Supplementary Order Paper No 257

New clauses 25B and 25C

After clause 25 (page 27, after line 17), insert:

25B Section CZ 25 amended (Land and buildings as revenue account property affected by Canterbury earthquakes and replaced—insurance or compensation, Government purchase)
  • (1) In section CZ 25(1), words before paragraph (a), replace 2016–17 income year with 2019–20 income year.

    (2) In section CZ 25(1)(a)(i), replace abolished with demolished.

    (3) In section CZ 25(1)(a)(ii), replace Government with Crown.

    (4) In section CZ 25(1)(a)(ii), replace section 53(1) of the Canterbury Earthquake Recovery Act 2011 with section 53(1), 54, or 55 of the Canterbury Earthquake Recovery Act 2011.

    (5) Replace section CZ 25(1)(b) with:

    • (b) in the absence of this section, would have in or before the current year a total amount of income under sections CB 6, CB 7, CB 12, CB 13, and CG 6 (which relate to income from certain disposals of land and from compensation for trading stock) from the consideration, compensation, or insurance for the affected property that exceeds the total amount of deductions under sections DB 23 and DB 27 (which relate to deductions for the cost or value of land) for the affected property; and.

    (6) In section CZ 25(2), replace subsection (1)(a) with subsection (1)(b).

    (7) Replace section CZ 25(3)(a) with:

    • (a) for the purposes of determining the value of the replacement property for section EA 2 (Other revenue account property), the amount of the person's expenditure on the replacement property is reduced by—

      • (i) the amount calculated by multiplying the replacement cost by the excess recovery and dividing the result by the total amount of deductions under sections DB 23 and DB 27, if the calculated amount is less than or equal to the amount given by subparagraph (ii); or

      • (ii) the total amount of income under sections CB 6, CB 7, CB 12, CB 13, and CG 6 from the consideration, compensation, or insurance for the affected property, if that amount is less than the amount given by subparagraph (i); and.

    (8) In section CZ 25(4)(a), replace 2015–16 income year with 2018–19 income year.

    (9) In section CZ 25(5)(a), replace 2015–16 income year with 2018–19 income year.

25C Section CZ 26 replaced (Land and buildings affected by Canterbury earthquakes—sections CB 9 to CB 12 overridden for Government purchases)
  • (1) Replace section CZ 26 with:

    CZ 26 Land and buildings affected by Canterbury earthquakes—sections CB 9 to CB 12 and CB 14 overridden for Crown purchases
    • Sections CB 9 to CB 12 and CB 14 (which relate to disposals within 10 years of acquisition) do not apply to a person and land or buildings purchased by the Crown from the person under section 53(1), 54, or 55 of the Canterbury Earthquake Recovery Act 2011.

      Defined in this Act: land.

    (2) In the heading to section CZ 26, replace CB 12 with CB 11.

    (3) In section CZ 26, replace CB 12 with CB 11.