Plain language law

New Zealand law explained for everyone

Income Tax Act 2007

Income - Income from business or trade-like activities

CB 3: Profit-making undertaking or scheme

You could also call this:

“Money earned from planned profit-making activities is considered income”

If you enter into or come up with a plan or project to make money, any amount you earn from carrying out this plan or project is considered income. This applies to you if you’re the person who created or carried out the plan. The government sees this as a way to make sure that money earned from planned profit-making activities is counted as income.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1512406.

Topics:
Money and consumer rights > Taxes
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“How to handle money from selling business assets, including stock”

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CB 4: Personal property acquired for purpose of disposal, or

“Profit from selling personal items bought to resell is taxable income”

Part C Income
Income from business or trade-like activities

CB 3Profit-making undertaking or scheme

  1. An amount that a person derives from carrying on or carrying out an undertaking or scheme entered into or devised for the purpose of making a profit is income of the person.

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