TIB index based from the NZ Tax Information Bulletin - kwister.net
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03:15:48
29 Dec 2024
03:15:48
29 Dec 2024
TIB index based from the NZ Tax Information Bulletin - kwister.net
PRODUCT RULING – BR PRD 16/02
The Arrangement is the Executive Long-Term Incentive Plan 2009 (the Incentive Plan), which applies to executives (referred to as the Participants) of the SKYCITY Group, a group of companies wholly owned by SKYCITY. In summary, under the Incentive Plan, SKYCITY Auckland Holdings Limited (SKYCITY Auckland) advances to the trustee of the SKYCITY Executive Share Trust (the Trustee), as agent for the Participants, funds that are used to purchase SKYCITY shares (the Plan Shares). The Plan Shares are then held on trust for a restrictive period (usually three years). At the end of the restrictive period, if the Participant has met various performance hurdles, SKYCITY will pay to the Participant a cash bonus equal to the original Loan grossed up for tax, which will be used to repay the Loan, and the legal title in the Plan Shares will be transferred to the Participant.PRODUCT RULING - BR PRD 16/04
The Arrangement is the use of the Paypr App to upload electronic EFTPOS receipts (e-Receipts) and other information to Xero.TAXATION (RESIDENTIAL LAND WITHHOLDING TAX, GST ON ONLINE SERVICES, AND STUDENT LOANS) ACT 2016
The new legislation introduces a new withholding tax on sales of residential property by offshore persons who sell the property within two years of acquisition.TAXATION (RESIDENTIAL LAND WITHHOLDING TAX, GST ON ONLINE SERVICES, AND STUDENT LOANS) ACT 2016 - GST ON CROSS-BORDER SUPPLIES OF REMOTE SERVICES
The Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 amends the Goods and Services Tax Act 1985 by applying goods and services tax (GST) to cross-border 'remote' services and intangibles supplied by non-resident suppliers to New Zealand-resident consumers.TAXATION (RESIDENTIAL LAND WITHHOLDING TAX, GST ON ONLINE SERVICES, AND STUDENT LOANS) ACT 2016 - RESIDENTIAL LAND WITHHOLDING TAX
The Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 introduced a new withholding tax - residential land withholding tax (RLWT) - on sales of residential property made by "offshore RLWT persons" within two years of acquisition.EXCEPTION FROM THE BANK ACCOUNT REQUIREMENT
The new legislation introduces certain exceptions from the requirement for offshore persons to provide a fully functional New Zealand bank account number to the Commissioner of Inland Revenue when applying for an IRD number:CHANGES TO THE STUDENT LOAN SCHEME - TRANS-TASMAN INFORMATIONSHARING REGARDING NEW ZEALAND STUDENT LOANS
Information-matching will be undertaken between Inland Revenue's student loan borrowers and the Australian Taxation Office database of Australian taxpayers to enable Inland Revenue to maintain up-to-date contact details for borrowers residing in Australia.CHANGES TO THE STUDENT LOAN SCHEME - APPROVAL OF CHARITABLE ORGANISATIONS FOR STUDENT LOAN PURPOSES
The authority for approval of charitable organisations for student loan purposes has been delegated to the Commissioner to give borrowers who volunteer overseas more timely access to interest-free loans.CHANGES TO THE STUDENT LOAN SCHEME - TREATMENT OF OVER-RECOVERED COMMISSIONER DEDUCTIONS
The treatment of over-recovered deductions from a borrower's salary or wages has been rationalised so that the same treatment applies, regardless of whether they were standard deductions or additional deductions initiated by the Commissioner of Inland Revenue to recover some previous repayment shortfall.CHANGES TO THE STUDENT LOAN SCHEME - NOTIFYING ADJUSTMENTS TO NET INCOME
All borrowers with specified types of income are required to make adjustments to their net income to ensure accurate calculation of their repayment obligations. The means of doing so has been simplified to notifying the Commissioner rather than by formal declarationCHANGES TO THE STUDENT LOAN SCHEME - RETENTION OF ADJUSTED NET INCOME RECORDS
Student loan borrowers who have adjusted net income are now subject to the record-retention requirements of the Tax Administration Act 1994, and explicitly subject to the obligations set out in that Act relating to retention and disclosure of information.CHANGES TO THE STUDENT LOAN SCHEME - MAIN INCOME EQUALISATION SCHEME DEPOSITS AND REFUNDS
Technical amendments will ensure that provisions relating to main income equalisation scheme deposits and refunds work as intended, including when a borrower's interest in a scheme is indirect, such as through a company or trust with which the borrower is associated.CHANGES TO THE STUDENT LOAN SCHEME - FACILITATING ELECTRONIC COMMUNICATION
The only two types of communication under the Student Loan Scheme Act 2011 which, by definition, were prevented from being made by electronic means, have been amended to allow electronic communication, such as by email. Both are notifications to the Ministry of Social Development - one to notify a borrower's wish to cancel a loan contract, and the other to require determination of an objection relating to their loan.CHANGES TO THE STUDENT LOAN SCHEME - REPAYMENT OBLIGATIONS OF OVERSEAS-BASED BORROWERS
A transitional provision ensures that the loan balance thresholds for calculating the repayment obligations of overseas-based borrowers apply only for tax years beginning on 1 April 2014 and later.REMEDIAL MATTERS - LAND PROVISIONS
An amendment has been made to section CB 15B, the provision that determines the date on which land is acquired for the purposes of the land provisions (except the bright-line test). The amendment clarifies the date of acquisition for when land is acquired through the exercise of an option.REMEDIAL MATTERS - SETTLEMENT OF RELATIONSHIP PROPERTY
An amendment has been made to section FB 3A(3), the subsection that deals with the date of acquisition of land when land is acquired on a settlement of relationship property.DETERMINATION FDR 2016/03 - USE OF FAIR DIVIDEND RATE METHOD FOR A TYPE OF ATTRIBUTING INTEREST IN A FOREIGN INVESTMENT FUND
Class A shares in Man AHL Pure Momentum Limited ('AHL Limited'), to which this determination applies, are attributing interests in a foreign investment fund ('FIF') for New Zealand resident investors. The investments held by AHL Limited may consist predominantly of financial arrangements. In addition, some resident investors may hedge their attributing interests in AHL Limited back to New Zealand dollars.SPECIAL DETERMINATION S46: VALUATION OF SHARES ISSUED BY BANK ON CONVERSION OF NOTES
This determination relates to a funding transaction involving the issue of Notes by the Bank to the New Zealand branch of its Australian parent company. The Notes will contain a conversion mechanism, in order to allow them to be recognised as Additional Tier 1 capital for the purposes of the Reserve Bank of New Zealand framework relating to the capital adequacy of banks.IS 16/01: INCOME TAX - COMPUTER SOFTWARE ACQUIRED FOR USE IN A TAXPAYER'S BUSINESS
This statement covers the income tax treatment of software for taxpayers who purchase, lease, licence, develop, or commission software for use in a business carried on for the purposes of deriving assessable or excluded income. The statement expressly refers only to taxpayers that are carrying on a business. However, except where otherwise stated, the principles in this statement also apply to taxpayers who incur expenditure on software in deriving assessable or excluded income (otherwise than in the course of carrying on a business).OS 16/01: FILING AN IR10 AND SECTION 108 OF THE TAX ADMINISTRATION ACT 1994
This statement sets out the Commissioner of Inland Revenue's preference for the ways in which taxpayers may bring income to her attention when filing their annual return. Other than the return itself, other common ways are to complete the Financial statements summary (IR10) or to include a set of financial statements with their annual return.SPS 16/02: CHILD SUPPORT AND DOMESTIC MAINTENANCE - AMENDMENTS TO ASSESSMENTS
This Standard Practice Statement (SPS) sets out how the Commissioner will exercise the discretion under s 87 of the Child Support Act 1991 (the Act) to amend assessments for child support and domestic maintenance to give effect to the Act. This includes assessments the Commissioner makes as a result of a voluntary agreement entered into by parties.SPS 16/02: CHILD SUPPORT AND DOMESTIC MAINTENANCE - APPENDIX: SELECTED SECTIONS OF LEGISLATION
Categories: child-support, tax-actQB 16/04: GOODS AND SERVICES TAX - GST TREATMENT OF PARTNERSHIP CAPITAL CONTRIBUTIONS
Categories: capital-contribution, goods-and-services-tax, partnershipWITHDRAWAL OF STANDARD PRACTICE STATEMENT GNL-170: RELEASE OF INFORMATION
Categories: information, standard-practice-statementHIGH COURT 'EASILY SATISFIED' THAT THE COMMISSIONER'S ASSESSMENT WAS AN HONEST APPRAISAL AND A GENUINE EXERCISE OF JUDGEMENT
The High Court dismissed Mr Musuku's appeal and upheld the Commissioner of Inland Revenue's ('Commissioner's') assessment as an honest appraisal and genuine exercise of judgement. Justice Moore agreed with the Taxation Review Authority ('TRA') that the amounts assessed were dividend income under s CD 1 of the Income Tax Act 2004 ('Act'), employment income under s CE 1 of the Act or income under ordinary concepts under s CA 1 of the Act.TRA STRIKES OUT TAXPAYER'S LATE CLAIM
The Commissioner of Inland Revenue ('the Commissioner') applied to strike out the disputant's belatedly filed notice of claim. The disputant filed a response which the Taxation Review Authority ('the TRA') accepted as an application to allow proceedings to be commenced out of time. The TRA determined (on the papers) that there were no exceptional circumstances, consequently dismissing the disputant's application, and granted the Commissioner's application to strike out the proceedings.AUTHORITY CONCLUDES NOTICE OF ASSESSMENT CORRECTLY GIVEN BUT FINDS EXCEPTIONAL CIRCUMSTANCES UNDER S 89K
This case concerned two separate issues: first, when did the Commissioner of Inland Revenue ('the Commissioner') give notice of an assessment such that dispute rights commenced, and secondly, whether the Commissioner's decision to refuse to accept out of time a notice of proposed assessment ('NOPA') was correct.HIGH COURT CONSIDERS A RIGHT TO USE LAND IN CONTEXT OF DEPRECIABLE INTANGIBLE PROPERTY
This case concerned an interest obtained under a settlement deed which amended an encumbrance over the taxpayer's land. The High Court rejected the taxpayer's argument that this interest was a right to use land pursuant to sch 14 of the Income Tax Act 2007 ('ITA') and was deductible as depreciable intangible property.CONVICTIONS FOR OFFENCES UNDER THE TAA DO NOT DISQUALIFY INDIVIDUALS FROM ACTING AS LIQUIDATORS UNDER THE COMPANIES ACT 1993
The High Court struck out two proceedings brought by the Commissioner of Inland Revenue ('the Commissioner') seeking orders prohibiting an individual from acting as a liquidator for up to five years. The Court found it could not overcome the fact that convictions under the Revenue Acts are not expressly included within the disqualifying criteria set out in s 280 of the Companies Act 1993 ('the Act').