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

  • enacted
324 Section 54B amended (Requirements for registration for certain non-resident suppliers)

(1)

Replace section 54B(1)(b) with:

(b)

for the first taxable period after the date of registration in New Zealand, the amount of the person’s input tax is likely to be more than $500 or the person is likely to be liable for tax levied under section 12(1) in relation to the importation of goods that are received by another person or that the person delivers to another person; and

(2)

In section 54B(1)(c), replace “who is not a registered person” with “other than in the course of making taxable or exempt supplies”.

(3)

Replace section 54B(1)(d) with:

(d)

the person is not making, or intending to make,—

(i)

a taxable supply in New Zealand; or

(ii)

a supply in New Zealand that would be a taxable supply if the person were registered under section 51, to a person in New Zealand who is not a registered person; and

(e)

the person is not, and does not intend to become, a member of a group of companies that makes taxable supplies in New Zealand.

(4)

After section 54B(3), insert:

(4)

Subsections (5) and (6) apply when a person—

(a)

is registered under section 51; and

(b)

has a branch or division; and

(c)

makes a taxable supply in New Zealand.

(5)

The person may be treated in relation to their branch or division as a separate person who may, if they meet the requirements of subsection (1), apply to the Commissioner for registration under this section.

(6)

In relation to the registration of the person, section 56(6) does not apply to require the person and the branch or division to have, between themselves, consistent practices for taxable periods and accounting bases.