TIB - August 2020

New legislation

COVID-19 Response (Taxation and Other Regulatory Urgent Measures) Act 2020
COVID-19 Response (Further Management Measures) Legislation Act 2020
Tax Administration (Write Off Amount) Order 2020
Tax Administration (Direct Credit of Refunds of Amounts in Income Equalisation Accounts and Environmental Restoration Accounts) Order 2020
Income Tax (Fringe Benefit Tax, Interest on Loans) Amendment Regulations 2020
Income Tax (Deemed Rate of Return on Attributing Interests in Foreign Investment Funds, 2019–20 Income Year) Order 2020

Legislation and determinations

COV 20/06: Variation to section EI 1 of the Income Tax Act 2007
COV 20/07: Variation in relation to s 70C of the Tax Administration Act 1994 to extend deadline for filing statements in relation to R&D loss tax credits
COV 20/08: Variation in relation to the definition of “finance lease” in s YA 1 of the Income Tax Act 2007
FX 20/01: Approval - foreign residential rental property amounts - currency conversion

Public Rulings

BR Pub 20/01-20/05: Investing into a US Limited Liability Company – NZ tax consequences
BR Pub 20/06: Income tax and Goods and Services tax – Director’s liability and the COVID-19 “safe harbour” in schedule 12 to the Companies Act 1993
BR Prd 19/03: StockCo Limited - Notice of Withdrawal

Standard practice statement

Interpretation statement

IS 20/05: GST - Supplies of residences and other real property
IS 20/06: Income tax - Tax issues arising from ownership of foreign residential rental property
IS 20/07: Application of the financial arrangements rules to foreign currency loans used to finance foreign residential rental property

Commissioner’s statement

CS 20/03: NRWT for dividends paid to companies: Administering the new holding period tests in Article 10 of the NZ/Australia DTA (and in agreements with other countries)

Questions we’ve been asked

QB 20/01: Can owners of existing residential rental properties claim deductions for costs incurred to meet Healthy Homes standards?
QB 20/02: Income tax – Natural love and affection exception to debt remission income for look-through company

Legal decisions – case summaries

AB Limited and Y Z Limited v Commissioner of Inland Revenue - Company restored to the Register and Commissioner granted an extension to issue Challenge Notice