24 Tax invoices

(1)

Except as otherwise provided in this section, a supplier, being a registered person, making a taxable supply to a recipient, being a registered person, shall, at the request of the recipient, provide that recipient, within 28 days of the making of that request, with a tax invoice containing such particulars as are specified in this section:

provided that—

(a)

it shall not be lawful to issue more than 1 tax invoice for each taxable supply:

(b)

if a registered person claims to have lost the original tax invoice, the supplier or the recipient, as the case may be, may provide a copy clearly marked “copy only”.

(2)

Where a recipient, being a registered person, creates a document containing the particulars specified in this section and purporting to be a tax invoice in respect of a taxable supply of goods and services made to the recipient by a supplier, being a registered person, that document shall be deemed to be a tax invoice provided by the supplier under subsection (1) where—

(a)

the Commissioner has granted prior approval for the issue of such documents by a recipient or class or classes of recipients in relation to the taxable supplies or class or classes of taxable supplies to which the documents relate; and

(b)

the supplier and the recipient agree that the supplier shall not issue a tax invoice in respect of any taxable supply to which this subsection applies; and

(c)

the document is provided to the supplier and a copy is retained by the recipient; and

(d)

the words “buyer created tax invoice—IRD approved” are contained in a prominent place on that document:

provided that where a tax invoice is issued pursuant to this subsection any tax invoice issued by the supplier in respect of that taxable supply shall be deemed not to be a tax invoice for the purposes of this Act.

(2A)

Subject to subsection (2B), for the purposes of subsection (1), where goods are deemed to be supplied by a person pursuant to section 5(2), the person selling those goods, whether or not that person is a registered person, in making that taxable supply to a recipient, shall be deemed to be the supplier of those goods.

(2B)

In any case where subsection (2A) applies and the person who is deemed to be the supplier is not a registered person, the reference to the registration number of the supplier in paragraph (b) of subsections (3) and (4) shall be read as if that reference were to the tax file number of the supplier.

(3)

Except as the Commissioner may otherwise allow, and subject to this section, a tax invoice shall contain the following particulars:

(a)

the words “tax invoice” in a prominent place:

(b)

the name and registration number of the supplier:

(c)

the name and address of the recipient:

(d)

the date upon which the tax invoice is issued:

(e)

a description of the goods and services supplied:

(f)

the quantity or volume of the goods and services supplied:

(g)

either—

(i)

the total amount of the tax charged, the consideration, excluding tax, and the consideration, inclusive of tax for the supply; or

(ii)

where the amount of tax charged is the tax fraction of the consideration, the consideration for the supply and a statement that it includes a charge in respect of the tax.

(4)

Notwithstanding anything in subsection (3), where the consideration in money for a supply does not exceed $1,000 (or such greater amount as the Governor-General may, from time to time, by Order in Council declare), a tax invoice shall contain the particulars specified in that subsection or the following particulars:

(a)

the words “tax invoice” in a prominent place:

(b)

the name and registration number of the supplier:

(c)

the date upon which the tax invoice is issued:

(d)

a description of the goods and services supplied:

(e)

the consideration for the supply and a statement that it includes a charge in respect of tax:

provided that this subsection does not apply to a supply—

(f)

that is charged with tax pursuant to section 11, 11A, 11AB, or 11B:

(g)

for which a supplier made an election under subsection (5B).

(5)

Notwithstanding any other provision of this Act, a supplier is not required to provide a tax invoice if—

(a)

the consideration in money for a supply does not exceed $50 (or such greater amount as the Governor-General may, from time to time, by Order in Council declare):

(b)

the supplier is a non-resident supplier of remote services to which section 8(3)(c) applies.

(5B)

Despite subsection (5), a supplier may choose to provide a tax invoice to the recipient of the services if—

(a)

the supplier is a non-resident supplier of remote services to which section 8(3)(c) applies, and—

(i)

section 8(4D) was incorrectly applied to the treatment of the supply, so that the services were treated as being supplied in New Zealand when they should have been treated as being supplied outside New Zealand; or

(ii)

section 11A(1)(x) was incorrectly applied to the treatment of the supply, so that the supply was not zero-rated when it should have been; and

(b)

the consideration in money for the supply, in New Zealand currency as at the time of the supply, does not exceed $1,000; and

(c)

the recipient—

(i)

notifies the supplier that they are a registered person:

(ii)

provides their registration number or New Zealand business number to the supplier.

(5C)

Subsection (5B) does not apply to the supply of a contract of insurance.

(5D)

If an election is made under subsection (5B) in circumstances where section 8(4D) was incorrectly applied to the treatment of the supply, the supplier and the recipient are treated as agreeing that section 8(4) will not apply to the supply.

(6)

Where the Commissioner is satisfied that there are or will be sufficient records available to establish the particulars of any supply or class of supplies, and that it would be impractical to require that a tax invoice be issued pursuant to this section, the Commissioner may determine that, subject to any conditions that the Commissioner may consider necessary,

(a)

any 1 or more of the particulars specified in subsection (3) or subsection (4) shall not be contained on a tax invoice; or

(b)

a tax invoice is not required to be issued.

(6A)

Any tax invoice issued pursuant to subsection (6)(a) shall contain the words “modified tax invoice—IRD approved” in a prominent place.

(7)

Notwithstanding anything in this section, where a supplier makes a supply, not being a taxable supply, of secondhand goods to a recipient, being a registered person, the recipient shall maintain sufficient records to enable the following particulars to be ascertained:

(a)

the name and address of the supplier:

(b)

the date upon which the secondhand goods were acquired:

(c)

a description of the goods supplied:

(d)

the quantity or volume of the goods supplied:

(e)

the consideration for the supply:

provided that this subsection shall not require that recipient to keep such records where the consideration in money for that supply does not exceed $50 (or such greater amount as the Governor-General may, from time to time, by Order in Council declare).

(7B)

Despite subsections (1) and (3), if a tax invoice is not available in relation to a supply of goods to which section 60B(3), (4), and (6) apply, the nominated person must maintain sufficient records to enable the following particulars to be ascertained:

(a)

the name and address of the supplier; and

(b)

the date on which payment for the supply was made; and

(c)

a description of the goods supplied; and

(d)

the consideration for the supply.

(8)

Where any amount of tax charged is required to be shown on any tax invoice, and that amount consists of any number of dollars and cents together with any fraction or part of a cent, that fraction or part of that cent,—

(a)

if less than or equal to half of that cent, may be disregarded for the purposes of this section:

(b)

if in excess of half of that cent, shall be deemed for the purposes of this section to be an amount equal to 1 cent.

(9)

Where approval has been granted by the Commissioner to issue tax invoices pursuant to subsection (2), that approval may be withdrawn at any time where the Commissioner is satisfied that the conditions of that approval have not been complied with.

(10)

Where the Commissioner has determined that a tax invoice may be issued pursuant to subsection (6)(a), or is not required to be issued pursuant to subsection (6)(b), that determination may be revoked where the Commissioner is satisfied that any conditions specified have not been complied with.

Section 24(2): amended, on 19 December 1989, by section 11(1)(a) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(2)(a): amended, on 19 December 1989, by section 11(1)(b) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(2)(b): amended, on 19 December 1989, by section 11(1)(c) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(2)(c): substituted, on 19 December 1989, by section 11(2) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(2)(d): added, on 19 December 1989, by section 11(2) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(2) proviso: amended, on 19 December 1989, by section 11(1)(d) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(2A): inserted, on 19 December 1989, by section 11(3) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(2B): substituted, on 23 September 1997, by section 112 of the Taxation (Remedial Provisions) Act 1997 (1997 No 74).

Section 24(3)(b): amended (with effect on 3 December 1985), on 8 August 1986, by section 19(1)(a) of the Goods and Services Tax Amendment Act 1986 (1986 No 43).

Section 24(3)(d): amended (with effect on 3 December 1985), on 8 August 1986, by section 19(1)(b) of the Goods and Services Tax Amendment Act 1986 (1986 No 43).

Section 24(4): amended, on 10 October 2000 (applying on and after 1 October 2000), by section 102(1) of the Taxation (GST and Miscellaneous Provisions) Act 2000 (2000 No 39).

Section 24(4) proviso: replaced, on 1 October 2016, by section 62(1) of the Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 (2016 No 21).

Section 24(5): replaced, on 1 October 2016, by section 62(2) of the Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 (2016 No 21).

Section 24(5B): inserted, on 1 October 2016, by section 62(2) of the Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 (2016 No 21).

Section 24(5B)(a)(i): amended (with effect on 1 October 2016), on 30 March 2017, by section 362(1) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).

Section 24(5C): inserted, on 1 October 2016, by section 62(2) of the Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 (2016 No 21).

Section 24(5D): inserted, on 1 October 2016, by section 62(2) of the Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 (2016 No 21).

Section 24(5D): amended (with effect on 1 October 2016), on 30 March 2017, by section 362(2) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).

Section 24(6): amended (with effect on 3 December 1985), on 8 August 1986, by section 19(2) of the Goods and Services Tax Amendment Act 1986 (1986 No 43).

Section 24(6A): inserted, on 19 December 1989, by section 11(4) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(7): amended (with effect on 3 December 1985), on 8 August 1986, by section 19(3) of the Goods and Services Tax Amendment Act 1986 (1986 No 43).

Section 24(7) proviso: added (with effect on 3 December 1985), on 8 August 1986, by section 19(4) of the Goods and Services Tax Amendment Act 1986 (1986 No 43).

Section 24(7) proviso: amended, on 28 September 1993 (applying with respect to supplies of secondhand goods made on or after 28 September 1993), by section 3(1) of the Goods and Services Tax Amendment Act (No 2) 1993 (1993 No 131).

Section 24(7B): inserted, on 1 April 2011 (applying to supplies made on or after 1 April 2011), by section 16(1) of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130).

Section 24(7B): amended (with effect on 1 April 2011), on 2 November 2012, by section 222 of the Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 (2012 No 88).

Section 24(8): added (with effect on 3 December 1985), on 8 August 1986, by section 19(5) of the Goods and Services Tax Amendment Act 1986 (1986 No 43).

Section 24(9): added, on 19 December 1989, by section 11(5) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).

Section 24(10): added, on 19 December 1989, by section 11(5) of the Goods and Services Tax Amendment Act (No 2) 1989 (1989 No 152).