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CH 6: Adjustments for certain finance and operating leases
or “How to adjust your income when certain leases change”
You could also call this:

“Adjusting income for tax avoidance and other specific situations”

If you are treated as having income under certain parts of the law, that amount is considered your income. This applies when the Commissioner uses their power to adjust your income, or in situations involving excessive pay to relatives. It also covers arrangements with commercial bills being sent back to New Zealand, calculations related to attribution rules, and cases where surplus deductions from arrangements are delayed. These specific situations are outlined in different sections of the law, such as section GA 1, section GB 23, section GB 26, section GB 29, and section GB 46. If any of these sections say you have income, then that amount is counted as your income for tax purposes.

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Next up: CH 8: Market value substituted

or “The law may count extra money as income if you're underpaid for goods or rent”
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Part C Income
Adjustments

CH 7Adjustment for avoidance arrangements

  1. An amount treated as income of a person under any of the following sections is income of the person:

  2. section GA 1 (Commissioner’s power to adjust):
    1. section GB 23 (Excessive remuneration to relatives):
      1. section GB 26 (Arrangements involving repatriation of commercial bills):
        1. section GB 29 (Attribution rule: calculation):
          1. section GB 46 (Deferral of surplus deductions from arrangements).