Reprint as at 1 July 2017

Coat of Arms of New Zealand

Goods and Services Tax Act 1985

Public Act
 
1985 No 141
Date of assent
 
3 December 1985
Commencement
 
3 December 1985
Note

Changes authorised by subpart 2 of Part 2 of the Legislation Act 2012 have been made in this official reprint.

Note 4 at the end of this reprint provides a list of the amendments incorporated.

This Act is administered by the Inland Revenue Department.

Contents

Title
1Short Title, etc
2Interpretation
2AMeaning of associated persons
3Meaning of term financial services
3AMeaning of input tax
4Meaning of term open market value
5Meaning of term supply
5BSupply of certain imported services
6Meaning of term taxable activity
7Act to bind Crown
8Imposition of goods and services tax on supply
8ACertain supplies of telecommunications services
8BRemote services: determining residence and status of recipients
9Time of supply
10Value of supply of goods and services
11Zero-rating of goods
11AZero-rating of services
11ABZero-rating of telecommunications services
11BZero-rating of some supplies by territorial authorities, some supplies involving contributions to local authorities
11CTreatment of supplies by operators of loyalty programmes
12Imposition of goods and services tax on imports
13Imposition of goods and services tax on goods liable to excise duty and supplied at in bond prices [Repealed]
14Exempt supplies
15Taxable periods
15AChange in registered person’s taxable period [Repealed]
15ABTransitional provision: alignment of taxable periods with balance dates [Repealed]
15BTaxable periods aligned with balance dates
15CChanges in taxable periods
15DWhen change in taxable period takes effect
15EMeaning of end of taxable period
16Taxable period returns
17Special returns
18Other returns
19Accounting basis
19ARequirements for accounting on payments basis
19ABLocal authorities accounting on payments basis on and after 1 July 2001 [Repealed]
19BParticulars to be furnished and prepared where change in accounting basis
19CTax payable, or refund, where change in accounting basis
19DInvoice basis for supplies over $225,000
20Calculation of tax payable
20AGoods and services tax incurred relating to determination of liability to tax
20BAllocation of taxable supplies following investigation by Commissioner
20CGoods and services tax incurred in making certain supplies of financial services
20DDetermining availability of deduction under section 20C from supplies by another person
20EDetermining supplies charged at 0% under section 11A(1)(q) and (r) from supplies by another person
20FElection that sections 11A(1)(q) and (r) and 20C apply
20GTreatment of supplies of certain assets
20HGoods and services tax incurred in making financial services for raising funds
21Adjustments for apportioned supplies
21AWhen adjustments required
21BAdjustments when person or partnership becomes registered after acquiring goods and services
21CAdjustments for first and subsequent adjustment periods
21CBRate for change of use before 1 October 2010 [Repealed]
21DCalculating amount of adjustment
21EConcurrent uses of land
21FTreatment on disposal
21FBTreatment when use changes to total taxable or non-taxable use
21GDefinitions and requirements for apportioned supplies and adjustment periods
21HTransitional accounting rules
21HBTransitional rules related to treatment of dwellings
21HCTransitional rules relating to members of unit title bodies corporate
21IFringe benefits and entertainment expenses
22Goods and services acquired before incorporation
23Payment of tax
23APayment of tax relating to fringe benefits
24Tax invoices
24BAShared tax invoices
24BRecords to be kept by recipient of imported services
25Credit and debit notes
25AAConsequences of change in contract for imported services
25ABConsequences of change in contract for secondhand goods
25ACommissioner may approve use of symbols, etc, on electronically transmitted invoices and credit and debit notes
26Bad debts
26AFactored debts
[Repealed]
27Assessment of tax [Repealed]
28Validity of assessments not affected by failure to comply with Act [Repealed]
29Assessments deemed correct except in proceedings on objection [Repealed]
30Evidence of returns and assessments [Repealed]
31Application of Parts 4A and 8A of Tax Administration Act 1994 [Repealed]
[Repealed]
32Objections to certain decisions [Repealed]
33Objections to assessments [Repealed]
34Commissioner may amend assessment, or objections may be submitted to Taxation Review Authority [Repealed]
35Powers of Taxation Review Authority on determination of objection or case stated [Repealed]
36When objection may be referred in first instance to High Court [Repealed]
36ATest case procedure [Repealed]
37Obligation to pay tax where objection lodged [Repealed]
38Interest on certain excess tax [Repealed]
39Determination of objection not to affect other assessments or decisions [Repealed]
40Objections to which this Part does not apply [Repealed]
41Additional tax to be payable if default made in payment of tax [Repealed]
42Recovery of tax
43Deduction of tax from payment due to defaulters
44Application of certain provisions of Income Tax Act 1976 relating to recovery procedures [Repealed]
45Refund of excess tax
46Commissioner’s right to withhold payments
47Tax paid in excess may be credited towards tax payable when assessment re-opened
48Power of Commissioner in respect of small amounts [Repealed]
48ARelief from tax where new start grant made [Repealed]
49Relief from additional tax [Repealed]
50Appropriation of refunds [Repealed]
51Persons making supplies in course of taxable activity to be registered
51BPersons treated as registered
52Cancellation of registration
53Registered person to notify change of status
54Liabilities not affected by ceasing to be registered person
54BRequirements for registration for certain non-resident suppliers
54CCancellation of registration of certain non-residents
55Group of companies
56Branches and divisions
56BBranches and divisions in relation to certain imported services
57Unincorporated bodies
58Personal representative, liquidator, receiver, etc
59Liability of agent of absentee principal for returns and tax
60Agents and auctioneers
60BNominated recipients of supplies
60CElectronic marketplaces
60DApproved marketplaces
61Liability for tax payable by company left with insufficient assets
61ACompany amalgamations
61BApplication of Part 9 of Tax Administration Act 1994 [Repealed]
[Repealed]
62Offences [Repealed]
63Officers and employees of corporate bodies [Repealed]
64Proceedings to be taken summarily [Repealed]
65Information may charge several offences [Repealed]
66Information may be laid within 10 years [Repealed]
67Penal tax in case of evasion [Repealed]
68Nature of penal tax [Repealed]
69Assessment of penal tax [Repealed]
70Objections to penal tax [Repealed]
71Recovery of penal tax [Repealed]
72Recovery of penal tax from executors or administrators [Repealed]
73Recovery of penal tax not affected by conviction of registered person [Repealed]
74Publication of names of tax evaders [Repealed]
75Keeping of records
75BGeneral rules for giving information or communicating matters
76Avoidance
77New Zealand or foreign currency
78Effect of imposition or alteration of tax
78AAExceptions to effect of increase of tax
78AReturns to be furnished in 2 parts for taxable period in which change in rate of tax occurs
78BAdjustments to tax payable for persons furnishing returns following change in rate of tax
78BAAdjustments to tax payable in relation to credit and debit notes following change in rate of tax
78CChange in accounting basis coinciding with or occurring after change in rate of tax
78DLiability to pay past tax, etc, not affected by alteration in the law
78EAlteration of agreed price in relation to supply mistakenly believed to be of a going concern
78FLiability in relation to supplies of land
78GRailways vesting: zero-rating and timing of tax calculations and documents
79Disclosure of information
80Power to extend time for doing anything under Act [Repealed]
81Regulations [Repealed]
82Registration of persons liable to be registered on 1 October 1986 [Repealed]
83Deduction for sales tax [Repealed]
84Supplies prior to 1 October 1986
84BSupplies of services made before insertion of section 8(4B)
85Certain contracts entered into on or before 20 August 1985
85BCertain contracts entered into before 1 October 2016
86Alternative method of accounting for transitional supplies
87Change of accounting basis: transitional provision for certain local authorities
Reprint notes

An Act to make provision for the imposition and collection of goods and services tax