1996 section 54 Tax Administration Amendment Act (No 2) 1996
176: Recovery of tax by Commissioner
1: The Commissioner must maximise the recovery of outstanding tax from a taxpayer.
2: Despite subsection (1), the Commissioner may not recover outstanding tax to the extent that—
a: recovery is an inefficient use of the Commissioner's resources; or
b: recovery would place a taxpayer, being a natural person, in serious hardship.
3: Despite subsection (2)﻿(b), the Commissioner may take steps preparatory to, or necessary to, bankrupt the taxpayer, including debt proceedings in the District Court or the High Court. Section 176 replaced 17 October 2002 section 92(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 176(3) inserted 30 June 2014 section 177 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014
177: Taxpayer may
request
1: A taxpayer, or a person on a taxpayer's behalf, requests
a: making a claim stating why recovery of the taxpayer's outstanding tax or a relief company's outstanding tax would place the taxpayer, being a natural person,
b: requesting to enter into an instalment arrangement with the Commissioner
1B: For the purposes of this section, the Commissioner must consider the taxpayer's financial position at the date on which the request
2: The Commissioner may require a taxpayer, or a person on a taxpayer's behalf, to request by notice
3: Upon receiving a request, the Commissioner may—
a: accept the taxpayer's request; or
b: seek further information from the taxpayer; or
c: make a counter offer; or
d: decline the taxpayer's request.
4: A taxpayer has 20 working days, or a longer period allowed by the Commissioner, to provide the information sought or to respond to a counter offer.
5: If the Commissioner receives information or a response from a taxpayer outside the time period allowed under subsection (4), the receipt of the information or the response will be treated as a new request for financial relief. Section 177 replaced 17 October 2002 section 92(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 177 heading amended 2 June 2016 section 174(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 177(1) amended 2 June 2016 section 174(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 177(1)﻿(a) amended 30 June 2014 section 178(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 177(1)﻿(b) amended 2 June 2016 section 174(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 177(1B) replaced 30 June 2014 section 178(2) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 177(1B) amended 2 June 2016 section 174(4) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 177(2) amended 2 June 2016 section 174(5) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 177(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
177A: How to apply serious hardship provisions
1: Subsections (2), (3), and (4) provide the rules for the Commissioner to decide (the decision
a: for the purposes of section 176
b: for the purposes of section 177
c: for the purposes of section 177B
d: for the purposes of section 177C
2: The Commissioner makes a decision under this section by determining whether financial information, after allowing for payment of a relevant amount of outstanding tax, and subject to subsections (3) and (4), shows that the taxpayer would, after the request section 177 request request
a: the taxpayer or their dependant has a serious illness:
b: the taxpayer would likely be unable to meet—
i: minimum living expenses estimated according to normal community standards of cost and quality:
ii: the cost of medical treatment for an illness or injury of the taxpayer, or of their dependant:
iii: the cost of education for their dependant:
c: other factors that the Commissioner thinks relevant would likely arise.
3: Compliance with, and non-compliance with, tax obligations must not be considered by the Commissioner when making a decision under this section.
4: The Commissioner must use only financial information that the Commissioner has at the date on which the decision is made. Section 177A replaced 30 June 2014 section 179 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 177A(2) amended 2 June 2016 section 175 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
177B: Instalment arrangements
1: The Commissioner must not enter into an instalment arrangement with a taxpayer or a relief company to the extent that the arrangement would place the taxpayer, being a natural person, in serious hardship
2: The Commissioner may decline to enter into an instalment arrangement if—
a: to do so would not maximise the recovery of outstanding tax from the taxpayer; or
b: the Commissioner considers that the taxpayer is in a position to pay all of the outstanding tax immediately; or
c: the taxpayer is being frivolous or vexatious; or
d: the taxpayer has not met their obligations under a previous instalment arrangement.
3: A taxpayer may renegotiate an instalment arrangement at any time.
4: The Commissioner may renegotiate an instalment arrangement at any time after the end of 2 years from the date on which the instalment arrangement was entered.
5: The renegotiation of an instalment arrangement is treated as if it were a new request for financial relief.
6: The Commissioner may cancel an instalment arrangement if—
a: it was entered into on the basis of false or misleading information provided by the taxpayer; or
b: the taxpayer is not meeting their obligations under the arrangement.
7: Despite section LA 6(2) Section 177B inserted 17 October 2002 section 92(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 177B(1) amended 30 June 2014 section 180 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 177B(7) inserted 6 October 2009 section 693(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 177B(7) amended 31 March 2023 section 207(1) section 207(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023
177C: Write-off of tax by Commissioner
1: The Commissioner may write off outstanding tax that cannot be recovered.
1BA: The Commissioner may use, as a ground for deciding whether or not to write off the outstanding tax of a taxpayer or of a relief company, the basis that recovery of the outstanding tax would place the taxpayer, being a natural person, in serious hardship. The Commissioner is not required to write off the outstanding tax if the ground exists.
1B: The Commissioner may write off an amount of outstanding tax to the extent to which the amount—
a: is outstanding from the 2008–09 tax year; and
b: is tax payable under section MF 5(2) MF 6(2)
c: is outstanding due to amendments to the family scheme made by the Taxation (Personal Tax Cuts, Annual Rates, and Remedial Matters) Act 2008
1C: The Commissioner must write off an amount, not exceeding $100, of outstanding tax to the extent to which the amount—
a: is outstanding from the 2008–09 tax year; and
b: is tax payable under section MF 5(2) MF 6(2)
1D: The Commissioner must write off an amount, not exceeding $30, of outstanding tax to the extent to which the amount—
a: is outstanding from the 2010–11 tax year; and
b: is tax payable under section MF 5(2) MF 6(2)
2: The Commissioner must write off outstanding tax that cannot be recovered in the following situations:
a: bankruptcy:
b: liquidation:
c: a taxpayer's estate has been distributed.
3: Despite subsection (1), the Commissioner must not write off outstanding tax (inclusive of any shortfall penalties), if a taxpayer is liable to pay, in relation to the outstanding tax, a shortfall penalty for an abusive tax position or evasion or a similar act.
4: Despite subsection (2), the Commissioner may reinstate all or part of the outstanding tax written off if the Commissioner receives, by operation of law, additional funds in respect of a taxpayer after the taxpayer becomes bankrupt, is liquidated or if additional funds due to the taxpayer's estate are discovered after the taxpayer's estate has been distributed.
5: If the Commissioner writes off outstanding tax for a taxpayer who has a tax loss, other than a write-off under section 22J 174AA
a: dividing the amount written off by 0.33 and reducing the tax loss by that amount, if the taxpayer is not a company; or
b: dividing the amount written off by 0.28 and reducing the tax loss by that amount, if the taxpayer is a company.
5BA: If the Commissioner writes off outstanding tax for a taxpayer who has an excess amount under section EL 4
a: dividing the amount written off by 0.33 and reducing the excess amount by that amount, if the taxpayer is not a company; or
b: dividing the amount written off by 0.28 and reducing the excess amount by that amount, if the taxpayer is a company.
5B: If the Commissioner writes off outstanding tax for a taxpayer who has a tax credit carried forward under section LE 3
5C: For a taxpayer for which the Commissioner writes off outstanding tax, subsection (5) applies before subsection (5BA), and subsection (5BA) applies before subsection (5B).
6: For the purpose of subsection (5), the tax loss tax loss tax loss
7: The Commissioner may reverse a write-off if—
a: outstanding tax is written off on the grounds of serious hardship, and the taxpayer for whom the debt was written off is a natural person who
i: declares bankruptcy within a year of the outstanding tax being written off; or
ii: is subject to bankruptcy proceedings brought by a creditor within a year of the outstanding tax being written off; or
b: outstanding tax is written off on the grounds of serious hardship, and the taxpayer for whom the debt was written off is a relief company
c: the outstanding tax was written off due to false or misleading information provided by the taxpayer.
8: If the Commissioner enters into an instalment arrangement that provides for some outstanding tax to be written off, the Commissioner may not reverse the write-off even if, during the term of the instalment arrangement, the taxpayer does not meet the instalment arrangement's terms. Section 177C inserted 17 October 2002 section 92(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 Section 177C(1BA) inserted 30 June 2014 section 181(1) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 177C(1B) inserted 15 December 2008 section 40 Taxation (Urgent Measures and Annual Rates) Act 2008 Section 177C(1C) inserted 15 December 2008 section 40 Taxation (Urgent Measures and Annual Rates) Act 2008 Section 177C(1D) inserted 20 May 2010 section 100 Taxation (Budget Measures) Act 2010 Section 177C(5) replaced 2 November 2012 section 204 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 177C(5) amended 31 March 2023 section 208(1) section 208(5) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 177C(5BA) inserted 1 April 2023 section 208(2) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 177C(5B) replaced 1 April 2008 section ZA 2 Income Tax Act 2007 Section 177C(5C) replaced 1 April 2023 section 208(4) Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 177C(6) replaced 21 December 2004 section 135(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 177C(6) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 177C(7)﻿(a) amended 30 June 2014 section 181(2) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 177C(7)﻿(b) amended 30 June 2014 section 181(3) Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014
177CA: Proof of debt
1: This section applies if—
a: a taxpayer has entered into an instalment arrangement with the Commissioner; and
b: the taxpayer is a person who has become bankrupt, or a company which is in the course of being liquidated.
2: Any amount outstanding under the instalment arrangement must be included in the department's proof of debt. Section 177CA inserted 17 October 2002 section 92(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
177D: Relief to taxpayers to whom new start grants payable
Section 177D repealed 24 February 2016 section 268 Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016
178: Remission of underestimation penalty tax
Section 178 repealed 23 September 1997 section 102 Taxation (Remedial Provisions) Act 1997
179: Relief from additional tax or incremental tax
Section 179 repealed 26 July 1996 section 57 Tax Administration Amendment Act (No 2) 1996
180: Remissions and refunds of imputation penalty tax
1: The Commissioner shall remit any imputation penalty tax imposed under section 140B
a: liability for the imputation penalty tax arose by virtue of a debit arising to the company's imputation credit account under section OB 54 section OB 25
b: liability for the imputation penalty tax arose by virtue of a refund of income tax having been sent but not having been received by the company, or not having been known by the company to have been received, before the end of the tax year ; or
c: liability for the imputation penalty tax arose by virtue of a debit arising under any of sections OB 33 OP 31 OZ 3
2: Where the Commissioner remits any imputation penalty tax under this section, the Commissioner shall also remit any late payment penalty imposed under section 139B
3: Where the Commissioner remits any imputation penalty tax under subsection (1)﻿(a), the Commissioner shall also remit any late payment penalty imposed under section 139B 1976 No 65 s 394O Section 180(1) amended 26 July 1996 section 58(1) Tax Administration Amendment Act (No 2) 1996 Section 180(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 180(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 180(1)﻿(b) amended 12 December 1995 Tax Administration Act (No 3) 1995 Section 180(1)﻿(c) amended 1 April 2017 section 341 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 180(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 180(1)﻿(c) inserted 12 December 1995 Tax Administration Act (No 3) 1995 Section 180(2) amended 26 July 1996 section 58(2) Tax Administration Amendment Act (No 2) 1996 Section 180(3) amended 26 July 1996 section 58(3) Tax Administration Amendment Act (No 2) 1996
181: Remissions and refunds of
FDP Section 181 repealed 6 October 2009 section 695(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
181B: Remissions and refunds of Maori authority distribution penalty tax
1: The Commissioner must remit any Maori authority distribution penalty tax imposed under section 140CB
a: liability for the penalty tax arose because of a debit arising to the Maori authority credit account under section OK 17 section OK 9
b: liability for the penalty tax arose because of a refund of a Maori authority distribution having been sent but not having been received by the Maori authority, or not having been known by the Maori authority to have been received, before the end of the tax year; or
c: liability for the penalty tax arose because of a debit arising to the Maori authority credit account under section OK 13
2: If the Commissioner remits any Maori authority distribution penalty tax under this section, the Commissioner must also remit any late payment penalty imposed under section 139B
3: If the Commissioner remits any Maori authority distribution penalty tax under subsection (1)﻿(a), the Commissioner must also remit any late payment penalty imposed under section 139B Section 181B inserted 26 March 2003 section 147(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 181B(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 181B(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 181B(1)﻿(c) amended 1 April 2008 section ZA 2 Income Tax Act 2007
181C: Remission of late payment penalties and interest incurred due to obligation to pay further income tax
1: This section applies to a company that is liable—
a: under section OB 65 tax year
b: under section 139B tax year
2: The Commissioner must remit any interest under section 120D Section 181C inserted 25 November 2003 section 138 Taxation (GST, Trans-Tasman Imputation and Miscellaneous Provisions) Act 2003 Section 181C(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 181C(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007
181D: Remission of late payment penalties and interest incurred due to obligation by Maori authority to pay further income tax
An amount that is interest under section 120D sections OK 23 24 Section 181D inserted 1 October 2004 section 137(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 181D amended 1 April 2008 section ZA 2 Income Tax Act 2007
182: Relief from additional tax incurred due to default in payment of tax
Section 182 repealed 26 July 1996 section 60 Tax Administration Amendment Act (No 2) 1996
183: Obligation to pay tax on foreign investment fund income able to be suspended
Section 183 repealed 6 October 2009 section 696 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009
183AA: Remission for GST transitional taxable periods
1: This section applies to—
a: a late filing penalty imposed under section 139AAA
b: a late payment penalty imposed under section 139B
c: interest payable under Part 7
2: The Commissioner must remit a taxpayer's penalty or interest to the extent to which, objectively, the penalty or interest are imposed because of the taxpayer's acts or omissions in respect of the change in the rate of goods and services tax on 1 October 2010.
3: Subsection (2) does not apply if the taxpayer is liable for a shortfall penalty in respect of a GST transitional taxable period, if the liability is attributable wholly or in part to the taxpayer's acts or omissions in respect of the change in the rate of goods and services tax on 1 October 2010.
4: In this section, GST transitional taxable period
a: a taxable period, as defined in the Goods and Services Tax Act 1985 GST taxable period
b: a GST taxable period that includes 1 October 2010 and a later GST taxable period, if that later GST taxable period ends on or before 31 December 2010:
c: a GST taxable period for which the taxpayer is required to make a return that includes an adjustment under section 78B Section 183AA inserted 1 October 2010 section 56 Taxation (Budget Measures) Act 2010 Section 183AA(4)﻿(b) further amended 7 May 2012 section 148(2) Taxation (International Investment and Remedial Matters) Act 2012 Section 183AA(4)﻿(b) amended 7 May 2012 section 148(1) Taxation (International Investment and Remedial Matters) Act 2012 Section 183AA(4)﻿(c) replaced 7 May 2012 section 148(2) Taxation (International Investment and Remedial Matters) Act 2012
183A: Remission for reasonable cause
1: This section applies to—
a: a late filing penalty:
b: a non-electronic filing penalty:
c: a late payment penalty:
d: imputation penalty tax imposed by section 140B
e:
f: Maori authority distribution penalty tax imposed by section 140CB
g: a shortfall penalty imposed by section 141AA
h: a civil penalty imposed under section 215 2006:
i: an employers’ withholding payment penalty section 141ED
1A: The Commissioner may remit the penalty if the Commissioner is satisfied that—
a: a penalty to which this section applies arises as a result of an event or circumstance beyond the control of a taxpayer; and
b: as a consequence of that event or circumstance the taxpayer has a reasonable justification or excuse for not furnishing the tax return or their employment income information, or not furnishing their employment income information
c: the taxpayer corrected the failure to comply as soon as practicable.
2: Without limiting the Commissioner's discretion under subsection (1), an event or circumstance may include—
a: an accident or a disaster; or
b: illness or emotional or mental distress.
3: An event or circumstance does not include—
a: an act or omission of an agent of a taxpayer, unless the Commissioner is satisfied that the act or omission was caused by an event or circumstance beyond the control of the agent—
i: that could not have been anticipated; and
ii: the effect of which could not have been avoided by compliance with accepted standards of business organisation and professional conduct; or
b: a taxpayer's financial position. Section 183A replaced 23 September 1997 section 104(1) Taxation (Remedial Provisions) Act 1997 Section 183A(1) replaced 1 April 2005 section 138 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 183A(1)﻿(e) repealed 6 October 2009 section 697(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 183A(1)﻿(h) inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 183A(1)﻿(h) amended 1 April 2009 section 23 Taxation (KiwiSaver) Act 2007 Section 183A(1)﻿(h) amended 1 April 2008 section 264 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 183A(1)﻿(i) inserted 1 April 2008 section 264 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 183A(1)﻿(i) amended 1 April 2019 section 363(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183A(1A) inserted 7 October 1998 section 39(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 183A(1A)﻿(b) amended 1 April 2019 section 363(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
183ABA: Remission in circumstances of emergency event
1: This section applies for a taxpayer if—
a: the taxpayer fails to make a payment required by a tax law (the required payment
ab: the failure is a consequence of an emergency event, declared in an Order in Council under this section, that significantly adversely affects the ability of the taxpayer to do either or both of—
i: make a reasonably accurate forecast, on 1 or more provisional tax instalment dates for a tax year, of the taxpayer’s residual income tax for the tax year:
ii: make the required payment on or before the due date for the required payment; and
b: the taxpayer is charged with interest under Part 7
c: the taxpayer is a member of a class of persons to whom a remission under this section is available, if such a class of persons is described in the Order in Council declaring the emergency event.
2: The taxpayer may ask the Commissioner to remit the interest.
3: The Commissioner may remit the interest if the Commissioner is satisfied that—
a: it is equitable that the interest be remitted; and
b: the taxpayer asked for the relief as soon as practicable; and
c: the taxpayer made the payment as soon as practicable.
4: The Governor-General may from time to time by Order in Council—
a: declare an event that meets the requirements of paragraphs (a) and (b) of the definition of emergency in section 4
b: describe a class or classes of persons to whom a remission under this section is available in relation to the emergency event.
5: An Order in Council (the order
a: may relate to an event that occurred after the commencement of this Act and before the commencement of the order:
b: expires, if not renewed under paragraph (c), after—
i: the period given in the order, if such a period is given; or
ii: if no such period is given, 6 months from the promulgation of the order:
c: may be renewed or replaced from time to time by an Order in Council made before or after the date on which the order would otherwise expire.
6: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 183ABA replaced 6 October 2009 section 698 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 183ABA(1)﻿(a) replaced 30 March 2022 section 225 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABA(1)﻿(ab) inserted 30 March 2022 section 225 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABA(6) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
183ABAB: Remission of interest for taxpayers affected by COVID-19: general rules
1: This section applies for a taxpayer if—
a: the taxpayer’s ability to make a payment required by a tax law on or before the due date for the payment is significantly adversely affected by COVID-19; and
b: the due date for the payment is no earlier than 14 February 2020; and
c: the taxpayer is charged with interest under Part 7 due date; and
d: the requirement for the payment does not arise from an election under section IZ 8
2: The taxpayer may ask the Commissioner to remit interest accrued after 14 February 2020 (the interest
3: The Commissioner may remit the interest if—
a: the Commissioner is satisfied that the taxpayer—
i: asked for the relief as soon as practicable; and
ii: made the payment as soon as practicable; and
b: no more than 4 years and 15 days
4: The time limit imposed by subsection (3)﻿(b) may be extended by Order in Council—
a: made on the recommendation of the Minister of Revenue; and
b: made before, or no more than 6 months after, the time limit (the previous time limit
c: extending the time limit by no more than 36 months from the previous time limit for—
i: all persons affected by the previous time limit; or
ii: a class or classes of persons affected by the previous time limit and described in the Order in Council.
5: An Order in Council (the order
a: expires, if not renewed under paragraph (b), after—
i: the period given in the order, if such a period is given; or
ii: if no such period is given, 6 months after the order comes into force:
b: may be renewed or replaced from time to time by an Order in Council made—
i: on the recommendation of the Minister of Revenue; and
ii: before the date on which the order would otherwise expire.
6: The Minister of Revenue may recommend the making of an Order in Council under subsection (4) or (5) to extend the time limit only if satisfied that the ability of taxpayers to pay tax on time is likely to continue, beyond the expiry of the existing time limit, to be significantly adversely affected by COVID-19.
7: An Order in Council under subsection (4) or (5) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 183ABAB inserted 25 March 2020 section 33 COVID-19 Response (Taxation and Social Assistance Urgent Measures) Act 2020 Section 183ABAB heading replaced 7 August 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act (No 2) 2020 Section 183ABAB(1)﻿(c) amended 30 April 2020 section 22(1)﻿(a) section 22(2) COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Section 183ABAB(1)﻿(d) inserted 30 April 2020 section 22(1)﻿(b) section 22(2) COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020 Clause 183ABAB(3)﻿(b) amended 25 March 2022 clause 4 Taxation (Extension of COVID-19 Interest Remission) Order 2022 Section 183ABAB(4) replaced 30 March 2022 section 226 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAB(7) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
183ABAC: Remission of interest on
residual income tax 2020–2021 or 2021–2022 tax year
1: This section applies for a taxpayer who is liable to pay provisional tax for the 2020–21 or 2021–22 tax year (the affected tax year
a: the taxpayer, for the affected tax year
i: makes an estimate under section RC 7 affected tax year
ii: makes an election under section RC 10(5)
iii: does not make an election under section RC 10(5) section 120KE(1)﻿(b) to (e)
b: the taxpayer’s residual income tax for the affected tax year
c: the taxpayer is charged with interest under Part 7
i: on an amount of residual income tax affected tax year
ii: that begins to accrue before the taxpayer’s terminal tax date for the affected tax year
d: the taxpayer’s ability to make a reasonably accurate forecast, on 1 or more provisional tax instalment dates for the affected tax year affected tax year
e: the requirement to pay the amount does not arise from an election under section IZ 8
2: The taxpayer may ask the Commissioner to remit interest accrued between the 31 March before the affected tax year and the taxpayer’s terminal tax date for the affected tax year interest
3: The Commissioner may remit the interest if the Commissioner is satisfied that the taxpayer—
a: asked for the relief as soon as practicable; and
b: has paid their residual income tax affected tax year
4: This section does not limit section 183ABAB Section 183ABAC inserted 7 August 2020 section 3 COVID-19 Response (Further Management Measures) Legislation Act (No 2) 2020 Section 183ABAC heading amended 30 March 2022 section 227(1)﻿(a) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC heading amended 30 March 2022 section 227(1)﻿(b) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1) amended 30 March 2022 section 227(2) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1)﻿(a) amended 30 March 2022 section 227(3) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1)﻿(a)﻿(i) amended 30 March 2022 section 227(3) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1)﻿(b) amended 30 March 2022 section 227(3) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1)﻿(c)﻿(i) amended 30 March 2022 section 227(4) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1)﻿(c)﻿(i) amended 30 March 2022 section 227(5) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1)﻿(c)﻿(ii) amended 30 March 2022 section 227(5) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(1)﻿(d) amended 30 March 2022 section 227(5) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(2) amended 30 March 2022 section 227(6) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183ABAC(3)﻿(b) amended 31 March 2023 section 209 Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 Section 183ABAC(3)﻿(b) amended 30 March 2022 section 227(7)﻿(b) section 227(8) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
183AB: Cancellation of late payment penalties imposed before 1 April 2002
1: The Commissioner must cancel a taxpayer's liability to pay—
a: 60% of an initial late payment penalty; or
b: an incremental late payment penalty.
2: The Commissioner must cancel a taxpayer's liability under subsection (1) only if—
a: the tax to pay in respect of which the taxpayer would otherwise have had the liability is—
i: tax payable in 1 or more payments under an arrangement with the Commissioner; or
ii: tax in respect of which deductions are to be made and paid to the Commissioner under section 157 section 43
b: the taxpayer complies with the taxpayer's obligations under the arrangement; and
c: the liability would otherwise have arisen after—
i: the arrangement was entered into; or
ii: the Commissioner exercised powers available to the Commissioner under section 157 section 43 Section 183AB inserted 17 October 2002 section 94(1) Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002
183B: Cancellation of late payment penalties under instalment arrangement
Section 183B repealed 27 March 2001 section 54(2) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001
183C: Cancellation of interest
1: Subject to subsection (3), a taxpayer's liability to pay interest under Part 7
a: the Commissioner issues the taxpayer with a notice of assessment; and
b: the tax assessed in the notice, together with any interest payable under Part 7
2:
3: Where—
a: the Commissioner issues a notice of assessment to a taxpayer before the original due date for payment of the tax to which the assessment relates; and
b: the tax assessed in the notice, together with any interest payable under Part 7 the Commissioner shall cancel the taxpayer's liability to pay interest under Part 7
4: Where—
a: the Commissioner issues a statement of account to a taxpayer after the original due date for payment of tax to which the statement of account relates; and
b: the tax referred to in the statement of account, together with any interest payable under Part 7 30th the Commissioner shall cancel the taxpayer's liability to pay interest under Part 7
4B: Subsection (4C) applies, if—
a: the Commissioner issues another statement of account (the second statement first statement
b:
c: the tax assessed Part 7
4C: The Commissioner shall cancel the taxpayer’s liability to pay interest under Part 7 the tax assessed
4D: Subsection (4E) applies, if—
a: the Commissioner issues another notice of assessment (the second assessment first assessment
b:
c: the tax assessed Part 7
4E: The Commissioner shall cancel the taxpayer’s liability to pay interest under Part 7 the tax assessed
5: If the Commissioner issues both a notice of assessment and a statement of account to a taxpayer and the 30th day referred to in subsection (3) occurs on or before the 30th Part 7
6: For the purpose of subsection (5), a payment that is made is a payment of the tax assessed in the notice of assessment, together with any interest payable under Part 7 Section 183C replaced 23 September 1997 section 104(1) Taxation (Remedial Provisions) Act 1997 Section 183C(2) repealed 1 April 2003 section 149 Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003 Section 183C(4)﻿(b) amended 10 October 2000 section 79(1) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 183C(4B) replaced 1 April 2018 section 364(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183C(4B)﻿(b) repealed 1 April 2022 section 228(1) section 228(7) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183C(4B)﻿(c) amended 1 April 2022 section 228(2) section 228(7) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183C(4C) replaced 1 April 2018 section 364(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183C(4C) amended 1 April 2022 section 228(3) section 228(7) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183C(4D) inserted 1 April 2018 section 364(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183C(4D)﻿(b) repealed 1 April 2022 section 228(4) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183C(4D)﻿(c) amended 1 April 2022 section 228(5) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183C(4E) inserted 1 April 2018 section 364(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183C(4E) amended 1 April 2022 section 228(6) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 183C(5) replaced 27 March 2001 section 55(1) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 183C(5) amended 10 October 2000 section 79(1) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 183C(6) inserted 27 March 2001 section 55(1) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001
183CA: Cancellation of interest charged on unpaid provisional tax
1: If interest has been charged on unpaid provisional tax under Part 7 section 120L(2) and (3) tax year
a: have their liability to pay the excess interest cancelled; and
b: have the excess interest, to the extent that the taxpayer has paid it, refunded.
2:
3: Upon receiving an application, the Commissioner must—
a: cancel the taxpayer's liability to pay the excess interest; and
b: refund to the taxpayer the excess interest to the extent that it has been paid by the taxpayer. Section 183CA inserted 20 May 1999 section 114(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 183CA(1) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 183CA(2) repealed 2 June 2016 section 176 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
183CB: Cancellation of interest charged on payments under PAYE rules or provisional tax rules arising from work in Canterbury earthquake recovery programme
1: This section applies for a person (the earner Canterbury Earthquake Recovery Act 2011
a: the earner is a non-resident, or is treated as a non-resident under a relevant double tax agreement, on 4 September 2010 and—
i: is a natural person who arrives in New Zealand after that date; or
ii: is not a natural person and, under the double tax agreement, has no permanent establishment in New Zealand on 4 September 2010 but after that date has a permanent establishment in New Zealand or is a resident and not treated as a non-resident; and
b: the income relates to a period beginning after 4 September 2010 and ending before 4 September 2011.
2: If a person is required under the PAYE rules to withhold an amount of tax from a PAYE income payment to the earner for the work and does not pay the amount to the Commissioner by the time required by the PAYE rules, the Commissioner must, on receiving an application by the person, cancel the person's liability to pay interest under Part 7
a: beginning on the day of the PAYE income payment; and
b: ending on the earlier of—
i: 4 September 2011:
ii: the first day on or after the day of the PAYE income payment on which it is clear that the person has a withholding liability in New Zealand.
3: If the earner is a provisional taxpayer with residual income tax that is treated for the purposes of Part 7
a: beginning on the due date of the instalment; and
b: ending on the earlier of—
i: 4 September 2011:
ii: the first day on or after the due date of the instalment on which it is clear that the earner has an income tax liability.
4: For the purposes of subsection (1), the term Canterbury earthquake Canterbury Earthquake Recovery Act 2011 Greater Christchurch Regeneration Act 2016 Section 183CB inserted 29 August 2011 section 188 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 183CB(4) inserted 2 June 2016 section 177 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
183D: Remission consistent with collection of highest net revenue over time
1: The Commissioner may remit—
a: a late filing penalty; and
aa: a non-electronic filing penalty; and
b: a late payment penalty; and
bb: a shortfall penalty imposed by section 141AA
bc: a civil penalty imposed under section 215
bd: an employers’ withholding payment penalty section 141ED
c: interest under Part 7 payable by a taxpayer if the Commissioner is satisfied that the remission is consistent with the Commissioner's duty to collect over time the highest net revenue that is practicable within the law.
2: In the application of this section, the Commissioner must have regard to the importance of the penalty, and interest under Part 7
3: The Commissioner must not consider a taxpayer's financial position when applying this section. Section 183D replaced 23 September 1997 section 104(1) Taxation (Remedial Provisions) Act 1997 Section 183D(1)﻿(aa) inserted 7 October 1998 section 40(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 183D(1)﻿(bb) inserted 1 April 2005 section 139 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 183D(1)﻿(bc) inserted 1 December 2006 section 231 KiwiSaver Act 2006 Section 183D(1)﻿(bc) amended 1 April 2009 section 25 Taxation (KiwiSaver) Act 2007 Section 183D(1)﻿(bd) inserted 1 April 2008 section 265 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 183D(1)﻿(bd) amended 1 April 2019 section 365 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183D(2) replaced 1 December 2006 section 231 KiwiSaver Act 2006
183E: Remission of interest if unpaid tax remitted
The Commissioner shall remit interest if—
a: an amount of tax payable by a taxpayer is remitted by the Commissioner under a tax law; and
b: the taxpayer is liable for the interest under Part 7 Section 183E inserted 26 July 1996 section 62 Tax Administration Amendment Act (No 2) 1996
183F: Small amounts of penalties and interest not to be charged
1: Despite any other provision in this Act,—
a: a taxpayer is not liable to pay a late payment penalty if an amount of tax
b: a taxpayer is not liable to pay interest under Part 7 amount of tax
c: a taxpayer is not liable to pay an employers’ withholding payment penalty section 141ED(1)﻿(b)
d: the Commissioner is not liable to pay interest under Part 7
2: An amount specified in subsection (1) may be varied from time to time by the Governor-General by Order in Council.
3: An order under subsection (2) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 183F inserted 26 July 1996 section 62 Tax Administration Amendment Act (No 2) 1996 Section 183F(1) replaced 6 October 2009 section 699 Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 183F(1)﻿(a) amended 29 March 2018 section 366(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183F(1)﻿(b) amended 29 March 2018 section 366(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183F(1)﻿(c) amended 1 April 2019 section 367 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 183F(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
183G: Refunds by Commissioner
If—
a: an amount of interest or a civil penalty payable by a taxpayer is remitted, or a liability to pay the amount is cancelled, by the Commissioner under a tax law; and
b: the taxpayer has already paid the amount,— the Commissioner will—
c: refund the amount to the taxpayer; or
d: apply the amount towards meeting another tax liability. Section 183G inserted 26 July 1996 section 62 Tax Administration Amendment Act (No 2) 1996
183H: Remission on
A taxpayer seeking the remission of an amount or of a liability to pay an amount of interest or tax under section 183A 183D
a: apply
i: imputation penalty tax imposed by section 140B
ii:
iii: Maori authority distribution penalty tax imposed by section 140CB
iv: a shortfall penalty imposed by section 141AA
v: interest under Part 7
b: produce such information as the Commissioner requires in relation to the application Section 183H replaced 23 September 1997 section 106 Taxation (Remedial Provisions) Act 1997 Section 183H amended 3 April 2006 section 262(1) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 183H amended 27 March 1998 section 48 Taxation (Remedial Provisions) Act 1998 Section 183H(a) replaced 3 April 2006 section 262(2) Taxation (Depreciation, Payment Dates Alignment, FBT, and Miscellaneous Provisions) Act 2006 Section 183H(a) amended 2 June 2016 section 178(1) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 183H(a) amended 2 June 2016 section 178(2) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 183H(a)﻿(ii) repealed 6 October 2009 section 700(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 183H(b) amended 2 June 2016 section 178(3) Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
183I: Time when cancellation takes effect
1: Where a taxpayer's tax liability or obligation is cancelled under this Part, the cancellation is deemed to take effect at the time the tax liability or obligation arose.
2: Without limiting subsection (1), a taxpayer is never liable to pay interest or a civil penalty in respect of a tax liability or obligation that is cancelled. Section 183I inserted 26 July 1996 section 62 Tax Administration Amendment Act (No 2) 1996
184: Refund of tax paid on income subsequently exempted by Order in Council
If a double tax agreement exempts from tax any income derived before the date on which the Order in Council that gives effect to the double tax agreement comes into force 4 years after the date on which the Order in Council came into force sections LA 6 to LA 8 RM 2 RM 4 RM 5 RM 8 RM 10 Section 184 replaced 23 September 1997 section 107 Taxation (Remedial Provisions) Act 1997 Section 184 amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 184 amended 2 June 2016 section 179 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 Section 184 amended 17 July 2013 section 118 Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 Section 184 amended 1 April 2008 section ZA 2 Income Tax Act 2007
184AA: Refund of tax: deductible amounts of interest
1: This section applies when a person is allowed a deduction under section DB 3B
2: The time limits for refunds under the provisions referred to in subsection (3) do not apply for the purposes of the amendments made by sections 194 221 Part 7
3: The provisions are, as applicable,—
a: sections RM 2 to RM 6
b: sections MD 1 and MD 2 of the Income Tax Act 2004:
c: sections MD 1 and MD 2 of the Income Tax Act 1994. Section 184AA inserted 29 August 2011 section 189(1) Taxation (Tax Administration and Remedial Matters) Act 2011
184A: Refund of tax paid in excess made by direct credit to bank account
1: Unless subsection (3) applies, a refund of tax paid in excess must be made by direct credit to a bank account nominated by the taxpayer entitled to the refund.
2: To enable a payment to be made by direct credit under this section, a taxpayer
3: If the Commissioner is satisfied that the application of subsections (1) and (2) would result in undue hardship to a taxpayer, or is not practicable, a refund of tax paid in excess may be made by other means acceptable to the Commissioner.
4: In this section, bank account
5: In this section, tax
a: an amount defined as tax in section 3(1)﻿(a)
ab: an amount of income tax:
b: a refund allowed under section 41A
c:
d:
e: financial support, as defined in section 2
f: a repayment obligation, as defined in section 4(1) section 132
g: unclaimed money under the Unclaimed Money Act 1971
h: an amount in an income equalisation account:
i: an amount in an environmental restoration account:
j: an amount of the problem gambling levy payable under—
i: Part 4, subpart 4 section 319
ii: section 101
6: This section applies to the direct crediting of a type of tax once an Order in Council has been promulgated specifying the date from which the type of tax may be refunded by direct credit. Section 184A inserted 7 October 1998 section 41(1) Taxation (Simplification and Other Remedial Matters) Act 1998 Section 184A(2) amended 1 April 2019 section 103(1) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 184A(5) replaced 10 October 2000 section 80(1) Taxation (GST and Miscellaneous Provisions) Act 2000 Section 184A(5)﻿(ab) inserted 1 April 2019 section 103(2) Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 184A(5)﻿(c) repealed 27 March 2001 section 56(1) Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 Section 184A(5)﻿(d) repealed 22 July 2014 section 5(4) Cheque Duty Repeal Act 2014 Section 184A(5)﻿(f) replaced 1 April 2012 section 223 Student Loan Scheme Act 2011 Section 184A(5)﻿(g) inserted 23 March 2020 section 237 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 184A(5)﻿(h) inserted 23 March 2020 section 237 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 184A(5)﻿(i) inserted 23 March 2020 section 237 Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 Section 184A(5)﻿(j) inserted 30 March 2021 section 175 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 184A(6) inserted 8 September 1999 section 75(1) Taxation (Remedial Matters) Act 1999
184B: Tax type that may be direct credited to bank account
1: The Governor-General may, by Order in Council, specify the date from which a type of tax may be refunded by direct credit under section 184A
2: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 184B inserted 8 September 1999 section 76(1) Taxation (Remedial Matters) Act 1999 Section 184B(2) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
185: Payment out of Crown Bank Account
1: All money payable by the Commissioner—
a: by way of refund under this Act or the Income Tax Act 2007 or the Goods and Services Tax Act 1985
b:
c: by way of interest under this Act or the Income Tax Act 2007
d:
e: by way of credits of tax under the family scheme
f: in accordance with section RM 8 Act—
g: shall be paid out of a Crown Bank Account
2: On the recovery under Part 10A a Crown Bank Account 1976 No 65 ss 34A(6), 185(6), 185F(3), 326A(6), 327G(6), 374K, 394ZMG(4)﻿(c), 413A(11), 415 Section 185(1) amended 25 January 2005 section 65R(3) Public Finance Act 1989 Section 185(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 185(1)﻿(a) amended 21 December 2004 section 140 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 185(1)﻿(b) repealed 1 April 2017 section 342 Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 Section 185(1)﻿(c) replaced 26 July 1996 section 63 Tax Administration Amendment Act (No 2) 1996 Section 185(1)﻿(c) amended 24 February 2016 section 270(1) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 185(1)﻿(d) repealed 26 July 1996 section 63 Tax Administration Amendment Act (No 2) 1996 Section 185(1)﻿(e) amended 1 July 2018 section 40 Families Package (Income Tax and Benefits) Act 2017 Section 185(1)﻿(f) amended 1 April 2020 section 368(1) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 185(1)﻿(f) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 185(1)﻿(g) repealed 1 April 2020 section 368(2) Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 Section 185(2) inserted 20 May 1999 section 115(1) Taxation (Accrual Rules and Other Remedial Matters) Act 1999 Section 185(2) amended 25 January 2005 section 65R(3) Public Finance Act 1989
185B: Application of particular provisions in this Part to PAYE intermediaries
1: Section 183A
2: Sections 183C 183D to 183F 183H 183I 184A 184B
3: Section 183G
a: the references to a taxpayer were read as references to a PAYE intermediary; and
b: paragraph (d) had not been enacted. Section 185B inserted 26 March 2003 section 150(1) Taxation (Maori Organisations, Taxpayer Compliance and Miscellaneous Provisions) Act 2003
185C: Establishment of Listed PAYE Intermediary Bank Account
Section 185C repealed 1 April 2020 section 369 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
185D: Payments into, and out of, Listed PAYE Intermediary Bank Account
Section 185D repealed 1 April 2020 section 369 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
11B: Foreign account information-sharing agreements
Part 11B inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014
185E: Purpose
1: The purpose of this Part is to give effect to and implement foreign account information-sharing agreements.
2: Sections 185F to 185M
3: Sections 185N 185O
4: Sections 185P to 185R Section 185E inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 185E(2) inserted 1 July 2017 section 20 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185E(3) inserted 1 July 2017 section 20 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185E(4) inserted 1 July 2017 section 20 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 FATCA agreement Heading inserted 1 July 2017 section 21 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185F: Permitted choices in relation to
FATCA agreement
1: This section applies for a person, as described in the FATCA agreement agreement
a: the agreement describes or contemplates a choice or a course of action or inaction (a permitted choice
b: a choice made by the New Zealand government under the agreement allows, as described or contemplated in the agreement, the person a permitted choice.
2: The person is authorised to make, do, or not do, as described or contemplated by the agreement, the permitted choice, and to do or not do anything necessarily incidental to giving effect to the permitted choice.
3: The obligations in this Part are modified to the extent necessary to give effect to anything authorised by subsection (2) ( for example: section 185H
4: The Commissioner must publish an appropriate notice of a choice made or revoked by the New Zealand government under the agreement in a publication chosen by the Commissioner.
5: A person's permitted choice and a choice made by the New Zealand government under the agreement are treated as part of the agreement for the purposes of this Part and section BH 1
6: Subsections (2) to (5) do not apply to a choice or course of action or inaction listed in subsection (7) (an excluded choice
7: For the purposes of subsection (6), the following are excluded choices:
a: an election to report on accounts under Annex 1.II.A of the foreign account information-sharing agreement:
b: an election to report on accounts under Annex 1.III.A of the foreign account information-sharing agreement:
c: an election to report on accounts under Annex 1.IV.A of the foreign account information-sharing agreement:
d: an election to report on accounts under Annex 1.V.A of the foreign account information-sharing agreement. Section 185F inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 185F heading amended 1 July 2017 section 22(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185F(1) amended 1 July 2017 section 22(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185G: Obligations related to
FATCA agreement A person, as described in the FATCA agreement agreement Section 185G inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 185G heading amended 1 July 2017 section 23(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185G amended 1 July 2017 section 23(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185H: Obligations related to
FATCA agreement A person, as described in the FATCA agreement agreement Section 185H inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 185H heading amended 1 July 2017 section 24(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185H amended 1 July 2017 section 24(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185I: Obligations related to
FATCA agreement
1: A person, as described in the FATCA agreement agreement
a: the information that the New Zealand competent authority is obliged to obtain and exchange with a foreign competent authority:
b: other information that the person is authorised to obtain and provide to the New Zealand competent authority.
2: Information described in subsection (1) must be obtained and provided in accordance with—
a: the agreement; and
b: regulations made by Order in Council by the Governor-General for the purposes of this Part under section 224 Section 185I inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 185I heading amended 1 July 2017 section 25(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185I(1) amended 1 July 2017 section 25(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185J: Obligations related to
FATCA agreement
1: A person, as described in the FATCA agreement agreement
2: A person, as described in the agreement, must obtain and provide information to a third party if that information and its providing and obtaining is described or contemplated in the agreement in relation to the person, and the person is authorised to obtain and provide it to the third party ( for example: section 185F
3: Information described in subsections (1) and (2) must be obtained and provided in accordance with—
a: the agreement; and
b: regulations made by Order in Council by the Governor-General for the purposes of this Part under section 224 Section 185J inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 185J heading amended 1 July 2017 section 26(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185J(1) amended 1 July 2017 section 26(2) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185K: Information provided in form prescribed by Commissioner
The information in section 185I(1)﻿(a) and (b) Section 185K inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014
185L: Foreign account information-sharing agreements: anti-avoidance
Section 185L repealed 1 July 2017 section 27 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185M: Timeframes not specified
1: If an instrument described in section 185I(2)﻿(a) and (b)
2: If an instrument described in section 185I(2)﻿(a) and (b) Section 185M inserted 1 July 2014 section 182 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 CRS standard Heading inserted 1 July 2017 section 28(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185N: Requirements for financial institution
1: A financial institution must comply with this section for a period in which the financial institution is—
a: resident in New Zealand under the CRS applied standard:
b: a branch located in New Zealand under the CRS applied standard.
2: For the purposes of subsection (1), the requirements for a financial institution that is resident in New Zealand do not include requirements for a branch of the financial institution that is not located in New Zealand.
3: The financial institution must, for each reporting period and each financial account that is maintained by the financial institution in the reporting period,—
a: perform the due diligence procedures, and obtain the information, required by the CRS applied standard; and
b: for each new financial account, obtain the information referred to in subsection (4) for each account holder or controlling person identified by the financial institution as being—
i: a resident of a foreign jurisdiction other than a reportable jurisdiction; and
ii: a person or entity who would be a reportable person if the foreign jurisdiction were a reportable jurisdiction.
4: The information required under subsection (3)﻿(b) to be obtained for an account holder or controlling person is—
a: the date of birth for an individual; and
b: the taxpayer identification number issued by the foreign jurisdiction for the person or entity, except if the domestic law of the foreign jurisdiction does not require the collection of the TIN.
5: The financial institution must, for each reporting period, give to the Commissioner a report of the information that the CRS applied standard and subsection (11) require the financial institution to provide to the competent authority.
6: The report by the financial institution for a reporting period must be given to the Commissioner by the 30 June following the 31 March that is the end of the reporting period, except as given by subsection (7).
7: The first report by the financial institution for information with respect to a financial account that is maintained by a financial institution in a reporting period must be given to the Commissioner by—
a: 30 June 2018, if the financial account is identified before that date as being a reportable account that is a pre-existing individual account and a high value account:
b: 30 June 2019, if the financial account is identified before that date as being a reportable account that is a pre-existing entity account or that is a pre-existing individual account and a lower value account.
8: For the purposes of this section, a financial account is not an undocumented account except in a situation described in Section III, subparagraph B(5) or C(5)﻿(c) of the CRS applied standard.
9: In determining the aggregate balance or value of financial accounts, the financial institution must apply the rules in Section VII, subparagraph C(1) to (3) of the CRS applied standard.
10: The financial institution may choose that the reporting requirements given by the CRS applied standard for financial accounts held or controlled by a resident of a reportable jurisdiction apply to all financial accounts maintained by the financial institution and held or controlled by a resident of a foreign jurisdiction.
11: A financial institution that makes the election referred to in subsection (10) must comply with the chosen reporting requirements in each report for a reporting period.
12: A financial institution that chooses to review pre-existing entity accounts, whether all such accounts or a clearly identified group of such accounts, must complete the review by the date given in Section V, subparagraph D(1) of the CRS applied standard for completion of the review of pre-existing entity accounts with the specified aggregate account balance or value.
13: A financial institution that chooses to treat a discretionary beneficiary of a trust as not being a controlling person for the trust until the beneficiary receives a distribution must have reasonable safeguards and procedures for identifying when a distribution is made to the beneficiary.
14: The financial institution is not permitted to choose for a report for a reporting period—
a: to use a reporting period other than a period ending with 31 March:
b: to give the average balance of a financial account for a reporting period as being the balance for the financial account for the reporting period.
15: A report for a reporting period must be in the prescribed electronic format. Section 185N inserted 1 July 2017 section 28(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185O: Application of Common Reporting Standard
1: This section provides for the application of the CRS standard in determining the requirements for a person or entity under the Inland Revenue Acts.
2: The CRS standard is modified for the purposes of determining the requirements for a person or entity under the Inland Revenue Acts in the ways specified in Schedule 2 , part 1
3: The CRS standard is treated as applying at a time—
a: as modified by subsection (2); and
b: consistently with the Commentary on the CRS standard contained in Part IIIB of the CRS publication, as amended at the time and as modified and clarified in the ways specified in schedule 2, part 2
4: In the application of the CRS standard at a time, a term defined in the CRS standard and used in the Inland Revenue Acts has the meaning that it has at the time under the CRS standard, as modified by subsection (2).
5: A person or entity may make an election that is consistent with the CRS standard if the election is not contrary to the Inland Revenue Acts.
6: A person or entity that makes an election referred to in subsection (5) must meet the requirements of the CRS applied standard consistently with the election. Section 185O inserted 1 July 2017 section 28(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 185O(2) amended 26 June 2019 section 104(1) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Section 185O(3)﻿(b) amended 26 June 2019 section 104(2) Taxation (Annual Rates for 2019–20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 Foreign account information-sharing agreements generally Heading inserted 1 July 2017 section 28(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185P: Requirements for persons to provide information to financial institution
1: This section applies to a person or entity connected with a financial account if the financial institution that maintains the financial account is required under the FATCA agreement or CRS applied standard (the account requirements
2: When a financial institution requests a person or entity (the institution contact
a: provide to the financial institution the required information for the institution contact; and
b: make reasonable efforts to obtain the required information for each other person or entity connected with the financial account, and provide the information to the financial institution.
3: When a person or entity connected with the financial account (the secondary contact requesting person
a: provide the requesting person with the required information for the secondary contact; and
b: make reasonable efforts to obtain the required information for each other person or entity connected with the financial account and the secondary contact, and provide the information to the requesting person.
4: If a person or entity provides information to another person or entity as required by this section, the person or entity must, within a reasonable time of becoming aware of a material change in circumstances affecting that information, provide details of the material change to—
a: the other person or entity, if the other person or entity is still connected with the financial account and responsible as a requesting person for the information; or
b: the financial institution, if paragraph (a) does not apply. Section 185P inserted 1 July 2017 section 28(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185Q: Requirements and penalties for entities that are not persons
1: If the FATCA agreement or CRS applied standard, or a related provision in this Act, is expressed as imposing a requirement or penalty on an entity that is not a person, the meeting of the requirement or the payment of the penalty for the entity is treated as being a joint and several requirement,—
a: if the entity is a trust, for each trustee:
b: if the entity is a partnership, for each partner:
c: if the entity is a joint venture, for each member of the joint venture:
d: if the entity is a legal relationship between persons or entities that is not referred to in paragraphs (a) to (c), for each person or entity in the relationship.
2: If the FATCA agreement or CRS applied standard, or a related provision in this Act is expressed as requiring information to be provided to an entity that is not a person, the requirement is treated as being to provide the information to the persons given for the entity by subsection (1)﻿(a) to (d). Section 185Q inserted 1 July 2017 section 28(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
185R: Foreign account information-sharing agreements: anti-avoidance
1: If a main purpose of a person in entering an arrangement is to avoid a requirement under this Part, the arrangement is treated as having no effect in relation to the person’s requirements under this Part.
2: The person has the requirements under this Part that the Commissioner considers to be appropriate in the absence of the arrangement. Section 185R inserted 1 July 2017 section 28(1) Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
12: Offences and penalties
Part 12 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996 Penal tax Heading repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
186: Penal tax for evasion of deficient tax
Section 186 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
187: Penal tax deemed to be of the same nature as deficient tax
Section 187 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
188: Assessment of penal tax
Section 188 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
189: Date for payment of penal tax
Section 189 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
190: Objections to assessments of penal tax
Section 190 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
191: Recovery of penal tax
Section 191 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
192: Recovery of penal tax from executors or administrators
Section 192 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
193: Recovery of penal tax not affected by conviction of taxpayer
Section 193 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
194: Penal tax for default in making or paying tax deduction
Section 194 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
195: Penal tax for failure to deduct specified superannuation contribution withholding tax
Section 195 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
196: Penal tax for default in making or paying resident withholding tax deductions
Section 196 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
197: Penal tax for default in making or paying deductions of non-resident withholding tax
Section 197 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996 Offences Heading repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
198: Offences relating to obstruction of departmental functions
Section 198 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
199: Penalty for failure to furnish returns, etc
Section 199 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
200: Offence for failure to provide information requested by Commissioner
Section 200 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
201: Offence for officers and employees of corporate bodies
Section 201 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
202: Further offences for officers and employees of corporate bodies
Section 202 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
203: Offence for failure of officers of department to maintain secrecy
Section 203 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
204: Offence for failure of other persons to maintain secrecy
Section 204 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
205: Secrecy requirements where information given by department
Section 205 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
206: Offences relating to tax deductions
Section 206 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
207: Offences for failure to deduct specified superannuation contribution withholding tax
Section 207 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
208: Offences relating to resident withholding tax
Section 208 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
209: Offences for failure to deduct non-resident withholding tax
Section 209 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
210: Offences relating to dividend withholding payments
Section 210 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
211: Offences for failure to make deductions
Section 211 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
212: Offences relating to family support
Section 212 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
213: Offences in relation to inquiry before a District Court Judge
Section 213 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
214: Offences in relation to inquiry by Commissioner
Section 214 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996 Proceedings Heading repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
215: Proceedings to be taken summarily
Section 215 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
216: Information may charge several offences
Section 216 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
217: Information may be laid within 10 years
Section 217 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
218: Authority to lay information
Section 218 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996 Evidence Heading repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
219: Evidence in proceedings for failure to furnish returns or information
Section 219 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
220: Evidence of financial or property transactions
Section 220 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996 Penalties Heading repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
221: Penalties for offences
Section 221 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
222: Penalties for failure to meet various tax obligations
Section 222 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
223: Publication of names of tax evaders
Section 223 repealed 26 July 1996 section 64 Tax Administration Amendment Act (No 2) 1996
13: Miscellaneous
224: Regulations: Inland Revenue Acts generally
1: The Governor-General may, by Order in Council, make regulations for the due administration of the Inland Revenue Acts and for the conduct of all persons concerned in the administration of those Acts and generally for carrying the Inland Revenue Acts into effect.
2: Regulations made under this section may prescribe fines for offences against the regulations not exceeding $500 in any case.
3: Regulations under this section are secondary legislation ( see Part 3 1974 No 133 s 48(1), (3) The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 224(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
225: Regulations
1: The Governor-General may from time to time, by Order in Council, make regulations, not inconsistent with this Act or the Income Tax Act 2007 or Goods and Services Tax Act 1985
a: prescribing the form of returns to be made, the particulars to be set forth in those returns, the persons by whom and the time when or within which those returns are to be made, and the forms of the assessments, notices, and other documents referred to in this Act or the Income Tax Act 2007 or Goods and Services Tax Act 1985
b: prescribing the procedure to be followed in applying for a determination and making any provision which may be desirable in relation to the issuing or the publication of the determination or to enable the Commissioner to set fees for dealing with applications for determinations:
c:
d:
e: providing, where there is no provision in this Act or the Income Tax Act 2007 or Goods and Services Tax Act 1985 Income Tax Act 2007 or Goods and Services Tax Act 1985
f: making any provision which may be convenient for the administration of this Act or the Income Tax Act 2007 or Goods and Services Tax Act 1985
2:
3: Regulations under this section are secondary legislation ( see Part 3 1976 No 65 s 197H(7)﻿(d), (e), (8) The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 225 heading replaced 21 December 2004 section 141(1) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 225(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225(1) amended 21 December 2004 section 141(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 225(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225(1)﻿(a) amended 21 December 2004 section 141(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 225(1)﻿(c) repealed 30 March 2022 section 229(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 225(1)﻿(d) repealed 30 March 2022 section 229(1) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 225(1)﻿(e) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225(1)﻿(e) amended 21 December 2004 section 141(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 225(1)﻿(f) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225(1)﻿(f) amended 21 December 2004 section 141(2) Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 225(2) repealed 30 March 2022 section 229(2) Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 Section 225(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
225AA: Regulations: co-operative dairy and marketing companies
Section 225AA repealed 30 March 2022 section 230 Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022
225A: Power to make interim payments of
WFF tax credit
1: The Governor-General may from time to time, by Order in Council—
a: specify a class of persons being paid a main benefit chief executive of the administering department section 80KP
b: appoint a date on which the chief executive of that department may start making payments under section 80KP
2: An Order in Council made under subsection (1) may—
a: provide that the chief executive of that department may make payments, or must stop making payments, under section 80KP a main benefit
b: specify a class of persons being paid a main benefit section 80KP
i: the type of main benefit
ii: the amount of the main benefit
iii: the amount of the WFF tax credit
iv: any amount used or calculated by the chief executive of that department in determining the amount of the WFF tax credit
3: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 225A replaced 24 May 1999 section 21 Taxation (Parental Tax Credit) Act 1999 Section 225A heading amended 1 April 2008 section 267(1) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 225A(1)﻿(a) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 225A(1)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225A(1)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225A(2)﻿(a) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 225A(2)﻿(a) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225A(2)﻿(b) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 225A(2)﻿(b) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225A(2)﻿(b)﻿(i) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 225A(2)﻿(b)﻿(ii) amended 30 March 2021 section 142 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Section 225A(2)﻿(b)﻿(iii) amended 6 October 2009 section 702(1) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 225A(2)﻿(b)﻿(iii) amended 1 April 2008 section 267(2) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 225A(2)﻿(b)﻿(iv) amended 6 October 2009 section 702(2) Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 Section 225A(2)﻿(b)﻿(iv) amended 1 April 2008 section 267(3) Taxation (Business Taxation and Remedial Matters) Act 2007 Section 225A(3) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
225ABA: Orders in Council: periods for purposes of certain provisions of Income Tax Act 2007 relating to disposals of trading stock
1: This section provides a power to extend the period, or specify another later period, during which certain provisions of the Income Tax Act 2007
2: The Governor-General may, by Order in Council made on the recommendation of the Minister of Revenue,—
a: replace the date on which the period specified in 1 or more of sections FZ 9(c)﻿(i) GZ 4(b)﻿(i) GZ 5(1)﻿(b)﻿(i)
b: specify a period for the purposes of 1 or more of sections FZ 9(c)﻿(ii) GZ 4(b)﻿(ii) GZ 5(1)﻿(b)﻿(ii)
3: An Order in Council under subsection (2)﻿(a) to replace the existing end date of a period must be made before that date.
4: The Minister of Revenue may recommend the making of an Order in Council under subsection (2)﻿(a) only if satisfied that people in New Zealand are likely to continue, beyond the expiry of the existing period, to be significantly adversely affected by COVID-19.
5: The period specified by an Order in Council made under subsection (2)﻿(b) may begin before the date on which the Order in Council comes into force.
6: The Minister of Revenue may recommend the making of an Order in Council under subsection (2)﻿(b) only if satisfied that—
a: an event has occurred that meets the requirements of paragraphs (a) and (b) of the definition of emergency in section 4
b: people in New Zealand were being significantly adversely affected as a consequence of the event at the beginning of the period that is to be recommended is specified; and
c: people in New Zealand—
i: were being significantly adversely affected as a consequence of the event at the end of the period that is to be recommended is specified; or
ii: are likely to continue to be significantly adversely affected as a consequence of the event at least until the end of the period that is to be recommended is specified.
7: An Order in Council made under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 225ABA inserted 30 March 2021 section 176 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
225AB: Order in Council amending schedule 18B of Income Tax Act 2007
1: This section provides a power to amend, by Order in Council, the list of sales of bloodstock yearlings in schedule 18B premier yearling sale section EC 39B(4)
2: The Governor-General may, by Order in Council made on the recommendation of the Minister of Revenue, amend schedule 18B
a: adding the name of a sale of bloodstock yearlings:
b: substituting the name of a sale of bloodstock yearlings in recognition of a change in its name:
c: removing the name of a sale of bloodstock yearlings.
3: Before recommending the making of an Order in Council to—
a: add the name of a sale of bloodstock yearlings to schedule 18B
i: is of bloodstock yearlings of interest to New Zealand resident and non-resident prospective buyers; and
ii: will be held in New Zealand:
b: remove the name of a sale of bloodstock yearlings from schedule 18B
i: is no longer of bloodstock yearlings of interest to New Zealand resident and non-resident prospective buyers:
ii: will no longer be held in New Zealand.
4: Before making a recommendation under subsection (2), the Minister of Revenue must—
a: consult the Minister for Racing on the proposed amendment; and
b: be satisfied that consultation has been undertaken on the proposed amendment that is appropriate and reasonable for the purposes of this section.
5: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 225AB inserted 18 March 2019 section 104 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 Section 225AB(5) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
225B: Order in Council amending Schedule 27
1: The Governor-General may from time to time, by Order in Council, amend Schedule 27
a: adding a country or territory outside New Zealand:
b: adding types of income for a country or territory outside New Zealand:
c: omitting a country or territory outside New Zealand:
d: omitting types of income for a country or territory outside New Zealand.
2: An order under subsection (1)—
a: is secondary legislation ( see Part 3
b: must be confirmed by an Act ( see subpart 3
2: 2004 No 35 s LC 1A(1), (2) The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 225B inserted 1 April 2008 section ZA 2 Income Tax Act 2007 Section 225B(2) inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Section 225B(2) repealed 1 January 2016 section 14 Legislation (Confirmable Instruments) Amendment Act 2015
225BA: Order under section 225B is confirmable instrument
Section 225BA repealed 28 October 2021 section 3 Secondary Legislation Act 2021
225C: Order in Council amending Schedule 38 of Income Tax Act 2007
1: The Governor-General may, from time to time, by Order in Council, amend Schedule 38
a: adding a statute, if the statute provides for an exemption from income tax, for salary or wages, that is to be ignored in determining the family scheme income of a person for an income year:
b: removing a statute.
2: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 225C inserted 1 April 2011 section 162 Taxation (GST and Remedial Matters) Act 2010 Section 225C(2) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
225D: Regulations: community housing trusts and companies
1: The Governor-General may, from time to time, by Order in Council make regulations, on the combined recommendation of the Minister of Revenue and the Minister for Housing, amending threshold values set out in schedule 34
2:
3: Regulations made under this section are treated as coming into force on a day specified for that purpose in the Order in Council, but that day must not be earlier than 14 April 2014.
4: Regulations under this section—
a: are secondary legislation ( see Part 3
b: commence in accordance with subsection (3), even if they are not yet published. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 225D inserted 30 June 2014 section 183 Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 Section 225D(1) replaced 24 February 2016 section 271(1) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 225D(2) repealed 24 February 2016 section 271(2) Taxation (Annual Rates for 2015–16, Research and Development, and Remedial Matters) Act 2016 Section 225D(4) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
226: Power to extend time for doing anything under Act
1: If anything required by or under this Act or the Income Tax Act 2007 or the Goods and Services Tax Act 1985
2: Anything done at or, as the case may be, within the time prescribed by any such Order in Council shall be as valid as if it had been done at or within the time fixed by or under this Act or the Income Tax Act 2007 Goods and Services Tax Act 1985
3: An order under this section is secondary legislation ( see Part 3 1976 No 65 s 434 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 226(1) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 226(1) amended 21 December 2004 section 142 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 226(2) amended 1 April 2008 section ZA 2 Income Tax Act 2007 Section 226(2) amended 21 December 2004 section 142 Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 Section 226(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
226B: Business group amnesties
1: The Commissioner may declare an amnesty (a business group amnesty affected business
a: protection of the integrity of the tax system; and
b: collection over time of the highest net revenue that is practicable within the law.
2: The Commissioner, when declaring a business group amnesty, must announce the days that begin and end the period for which the business group amnesty is available.
3: The Commissioner may change a day that begins or ends the period for which a business group amnesty is available by an announcement made on or before the day.
4: A person is eligible to benefit from a business group amnesty if the person—
a: is carrying on the affected business when the amnesty becomes available; and
b: has carried on the affected business throughout the period of 3 income years ending before the income year in which the amnesty becomes available; and
c: has not previously benefited from a business group amnesty; and
d: has not been notified of a pending tax audit or investigation before the amnesty becomes available.
5: During the period for which a business group amnesty is available, a person may give a notice to the Commissioner in a form prescribed by the Commissioner—
a: stating that the person wishes to benefit from the amnesty; and
b: stating that the person is carrying on the affected business; and
c: stating the period for which, and the place at which, the person has carried on the affected business as a business; and
d: providing a statement of assets and liabilities for the income year ending before the income year in which the business group amnesty becomes available; and
e: giving details of actions and omissions relating to the business that the person considers might give rise to an assessment, amended assessment, or prosecution if the person did not benefit from the amnesty; and
f: providing any other information required by the Commissioner.
6: A person who is eligible under subsection (4) and gives a notice under subsection (5) is a person (an affected person
7: The Commissioner may, as if the business group amnesty were not declared,—
a: investigate the financial affairs of an affected person for the period of—
i: the income year ending before the income year in which the Commissioner declares the amnesty; and
ii: the income year in which the Commissioner declares the amnesty; and
b: make an assessment or amended assessment of the affected person for the income years referred to in paragraph (a).
8: After an affected person gives a notice under subsection (5), the Commissioner must not, in relation to income years before the income years referred to in subsection (7)﻿(a),—
a: begin an investigation of the income and deductions of the affected person relating to the affected business:
b: make an assessment or amended assessment of the affected person based on figures for income and deductions relating to the affected business that differ from the figures for income and deductions relating to the affected business included by the affected person in a return of income provided before the date of the notice under subsection (5), except if subsection (10) applies.
9: After an affected person gives a notice under subsection (5), the Commissioner must not begin under this or another Act a prosecution of the affected person for an action or omission before or in giving the notice if—
a: the affected person provides information relating to the action or omission to the Commissioner; and
b: subsection (10) does not apply.
10: The Commissioner may make an assessment, make an amended assessment, or bring a prosecution, that would otherwise be contrary to subsection (8) or (9), if the assessment or prosecution arises from an investigation of which the person is given notice, and that the Commissioner begins, before the affected person gives the notice under subsection (5).
11: The Commissioner must notify the Minister by providing a report section 141L
12: The Minister must lay a copy of the report before the House of Representatives at the same time as the report under section 141L Section 226B inserted 19 December 2007 section 268 Taxation (Business Taxation and Remedial Matters) Act 2007 Section 226B(11) amended 2 June 2016 section 180 Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016
226C: Secure credit or debit card payments and fees
1: The Commissioner may offer to taxpayers the service of paying an amount to the Commissioner by secure internet credit or debit card transfer or secure telephone credit or debit card transfer.
2: The Commissioner may charge the taxpayer, at the time that the taxpayer uses the service, a fee for the service. The fee, if it is charged, must be paid on top of the amount, and as part of the same payment (using the same service).
3: The fee for the service is 1.42% of the amount, plus any GST.
4: Despite subsection (3), the Governor-General may from time to time, by Order in Council, change the fee, with effect from a date specified in the Order in Council.
5: An order under subsection (4) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 226C inserted 29 August 2011 section 190 Taxation (Tax Administration and Remedial Matters) Act 2011 Section 226C(3) amended 2 November 2012 section 205 Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 Section 226(5) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
226D: Reportable jurisdictions for CRS standard and Part 11B
1: The Governor-General may from time to time, by Order in Council, make regulations providing that a territory outside New Zealand is a reportable jurisdiction for the purposes of the CRS applied standard.
2: A regulation may set out the period for which it is to apply, which must not begin before the latest reporting period that finishes before the regulation is made.
3: A regulation may provide for the change, extension, limitation, suspension, or cancellation of an earlier regulation.
4:
5: The effect of a regulation providing that a territory outside New Zealand is a reportable jurisdiction may be suspended by a determination made by the Commissioner under section 91AAV
6: Regulations under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 226D inserted 21 February 2017 section 29 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 226D(4) repealed 28 October 2021 section 3 Secondary Legislation Act 2021 Section 226D(6) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
226E: Application of changes to CRS standard
1: The Governor-General may from time to time, by Order in Council, make regulations relating to a change in the CRS standard or the CRS publication providing for—
a: the effect or lack of effect of the change on the CRS applied standard:
b: a period for which an effect or lack of effect applies or does not apply:
c: the effect or lack of effect of a change to the CRS applied standard on the obligations and liabilities of a person or entity or class of persons or entities.
2: A regulation may set out the period for which it is to apply, which must not begin before the latest reporting period that finishes before the regulation is made.
3: A regulation may provide for the change, extension, limitation, suspension, or cancellation of an earlier regulation.
4: Regulations under this section are secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 226E inserted 21 February 2017 section 29 Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 Section 226E(4) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
14: Transitional provisions and savings
227: Transitional provisions and savings
1: The continuity of the operation of the law relating to income tax and every other tax imposed under the enactments repealed by section YB 3 of the Income Tax Act 1994 repealed enactments Taxation Review Authorities Act 1994
2: For all purposes in respect of any tax which at the commencement of this Act has been already assessed or paid or is still assessable or payable in or for the 1994–95 tax year tax year
3: All proceedings in respect of offences committed or alleged to have been committed, whether before or after the commencement of this Act, against any of the repealed enactments may be instituted or continued as if this Act had not been passed.
4: Any express or implied reference in any enactment, instrument, or document (including this Act) to any provision of this Act, or to things done or to be done or failing to be done under or for the purposes of any provision of this Act, shall, if and so far as the nature of the reference permits, be construed as including, in relation to the times, circumstances, or purposes in relation to which the corresponding provision in the repealed enactments has or had effect, a reference to, or to things done or to be done or failing to be done under or for the purposes of, that corresponding provision.
5: Any express or implied reference in any enactment, instrument, or document (including the repealed enactments and enactments, instruments, and documents passed or made after the passing of this Act) to, or to things done or to be done or failing to be done under or for the purposes of, any of the repealed enactments shall, if and so far as the nature of the reference permits, be construed as including, in relation to the times, circumstances or purposes in relation to which the corresponding provision of this Act has effect, a reference to, or to things done or to be done or failing to be done under or for the purposes of, that corresponding provision.
6: For the purpose of determining the punishment which may be imposed on a person in respect of the commission of an offence under a provision of this Act, an offence committed by that person under a corresponding repealed enactment is deemed to have been committed under that provision. Section 227(2) amended 1 April 2005 section YA 2 Income Tax Act 2004
227B: Regulations providing for transitional exemptions and other matters
2021-12-31 Tax Administration Act 1994 This section and any unexpired regulations made under this section expire and are repealed on 31 December 2021. Section 227B repealed 31 December 2021
227C: Transitional provision: voluntary application of employment income information provisions
1: This section applies for the purposes of this Act and the Income Tax Act 2007 transitional period
2: Despite the commencement provisions in the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 amendment Act KiwiSaver Act 2006 Income Tax Act 2007
3: For the purposes of subsection (2), an employer who chooses to report their employment income information using the provisions of the amendment Act must also apply the other relevant provisions relating to the delivery of that information or to the interpretation of those provisions, whether or not the relevant provision is listed in subsection (8).
4: When an employer makes an election under subsection (2), they must include in their employment income information the required items relating to a benefit received by an employee or former employee under section CE 1(1)﻿(d)
5: For the purposes of subsection (4), for an item relating to a benefit under an employee share scheme received by an employee in the part of the transitional period that falls before the date referred to in section 2(34) section CE 2(9)
6: For the purposes of the application of a late filing penalty under section 139A(6) to (8)
7: For the purposes of the correction of errors in employment income information that is provided in the transitional period, a regulation-making power is set out in section 46(8) and (9)
8: For the purposes of subsections (2) and (4), and despite the relevant commencement provisions in section 2
a: sections 17(2) and (3)﻿(b) 20 153 158 159 191 196 203 207 to 209 239 240 243(20), (24), (26), (53), and (54) 261(2), (5), (13), and (26) 267 272 274 to 276 279 280 303 313 315 334 352 to 357 360 363 to 367 372(1)﻿(a) to (c) 374 to 380 383 to 388 406
b: the due dates for employment income information under sections 23E to 23I section 139A(6) to (8) 142
9: An employer who makes an election under subsection (2) may not revert to the provisions for the delivery of the employer monthly schedule and PAYE income payment form under this Act or the Income Tax Act 2007 Section 227C inserted 1 April 2018 section 370 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
227D: Transitional provision for certain filing requirements of employers
1: For the purposes of this Act and the Income Tax Act 2007 section 227C(1)
2: For the purposes of this Act and the Income Tax Act 2007 section 227C(2) month of the election
3: For the purposes of this Act and the Income Tax Act 2007 section RD 4(1)﻿(b)
a: apply the provisions in the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
b: provide their employment income information in relation to the benefit under the provisions in subpart 3C Section 227D inserted 1 April 2018 section 370 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
227E: Transitional provision: application of investment income information provisions
1: This section applies for the purposes of this Act and the Income Tax Act 2007 transitional period
2: Despite the commencement provisions in the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 amendment Act subpart 3E section 25O
3: A person who makes an election under subsection (2) may not revert to the provisions in this Act and the Income Tax Act 2007 Section 227E inserted 1 April 2019 section 371 Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018
227EB: Transitional provisions: publication requirements related to RWT-exempt status and certain exemption certificates
1: For the transitional period referred to in section 227E(1)
a: create an electronic register of persons who hold an RWT exemption certificate for the purposes of establishing their RWT-exempt status; and
b: publish a person’s tax file number and the start date and, if applicable, the end date recorded on the person’s RWT exemption certificate.
2: A reference in a document to an RWT exemption certificate or to a person holding an RWT exemption certificate is to be read as including a reference to RWT-exempt status or to the person having RWT-exempt status, as applicable, to the extent necessary to reflect sensibly the intent of the document.
3: A reference in a document to an exemption certificate for a schedular payment or to the provision of a copy of an exemption certificate is to be read as including a reference to a notice of the Commissioner under schedule 5 Section 227EB inserted 1 April 2019 section 105 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
227F: Transitional provisions related to information disclosures
1: Subpart 3A sections 16 to 17K
2: Unless a limit in subsection (3) applies, in circumstances where the meaning of a taxation law that comes into force at the commencement of this Act (the new law
a: the wording of a taxation law that is replaced in part by section 13C old law
b: it can be assumed that a corresponding old law provision exists for each new law provision.
3: Subsections (1) and (2) do not apply in the case of a new law that is amended after the commencement of this Act, with effect from the date on which the amendment comes into force.
4: For the avoidance of doubt, in relation to permitted disclosures under schedule 7 section 18 Section 227F inserted 18 March 2019 section 106 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
227G: Transitional provision related to individuals’ income information
For income years in the period from the 2000–01 income year to the 2019–20 income year, an individual who may have or may have had an entitlement under the family scheme under sections MD 1 ME 1 Income Tax Act 2004 Income Tax Act 1994 section 108 Section 227G inserted 1 April 2019 section 107 Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019
227H: Transitional provision relating to annual return for trusts
A variation under section 59BA(5) Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 Part 3 Section 227H inserted 30 March 2021 section 177 Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021
228: Commissioner and department
The person who, on 1 April 1995, holds office as Commissioner of Inland Revenue is deemed to have been appointed Commissioner of Inland Revenue under section 6A Section 228 replaced 2 September 1996 section 43 Taxation (Remedial Provisions) Act 1996
229: References to department, etc
1: All references in any enactment, regulation, rule, order, deed, agreement, instrument, notice, or other document to the Land and Income Tax Department or to the Stamp Duties Office shall, unless the context otherwise requires, be deemed to be references to the Inland Revenue Department.
2: All references in any enactment, regulation, rule, order, deed, agreement, instrument, notice, or other document to the Minister of Stamp Duties shall, unless the context otherwise requires, be deemed to be references to the Minister of Finance.
3: All references in any enactment, regulation, rule, order, deed, agreement, instrument, notice, or other document to the Commissioner of Taxes or to the Commissioner of Stamp Duties shall, unless the context otherwise requires, be deemed to be references to the Commissioner of Inland Revenue.
4: All references in any enactment, regulation, rule, order, deed, agreement, instrument, notice, or other document to the Deputy Commissioner of Stamp Duties or to the Second Deputy Commissioner of Taxes shall, unless the context otherwise requires, be deemed to be references to an officer of the department
5: All references in any enactment, regulation, rule, order, deed, agreement, instrument, notice, or other document to the Chief Deputy Commissioner of Inland Revenue shall, unless the context otherwise requires, be deemed to be references to an officer of the department
6: All references in any enactment, regulation, rule, order, agreement, instrument, notice, or other document to—
a: a Superintendent appointed under section 3 of the Land and Income Tax Amendment Act 1944; or
b: a District Commissioner of Taxes; or
c: an Assistant Commissioner of Stamp Duties; or
d: a District Commissioner of Stamp Duties— shall, unless the context otherwise requires, be deemed to be references to an officer of the department 1974 No 133 ss 3(2), 4(2), 6(5), (8), 8(2), 49(3) Section 229(4) amended 2 September 1996 section 44(4) Taxation (Remedial Provisions) Act 1996 Section 229(5) amended 2 September 1996 section 44(4) Taxation (Remedial Provisions) Act 1996 Section 229(6) amended 2 September 1996 section 44(5) Taxation (Remedial Provisions) Act 1996