Income Tax – Share investments

These draft items provide guidance for individuals who invest in shares, so they are aware of their tax obligations.  The draft interpretation statement covers when an investor will have a tax liability for dividends, share sales and attributing interests in foreign investment funds (FIFs).  The fact sheets provide information for investors, so they know when the FIF rules apply, or when they have a tax liability for dividends or taxable share sales. 

These items focus on investors who use online investment platforms, although the principles apply more widely (for example, investing using brokers).  The items do not apply to non-individuals, investments in managed funds, Kiwisaver or illiquid investments in closely held companies. 

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