This general article explains the Commissioner of Inland Revenue’s discretion found in ss 6H and 6I of the Tax Administration Act 1994 to vary a requirement under an Inland Revenue Act (including for these purposes the Unclaimed Money Act 1971) to help customers manage the impacts of COVID-19. It applies from 17 March 2020 to 30 September 2023.

This article explains the powers under ss 6C to 6G of the Tax Administration Act 1994 that enable Inland Revenue Acts to be modified in limited circumstances to help taxpayers meet their obligations.

The plaintiff companies challenged the Commissioner’s decision not to direct them to account for GST on the invoice accounting basis under s 19A(2) of the Goods and Services Tax Act 1985 (GSTA).

The liquidator said he was required, under s 53(1)(cb) of the GSTA, to notify the Commissioner that the plaintiff companies had ceased to satisfy the requirements for payments basis and the Commissioner must therefore direct the companies to account for GST on an invoice basis.

The High Court held that s 19(3B) of the GSTA overrides or precludes the Commissioner frombeing required to give a direction under s 19A(2) and that the Commissioner must be satisfied at the time of notification that a registered person has ceased to satisfy the conditions in s 19A(1).

Mainzeal [MZ} received funds from an insurer [QBE] for damage caused by four of MZ’s directors. The CIR considered the payment was subject to GST under s 5(13) GSTA because it was paid in relation “to a loss incurred in the course or furtherance of [MZ’s] taxable activity”. MZ argued it was not because the payment was not received “under a contract of insurance”.

The High Court considered the legislative history of s 5(13) GSTA to conclude MZ did receive the payment in relation “to a loss incurred in the course or furtherance of [MZ’s] taxable activity” and that it was subject to GST.

This item summarises a private ruling that considered whether the proceeds from an insurance company’s sale of properties are income to the company.

The Tax Information Bulletin is a monthly publication which contains information about changes to tax-related legislation, proposed legislation, judgments, rulings and other specialist tax topics including many of the publication-types.

Home-based service providers meeting certain criteria can choose to use standard costs instead of their actual expenses when calculating their taxable income.  Inland Revenue reviews the standard costs annually for movements in the Consumers Price Index.

This item summarises a private ruling that considered the transfer of assets between group companies as part of a restructure and the carry forward and use of losses of the recipient company after the restructure.

This item summarises a private ruling about whether a trust was a complying trust under s HC 10(1).

This item summarises an adjudication about the deductibility of forestry expenditure.