Clause 3 provides that income tax for the 2017–18 tax year is to be paid at the basic rates specified in schedule 1 of the Income Tax Act 2007.

Clause 4 sets out the clauses that affect the Income Tax Act 2007.

Clause 5 amends section BF 1 to correct the list of defined terms.

Clause 6 amends section CD 15 to clarify that the section applies to include in the amount of a dividend any RWT or NRWT paid or withheld for that dividend.

Clause 7 amends section CD 25 to ensure that in certain circumstances a company’s shares, if acquired by the company and allocated under an employee share scheme, are not subject to cancellation treatment under section CD 25(4) to (6).

Clause 8 inserts new section CD 29C. Under the new section, if an ASX-listed Australian company transfers the shares in a subsidiary to the shareholders of the ASX-listed Australian company, the transfer is not a dividend in the circumstances given by section ED 2B. The effect of the new section corresponds to the tax effect of such a transfer for Australian-resident shareholders.

Clause 9 amends section CD 36, which relates to foreign investment fund income, to provide an additional requirement for determining when an amount is not a dividend, namely when it is excluded income under new section CX 57B.

Clause 10 amends section CD 43 to ensure that available subscribed capital is adjusted when a deduction is allowed to or income is derived by a company in relation to an employee share scheme.

Clause 11 amends section CE 1 to provide for a cross-reference as part of the new employee share scheme rules.

Clause 12 replaces sections CE 2 to CE 4 to provide the new employee share scheme rules. New section CE 2 calculates the amount of income and deduction an employee may have under an employee share scheme. Apportionment for non-resident employees, and timing rules for reporting, are also proposed.

Clause 13 amends section CE 2, from 1 April 2019, in relation to the treatment of benefits under employee share schemes. The amendments insert a new defined term, ESS deferral date, for the date on which the employee is treated as deriving employment income in relation to the benefit, and otherwise updates cross-references and the list of defined terms.

Clause 14 replaces sections CE 6 and CE 7 to provide definitions for the new employee share scheme rules. New section CE 6 provides that trusts are nominees of employee share scheme companies. New section CE 7 provides a definition of employee share scheme. New section CE 7B provides a definition of share scheme taxing date, to provide the date on which the relevant tax calculations under the new employee share scheme rules are performed. New section CE 7C provides a definition of employee share scheme beneficiary. New section CE 7D provides a definition of replacement employee share scheme.

Clause 15 amends section CQ 5 consequentially to update the section title to a cross-referenced provision.

Clause 16 inserts new section CR 3B to provide that 10% of the gross premium of a life insurance policy derived by Lloyd’s of London is income.

Clause 17 amends section CT 5 to insert a reference to the definition of decommissioning in the tax rules for petroleum mining.

Clause 18 inserts new section CT 5B to provide that certain amounts are treated as income of a petroleum miner when commercial production is resumed after a deduction has been received for permanently ceasing petroleum mining operations.

Clause 19 amends section CT 6 to insert a reference to the definition of decommissioning in the tax rules for petroleum mining.

Clause 20 amends section CT 6B to remove, in the tax rules for petroleum mining, a reference to the definition of removal or restoration operations which is being repealed.

Clause 21 amends section CT 7 to replace, in the tax rules for petroleum mining, the reference to the definition of removal or restoration operations which is being repealed with a reference to the definition of decommissioning.

Clause 22 amends section CV 17, consequentially to amend the reference to the section title.

Clause 23 inserts a new section CV 20 consequentially to provide that a person has income under the new employee share scheme rules.

Clause 24 amends section CW 17CB, which relates to payments for work-related meals, to insert a definition of employer’s workplace which clarifies that, for the purposes of a meal allowance, the relevant workplace is the base at which the employee normally works.

Clause 25 inserts new sections CW 26B to CW 26G to provide a tax exemption for benefits provided under share purchase schemes. New section CW 26B provides that amounts derived from share purchase schemes are exempt income. New section CW 26C provides a definition of share purchase scheme. New section CW 26D provides a definition of employee for the share purchase scheme exemption. New section CW 26E provides a definition of normal retiring age for the share purchase scheme exemption. New section CW 26F provides a definition of share for the share purchase scheme exemption. New section CW 26G provides a definition of trustee for the share purchase scheme exemption.

Clause 26 inserts new section CX 55B to provide for the treatment of proceeds from the disposal of shares and financial arrangements by a foreign PIE equivalent. The amount derived is excluded income.

Clause 27 inserts a new cross-heading and new section CX 57B relating to amounts derived by a person from certain disposals during a period when the person uses a specified calculation method for FIF income or loss. The amount is excluded income.

Clause 28 replaces section CZ 1, as part of the new employee share scheme rules, to provide a grandparenting rule in relation to certain shares granted or acquired before 12 May 2016.

Clause 29 inserts new section DB 23B to deny a company a deduction in relation to the acquisition or value of an excepted financial arrangement, such as shares, held on revenue account when the shares are cancelled and, at the time of the cancellation, the issuer of the shares and the holder of the financial arrangement are part of the same consolidated group.

Clause 30 inserts new section DB 54C to deny a foreign PIE equivalent a deduction for expenditure or loss incurred in deriving excluded income under new section CX 55B.

Clause 31 repeals sections DC 12 to DC 15, as part of the new share purchase scheme exemption.

Clause 32 amends section DN 6 consequentially to update the section title to a cross-referenced provision.

Clause 33 amends section DT 7 to align the drafting of the provision, which appears in the tax rules for petroleum mining, with new section DT 7B.

Clause 34 inserts new section DT 7B to provide that amounts treated as income of a petroleum miner under new section CT 5B are also to be treated as petroleum development expenditure.

Clause 35 amends section DT 15 to insert a reference to the definition of decommissioning in the tax rules for petroleum mining.

Clause 36 amends section DT 16 to replace, in the tax rules for petroleum mining, the reference to the definition of removal or restoration operations, which is being repealed, with a reference to the definition of decommissioning.

Clause 37 amends section DT 17 to remove , in the tax rules for petroleum mining, a cross reference to section IS 5 which is being repealed.

Clause 38 amends section DT 20 to insert a reference to the definition of decommissioning in the tax rules for petroleum mining.

Clause 39 amends section DU 7 as a remedial matter, to clarify that the section does not apply to mining outgoing excess of a loss-attributing qualifying company.

Clause 40 amends section DV 2, as a remedial matter, to correct a defined term.

Clause 41 inserts a new cross-heading and new section DV 27, which provides for deductions and income a person may have under an employee share scheme.

Clause 42 inserts new section DV 28, which allows deductions in relation to a share purchase scheme for administrative or management services.

Clause 43 inserts new section DW 3B to prevent Lloyd’s of London claiming a deduction for expenditure incurred in deriving income under new section CR 3B.

Clause 44 amends section EA 2, which deals with revenue account property, to clarify in a particular case the nature of the property to which the section applies. The amendment also updates cross-references related to petroleum mining.

Clause 45 inserts new section ED 2B, which applies to situations in which an ASX-listed Australian company transfers the shares in a subsidiary to the shareholders of the ASX-listed Australian company. The new shareholdings in the subsidiary must be in the same proportions as the shareholdings in the parent company and the share transfer must not be a dividend under the Income Tax Assessment Act 1936 (Aust). The new section gives the costs and the available subscribed capital amounts for the shares in the parent and subsidiary after the transfer. The section also defines the term ASX-listed Australian company. Subclause (1), which inserts the new section, comes into force on 1 April 2016. Subclause (2) provides for an amendment to the definition and comes into force on 1 April 2017.

Clause 46 amends section EE 7, as a remedial matter, to remove a reference to assets to which section DU 6(4) applies, as that subsection no longer exists.

Clause 47 amends section EE 34, as a remedial matter, to correct a fault in expression.

Clause 48 amends section EJ 12 to remove, in the tax rules for petroleum mining, a cross reference to section IS 5 which is being repealed.

Clause 49 replaces section EJ 13 to allow for a deduction for petroleum development expenditure, which has not been allocated to an earlier income year, to be allocated to the income year in which petroleum mining operations permanently cease.

Clause 50 repeals section EJ 14, which allows for deductions for petroleum development expenditure to be spread to earlier tax years when a permit is relinquished. A refundable credit, which is provided in new subpart LT, will allow a deduction for this expenditure to be realised in the year in which petroleum mining operations permanently cease.

Clause 51 amends section EJ 18 to insert a reference to the definition of decommissioning in the tax rules for petroleum mining.

Clause 52 amends section EJ 20 to replace the reference to the definition of removal or restoration operations, which is being repealed, with a reference to the definition of decommissioning.

Clause 53 amends section EJ 22, as a remedial matter, to remove a cross-reference.

Clause 54 amends section EW 13, as a remedial matter, to correct a cross-reference.

Clause 55 amends section EW 15H, as a remedial matter, to correct cross-references.

Clause 56 amends section EW 31, which provides the calculation for a base price adjustment, by clarifying that non-integral fees are ignored when the modified fair value method is used.

Clause 57 amends section EX 21 to remove, in the tax rules for petroleum mining, a cross reference to section IS 5 which is being repealed.

Clause 58 amends section EX 21B consequentially to insert a reference to part-period calculations under new section EX 21F.

Clause 59 inserts new section EX 21F, which deals with part-period calculations when an interest holder holds an income interest for only part of an accounting period. It provides that the holder may determine that a CFC is a non-attributing CFC if certain requirements are met.

Clause 60 amends section EX 38 to update the FIF rules exemption for employee share schemes, as part of the new employee share scheme rules.

Clause 61 amends section EX 59 to clarify the relationship with new section CX 57B, which relates to certain amounts derived by a person during a period when they use a specified calculation method for FIF income or loss.

Clause 62 amends section EY 10 to clarify that, apart from the reference to life insurer in section EY 8, Lloyd’s of London is treated as not being a life insurer for its life insurance business that is taxed under new section CR 3B.

Clause 63 amends section FC 2 to include new section ED 2B in the list of provisions that override the general rule for transfers at market value.

Clause 64 amends section FM 31, which contains the eligibility rules for membership of consolidated groups. The amendment clarifies that a company is not eligible if it is a local authority.

Clauses 65 to 68 amend sections FM 36, FM 37, FM 38, and FM 40 to replace outdated terminology. Section FM 40 is also amended to clarify that local authorities are not eligible to be members of a consolidated group.

Clause 69 amends section FN 4, as a remedial matter, to correct a fault in expression.

Clause 70 inserts a new cross-heading and new section GB 49B to provide a specific anti-avoidance provision for the new employee share scheme rules.

Clause 71 amends section GB 52, as a remedial matter, to correct a fault in expression.

Clause 72 amends section HA 19 to update a cross-reference.

Clause 73 amends section HC 2 consequentially to replace a cross-reference.

Clause 74 amends section HC 27 as part of the new employee share scheme rules.

Clause 75 amends section HC 33, as a remedial matter, to remove redundant words.

Clause 76 amends section HD 3 to clarify the obligations of agents for Lloyd’s of London in relation to life insurance.

Clause 77 amends section HD 15 to provide a definition of company that includes a company that is acting in the capacity of trustee for the purposes of the section, including the voting interest and market value interest tests, as the tests apply for the definitions of controlling shareholder and interested shareholder.

Clause 78 inserts new section HD 17B, which describes the liability of agents for Lloyd’s of London in relation to life insurance.

Clause 79 amends section HF 1 consequentially to update cross-references.

Clause 80 amends section HM 3, which relates to foreign PIE equivalents, to repeal subsection (1)(b)(iii), relating to trusts that would be unit trusts if they had more than 1 beneficiary.

Clause 81 amends section HM 4 by inserting a new subsection setting out the consequences when an investor does not provide a tax file number to the PIE.

Clause 82 amends section HM 9 by repealing paragraph (c), which relates to trusts that would be unit trusts if they had more than 1 beneficiary.

Clause 83 amends section HM 13 relating to maximum shareholdings in investments. It clarifies that the investment must not carry voting interests or market value interests of more than 20%.

Clause 84 amends section HM 30, as a remedial matter, to correct a cross-reference.

Clause 85 amends section HM 62, which deals with exit levels for investors, to set out the consequences when an investor does not provide a tax file number to the PIE.

Clauses 86 to 88 amend sections HM 67, HM 68, and HM 69, which relate to the treatment of formation losses, to include multi-rate PIEs that calculate their tax liability under the provisional tax calculation option or change from that option to the exit calculation or quarterly calculation option.

Clause 89 amends section HR 10, as a remedial matter, to correct a fault in expression.

Clause 90 replaces section HR 12, which relates to non-exempt charities and the treatment of tax-exempt accumulations. The section applies to charities that become deregistered after deriving exempt income and also to persons who derive exempt income under section CW 42. It sets out how to determine the amount of taxable income derived and provides for the assets that are not counted in determining that income.

Clause 91 inserts a new cross-heading and new section HR 13 to provide that, in relation to the life insurance business of Lloyd’s of London, all underwriters of Lloyd’s of London who derive premium income in an income year are jointly and severally liable for each other’s tax obligations for the income year.

Clause 92 amends section IA 2 to allow a person to include an unused specified activity net loss in their tax loss for the tax year, to the extent to which the amount has not been subtracted under section IA 4.

Clause 93 amends section IA 4 to provide that an unused specified activity net loss must first be subtracted from net income for a tax year before the remaining portion of the unused specified activity net loss can be included under section IA 2 in a tax loss for the tax year.

Clause 94 repeals amendments, which relate to unused specified activity net losses, made to section IA 4 by clause 92, with application for the 2019–20 and later income years.

Clause 95 amends section IA 7 to repeal consequentially subsection (8) when sections IS 5, IZ 2, and IZ 3, which deal with a petroleum mining company’s net losses, are repealed.

Clause 96 amends section IA 8, as a remedial matter, to correct the list of defined terms.

Clause 97 amends section IA 9 to provide an order for the tax loss component that relates to an unused specified activity net loss under section IA 2(4)(g), for the purposes of the continuity and commonality rules.

Clause 98 amends section IC 3, which provides the test for common ownership, by replacing subsection (3) to update the cross-references to voting interests in subpart YC.

Clause 99 amends section IS 5 to correct a cross reference in the tax rules for petroleum mining, from 1 April 2008.

Clause 100 repeals section IS 5, which allows for certain deductions of petroleum miners to be spread to earlier tax years. A refundable credit, which is provided in new subpart LT and new section LA 6(1)(ib), will allow these deductions to be realised.

Clause 101 repeals section IZ 1, which provides rules for the use of specified activity net losses.

Clause 102 repeals section IZ 2, which is a redundant provision concerning petroleum mining companies.

Clause 103 repeals section IZ 3, which is a redundant provision concerning petroleum mining companies.

Clause 104 amends section LA 6 to allow a tax credit under new subpart LT, which provides for tax credits for petroleum miners, to be a refundable credit.

Clause 105 amends section LB 1 as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 106 amends section LB 3 to clarify that the amount of tax includes a payment of RWT for a non-cash dividend.

Clause 107 amends section LB 7 to update a cross-reference related to the new investment income information provisions.

Clause 108 amends section LB 8 to update a cross-reference related to the replacement of certain provisions related to tax codes and tax rates.

Clause 109 amends section LD 3 to clarify that donation tax credits are available only for donations made to community housing entities during the period in which they qualify for the income tax exemption in section CW 42B.

Clause 110 amends section LD 4 as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 111 amends section LD 5 as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 112 amends section LK 1 to clarify the treatment of tax credits related to attributed CFC income for parent companies and group companies.

Clause 113 inserts new subpart LT to allow a tax credit for petroleum miners or farm-in parties relating to certain expenditure for decommissioning or certain expenditure that has not been allocated to an income year when petroleum mining operations permanently cease.

Clauses 114 and 115 amend sections MX 1 and MX 4, as a remedial matter, to correct formatting faults.

Clause 116 amends section OA 2, which relates to memorandum accounts, to clarify that the section applies for a tax year and for each subsequent tax year.

Clause 117 amends section OA 7, which relates to opening balances of memorandum accounts. The amendment clarifies the treatment of an amount of a credit or debit that forms part of an opening balance. It also clarifies the treatment of existing credits when companies form an imputation group, or consolidated imputation group, or become associated with imputation groups.

Clauses 118 and 119 amend sections OP 3 and OP 4 to clarify how an opening balance of an imputation credit account is determined.

Clause 120 amends section OP 22, which relates to a consolidated ICA group company’s credit, to clarify the limit of an amount of a credit for a group company.

Clause 121 provides a table setting out the tables of credits and debits from which rows are repealed following the amendments proposed related to opening balances of memorandum accounts.

Clause 122 amends section RA 11, which relates to adjustments to correct underpayment errors, to provide a threshold for underpayments of RWT and NRWT in relation to which a person may make an adjustment in the tax year after the year in which the error was made. The adjustment is treated as made on the due date for the amount of tax and a requirement to notify the Commissioner of an adjustment that falls within the threshold amount is added.

Clause 123 amends section RA 12, which relates to adjustments to correct overpayment errors, to replace references to repealed provisions, include the new investment income information requirements, and to add a requirement for notification to the Commissioner and the payee.

Clause 124 amends section RA 15, which provides payment dates for interim and other tax payments, to clarify the treatment of discrepancies in investment income information.

Clauses 125 and 126 amend sections RA 16 and RA 17, which relate to payment dates, to remove references to the repealed RWT exemption certificate.

Clause 127 amends section RC 3 to delete a reference to a certificate as a consequence of the introduction of the new employment income information provisions.

Clause 128 amends section RC 19, as a remedial matter, to correct a fault in expression.

Clause 129 amends section RD 2, which lists the PAYE rules, to update cross-references related to the repeal of the provisions for listed PAYE intermediaries and to the new employment income information and tax code provisions.

Clause 130 replaces section RD 4, which relates to the payment of amounts of tax to the Commissioner, to include all the provisions relating to the payment of amounts of tax for PAYE income payments, separating the payment requirements from the new information requirements in replaced section RD 22.

Clause 131 amends section RD 6 as a consequence of the introduction of the new employee share scheme rules.

Clause 132 amends section RD 6, from 1 April 2019, to provide for the new reporting requirements for benefits under employee share schemes.

Clause 133 amends section RD 7 as a consequence of the introduction of the new employee share scheme rules.

Clause 134 amends section RD 7, from 1 April 2018, to remove a redundant threshold relating to the tax treatment of a retrospective increase in salary or wages.

Clause 135 amends section RD 7B as a consequence of the introduction of the new employee share scheme rules.

Clause 136 amends section RD 7B, from 1 April 2019, to provide for the new reporting requirements for benefits under employee share schemes.

Clause 137 amends section RD 8 to update a cross-reference related to the replacement of certain provisions for tax codes and tax rates.

Clause 138 amends section RD 10 to clarify the rate at which an extra pay for a non-resident seasonal worker is taxed and the rate of tax for an extra pay when an employee has not notified their employer of their tax code.

Clause 139 amends section RD 10B consequentially to take account of the replacement provisions for the rates of tax on schedular payments and the requirements for persons who make schedular payments.

Clause 140 inserts new section RD 10C to provide for the calculation of amounts of tax for PAYE income payments following changes to tax rates or thresholds in the Income Tax Act 2007 or the Tax Administration Act 1994.

Clause 141 replaces section RD 12, which provides the tax treatment of multiple payments of salary or wages, to provide that the payments are treated as 1 payment made by the employer for the week.

Clause 142 replaces section RD 13 to provide a new option for the tax treatment of advance payments of salary or wages, or holiday pay. The employer may choose to treat the payment either as a lump sum spread over pay periods or as an extra pay.

Clause 143 amends section RD 13B as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 144 repeals section RD 14, which provides how to determine the amount of tax for a payment of salary or wages when there is a change to tax rates. The section is replaced by new section RD 10C.

Clause 145 amends section RD 17 to exclude non-resident seasonal workers and employees who have not notified their employer of their tax code from the ambit of the section.

Clause 146 amends section RD 18 to update a cross-reference related to the reorganised tax code and tax rate provisions.

Clause 147 amends section RD 21 to update cross-references as a consequence of the introduction of the new rules for employment income information.

Clause 148 replaces section RD 22 in relation to the reporting of employment income information and to separate the payment requirements from the reporting requirements.

Clauses 149 and 150 amend sections RD 23 and RD 24 to update the terminology and cross-references as a consequence of the introduction of the new rules for employment income information.

Clause 151 amends section RD 64 to update cross-references for the repeal of the provisions related to listed PAYE intermediaries.

Clause 152 inserts new section RD 67B to provide for the calculation of amounts of tax for employers’ superannuation cash contributions following changes to tax rates or thresholds in the Income Tax Act 2007 or the Tax Administration Act 1994.

Clauses 153 to 158 amend sections RE 2, RE 4, RE 5, RE 7, RE 8, and RE 10 to remove references to the repealed RWT exemption certificate. In section RE 5, a remedial requirement is inserted to provide that no obligation arises under the section in relation to non-cash dividends. In section RE 10, an adjustment is also made to correct a numerical lapse.

Clause 159 amends section RE 14 to include a reference to a dividend under new section RE 14B for non-cash dividends distributed through intermediaries.

Clause 160 inserts new section RE 14B to clarify the treatment of non-cash dividends that are distributed through intermediaries in the same income year in which the dividend is derived.

Clause 161 amends a cross-heading and section RE 27 to update the section in relation to the repeal of the RWT exemption certificate, and to add a notification requirement for persons with RWT-exempt status.

Clause 162 amends section RE 28 to remove references to the repealed RWT exemption certificate.

Clause 163 replaces section RE 29 to provide that a person may establish that another person has RWT-exempt status by a search of a database provided by the Commissioner.

Clause 164 amends section RE 30 to remove references to the repealed RWT exemption certificate.

Clause 165 amends section RL 4 to update a reference to a licensed non-bank deposit taker, which is defined in section YA 1.

Clause 166 amends section RM 8 to update the terminology and cross-references as a consequence of the introduction of the new rules for investment income information.

Clause 167 amends section RP 2 to update the terminology for the repeal of the provisions related to listed PAYE intermediaries.

Clause 168 repeals sections RP 3, RP 4, and RP 5 as part of the repeal of the provisions related to listed PAYE intermediaries.

Clause 169 replaces section RP 8 to remove references to record-keeping which have been reorganised with the new rules for employment income information, and to retain the requirement that an employer must provide the information sought by a PAYE intermediary in the time agreed by them.

Clause 170 amends section RP 14 to update the terminology and cross-references as a consequence of the introduction of the new rules for employment income information.

Clause 171 inserts new section RZ 13 to provide a transitional provision for the repeal of the provisions related to listed PAYE intermediaries.

Clause 172 amends section YA 1.

Subclause (2) amends the definition of asset for a new definition in section HR 12, which relates to the treatment of tax exempt accumulations by non-exempt charities.

Subclause (3) inserts a new definition of ASX-listed Australian company by cross-reference to new section ED 2B.

Subclause (4) amends the definition of charitable purpose, as a remedial matter, to clarify the language.

Subclause (5) amends the definition of company to clarify that, in most cases, the term does not include a company that is acting in the capacity of trustee. A slight change to the wording of paragraph (c) of the definition, which concerns group investment funds, is made and a reference to the definition of company for the purposes of section HD 15 is also inserted.

Subclause (6) amends the definition of company dividend statement to update a cross-reference to the new investment income information provisions.

Subclause (7) repeals the reference to conduct, a redundant term which is defined in section IZ 1, a provision concerning specified activity net losses, that is being repealed.

Subclause (8) inserts a definition of decommissioning, which replaces the repealed definition of removal or restoration operations, as a result of changes to the tax rules for petroleum mining.

Subclause (9) amends the definition of dispose as a consequence of the introduction of the new employee share scheme rules.

Subclause (10) amends the definition of distinctive work clothing to remove an incorrect cross-reference.

Subclause (11) amends the definition of dwelling, as a remedial matter, to correct the punctuation.

Subclause (12) amends the definition of employee as a consequence of the introduction of the new share purchase scheme exemption.

Subclause (13) inserts definitions of employee share scheme and employee share scheme beneficiary as a consequence of the introduction of the new employee share scheme rules.

Subclause (14) repeals the definition of employer monthly schedule as a consequence of the introduction of the new rules for employment income information.

Subclause (15) inserts a reference to the new definition of employer’s workplace in relation to the provision for payments for certain work-related meals.

Subclause (16) repeals the definition of employing company as a consequence of the introduction of the new share purchase scheme exemption.

Subclause (17) inserts a reference to the new definition of employment income information as a consequence of the introduction of the new rules for employment income information.

Subclause (18) replaces the definition of end date to take account of a reference to a new definition in section HR 12, which relates to the treatment of tax-exempt accumulations by non-exempt charities.

Subclause (19) inserts a reference to the new definition of ESS deferral date which relates to the reporting of benefits under employee share schemes.

Subclause (20) repeals the reference to established activity, a redundant term which is defined in section IZ 1, a provision concerning specified activity net losses, that is being repealed.

Subclause (21) amends the definition of exempt interest as a consequence of the introduction of the new rules for investment income information, and the creation of a database of persons with RWT-exempt status.

Subclause (22) repeals the definition of exemption certificate as a consequence of the introduction of the new rules for employment income information.

Subclause (23) repeals the reference to existing farmer, a redundant term which is defined in section IZ 1, a provision concerning specified activity net losses, that is being repealed.

Subclause (24) inserts a new definition of farm-in party, which is used in the tax rules for petroleum mining.

Subclause (25) replaces the definition of formation loss as part of the remedial amendments relating to PIEs.

Subclause (26) amends the definition of goods, as a remedial matter, for grammatical accuracy.

Subclause (27) amends the definition of high-priced livestock, as a remedial matter, for grammatical accuracy.

Subclause (28) repeals the reference to income from personal exertion, a redundant term which is defined in section IZ 1, a provision concerning specified activity net losses, that is being repealed.

Subclause (29) repeals paragraph (e) of the definition of land, a redundant provision which refers to a definition in section IZ 1, a provision concerning specified activity net losses, that is being repealed.

Subclause (30) replaces the definition of liabilities for a new definition in section HR 12, which relates to the treatment of tax exempt accumulations by non-exempt charities.

Subclause (31) inserts a new definition of licensed non-bank deposit taker, a term defined by reference to the Non-Bank Deposit Takers Act 2013, which is used in section RL 4 and new section HD 17B.

Subclause (32) repeals the definition of listed PAYE intermediary as part of the repeal of the provisions related to listed PAYE intermediaries.

Subclause (33) inserts a new definition of Lloyd’s of London, which is used in new sections CR 3B, DW 3B, HD 17B, HR 13, and YD 8B, schedule 1, part A, clause 11, and other tax rules relating to the life insurance business of Lloyd’s of London.

Subclause (34) amends the definition of member to remove references to the repealed RWT exemption certificate.

Subclause (35) replaces the definition of natural person to clarify that the term, in most cases, does not include a natural person who is acting in the capacity of trustee.

Subclause (36) amends the definition of net assets consequentially to update a section reference.

Subclause (37) replaces the definition of normal retiring age as a consequence of the introduction of the new share purchase scheme exemption.

Subclause (38) amends the definition of offered or was offered or entered into to insert a reference to new sections CR 3B and YD 8B where the defined term is used. The amendment is a result of the introduction of new tax rules relating to the life insurance business of Lloyd’s of London.

Subclause (39) amends the definition of pay consequentially to update a cross-reference.

Subclause (40) inserts a reference to the new definition of payday as a consequence of the introduction of the new rules for employment income information.

Subclause (41) repeals the definitions of PAYE income payment form and PAYE income payment form period as a consequence of the introduction of the new rules for employment income information.

Subclause (42) amends the definition of PAYE intermediary consequentially to remove a cross-reference.

Subclause (43) repeals the definition of period of restriction as a consequence of the introduction of the new share purchase scheme exemption.

Subclause (44) amends the definition of petroleum development expenditure to exclude from the definition expenditure that relates to an amount for which a deduction is allowed under new section DT 7B.

Subclause (45) repeals the definition of petroleum mining company, which is referred to in sections IA 7(8), IS 5, IZ 2, and IZ 3 that are to be repealed.

Subclause (46) amends the definition of profit distribution plan as a consequence of the introduction of the new employee share scheme rules.

Subclause (47) replaces the definition of refundable tax credit to include within the definition a tax credit under new subpart LT. The amendment is a result of changes to the tax rules for petroleum mining.

Subclause (48) repeals the reference to related activity, a redundant term which is defined in section IZ 1, a provision concerning specified activity net losses, that is being repealed.

Subclause (49) repeals the definition of removal or restoration operations, which has been replaced by the new definition of decommissioning. The repeal is a result of changes to the tax rules for petroleum mining.

Subclause (50) inserts a new definition of replacement employee share scheme as a consequence of the introduction of the new employee share scheme rules.

Subclause (51) inserts a new definition of RWT-exempt status as a consequence of the removal of the RWT exemption certificate.

Subclause (52) repeals the definition of RWT exemption certificate as a consequence of the changes to the provisions relating to investment income information.

Subclause (53) amends the definition of RWT withholding certificate consequentially to update a cross-reference.

Subclause (54) amends the definition of savings product policy, as a remedial matter, for grammatical accuracy.

Subclause (55) amends the definition of schedular income to include within the definition income of Lloyd’s of London under new section CR 3B.

Subclause (56) amends the definition of settlement of relationship property, as a remedial matter, to improve readability.

Subclause (57) amends the definition of share by repealing paragraph (f), as a consequence of the introduction of the new employee share scheme rules.

Subclause (58) amends the definition of share by replacing paragraph (g), as a consequence of the introduction of the new share purchase scheme exemption.

Subclause (59) repeals the definition of share purchase agreement as a consequence of the introduction of the new employee share scheme rules.

Subclause (60) replaces the definition of share purchase scheme as a consequence of the introduction of the new share purchase scheme exemption.

Subclause (61) inserts a new definition of share scheme taxing date as a consequence of the introduction of the new employee share scheme rules.

Subclause (62) replaces the definition of shareholder-employee as a consequence of the introduction of the new employee share scheme rules.

Subclause (63) repeals the definitions of specified activity, specified activity net income, and specified activity net loss, redundant terms defined in section IZ 1, a provision concerning specified activity net losses, that is being repealed.

Subclause (64) repeals the definition of subsidy claim form as part of the repeal of the provisions related to listed PAYE intermediaries.

Subclause (65) amends the definition of tax file number as a consequence of the removal of the RWT exemption certificate.

Subclause (66) amends the definition of time bar, as a remedial matter, to update cross-references.

Subclause (67) amends the definition of trustee as a consequence of the introduction of the new share purchase scheme exemption.

Subclause (68) inserts a new definition of unused specified activity net loss, which is used in the amendments to sections IA 2, IA 4, and IA 9.

Clause 173 inserts new section YA 5 to clarify that a person who is acting as a trustee of a trust is acting in capacity that is separate from their other capacities.

Clause 174 amends section YC 4, as a remedial matter, for grammatical accuracy.

Clause 175 amends section YD 1 to clarify that the test for residence in the section applies to trustees who are natural persons, a change that is consequential to the amendments to the definition of natural person, which now does not include a natural person who is acting as a trustee.

Clause 176 amends section YD 2 to clarify that the test for residence in the section which applies to companies also applies to trustees that are companies, a change that is consequential to the amendments to the definition of company, which now does not include a company that is acting as a trustee.

Clause 177 amends the compare note to section YD 4, as a remedial matter, for accuracy.

Clause 178 amends section YD 6 to insert a requirement for a reduction by the Commissioner that the amount is exempt from, or not liable to, income tax in the other country. The omission of the phrase “or not liable to” was made during the rewriting of the legislation in 2007.

Clause 179 inserts new section YD 8B, which provides that 10% of the gross premium from the life insurance policies of Lloyd’s of London has a source in New Zealand.

Clause 180 amends schedule 1 to provide the basic rate of income tax for Lloyd’s of London for income under new section CR 3B, and to provide for rates for non-notification of tax file numbers and tax codes, and to update cross-references.

Clause 181 amends schedule 2 to provide tax rates for non-resident seasonal workers, and for employees who have not notified their employers of their tax code, and consequentially to update cross-references.

Clause 182 amends schedule 25 by inserting a cross-reference to new section ED 2B in the list of empowering provisions.

Clause 183 amends schedule 32 to insert entities into the list of recipients of charitable and other public benefit gifts.

Clause 184 amends schedule 36 to insert entities into the list of government enterprises.

Clause 185 enacts a schedule of consequential amendments to the Income Tax Act 2007 relating to changes to the definitions of natural person and company, which now do not include a person who is acting as a trustee.

Clause 186 sets out the clauses that affect the Tax Administration Act 1994.

Clause 187 amends section 3.

Subclause (2) repeals the definition of dividend treated as interest to avoid duplication.

Subclause (3) amends the definition of employee consequentially to update a cross-reference.

Subclause (4) inserts a definition of employment income information as a consequence of the introduction of the new rules for employment income information.

Subclause (5) inserts a new definition of ESS deferral date as a consequence of the introduction of the new rules for employment income information relating to benefits under employee share schemes.

Subclause (6) amends the definition of exempt person, as a remedial matter, to correct a cross-reference.

Subclause (7) repeals the definition of exempt person as a consequence of the introduction of the new rules for investment income information.

Subclause (8) amends the definition of gift-exempt body as a consequence of the removal of the RWT exemption certificate.

Subclause (9) inserts new definitions of investment income and investment income information as a consequence of the introduction of the new rules for investment income information.

Subclause (10) inserts a new definition of natural person, which aligns with the new definition of natural person in the Income Tax Act 2007, which now does not include a natural person who is acting as a trustee. However, the term natural person is defined to include a natural person who is acting in the capacity of trustee for the purposes of the definition of qualifying resident foreign resident trustee and in sections 177 and 177A.

Subclause (11) repeals the definition of non-exempt person as a consequence of the introduction of the new rules for investment income information.

Subclause (12) inserts a new definition of payday as a consequence of the introduction of the new rules for employment income information.

Subclause (13) amends the definition of payment as a consequence of the introduction of the new rules for employment income information.

Subclause (14) inserts a new definition of payroll software as a consequence of the introduction of the new rules for employment income information.

Subclause (15) repeals the definition of reconciliation statement as a consequence of the introduction of the new rules for investment income information.

Subclause (16) amends the definition of record consequentially to update a cross-reference.

Subclause (17) amends the definition of record holder consequentially to remove a cross-reference to a repealed section.

Subclause (18) replaces the definition of registered person to ensure the general application of the definition for the purposes of the Act.

Subclause (19) amends the definition of responsible department consequentially to update a cross-reference.

Subclause (20) repeals the definition of RWT exemption certificate as a consequence of the introduction of the new rules for investment income information.

Subclause (21) repeals the definitions of special tax code certificate and special tax code notification as a consequence of the introduction of the new rules for employment income information.

Subclause (22) amends the definition of tax to repeal a paragraph relating to subsidies payable to listed PAYE intermediaries as part of the repeal of the provisions related to listed PAYE intermediaries.

Subclause (23) inserts a new definition of tax code as a consequence of the introduction of the new rules for employment income information.

Subclause (24) repeals the definitions of tax code certificate and tax code notification as a consequence of the introduction of the new rules for employment income information.

Subclause (25) amends the definition of tax position to repeal a paragraph relating to subsidies payable to listed PAYE intermediaries as part of the repeal of the provisions related to listed PAYE intermediaries.

Subclause (26) replaces the definition of tax shortfall, to provide that an employer has a penalty for failing to correctly report employee share scheme amounts, calculated by reference to the shortfall that they failed to report.

Clause 188 amends section 15C to remove a reference to listed PAYE intermediaries in the heading and to repeal subsection (2) as part of the repeal of the provisions related to listed PAYE intermediaries.

Clause 189 amends section 15F, as a remedial matter, for grammatical accuracy.

Clause 190 repeals sections 15G, 15H, and 15I as part of the repeal of the provisions related to listed PAYE intermediaries.

Clause 191 amends section 15J, repealing subsection (4), as part of the repeal of the provisions related to listed PAYE intermediaries.

Clause 192 amends section 15L to update the terminology as a consequence of the introduction of new rules for employment income information.

Clause 193 repeals section 15M as part of the repeal of the provisions related to listed PAYE intermediaries.

Clauses 194 and 195 insert new subpart headings to bring some order to the list of provisions in Part 3.

Clause 196 amends section 22 consequentially to update a cross-reference.

Clause 197 inserts new section 22AA, which provides record-keeping requirements for employment income and replaces existing section 24.

Clause 198 inserts new section 22AAB, which provides record-keeping requirements for investment income that is resident passive income and replaces existing section 26.

Clause 199 amends section 23 to clarify the records that the section does not require to be kept for employment income purposes.

Clause 200 inserts new subpart 3C, which contains the requirements for employment income information. The provisions establish what is meant by employment income information for reporting purposes, when and how it must be provided to the Commissioner, and the information that must be provided for new and departing employees. The subpart also provides for the correction of errors, the setting of electronic and non-electronic filing requirements, and payroll software.

Clause 201 repeals a cross-heading and section 24. Clause 196 inserts an amended version of that provision in a more appropriate location in the Act as new section 22AA. The amendment is made as a consequence of the introduction of the new rules for employment income information.

Clause 202 repeals a cross-heading and section 24BA. Clause 243 inserts an amended version of that provision in a more appropriate location in the Act as new section 55B.

Clause 203 amends section 24B by removing a cross-reference to repealed section 24BA and inserting new subsection (3C), which corresponds to former section 24BA(1D).

Clause 204 inserts new subpart 3D replacing sections 24B to 24IB. The subpart contains the rules for tax codes and schedular tax rates. The provisions define what is meant by tax code, and provide for notified codes, codes provided by the Commissioner for certain income, and for non-notified codes. The rates of tax for schedular payments are set out as standard rates, elected rates, and rates set by the Commissioner, and special tax rates.

Clause 205 repeals a cross-heading and section 24J as a consequence of the introduction of new rules for employment income information.

Clause 206 amends section 24K by renumbering the section, placing it in a more appropriate location. It also updates a cross-reference as a consequence of the changes brought about by the new investment income information provisions.

Clause 207 repeals sections 24L, 24M, 24N, and 24P as a consequence of the changes brought about by the new employment income information provisions.

Clause 208 amends a cross-heading and section 24Q by renumbering the section, placing it in a more appropriate location.

Clause 209 inserts a new subpart heading to bring some order to the list of provisions in Part 3.

Clause 210 amends section 25A by renumbering the section, placing it in a more appropriate location.

Clause 211 amends section 25 by renumbering the section, placing it in a more appropriate location. It also amends the section to take account of the new rules for investment income information, the replacement of the RWT exemption certificate, and the requirement to provide tax file numbers.

Clause 212 inserts new subpart 3E containing new sections 25B to 25S for investment income information. The provisions establish what is meant for reporting purposes by investment income and investment income information, who is required to provide the information and how it must be provided. The amendments detail what information is required in relation to income types and by certain persons. Provisions are also inserted for the correction of errors and what information may be filed in non-electronic form.

Clause 213 repeals section 26, whose content related to the records to be kept for RWT purposes has been moved to new section 22AAB. The amendment is made as a consequence of the introduction of the new rules for investment income information.

Clause 214 amends section 27 as a consequence of the introduction of the new rules for investment income information and the replacement of the RWT exemption certificate.

Clause 215 replaces section 28B. The amendment excludes non-residents from the requirement to notify a PIE of their tax file number.

Clause 216 inserts new subpart heading to bring some order to the list of provisions in Part 3.

Clause 217 amends section 31B to extend the notification requirements for certain multi-rate PIEs.

Clause 218 amends section 32E to take account of the new rules for investment income information and the replacement of the RWT exemption certificate. The amendments include a remedial amendment to include a reference to section CW 64 related to exemptions under other Acts.

Clause 219 amends section 32G to take account of the new rules for investment income information and the replacement of the RWT exemption certificate. The provision requires a person with RWT-exempt status to provide evidence to the Commissioner annually to confirm their eligibility for that status.

Clause 220 replaces section 32H to take account of the new rules for investment income information and the replacement of the RWT exemption certificate. The new provision requires the Commissioner to add the name of a person with RWT exempt status to an electronic register.

Clause 221 amends section 32I to take account of the new rules for investment income information and the replacement of the RWT exemption certificate. The provision concerns persons who have RWT-exempt status despite not meeting the requirements.

Clause 222 replaces section 32J to take account of the new rules for investment income information and the replacement of the RWT exemption certificate. The provision concerns unincorporated bodes that have RWT-exempt status.

Clause 223 amends section 32K to take account of the new rules for investment income information and the replacement of the RWT exemption certificate. The provision concerns the failure to meet the requirements for RWT-exempt status.

Clause 224 replaces section 32L to take account of the new rules for investment income information and the replacement of the RWT exemption certificate. The provision concerns revocation of RWT-exempt status.

Clause 225 inserts a new subpart heading to bring some order to the list of provisions in Part 3. It also amends section 33 for returns of income made by trustees to whom section HC 2 of the Income Tax Act 2007 applies to clarify the position for trusts.

Clause 226 amends section 33AA to update cross-references to take account of the new rules for investment income information and the replacement of the RWT exemption certificate.

Clause 227 amends section 36 to repeal the reference to registered persons. An amendment is also proposed to insert a general definition of registered person for the purposes of the Act, see clause 186(18).

Clause 228 repeals section 36A relating to the electronic format of the employer monthly schedule and the PAYE income payment form. The amendment is made as a consequence of the introduction of the new rules for employment income information.

Clause 229 repeals section 36AB relating to the electronic return requirements for multi-rate PIEs. The content of this section has been moved to section 57B.

Clause 230 repeals section 36B relating to the electronic format of the employer monthly schedule and the PAYE income payment form. The amendment is made as a consequence of the introduction of the new rules for employment income information.

Clause 231 inserts new section 36BD to provide the electronic filing requirements for registered persons, with a threshold to be set by Order in Council.

Clause 232 amends section 36C consequentially to include a cross-reference to new section 36BD.

Clause 233 repeals sections 36CA, 36D, and 36E, from 1 April 2019. The content is now included in the employment income information provisions in new subpart 3C.

Clause 234 inserts a new cross-heading to provide some order to the list of provisions in Part 3.

Clause 235 amends section 46 as a consequence of the introduction of the new employee share scheme rules.

Clause 236 repeals section 46, from 1 April 2019. The section provides for employer’s returns in relation to their employees. The rules are contained in the employment income information provisions in new subpart 3C.

Clause 237 amends section 47 to take account of the new rules for employment income information in new subpart 3C. The section provides for ESCT statements provided by employers.

Clause 238 repeals section 48, which contains special arrangements for the supply of information by an employer. The rules are moved to the employment income information provisions in new subpart 3C.

Clause 239 amends section 49 to replace certain filing dates for NRWT withholding certificates and annual reconciliations from 1 April 2018. The date changes from 30 May to 15 May, and is made as part of the new rules for investment income information.

Clause 240 repeals sections 49 and 50, from 1 April 2020 when the new rules for investment income information in new subpart 3E take effect.

Clause 241 amends section 51, which relates to RWT withholding reconciliation statements, to provide a date by which the person must provide the information. The amendment which is related to the new rules for investment income information, applies from 1 April 2018.

Clause 242 repeals sections 51 to 54, from 1 April 2020, as the content is included in the new investment income information provisions in new subpart 3E.

Clause 243 amends section 55 consequentially to update cross-references to the new investment income information provisions in new subpart 3E.

Clause 244 inserts new section 55B, which is an amended version of repealed section 24BA. Subsection (1)(b) provides the Commissioner with a discretion to issue a tax file number to an offshore person who does not provide a current bank account number. The Commissioner must be satisfied that the information available provides equivalent assurance concerning the offshore person’s identity and background. The new section does not include former section 24BA(1D), which is inserted as section 24B(3C) by clause 203.

Clause 245 amends section 57 to provide a signpost to the new investment income provisions under which a Maori authority must deliver information to the Commissioner.

Clause 246 amends section 57B by removing the information requirements that are contained in the new investment income information in new subpart 3E. The provision relates to the requirements place on PIEs to provide returns and to pay their tax liability for investors. An amendment also provides for the Commissioner to prescribe the forms in which a return must be filed.

Clause 247 amends section 61 to update cross-references as a consequence of the introduction of the new rules for investment income information.

Clause 248 inserts new section 63B, to provide appropriate disclosure requirements for the new share purchase scheme exemption.

Clause 249 repeals section 67 relating to company dividend statements when ICA companies declare dividends. The content is now included in the new rules for investment income information in new subpart 3E.

Clause 250 amends section 68 to update a cross-reference as a consequence of the introduction of the new investment income information provisions.

Clause 251 repeals section 68B, which relates to the distribution statements required for Maori authority distributions. The content is now included in the new rules for investment income information in new subpart 3E.

Clause 252 amends section 70, as a remedial matter, to correct a defined term.

Clause 253 amends section 74, as a remedial matter, to improve grammatical accuracy.

Clause 254 amends section 80A, as a remedial matter, to correct a cross-reference.

Clause 255 amends section 80D as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 256 amends section 80F consequentially to update a cross-reference.

Clause 257 amends section 80KT as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 258 amends section 85, as a remedial matter, to improve grammatical accuracy.

Clause 259 amends section 85H, as a remedial matter, to correct a defined term.

Clause 260 amends section 91AAQ to delete references to 30 June 2009 relating to the ability of an active insurance business CFC to qualify for an active income exemption determination. The amendment provides that the determination facility is no longer a transitional measure by removing the requirement that the CFC must have been controlled by a New Zealand resident and had the insurance business in the country before and after that date.

Clause 261 amends section 91FD, as a remedial matter, to improve grammatical accuracy.

Clause 262 amends section 110 consequentially to update a cross-references.

Clause 263 amends section 120C in relation to the definition of date interest starts, as a consequence of the amendment to section 173L to alter the time that a credit arises for GST purposes. The number of working days after the return is filed is reduced from 15 to 10.

Clause 264 amends section 120KE. Subclause (1) amends section 120KE(1)(a), as a consequence of changes to the definition of natural person, which now does not include a person who is acting as a trustee. Subclause (2) replaces section 120KE(1)(e), as a consequence of the introduction of the new rules for investment income information and the repeal of the RWT exemption certificate.

Clause 265 inserts new section 120X to provide that, for the purposes of calculating use of money interest, an amount allocated under section EJ 14 to an earlier tax year does not reduce the taxpayer’s tax payable for that year.

Clause 266 repeals section 120X to reflect the repeal of section EJ 14.

Clause 267 amends section 125 to update cross-references as a consequence of the introduction of the new employment income information provisions.

Clause 268 amends section 139A, from 1 April 2019, as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule. The section provides a late filing penalty for certain returns.

Clause 269 amends section 139AA, which relates to the non-electronic filing penalty. The amendments relate to the new rules for employment income information and investment income information, and the changes made for registered persons.

Clause 270 amends section 141AA as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule in relation to shortfall penalties for non-resident contractors.

Clause 271 amends section 141ED, which relates to the penalty for not paying an employer monthly schedule amount. The penalty is renamed the employers’ withholding payment penalty and other changes are made as a consequence of the new rules for employment income information.

Clause 272 amends section 142, which sets the due dates for the payment of late filing penalties. The amendments are a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 273 amends section 142A, which sets a new due date for a payment of tax that is not a penalty. Different due dates apply for an electronic default assessment and a non-electronic default assessment and the amendment limits the application of the current rule to a period that ends on a date set by Order in Council for the last tax type to which the section applies. New section 142AB aligns the treatment.

Clause 274 inserts new section 142AB to set a new due date for new and increased assessments. The treatment of all default assessments is changed so that subsequent reassessment resulting in an increase when the return is filed is treated as due at the original due date. Because this is the correct outcome once a tax type has been migrated to the new software system, the application of the section to particular tax types is to be brought in by Order in Council.

Clause 275 replaces section 142G, which provides the due date for payment of non-electronic filing penalties as a consequence of the introduction of the new rules for employment income information in new subpart 3C, investment income information in new subpart 3E, and for GST purposes.

Clause 276 amends section 173L. The section provides for the transfer of excess tax within a taxpayer’s accounts and the amendment proposes to take account of taxpayers who file GST returns early or late, setting out the date on which the credit arises.

Clause 277 amends section 183A as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule. The section relates to remission of certain penalties.

Clause 278 amends section 183D as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule. The section relates to remission consistent with collection of highest net revenue over time.

Clause 279 amends section 183F as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule. The section relates to small amounts of penalties and interest.

Clause 280 amends section 185 consequentially by removing a reference to repealed section RP 4 of the Income Tax Act 2007, see clause 168.

Clause 281 repeals sections 185C and 185D as a consequence of the repeal of the provisions related to listed PAYE intermediaries.

Clause 282 inserts new sections 227C and 227D as transitional measures for the application of the new employment income information provisions. The provisions allow employers to use the new provisions for the delivery of the information for the year before the commencement date subject to certain restrictions. The provisions also extend the transitional year for obligations arising in the last month, with an exception for information on benefits under employee share schemes.

Clause 283 inserts new section 227E as a transitional measure for the application of the new investment income information provisions. The section allows persons who pay investment income to use the new provisions for the delivery of information in the year before commencement date.

Clause 284 inserts a schedule containing 4 new schedules related to record-keeping requirements, reporting of employment income information, codes and rates, and reporting of investment income information.

Clause 285 sets out the clauses that amend the KiwiSaver Act 2006.

Clause 286 amends section 4 to repeal the definitions of employer monthly schedule, KiwiSaver deduction notice, and remittance certificate and to insert a definition of employment income information.

Clause 287 amends section 17 as a consequence of the introduction of the new rules for employment income information.

Clause 288 amends section 22 as a consequence of the removal of the KiwiSaver deduction notice. The section relates to employees giving information to their employer.

Clause 289 amends section 23 as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 290 amends section 34 as a consequence of the introduction of the new rules for employment income information, the replacement of the employer monthly schedule and the removal of the KiwiSaver deduction notice. The section provides for certain persons to opt in to KiwiSaver.

Clause 291 amends section 42 as a consequence of the removal of the KiwiSaver deduction notice. The section relates to employer’s information packs.

Clause 292 amends section 60 concerning the application of the subpart as a consequence of the removal of the KiwiSaver deduction notice.

Clause 293 amends section 64 to take into account a change to a tax rate or threshold that affects the calculation of employee KiwiSaver contributions.

Clause 294 amends section 67 consequentially to update cross-references.

Clause 295 amends section 73 as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule. The section provides for deductions to be entered in and paid out of holding accounts..

Clause 296 amends section 93 as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule and PAYE income payment form. The section provides for employers’ contributions paid via the Commissioner.

Clause 297 replaces section 97, which provides that the Commissioner must give notice if employer contributions are not remitted. The amendments are made as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule.

Clause 298 amends section 98, which relates to short payments by employers, as a consequence of the introduction of the new rules for employment income information, the replacement of the employer monthly schedule, and the removal of the remittance certificate.

Clause 299 amends section 98A, which relates to the quantifying of short payments, as a consequence of the introduction of the new rules for employment income information and the replacement of the employer monthly schedule and PAYE income payment form.

Clause 300 amends section 99, which relates to short payments if insufficient employer contributions are remitted, as a consequence of the introduction of the new rules for employment income information, the replacement of the employer monthly schedule, and the removal of the remittance certificate.

Clause 301 amends section 101D, which provides the general rule for compulsory employer contributions to amend the CEC rate.

Clause 302 sets out the clauses that amend the Student Loan Scheme Act 2011.

Clause 303 amends section 34 to update a cross-reference.

Clause 304 amends section 37 relating to deduction rates to take into account a change to a rate that affects the amount of a deduction from employment earnings.

Clause 305 amends section 202 to update a cross-reference.

Clause 306 amends schedule 2 to update a cross-reference.

Clause 307 sets out the clauses that amend the Goods and Services Tax Act 1985.

Clause 308 amends section 2 by inserting references to the new definitions of Pharmac, Pharmac agreement, and pharmaceutical, which are used in new section 25(1B).

Clause 309 amends section 2A, which defines which persons are associated, to provide that a trustee and a person with the power to appoint or remove that trustee are associated.

Clause 310 amends section 25 to ensure that certain rebates to Pharmac do not require credit notes to be issued.

Clause 311 amends section 53, as a remedial matter, to correct a cross-reference.

Clause 312 sets out the clauses that amend the Child Support Act 1991.

Clause 313 amends section 89D, by replacing subsection (1)(a), so that income earned from employment under section 66 of the Corrections Act 2004 does not affect a person’s eligibility for exemption from the payment of financial support.

Clause 314 amends section 89F, consistently with the amendment to section 89D.

Clause 315 amends schedule 4, clause 9 of the Accident Compensation Act 2001 to update cross-references.

Clause 316 amends section EA 2 of the Income Tax Act 2004 to insert cross-references and, as a remedial matter, replaces section EA 2(1)(f) for consistency.

Clause 317 revokes the Income Tax (Payroll Subsidy) Regulations 2006 as a consequence of the repeal of the provisions related to listed PAYE intermediaries.

Clause 318 amends the Anti-Money Laundering and Countering Financing of Terrorism (Class Exemptions) Notice 2014 as a consequence of the repeal of the provisions related to listed PAYE intermediaries.