Document ID: chunk:federal_register_of_legislation:C2025C00029:section:4:p6
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 4 (pt 6/19)
Character Range: 3766497–3769150

of the same wholly‑owned group; or
                (b) entities that receive distributions from the company resident in New Zealand.

Subdivision 220‑A—Objects of this Division

Table of sections
220‑15 Objects
220‑20 What is an NZ resident?

220‑15  Objects
 (1) The main objects of this Division are:
 (a) to allow a company that is an *NZ resident to choose that the *imputation system apply in relation to it; and
 (b) if the company makes that choice, to apply the rest of this Part in relation to the company generally as if it were an Australian resident.
 (2) Another object of this Division is to prevent the benefits of the *imputation system from being inappropriately made available to or through a *member of a company that is a foreign resident, by modifying the way in which the rest of this Part applies to:
 (a) a company that has chosen that the system apply in relation to it; and
 (b) other companies that are members of the same *wholly‑owned group as that company; and
 (c) other entities that receive (directly or indirectly) *distributions from that company.

220‑20  What is an NZ resident?

Company
 (1) A company is an NZ resident if:
 (a) the company is incorporated in New Zealand; or
 (b) the company is not incorporated in New Zealand but carries on business there and either:
 (i) has its central management and control there; or
 (ii) has its voting power controlled by *members who are NZ residents.

Natural person
 (2) A natural person is an NZ resident if he or she resides in New Zealand.
 (3) A natural person is also an NZ resident if his or her domicile is in New Zealand, unless the Commissioner is satisfied that the person's permanent place of abode is outside New Zealand.
 (4) A natural person is also an NZ resident if he or she has actually been in New Zealand, continuously or intermittently, during more than half of the income year, unless the Commissioner is satisfied that:
 (a) the person's usual place of abode is outside New Zealand; and
 (b) the person does not intend to take up residence in New Zealand.

Not an NZ resident if an Australian resident
 (5) A person is not an NZ resident if the person is an Australian resident. This has effect despite subsections (1), (2), (3) and (4).

Subdivision 220‑B—NZ company treated as Australian resident for imputation system if company chooses

Table of sections
220‑25 Application of provisions of Part 3‑6 outside this Division
220‑30 What is an NZ franking company?
220‑35 Making an NZ franking choice
220‑40 When is an NZ franking choice in force?
220‑45 Revoking an NZ franking choice
220‑50 Cancelling an NZ franking choice

220‑25  Application