New Zealand Legislation: Acts
Acts are laws made by Parliament
Reprint as at 1 May 2011
| Public Act | 2010 No 109 |
| Date of assent | 7 September 2010 |
| Commencement | see section 2 |
Changes authorised by section 17C of the Acts and Regulations Publication Act 1989 have been made in this reprint.
A general outline of these changes is set out in the notes at the end of this reprint, together with other explanatory material about this reprint.
This Act is administered by the Inland Revenue Department.
Part 1
Annual rates of income tax
3 Annual rates of income tax for 2010–11 tax year
Part 2
Amendments to Income Tax Act 2007
5 Amounts derived by mutual associations
7 Distribution excluded from being dividend
10 Available subscribed capital (ASC) amount
11 Income for general insurance outstanding claims reserve
13 New section CW 29B inserted
14 Non-resident company involved in exploration and development activities
17 Benefits provided to employees who are shareholders or investors
18 New section CX 51C inserted
19 Available capital distribution amount
20 Acquisition of emissions units
23 Film production expenditure
24 Distribution to member of co-operative company, excluded from being dividend
26 Deduction for general insurance outstanding claims reserve
27 Apportionment on disposal of business assets that include trading stock
28 Valuation of excepted financial arrangements
29 Valuation of emissions units issued for zero price
30 Economic rate for plant, equipment, or building, with high residual value
31 Total deductions in section EE 56
32 Expenditure incurred in acquiring film rights in feature films
33 Expenditure incurred in acquiring film rights in films other than feature films
34 Film production expenditure for New Zealand films having no government screen production payment
35 Film production expenditure for other films having no government screen production payment
40 Spreading method adjustment formula
41 Base price adjustment formula
42 Meaning of controlled foreign company
44 Non-attributing active CFC: default test
46 Outstanding claims reserving amount: non-participation policies not annuities
47 Premium smoothing reserving amount: non-participation policies not annuities
48 Unearned premium reserving amount: non-participation policies not annuities
49 Capital guarantee reserving amount: non-participation policies not annuities
50 Transitional adjustments: life risk
51 New sections EZ 52C and EZ 52D
EZ 52D Base price adjustment: financial arrangements to which Determination G22 and Determination G22A applied
52 Expenditure when deduction would be denied to consolidated group
53 Close company remuneration to shareholders, directors, or relatives
54 Disposals of trading stock at below market value
55 Disposals of timber rights or standing timber
59 When requirements no longer met
60 New section HA 11B inserted
61 Treatment of tax losses other than certain foreign losses
62 Attribution when balance dates differ
64 Effect of failure to meet eligibility requirements for entities
65 Investor interest size requirement
66 Treatment of portfolio class taxable loss and portfolio class land loss for tax year
67 When entity no longer meets investment or investor requirements
68 When income cannot be attributed
HM 42B Part-year tax calculations for PIEs under the exit calculation option for the 2010–11 tax year
70 Use of tax credits other than foreign tax credits by PIEs
71 Transition of rate for certain investors
73 Use of land losses of investor classes
74 When formation losses carried forward are 5% or more of formation investment value: 3-year spread
77 RMBS special purpose vehicles
79 What happens when vehicle stops being RMBS special purpose vehicle?
80 Transitional provisions for PIE rules
81 Restrictions relating to ring-fenced tax losses
82 Common ownership: group of companies
83 Bad debts or decline of value of shares
84 Breach in tax year in which loss balance is grouped
85 Treatment of remaining credits
87 Tax credits for housekeeping
88 Tax credits for supplementary dividends
90 Tax credits for certain investors in portfolio tax rate entities
91 Tax credits for investors in multi-rate PIEs
92 Tax credits for certain zero-rated portfolio investors
93 Tax credits for zero-rated investors
94 Treatment of tax credits on permanent emigration
95 ICA transfer from tax pooling account
96 ICA attribution for personal services
98 ICA refund from tax pooling account
99 ICA transfer within tax pooling account
100 Imputation additional tax on leaving wholly-owned group
101 Imputation additional tax on joining wholly-owned group
102 New section OB 72B inserted
103 New heading and section OE 11B inserted
Treatment of debits from conduit relief
104 Heading and section OE 16B repealed
105 When credits and debits arise only in consolidated imputation group accounts
106 Consolidated ICA transfer from tax pooling account
107 Consolidated ICA refund from tax pooling account
108 Consolidated ICA transfer to tax pooling account
109 New heading and section OP 104B inserted
Treatment by consolidated BETA groups of BETA debits from conduit relief
OP 104B Consolidated BETA group with debit balance, including debits from conduit relief, in certain income years
110 Heading and section OP 108B repealed
111 Tax credits for non-resident investors
112 Payment dates for terminal tax
114 Heading and section RD 72 repealed
116 Payments made by RWT proxies
118 General rules for currency conversion
120 Schedule 1—Basic tax rates: income tax, ESCT, RSCT, RWT, and attributed fringe benefits
121 Schedule 4––Rates of tax for schedular payments
122 Schedule 6—Prescribed rates: PIE investments and retirement scheme contributions
123 Schedule 29—Portfolio investment entities: listed investors
124 Schedule 32—Recipients of charitable or other public benefit gifts
Part 3
Amendments to Tax Administration Act 1994
125 Tax Administration Act 1994
127 Exemption certificates for schedular payments
128 Special tax rate certificates for schedular payments
129 Use of inconsistent RWT rates
130 RWT withholding certificates
131 Portfolio tax rate entity to give statement to investors and request information
134 Particulars furnished in electronic format
135 General requirements for returns
136 Returns by persons with tax credits for housekeeping payments and charitable or other public benefit gifts
137 RWT withholding reconciliation statements
138 Disclosure of interest payments when no requirement to withhold RWT
139 Determinations in relation to financial arrangements
140 Notification of determinations and notices
141 Determinations in relation to apportionment of interest costs
142 Determinations in relation to standard-cost household service
143 Determinations relating to types and diminishing values of listed horticultural plants
144 Publication and revocation of determinations relating to livestock
145 Commissioner may decline to issue special rate or provisional rate
146 Notice of setting of economic rate
147 Applications for determinations
148 Determinations on rates for diminishing value of environmental expenditure
149 Determination on type of interest in FIF and use of fair dividend rate method
150 Determination on insurer as non-attributing active CFC
151 Determination relating to eligible relocation expenses
152 Content and notification of a public ruling
153 Withdrawal of a public ruling
154 Commissioner to make private rulings on request
155 Effect of a private ruling
156 Application of a private ruling
157 Assumptions in making a private ruling
158 Content and notification of a private ruling
160 Commissioner may make product rulings
161 Effect of a product ruling
162 Application of a product ruling
163 Applying for a product ruling
165 Assumptions in making a product ruling
166 Content and notification of a product ruling
167 Withdrawal of a product ruling
170 Transitional imputation penalty tax payable in some circumstances
174 Remission for GST transitional taxable periods
Part 4
Amendments to KiwiSaver Act 2006
177 Employees must give information to employers
178 Eligibility to be exempt employer
179 How to apply to be exempt employer
180 How applications to be exempt employer must be dealt with
182 Opting in by persons under 18
183 Initial back-dated validation
184 What happens when initial back-dated validation ends, with no confirmed back-dated validation?
185 PAYE rules apply to deductions
187 Application of other provisions of Superannuation Schemes Act 1989
188 Regulations relating to mortgage diversion facility
189 Schedule 1––KiwiSaver scheme rules
Part 5
Amendments to other Acts and regulations
Goods and Services Tax Act 1985
190 Goods and Services Tax Act 1985
192 Goods and services tax incurred in making certain supplies of financial services
194 Adjustments to tax payable for persons furnishing returns on payments basis following change in rate of tax
Estate and Gift Duties Act 1968
195 Exemption for gifts to charities and certain bodies
197 Foreign investment fund income
198 Benefits provided to employees who are shareholders or investors
199 Total deductions in section EE 47
200 Determination alternatives to IFRS
201 Expected value method and equity-free fair value method
203 Codes: comparative value method, deemed rate of return method, fair dividend rate method, and cost method
204 Treatment of portfolio class taxable loss and portfolio class land loss for tax year
205 Credit for investor for tax paid by entity if portfolio investor allocated income not excluded income
206 Credit for zero-rated portfolio investor for tax paid by entity in relation to portfolio investor allocated income
208 Schedule 22A—Identified policy changes
Taxation (Budget Measures) Act 2010
211 Schedule 9—Council-controlled organisations and transfer of undertakings
Tax Administration (Binding Rulings) Regulations 1999
213 Fees inclusive of goods and services tax
Schedule 1
Amendments to Income Tax Act 2007, schedule 1
The Parliament of New Zealand enacts as follows:
