1: Title
This Act is the Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001.
2: Commencement
This Act comes into force on the date on which it receives the Royal assent.
1: Amendments to Income Tax Act 1994
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
3: Income Tax Act 1994 Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
4: Principal obligations
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
5: Section BC 2 Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
6: Other exempt income
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
7: Other exempt income
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
8: New
subpart CHA Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
9: New
sections DJ 20 and DJ 21 Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
10: Accounting for goods and services tax
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
11: Election to continue to treat certain excepted financial arrangements as financial arrangements
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
12: Definitions
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
13: New
section EO 6 Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
14: Shares or options
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
15: Films
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
16: Films
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
17: New
section GC 14F Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
18: Benefit given to associated person of employee
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
19: New
section HH 1A Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
20: New
sections HH 3A to HH 3F Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
21: New
section HI 1A Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
22: Rebate for gifts of money
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
23: Calculation of family tax credit
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
24: New
section KD 3B Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
25: Determination of amount of credit in certain cases
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
26: New
section LB 1A Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
27: Tax deductions to be credited against tax assessed
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
28: Amounts of tax deductions
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
29: Attributed fringe benefits
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
30: Section ND 4 Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
31: Multi-rate calculation for attributed fringe benefits
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
32: New
section ND 5A Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
33: Definition of cash remuneration
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
34: New
section ND 7A Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
35: Deduction of resident withholding tax
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
36: New
sections NF 2B to NF 2D Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
37: Non-resident withholding tax imposed
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
38: Non-resident withholding tax on dividends not paid in money
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
39: Definitions
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
40: Defining when 2 persons are associated persons
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
41: Residence of conduit tax relief company shareholders
Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
42: Schedule 14 Part 1 repealed 1 April 2005 YA 2 Income Tax Act 2004
2: Amendments to Tax Administration Act 1994
43: Tax Administration Act 1994
This Part amends the Tax Administration Act 1994
44: Interpretation
1: This section amends section 3(1)
2: In the definition of incremental late payment penalty section 139B(2)(b) section 139B(2B)
3: In the definition of initial late payment penalty section 139B(2)(a) section 139B(2A)
4: In the definition of late payment penalty paragraph (b) 183B,
5: In the definition of tax
a: paragraph (a)(viii)
b: paragraph (d)(vii)
6: Subsections (2) (3)
7: Subsection (4)
8: In subsection (5)
a: paragraph (a)
b: paragraph (b)
45: Taxpayer's tax obligations
1: In section 15B(a) Correctly unless the taxpayer is a non-filing taxpayer, correctly
2: Subsection (1)
46: Resident withholding tax deduction certificates
1: Section 25(6)(a)
a: the full name, address and tax file number of the payer: .
2: Section 25(6)(g)
g: in respect of interest, the amount that is subject to the deduction of resident withholding tax at the rate specified in—
i: Schedule 14, clause 1(a), (b), (c), (d), or (e) of the Income Tax Act 1994 paragraph (h)
ii: Schedule 14, clause 1C(a), (b), (c) or (d) of the Income Tax Act 1994 .
3: Subsection (1)
4: Subsection (2)
47: Annual income tax returns not required
1: In section 33A(4) the Commissioner will not the Commissioner may not
2: Subsection (1)
48: Interest priority and rights of Commissioner
1: Section 120F(2)
2: The Commissioner may apply interest payable by the Commissioner to a taxpayer towards the payment of the taxpayer's unpaid tax on or after the date the taxpayer furnishes their return of income.
2: Subsection (1)
49: Certain rights of objection not conferred
1: In section 125(j)(iv) 183B,
2: Subsection (1)
50: Certain rights of challenge not conferred
1: In section 138E(1)(e)(iv) 183B,
2: Subsection (1)
51: Late payment penalty
1: Section 139B(2)
2: The late payment penalty comprises an initial late payment penalty and an incremental late payment penalty.
2A: The initial late payment penalty is—
a: 1% of the unpaid tax; and
b: 4% of the amount of tax to pay at the end of the 6th day after the day on which a penalty is imposed under paragraph (a)
2B: The incremental late payment penalty is 1% of the amount of tax to pay on each day that falls one month after the day on which a penalty is imposed under subsection (2A)(a)
2: Section 139B(3)
3: The part of an initial late payment penalty imposed under subsection (2A)(a)
3: After section 139B(3)
3A: The part of an initial late payment penalty imposed under subsection (2A)(b) subsection (2A)(a)
3B: The part of an initial late payment penalty imposed under subsection (2A)(b)
a: the taxpayer has entered into an instalment arrangement with the Commissioner before the due date and complies with all of their obligations under the instalment arrangement; or
b: the Commissioner has exercised powers available under section 157 of this Act or section 43 of the Goods and Services Tax Act 1985 subsection (2A)(a)
4: After section 139B(5)
5A: An incremental late payment penalty is not to be added if, for a month during which the tax to pay remains unpaid, either—
a: the taxpayer complies with all of their obligations under an instalment arrangement entered into with the Commissioner; or
b: the Commissioner has exercised powers available under section 157 of this Act or section 43 of the Goods and Services Tax Act 1985
5: Subsections (1) to (3)
6: Subsection (4)
52: Evasion or similar act
1: In section 141E(1) paragraph (d)
da: attempts to obtain a refund or payment of tax, knowing that the taxpayer is not lawfully entitled to the refund or payment under a tax law; or .
2: In section 141E(1) paragraph (e) law,— law; or
f: attempts to enable another person to obtain a refund or payment of tax, knowing that the other person is not lawfully entitled to the refund or payment under a tax law— .
3: In section 141E(3) enables enables or attempts to enable
4: Subsections (1) to (3)
a: tax on taxable income derived in the 1997-98 and subsequent income years; and
b: supplies made in taxable periods beginning on or after 1 April 1997; and
c: gifts made on or after 1 April 1997; and
d: races run, lotteries drawn, dutiable games played by means of a gaming machine, and casino wins to which the Gaming Act 1971
e: instruments of conveyance executed, bills of exchange made, drawn or prepaid under section 81 82 83 Stamp and Cheque Duties Act 1971
5: Subsection (4)
53: New section 141JA inserted
1: After section 141J
141JA: Application of Part IX to non-filing taxpayers
Part IX does not apply to a person who is a non-filing taxpayer for an income year if the person—
a: is an employee to whom section NC 16 of the Income Tax Act 1994
b: receives an income statement that the person considers is incorrect and informs the Commissioner in the way required by section 80F
2: Subsection (1)
54: Cancellation of late payment penalties under instalment arrangement
1: Section 183B(2)(a)(i)
i: tax payable in one or more payments under an arrangement with the Commissioner; or.
2: Section 183B
3: Subsection (1)
4: Subsection (2)
55: Cancellation of interest
1: Section 183C(5)
5: If the Commissioner issues both a notice of assessment and a statement of account to a taxpayer and the 30th day referred to in subsection (3) subsection (4) Part VII subsection (3)
6: For the purpose of subsection (5) Part VII
2: Subsection (1)
56: Refund of tax paid in excess made by direct credit to bank account
1: Section 184A(5)(c)
2: Subsection (1)
3: Amendments to
Income Tax Act 1976
57: Income Tax Act 1976 This Part amends the Income Tax Act 1976
58: Interpretation
1: In section 374A qualifying person paragraph (c)(i)
i: that person has been both resident and present in New Zealand for a continuous period of 12 months at any time, and is tax resident, being resident in New Zealand, on the date on which a family support credit of tax is claimed under Part XIA .
2: Subsection (1)
3: Despite subsection (2) (1) Part 11A of the Income Tax Act 1976
59: Guaranteed minimum family income credit of tax
1: In section 374E(1) qualifying person paragraph (c)(i)
i: the person has been both resident and present in New Zealand for a continuous period of 12 months at any time, and is tax resident, being resident in New Zealand, on the date on which a credit of tax is claimed under this section; or .
2: Subsection (1)
3: Despite subsection (2) (1) section 374E of the Income Tax Act 1976 section KD 3 of the Income Tax Act 1994
4: Amendments to Goods and Services Tax Act 1985
60: Goods and Services Tax Act 1985
This Part amends the Goods and Services Tax Act 1985
61: Meaning of associated persons
1: Section 2A(1)(g)
g: a trustee of a trust and a settlor of the trust, except if the trustee is a charitable or non-profit body with wholly or principally charitable, benevolent, philanthropic or cultural purposes: .
2: Subsection (1)
62: Meaning of term supply
1: In section 5(11D) services services, other than a token, stamp or voucher issued for no consideration
2: In section 5(11E) issue issue or sale
3: After section 5(11E)
11EA: A supply does not include the issue or sale of a token, stamp or voucher by a registered person to another registered person who subsequently issues or sells the token, stamp or voucher, unless the first-mentioned registered person is the person who supplies the goods and services on redemption of the token, stamp or voucher.
4: Section 5(11F)
11F: A supply of goods and services is not treated as being made to the extent that goods and services are supplied for the redemption of a token, stamp or voucher.
5: Section 5(11G)
11G: Despite subsection (11F)
a: it is not practical to treat the issue or sale as a supply of goods and services; and
b: the supplier of the goods and services and the issuer or seller of the token, stamp or voucher are, or could be, different persons, the issuer and the supplier, or the seller and the supplier, agree, or are parties to an agreement.
11GA: For the purpose of subsection (11G)(b)
6: Subsections (1) to (5)
63: Zero-rating of goods
1: In section 11(1)(f) either the supplier or the recipient both the supplier and the recipient
2: Subsection (1)
64: Calculation of tax payable
1: After section 20(3)
3A: For the purpose of subsection (3) Income Tax Act 1994
2: Subsection (1)
a: on and after 1 January 2002, for an employer who pays fringe benefit tax on a quarterly basis; and
b: on and after 1 April 2001, for an employer who pays fringe benefit tax on an annual basis; and
c: during the 2000-01 and subsequent income years, for an employer who pays fringe benefit tax on an income year basis.
3: If a fringe benefit is provided or granted before the relevant time in subsection (2) subsection (1) Subsection (3) amended 269(2) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 by substituting the expression subsection (2) subsection (1)
65: Methods of allocating between taxable and other supplies
1: After section 21A(2)
3: A registered person must choose a method that ensures a fair and reasonable result.
2: Subsection (1)
66: Methods of allocation for replacement goods and services
1: In section 21B(3)
a: either acquires or produces new goods and services or section 21C(1)(a)
b: in paragraph (a) acquisition acquisition or production
c: in paragraph (b) purchase or acquisition acquisition or production
2: In section 21B Methods of allocation for new or replacement goods and services
3: Subsection (1)
4: Subsection (2) Subsection (1)(c) amended 269(3) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 by substituting the expression paragraph (b) paragraph (c)
67: Application of section 21F
1: In section 21E(2)(b) of this Act section 12(1)
2: In section 21E(3)(a)(ii) of the Customs and Excise Act 1996
3: Subsections (1) (2)
68: Fringe benefits and entertainment expenses
1: Section 21I(3)
3: Despite sections 9 and 21C
2: Subsection (1)
a: on and after 1 January 2002, for an employer who pays fringe benefit tax on a quarterly basis; and
b: on and after 1 April 2001, for an employer who pays fringe benefit tax on an annual basis; and
c: during the 2000-01 and subsequent income years, for an employer who pays fringe benefit tax on an income year basis.
69: New section 23A inserted
1: After section 23
23A: Payment of tax relating to fringe benefits
A registered person who provides or grants a fringe benefit to another person under the Income Tax Act 1994 sections ND 9, ND 10, ND 13 and ND 14 of the Income Tax Act 1994
2: Subsection (1)
a: on and after 31 May 2002, for an employer who pays fringe benefit tax on a quarterly or an annual basis; and
b: by the terminal tax date for the 2000-01 income year, for an employer who pays fringe benefit tax on an income year basis, and to subsequent fringe benefit tax returns required to be filed on an income year basis.
70: Recovery of tax
1: In section 42(2)(c)
a: a body section 57(1) an unincorporated body
b: pursuant to any order by the Court
2: Subsection (1)
5: Amendments to Stamp and Cheque Duties Act 1971
71: Stamp and Cheque Duties Act 1971
This Part amends the Stamp and Cheque Duties Act 1971
72: Application of approved issuer levy and zero-rating
1: In section 86I by the approved issuer by or on behalf of the approved issuer
2: Section 86I(b)
b: by the date specified in either section 86K or section 86KA Parts VII or IX of the Tax Administration Act 1994
3: Subsection (1)
4: Subsection (2) to payments of interest paid on and after Subsection (4) amended 269(4) Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 by substituting the words to payments of interest paid on and after on
73: Payment of approved issuer levy
1: In section 86K(1) Any approved issuer Any approved issuer or person on behalf of an approved issuer
2: Subsection (1)
74: New section 86KA inserted
1: After section 86K
86KA: Payment of approved issuer levy in instalments
1: If, for an income year, a person estimates that they will not be required to make approved issuer levy payments that total $500 or more, the person may pay the levy to the Commissioner in 2 instalments.
2: The first instalment is—
a: the total of all approved issuer levy payments required by or on behalf of an approved issuer during the period 1 April to 30 September (both dates inclusive); and
b: due and payable on 20 October of the year.
3: The second instalment is—
a: the total of all approved issuer levy payments required by or on behalf of an approved issuer during the period 1 October to 31 March (both dates inclusive); and
b: due and payable on 20 April of the following year.
4: If the $500 total is reached at any time during an income year, a person must—
a: pay to the Commissioner all approved issuer levy payments owed by the person for the period from the beginning of the year until the end of the month in which the $500 total is reached:
b: pay the amount required by paragraph (a)
c: pay approved issuer levy payments for the rest of the year in accordance with section 86K(1)(b)
5: If a person is no longer required to pay the approved issuer levy, the person must—
a: pay to the Commissioner all approved issuer levy payments due and not paid:
b: pay the amount required by paragraph (a)
6: Payments made in accordance with this section must be accompanied by a statement that meets the requirements of section 86K(2)
2: Subsection (1)
75: Relief in cases of serious hardship
1: Section 86M
2: Subsection (1)
6: Amendments to Taxation (GST and Miscellaneous Provisions) Act 2000
76: Taxation (GST and Miscellaneous Provisions) Act 2000
1: This Part amends the Taxation (GST and Miscellaneous Provisions) Act 2000
2: Section 60(7)(b)
b: new paragraph (d) section 176 or section 177
3: Section 80(2)
2: Subsection (1)
4: Sections 86(7) 106(2) 106(3)
5: Subsections (2) (3)
6: Subsection (4)