Plain language law

New Zealand law explained for everyone

Income Tax Act 2007

Income - Income specific to certain entities

CV 1: Group companies

You could also call this:

"Rules for companies that are part of a group"

Illustration for Income Tax Act 2007

If you are a company that is part of a wholly-owned group of companies, you might have to treat some amounts as income. This happens when the amount would have been income if the group of companies was a single company. You can find more information about this in sections CB 15D and CB 15E. These sections explain when this rule does not apply, such as when section CW 3C is involved. You should look at these sections to understand when this rule applies to you.

This text is automatically generated. It might be out of date or be missing some parts. Find out more about how we do this.

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1513087.

This page was last updated on — View changes

Topics:
Money and consumer rights > TaxesBusiness > Industry rules
Previous

CU 29: Other definitions, or

"Explains that some definitions were removed from the Income Tax Act in 2014"

Next

CV 2: Consolidated groups: income of company in group, or

"How income is treated for companies in a consolidated group"

Part CIncome
Income specific to certain entities

CV 1Group companies

  1. An amount that a company derives in an income year and that would not otherwise be income of the company is treated as its income if—

  2. the company is for that income year part of a wholly-owned group of companies; and
    1. had the group of companies been a single company, the amount would have been income of that single company.

      1. Subsection (1) is overridden by sections CB 15D (Kāinga Ora–Homes and Communities and wholly-owned group) and CB 15E (Disposals of land subject to section CW 3C).

      Compare
      Notes
      • Section CV 1(1) heading: inserted (with effect on 1 July 2017), on , by section 134(1) of the Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 (2019 No 5).
      • Section CV 1(2) heading: amended (with effect on 27 March 2021), on , by section 19(1) of the Taxation (Annual Rates for 2024–25, Emergency Response, and Remedial Measures) Act 2025 (2025 No 9).
      • Section CV 1(2): inserted (with effect on 1 July 2017), on , by section 134(2) of the Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 (2019 No 5).
      • Section CV 1(2): amended (with effect on 27 March 2021), on , by section 19(2) of the Taxation (Annual Rates for 2024–25, Emergency Response, and Remedial Measures) Act 2025 (2025 No 9).