Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018

If you need more information about this Act, please contact the administering agency: Inland Revenue Department

Reprint as at 23 March 2020

Coat of Arms of New Zealand

Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018

Public Act
 
2018 No 5
Date of assent
 
29 March 2018
Commencement
 
see section 2
Note

Changes authorised by subpart 2 of Part 2 of the Legislation Act 2012 have been made in this official reprint.

Note 4 at the end of this reprint provides a list of the amendments incorporated.

This Act is administered by the Inland Revenue Department.

Contents

1Title
2Commencement
Part 1
Annual rates of income tax
3Annual rates of income tax for 2017–18 tax year
Part 2
Amendments to Income Tax Act 2007
4Income Tax Act 2007
5Section BF 1 amended (Other obligations)
6Section CB 6A amended (Disposal within 2 years: bright-line test for residential land)
7Section CB 16A amended (Main home exclusion for disposal within 2 years)
8Section CB 32C amended (Dividend income for first year of look-through company)
9Section CD 5 amended (What is a transfer of value?)
10Section CD 15 amended (Tax credits linked to dividends)
11Section CD 25 amended (Treasury stock acquisitions)
12New section CD 29C inserted (Transfers to shareholders by ASX-listed Australian company of shares in subsidiary)
CD 29CTransfers to shareholders by ASX-listed Australian company of shares in subsidiary
13Section CD 36 amended (Foreign investment fund income)
14Section CD 39 amended (Calculation of amount of dividend when property made available)
15Section CD 43 amended (Available subscribed capital (ASC) amount)
16Section CD 44 amended (Available capital distribution amount)
17Section CE 1 amended (Amounts derived in connection with employment)
18Section CE 2 amended (Value and timing of benefits under share purchase agreements)
19Sections CE 2 to CE 4 replaced
CE 2Benefits under employee share schemes
20Section CE 2 amended (Benefits under employee share schemes)
21Section CE 5 amended (Meaning of expenditure on account of an employee)
22Sections CE 6 and CE 7 replaced
CE 6Trusts are nominees
CE 7Meaning of employee share scheme
CE 7BMeaning of share scheme taxing date
CE 7CMeaning of employee share scheme beneficiary
CE 7DMeaning of replacement employee share scheme
23Section CH 11 amended (Te Awa Tupua and Te Pou Tupua)
24Section CQ 5 amended (When FIF income arises)
25New section CR 3B inserted (Lloyd’s of London: income from life insurance premiums)
CR 3BLloyd’s of London: income from life insurance premiums
26Section CT 5 amended (Petroleum mining operations outside New Zealand)
27New section CT 5B inserted (Resuming commercial production)
CT 5BResuming commercial production
28Section CT 6 amended (Meaning of petroleum miner)
29Section CT 6B amended (Meaning of petroleum mining operations)
30Section CT 7 amended (Meaning of petroleum mining asset)
31Section CV 17 amended (Non-exempt charities: taxation of tax-exempt accumulation)
32New section CV 20 inserted (Employee share schemes)
CV 20Employee share schemes
33Section CW 10 amended (Dividend within New Zealand wholly-owned group)
34Section CW 17CB amended (Payments for certain work-related meals)
35New sections CW 26B to CW 26G inserted
CW 26BExempt ESS
CW 26CMeaning of exempt ESS
CW 26DMeaning of employee
CW 26EMeaning of normal retiring age
CW 26FMeaning of share
CW 26GMeaning of trustee
36Section CW 40C amended (Te Pou Tupua)
37Section CW 41 amended (Charities: non-business income)
38Section CX 5 amended (Relationship with exempt income)
39New section CX 55B inserted (Proceeds from disposal of certain shares and financial arrangements)
CX 55BProceeds from disposal of certain shares and financial arrangements
40New cross-heading and section CX 57B inserted
Foreign investment income
CX 57BAmounts derived during periods covered by calculation methods
41Section CX 60 amended (Intra-group transactions)
42Section CZ 1 replaced (Share purchase agreement income before 19 July 1968)
CZ 1Grandparented shares under employee share schemes
43Section CZ 9 amended (Available capital distribution amount: 1965 and 1985–1992)
44Section DB 11 amended (Negative base price adjustment)
45Section DB 18A amended (Ring-fenced allocations: disposal of residential land within 2 years)
46Section DB 18AB amended (Deduction cap: disposal of residential land within 2 years to associated persons)
47New section DB 23B inserted (Revenue account property: certain intra-group transactions)
DB 23BRevenue account property: certain intra-group transactions
48New section DB 54C inserted (Certain expenditure incurred by foreign PIE equivalents)
DB 54CCertain expenditure incurred by foreign PIE equivalents
49Sections DC 12 to DC 15 repealed
50Section DN 6 amended (When FIF loss arises)
51New section DN 9 inserted (Treatment of certain costs incurred in acquiring FIF interests)
DN 9Treatment of certain costs incurred in acquiring FIF interests
52Section DT 5 amended (Petroleum development expenditure)
53Section DT 7 amended (Exploratory well expenditure)
54New section DT 7B inserted (Resuming commercial production: petroleum development expenditure)
DT 7BResuming commercial production: petroleum development expenditure
55Section DT 15 amended (Persons associated with petroleum miner)
56Section DT 16 amended (Removal or restoration operations)
57Section DT 17 amended (Attribution of expenditure)
58Section DT 20 amended (Petroleum mining operations outside New Zealand)
59Section DU 7 amended (Deduction for certain mining expenditure spread on basis of units of production)
60Section DV 2 amended (Transfer of expenditure to master fund)
61New cross-heading and section DV 27 inserted
Employee share schemes
DV 27Employee share schemes
62New section DV 28 inserted (Exempt employee share schemes)
DV 28Exempt employee share schemes
63New section DW 3B inserted (Lloyd’s of London: deductions for life insurance business)
DW 3BLloyd’s of London: deductions for life insurance business
64Section EA 2 amended (Other revenue account property)
65New section ED 2B inserted (Transfers to shareholders by ASX-listed Australian company of shares in subsidiary)
ED 2BTransfers to shareholders by ASX-listed Australian company of shares in subsidiary
66Section EE 7 amended (What is not depreciable property?)
67Section EE 34 amended (Annual rate for patent granted in 2005–06 or later income year)
68Section EE 44 amended (Application of sections EE 48 to EE 51)
69Section EE 60 amended (Total deductions in section EE 56)
70Section EJ 12 amended (Petroleum development expenditure: default allocation rule)
71Section EJ 12B amended (Petroleum development expenditure: reserve depletion method)
72Section EJ 13 replaced (Relinquishing petroleum mining permit)
EJ 13Permanently ceasing petroleum mining operations
73Section EJ 14 repealed (Spreading deduction backwards)
74Section EJ 18 amended (Petroleum mining operations outside New Zealand)
75Section EJ 20 amended (Meaning of petroleum mining development)
76Section EJ 22 amended (Deductions for market development: product of research, development)
77Section EW 13 amended (When use of spreading method not required)
78Section EW 15H amended (Mandatory use of some determinations)
79Section EW 29 amended (When calculation of base price adjustment required)
80Section EW 31 amended (Base price adjustment formula)
81Section EW 39 amended (Consideration affected by unfavourable factors)
82New heading and section EW 47B inserted
Consideration for cessation of LTCs and dissolution of partnerships
EW 47BCessation of LTCs and dissolution of partnerships
83Section EX 21 amended (Attributable CFC amount and net attributable CFC income or loss: calculation rules)
84Section EX 21B amended (Non-attributing active CFCs)
85New section EX 21F inserted (Part-period calculations)
EX 21FPart-period calculations
86Section EX 22 amended (Non-attributing Australian CFCs)
87Section EX 38 amended (Exemption for employee share purchase scheme of grey list company)
88Section EX 46 amended (Limits on choice of calculation methods)
89Section EX 59 amended (Codes: comparative value method, deemed rate of return method, fair dividend rate method, and cost method)
90Section EX 73 amended (Election that CFC not non-attributing active CFC or FIF not non-attributing active FIF)
91Section EY 10 amended (Meaning of life insurer)
92Section EZ 23BA amended (Aircraft acquired before 2017–18 income year: adjusted tax value, base value, reduced; total deductions increased)
93Section FB 3A amended (Residential land)
94Section FC 2 amended (Transfer at market value)
95Section FC 9 amended (Residential land transferred to executor, administrator, or beneficiary on death of person)
96Section FC 10 amended (Transfers from person to Official Assignee under Insolvency Act 2006)
97Section FE 2 amended (When this subpart applies)
98Section FE 9 amended (Elections)
99Section FG 2 amended (Notional loans)
100Section FM 8 amended (Transactions between group companies: income)
101Section FM 30 amended (Application of certain provisions to consolidated groups)
102Section FM 36 amended (Joining existing consolidated group)
103Section FM 37 amended (Leaving consolidated group)
104Section FM 38 amended (Notice requirements on forming or joining consolidated group)
105Section FM 40 amended (Losing eligibility or entitlement to be part of consolidated group)
106Section FN 4 amended (Eligibility rules)
107Section FO 10 amended (When property passes on resident’s restricted amalgamation)
108Section FO 17 amended (Land)
109New cross-heading and section GB 49B inserted
Arrangements involving employee share schemes
GB 49BEmployee share schemes
110Section GB 52 amended (Arrangements involving residential land: companies’ shares)
111Section GB 53 amended (Arrangements involving residential land: trusts)
112Section HA 19 amended (Credit accounts and dividend statements)
113Section HC 2 amended (Obligations of joint trustees for calculating income and providing returns)
114Section HC 6 amended (Beneficiary income)
115Section HC 27 amended (Who is a settlor?)
116Section HC 33 amended (Choosing to satisfy income tax liability of trustee)
117Section HD 3 amended (Agents’ duties and liabilities)
118New section HD 13B inserted (AIM companies)
HD 13BAIM companies
119Section HD 15 amended (Asset stripping of companies)
120New section HD 17B inserted (Lloyd’s of London: agents for life insurance)
HD 17BLloyd’s of London: agents for life insurance
121Section HF 1 amended (Maori authorities and the Maori authority rules)
122Section HG 4 amended (Disposal upon final dissolution)
123Section HM 3 amended (Foreign PIE equivalents)
124Section HM 4 amended (Who is an investor?)
125Section HM 9 amended (Collective schemes)
126Section HM 13 amended (Maximum shareholdings in investments)
127Section HM 30 amended (When foreign PIE equivalent no longer meets requirements)
128Section HM 42 amended (Exit calculation option)
129Section HM 43 amended (Quarterly calculation option)
130Section HM 44 amended (Provisional tax calculation option)
131Section HM 48 amended (Adjustments to investor interests or to distributions)
132Section HM 62 amended (Exit levels for investors)
133Section HM 67 amended (Formation losses carried forward to first quarter)
134Section HM 68 amended (When formation losses carried forward are less than 5% of formation investment value)
135Section HM 69 amended (When formation losses carried forward are 5% or more of formation investment value: 3-year spread)
136Section HR 10 amended (What happens when vehicle stops being financial institution special purpose vehicle?)
137Section HR 12 replaced (Non-exempt charities: taxation of tax-exempt accumulations)
HR 12Non-exempt charities: treatment of tax-exempt accumulations
138New cross-heading and section HR 13 inserted
Lloyd’s of London: life insurance
HR 13Lloyd’s of London: life insurance
139Section HZ 4E amended (Transition out of LTC regime for Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017)
140Section IA 2 amended (Tax losses)
141Section IA 4 amended (Using loss balances carried forward to tax year)
142Section IA 4 amended (Using loss balances carried forward to tax year)
143Section IA 7 amended (Restrictions relating to ring-fenced tax losses)
144Section IA 8 amended (Restrictions relating to schedular income)
145Section IA 9 amended (Ordering rules)
146Section IC 3 amended (Common ownership: group of companies)
147Section IS 5 amended (Petroleum miners’ tax losses)
148Section IS 5 repealed (Petroleum miners’ tax losses)
149Section IZ 1 repealed (Use of specified activity net losses)
150Section IZ 2 repealed (Petroleum mining companies: treatment of payments from shareholders)
151Section IZ 3 repealed (Petroleum mining companies: use of loss balances)
152Section LA 6 amended (Remaining refundable credits: PAYE, RWT, and certain other items)
153Section LB 1 amended (Tax credits for PAYE income payments)
154New section LB 1B inserted (Treatment of tax credits of certain companies with shareholders who are employees)
LB 1BTreatment of tax credits of certain companies with shareholders who are employees
155Section LB 3 amended (Tax credits for resident withholding tax)
156Section LB 4 amended (Tax credits for families)
157Section LD 3 amended (Meaning of charitable or other public benefit gift)
158Section LD 4 amended (Tax credits for payroll donations)
159Section LD 5 amended (Calculating amount of tax credit and filing particulars)
160Section LK 1 amended (Tax credits relating to attributed CFC income)
161Section LK 2 amended (Calculation of amount of credit)
162New subpart LT inserted (Tax credits for petroleum miners)
Subpart LT—Tax credits for petroleum miners
LT 1Tax credits for petroleum miners
LT 2Petroleum mining operations outside New Zealand
163Section MD 9 amended (Fifth requirement: full-time earner)
164Section MD 15 amended (Family scheme income for purposes of section MD 14)
165Section MX 1 amended (When subpart applies)
166Section MX 4 amended (R&D loss tax credits)
167Section OA 2 amended (Memorandum accounts)
168Section OA 7 amended (Opening balances of memorandum accounts)
169Section OB 37 amended (ICA refund of tax credit)
170Section OB 47B amended (Tax paid by recipients of R&D loss tax credits)
171Section OP 3 amended (Changes in consolidated imputation groups)
172Section OP 4 amended (Resident imputation subgroups)
173Section OP 5 amended (When credits and debits arise only in consolidated imputation group accounts)
174Section OP 22 amended (Consolidated ICA group company’s credit)
175Section OP 35 amended (Consolidated ICA refund of tax credit)
176Table O19 amended (Imputation credits of consolidated imputation groups)
177Tables of credits and debits in memorandum accounts amended
178Section RA 11 replaced (Adjustment to correct errors: certain underpayments)
RA 11Adjustment to correct errors: certain underpayments
179Section RA 12 amended (Adjustment to correct errors: certain excess amounts)
180Section RA 15 amended (Payment dates for interim and other tax payments)
181Section RA 16 amended (Payment date when taxable activity ends)
182Section RA 17 amended (Payment date when RWT exemption certificate expires)
183Section RC 3 amended (Who is required to pay provisional tax?)
184Section RC 19 amended (Disposal of assets)
185New section RC 35B inserted (Treatment of overpaid provisional tax instalments calculated using AIM method)
RC 35BTreatment of overpaid provisional tax instalments calculated using AIM method
186Section RD 2 amended (PAYE rules and their application) [Repealed]
187Section RD 3B amended (Shareholders who are employees, for some companies: income other than PAYE)
188Section RD 3C amended (Shareholders who are employees, for some companies: PAYE and income other than PAYE)
189Section RD 4 replaced (Payment of amounts of tax to Commissioner)
RD 4Payment of amounts of tax to Commissioner
190Section RD 6 amended (Certain benefits and payments)
191Section RD 6 amended (Certain benefits and payments)
192Section RD 7 amended (Extra pay)
193Section RD 7 amended (Extra pay)
194Section RD 7 amended (Extra pay)
195Section RD 7B amended (Treatment of certain benefits under employee share agreements)
196Section RD 7B amended (Treatment of certain benefits under employee share agreements)
197Section RD 8 amended (Schedular payments)
198Section RD 10 amended (Amounts of tax for PAYE income payments)
199Section RD 10B amended (Amounts of tax for schedular payments)
200New section RD 10C inserted (Calculating amounts of tax following changes to rates or thresholds)
RD 10CCalculating amounts of tax following changes to rates or thresholds
201Section RD 12 replaced (Multiple payments of salary or wages)
RD 12Multiple payments of salary or wages
202Section RD 13 replaced (Advance payments of salary or wages)
RD 13Advance payments
203Section RD 13B amended (Adjustments for payroll donations)
204Section RD 14 repealed (Changes to tax rates for salary or wages)
205Section RD 16 amended (Payments to private domestic workers)
206Section RD 17 amended (Payment of extra pay with other PAYE income payments)
207Section RD 21 amended (When amounts of tax not withheld or payment insufficient)
208Section RD 22 replaced (Returns for amounts of tax paid to Commissioner)
RD 22Providing employment income information to Commissioner
209Section RD 23 amended (Bonds given by employers of certain non-resident employees)
210Section RD 24 amended (Exemption certificates for non-resident contractors)
211Section RD 36 amended (Repayment of employment-related loans)
212Section RD 51 amended (Calculation of all-inclusive pay)
213Section RD 52 amended (Calculation for certain employees when information lacking)
214Section RD 57 amended (Private use of motor vehicle: when schedular value used)
215Section RD 64 amended (ESCT rules and their application) [Repealed]
216Section RD 65 amended (Employer’s superannuation cash contributions)
217New section RD 67B inserted (Calculating amounts of tax following changes to rates or thresholds)
RD 67BCalculating amounts of tax following changes to rates or thresholds
218Section RE 2 amended (Resident passive income)
219Section RE 4 amended (Persons who have withholding obligations)
220Section RE 5 amended (No withholding obligation in certain circumstances)
221Section RE 7 amended (When resident passive income paid to trustees)
222Section RE 8 amended (When resident passive income paid to nominees)
223Section RE 10 amended (Special rule relating to payments of interest)
224Section RE 14 amended (Non-cash dividends other than certain share issues)
225New section RE 14C inserted (Non-cash dividends distributed through intermediaries)
RE 14CNon-cash dividends distributed through intermediaries
226Cross-heading and section RE 27 amended
227Section RE 28 amended (When certificates expire)
228Section RE 29 replaced (Establishing whether person holds certificate)
RE 29Establishing whether persons have RWT-exempt status
229Section RE 30 amended (When unincorporated bodies hold certificates)
230Section RF 2B amended (Non-resident financial arrangement income: outline and concepts)
231Section RL 1 amended (Residential land withholding tax)
232Section RL 4 amended (How much RLWT?)
233Section RM 8 amended (Overpaid RWT or NRWT)
234Section RM 15 amended (Changes in credit balances)
235Section RP 2 amended (PAYE intermediaries)
236Section RP 3 repealed (Requirements for listed PAYE intermediaries)
237Section RP 4 amended (Payment of subsidies to certain PAYE intermediaries)
238Sections RP 4 and RP 5 repealed
239Section RP 8 replaced (Information required from employers)
RP 8Information for PAYE intermediaries
240Section RP 14 amended (Collection, payment, and information requirements)
241Section RZ 13 amended (Treatment of prepayments)
242New section RZ 14 inserted (Listed PAYE intermediaries: transitional provision)
RZ 14Listed PAYE intermediaries: transitional provision
243Section YA 1 amended (Definitions)
244New section YA 5 inserted (General rule: capacity of trustees)
YA 5General rule: capacity of trustees
245Section YC 4 amended (Look-through rule for corporate shareholders)
246Section YD 1 amended (Residence of natural persons)
247Section YD 2 amended (Residence of companies)
248Section YD 4 amended (Classes of income treated as having New Zealand source)
249Section YD 6 amended (Apportionment of income from sea transport)
250New section YD 8B inserted (Apportionment of life insurance premiums derived by Lloyd’s of London)
YD 8BApportionment of life insurance premiums derived by Lloyd’s of London
251Schedule 1 amended (Basic tax rates: income tax, ESCT, RSCT, RWT, and attributed fringe benefits)
252Schedule 2 amended (Basic tax rates for PAYE income payments)
253Schedule 6 amended (Prescribed rates: PIE investments and retirement scheme contributions)
254Schedule 25 amended (Foreign investment funds)
255Schedule 31 amended (Annualised equivalent amount for Part M)
256Schedule 32 amended (Recipients of charitable or other public benefit gifts)
257Schedule 36 amended (Government enterprises)
258Consequential amendments to Income Tax Act 2007 related to trustee capacity
259Consequential amendments to other enactments related to tax administration
Part 3
Amendments to Tax Administration Act 1994
260Tax Administration Act 1994
261Section 3 amended (Interpretation)
262Section 14G amended (Contact addresses)
263Section 15C amended (PAYE intermediaries and listed PAYE intermediaries) [Repealed]
264Section 15F amended (Fitness of applicants)
265Sections 15G, 15H, and 15I repealed [Repealed]
266Section 15J amended (Employers’ arrangements with PAYE intermediaries) [Repealed]
267Section 15L amended (Amended monthly schedules)
268Section 15M repealed (Subsidy claim forms) [Repealed]
269New subpart heading inserted (Commissioner’s powers to obtain information)
270New subpart heading inserted (Taxpayers’ obligations to keep records)
271Section 22 amended (Keeping of business and other records) [Repealed]
272New section 22AA inserted (Records to be kept by employers and PAYE intermediaries)
22AARecords to be kept by employers and PAYE intermediaries
273New section 22AAB inserted (Records to be kept by payers of passive income)
22AABRecords to be kept by payers of passive income
274Section 23 amended (Keeping of returns where information transmitted electronically)
275New subpart 3C inserted (Employment income information)
Subpart 3C—Employment income information
23BEmployment income information: outline of provisions
23CMeaning of employment income information
23DEmployers’ groups for delivery of information
23EOnline group of employers
23FNon-electronic group of employers
23GExemption for certain employers in online group
23HNew group of employers
23IEmployment income information requirements for employees
23JDelivery of employment income information for certain special payments
23KEmployment income information requirements relating to employee share schemes
23LEmployment income information for new and departing employees
23MEmployment income information when employment ended
23NCorrection of errors
23OSetting electronic and non-electronic filing requirements
23PEmployment income information: payroll software
23QEmployment income information: variation of requirements
276Cross-heading and section 24 repealed
277Cross-heading and section 24BA repealed
278Section 24B amended (PAYE tax codes)
279Sections 24B to 24IB replaced
Subpart 3D—Tax codes and tax rates for certain payments
24BPAYE tax codes
24CNotified tax codes
24DTax codes provided by the Commissioner
24ENon-notified tax codes
24FRates of tax for schedular payments: standard, payee, and set rates
24GSpecial tax rates for schedular payments
24HExempt schedular payments
24INotification requirements
24IBVariation of requirements
280Cross-heading and section 24J repealed
281Section 24K amended (Certain information required in returns)
282Sections 24L, 24LB, 24LC, 24M, 24N, and 24P repealed
283Cross-heading and section 24Q amended [Repealed]
284New heading inserted (RWT rates, certificates, and records)
285Section 25A amended (Use of inconsistent RWT rates)
286Section 25 amended (RWT withholding certificates)
287New subpart 3E inserted (Investment income information)
Subpart 3E—Investment income information
25BInvestment income information: outline of provisions
25CInvestment income
25DInvestment income information
25EWho must provide investment income information to Commissioner
25FInformation on interest
25GInformation on dividends
25HInformation on royalties paid to non-residents
25IInformation on Maori authority distributions
25JInformation on attributed PIE income: non-locked-in funds
25KInformation on attributed PIE income: locked-in funds
25LInformation from public unit trusts
25MInformation from emigrating companies
25NInformation from payers with no withholding obligation
25OCorrection of errors in investment income information
25PNon-electronic filing of investment income information
25QSetting electronic and non-electronic filing requirements
25RInvestment income information: variation of requirements
288Section 26 repealed (Records to be kept for RWT purposes)
289Section 27 amended (Provision of tax file numbers)
290Section 28B replaced (Notification of investors’ tax rates)
28BNotification of investors’ tax file numbers
291New subpart heading inserted (Statements, notices, and certificates)
292Section 31B amended (Notification requirements for PIEs)
293Section 32E amended (Applications for RWT exemption certificates)
294Section 32G amended (Evidence of annual gross income and consequences of failure to meet threshold)
295Section 32H replaced (Providing RWT exemption certificate when person meets requirements)
32HRWT-exempt status when persons meet requirements
296Section 32I amended (Providing RWT exemption certificate to person who does not meet requirements)
297Section 32J replaced (RWT exemption certificates for unincorporated bodies)
32JRWT-exempt status for unincorporated bodies
298Section 32K amended (Failing to meet basis of exemption)
299Section 32L replaced (Cancellation of RWT exemption certificates)
32LRevocation of RWT-exempt status
300Section 33 amended (Returns)
301Section 33AA amended (Exceptions to requirement for return of income)
302Section 36 amended (Commissioner may approve furnishing of return information by electronic means)
303Section 36A repealed (Electronic format of employer monthly schedule and PAYE payment form)
304Section 36AB repealed (Electronic return requirements for multi-rate PIEs)
305Section 36B repealed (Other formats of employer monthly schedule)
306New section 36BD inserted (Electronic filing requirements for registered persons)
36BDElectronic filing requirements for registered persons
307Section 36C amended (Particulars furnished in electronic format)
308Sections 36CA, 36D, and 36E repealed
309New cross-heading inserted before section 37 (Returns and return dates)
310Section 46 amended (Employer to make returns as to employees)
311Section 46 amended (Employers to make returns as to employees)
312Section 46 amended (Employers to make returns as to employees)
313Section 46 repealed (Employers to make returns as to employees)
314Section 46C amended (FBT returns for years)
315Section 47 amended (ESCT statements provided by employers and others)
316Section 48 repealed (Special arrangements for supply of information by employer or PAYE intermediary to Commissioner)
317Section 49 amended (NRWT withholding certificates and annual reconciliations)
318Sections 49 and 50 repealed
319Section 51 amended (RWT withholding reconciliation statements)
320Sections 51, 52, 53, and 54 repealed
321Section 54C amended (Information in relation to payment of RLWT)
322Section 55 amended (Consequence of inability to provide tax file numbers)
323New section 55B inserted (Information relating to offshore persons and tax file numbers)
55BInformation relating to offshore persons and tax file numbers
324Section 57 amended (Maori authority to make returns of income)
325Section 57B amended (Return requirements for multi-rate PIEs)
326Section 61 amended (Disclosure of interest in foreign company or foreign investment fund)
327New section 63B inserted (Disclosure requirements for exempt ESSs)
63BDisclosure requirements for exempt ESSs
328Section 67 repealed (Company dividend statement when ICA company declares dividend)
329Section 68B repealed (Distribution statement required when Maori authority makes distribution)
330Section 70 amended (Annual ICA return to be furnished if: required by Commissioner; requirement for imputation credit account ceases; or balance retrospectively reduced to debit or to less than refund)
331Section 74 amended (Annual ICA return to be furnished in respect of consolidated imputation group)
332Section 78D amended (Evidential requirements for tax credits) [Repealed]
333Section 80A amended (Application)
334Section 80D amended (Commissioner must issue income statement)
335Section 80F amended (Taxpayer obligations and assessment on receipt of income statement)
336Section 80KT amended (Details of payments of tax credits)
337Section 85H amended (Disclosure of information for purposes of Parental Leave and Employment Protection Act 1987)
338Section 91AAQ amended (Determination on insurer as non-attributing active CFC)
339Section 91FD amended (Disclosure requirements)
340Section 91G amended (Effect of legislative change on binding ruling)
341Section 91GA amended (Applying for ruling on effect of change in legislation)
342Section 108B amended (Extension of time bars)
343Section 110 amended (Evidence of returns and assessments)
344Section 120C amended (Definitions)
345Section 120KBB amended (Interest for most standard method and some estimation method provisional taxpayers)
346Section 120KD amended (Provisional tax instalments in transitional years)
347Section 120KD amended (Provisional tax instalments in transitional years)
348New section 120LB inserted (Meaning of unpaid tax and overpaid tax for certain transferees under AIM method)
120LBMeaning of unpaid tax and overpaid tax for certain transferees under AIM method
349New section 120X inserted (Petroleum miners’ tax losses)
120XPetroleum miners’ tax losses
350Section 120X repealed (Petroleum miners’ tax losses)
351Section 125 amended (Certain rights of objection not conferred)
352Section 139A amended (Late filing penalty for certain returns)
353Section 139AA amended (Non-electronic filing penalty)
354Section 141AA amended (Shortfall penalty if non-resident contractor relieved from all liability to pay tax on contract payment)
355Section 141ED amended (Not paying employer monthly schedule amount)
356Section 141JA amended (Application of Part 9 to non-filing taxpayers)
357Section 142 amended (Due date for payment of late filing penalty)
358Section 142A amended (New due date for payment of tax that is not a penalty)
359New section 142AB inserted (New due date for new and increased assessments)
142ABNew due date for new and increased assessments
360Section 142G replaced (Due date for payment of non-electronic filing penalty)
142GDue date for payment of non-electronic filing penalties
361Section 157 amended (Deduction of tax from payments due to defaulters)
362Section 173L amended (Transfer of excess tax within taxpayer’s accounts)
363Section 183A amended (Remission for reasonable cause)
364Section 183C amended (Cancellation of interest)
365Section 183D amended (Remission consistent with collection of highest net revenue over time)
366Section 183F amended (Small amounts of penalties and interest not to be charged)
367Section 183F amended (Small amounts of penalties and interest not to be charged)
368Section 185 amended (Payment out of Crown Bank Account)
369Sections 185C and 185D repealed
370New sections 227C and 227D inserted
227CTransitional provision: voluntary application of employment income information provisions
227DTransitional provision for certain filing requirements of employers
371New section 227E inserted (Transitional provision: application of investment income information provisions)
227ETransitional provision: application of investment income information provisions
372New schedules inserted
Part 4
Amendments to other enactments
KiwiSaver Act 2006
373KiwiSaver Act 2006
374Section 4 amended (Interpretation)
375Section 17 amended (How to opt out)
376Section 22 amended (Employees giving information to employers)
377Section 23 amended (Employers must give information to Commissioner)
378Section 34 amended (Opting in by person 18 years or more)
379Section 42 amended (Employer must supply information pack to certain employees)
380Section 60 amended (Application of subpart)
381Section 64 amended (Contribution rate)
382Section 67 amended (PAYE rules apply to deductions)
383Section 73 amended (Deductions entered in and paid out of holding account)
384Section 93 amended (Employer contributions paid via Commissioner)
385Section 97 replaced (Commissioner must give notice if employer contributions not remitted)
97Commissioner must give notice if employer contributions not remitted
386Section 98 amended (Short payments by employers if not enough money remitted to Commissioner to cover all of employees’ deductions and employer contributions)
387Section 98A amended (Quantifying short payments for the purposes of Income Tax Act 2007 and Tax Administration Act 1994)
388Section 99 amended (Short payments if not enough employer contribution remitted to cover all employees)
389Section 101D amended (Compulsory employer contribution amount: general rule)
Student Loan Scheme Act 2011
390Student Loan Scheme Act 2011
391Section 34 amended (Repayment codes for New Zealand-based borrowers who derive salary or wages)
392Section 37 amended (Deduction rates that apply to standard deductions from salary or wages)
393Section 84 amended (Due dates for payment of interim payments)
394Section 202 amended (Provisions of Tax Administration Act 1994 and Income Tax Act 2007 to apply to this Act)
395Schedule 2 amended (Application of PAYE rules for purposes of section 70)
Goods and Services Tax Act 1985
396Goods and Services Tax Act 1985
397Section 2 amended (Interpretation)
398Section 2A amended (Meaning of associated persons)
399Section 20H amended (Goods and services tax incurred in making financial services for raising funds)
400Section 25 amended (Credit and debit notes)
401Section 25AB amended (Consequences of change in contract for secondhand goods)
402Section 53 amended (Registered person to notify change of status)
Child Support Act 1991
403Child Support Act 1991
404Section 89D amended (Exemption for long-term prisoners)
405Section 89F amended (Exemption does not apply at any time during child support year if income criteria not met at any time during relevant period)
406Section 163 amended (Payment of deductions to Commissioner)
Accident Compensation Act 2001
407Accident Compensation Act 2001
408Section 6 amended (Interpretation)
409Section 15 amended (Earnings as a shareholder-employee)
410Section 246 amended (Information available to Corporation)
411Schedule 4 amended (Deductions on account of earner levies)
Income Tax Act 2004
412Income Tax Act 2004
413Section CD 33 amended (Available capital distribution amount)
414Section EA 2 amended (Other revenue account property)
Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017
415Section 2 amended (Commencement)
Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017
416Section 32 repealed (Section LA 6 amended (Remaining refundable credits: PAYE, RWT, and certain other items))
417Section 57 repealed (New section 120LB inserted (Meaning of unpaid tax and overpaid tax for tax credit transferees under AIM method))
Health and Safety at Work Act 2015
418Section 201 amended (Funding levy)
Compensation for Live Organ Donors Act 2016
419Schedule 2 amended (Setting rate of earnings compensation)
Regulations
420Income Tax (Payroll Subsidy) Regulations 2006
421Anti-Money Laundering and Countering Financing of Terrorism (Class Exemptions) Notice 2014
422Accident Compensation (Earners’ Levy) Regulations 2017
423Income Tax (Employment-related Remedial Payments) Regulations 2017
Schedule 1
Consequential amendments to Income Tax Act 2007 related to trustee capacity
Schedule 2
Consequential amendments to other enactments related to tax administration
Schedule 3
New schedules 3 to 6 inserted
Reprint notes

The Parliament of New Zealand enacts as follows: