Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Bill

  • enacted
311 Section 11A amended (Zero-rating of services)

(1)

Replace section 11A(1)(e) with:

(e)

the services are supplied directly in connection with land situated outside New Zealand, or with an improvement to such land, or are supplied in connection with such land or improvement and are intended to enable or assist a change in the physical condition, or ownership or other legal status, of the land or improvement; or

(2)

After section 11A(1)(i), insert:

(ib)

the services are supplied directly in connection with goods to which section 11(1)(i) applies; or

(2B)

Replace section 11A(1)(j) with:

(j)

the services—

(i)

are physically performed outside New Zealand; and

(ii)

are not remote services supplied to a New Zealand resident who is not a registered person; or

(jb)

the services are the arranging of underlying services that—

(i)

are physically performed outside New Zealand; and

(ii)

are not remote services supplied to a New Zealand resident who is not a registered person; or

(jc)

the services are a supply of services to which section 60(1C)(a) applies, being a supply from an underlying supplier to an operator of a marketplace; or

(3)

Replace section 11A(1)(k)(i) and (ii) with:

(i)

supplied directly in connection with land situated in New Zealand, or with an improvement to such land, or are supplied in connection with such land or improvement and are intended to enable or assist a change in the physical condition, or ownership or other legal status, of the land or improvement; or

(ii)

supplied directly in connection with moveable personal property, other than choses in action or goods to which paragraph (h) or (i) applies, situated in New Zealand at the time the services are performed; or

(iii)

the acceptance of an obligation to refrain from carrying on a taxable activity, to the extent to which the activity would have occurred within New Zealand; or

(5)

After section 11A(1B), insert:

(1C)

For the purposes of subsection (1)(jb), the services that are the arranging of the underlying services may include more than 1 supply if the supplies are made to facilitate the supply of the underlying services.