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EH 3: Persons to whom main income equalisation scheme applies
or “Who can use the main income equalisation scheme for farmers, fishers, and foresters”
You could also call this:

“Depositing money into your main income equalisation account for farmers, fishers, and foresters”

You can pay money to the Commissioner for your main income equalisation account for an accounting year. If you’re a farmer, you can do this for your farming or agricultural business. If you’re a fisher, you can do it for your fishing business. If you’re a forester, you can do it for your income from forestry.

You’re not allowed to deposit more than your main maximum deposit for the tax year. You also can’t make a deposit that’s less than $200 or less than the difference between what you’ve already deposited and your main maximum deposit for the year.

You can make a deposit by paying during the accounting year, or by paying during a specified period after the year ends and telling the Commissioner it’s for that year. Sometimes, the Commissioner might let you deposit even later.

If you’ve had a refund from your account under section EH 13 or EH 15, you can only make another deposit if the Commissioner is sure you’ve used all the refund money to grow your business or for the reason stated in section EH 15(3)(a).

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Next up: EH 5: Main income equalisation account

or “Account for storing and managing income deposits for tax purposes”
Next

Part E Timing and quantifying rules
Income equalisation schemes: Deposits and accounts

EH 4Main deposit

  1. A person may make a payment to the Commissioner for entry in their main income equalisation account for an accounting year as follows:

  2. a farmer may make a payment for the farmer’s farming or agricultural business:
    1. a fisher may make a payment for the fisher’s fishing business:
      1. a forester may make a payment for the forester’s income from forestry.

        1. A person must not make, for an accounting year, deposits that in total are more than their main maximum deposit for the tax year.

        2. A person must not make, for an accounting year, a deposit less than the lesser of—

        3. $200; and
          1. the difference between—
            1. the total of the deposits the person has previously made for the accounting year; and
              1. the person’s main maximum deposit for the accounting year.

              2. A person makes a deposit for an accounting year by—

              3. making the deposit during the accounting year; or
                1. doing both the following:
                  1. making the deposit during the specified period for the accounting year; and
                    1. at the time of making it, giving the Commissioner notice that the deposit is for the accounting year; or
                    2. doing both the following:
                      1. making the deposit within a time that is after the end of the specified period for the accounting year but that is allowed by the Commissioner in a case or class of cases; and
                        1. at the time of making it, giving the Commissioner notice that the deposit is for the accounting year.

                        2. If a refund has been made to a person for an accounting year under section EH 13 or EH 15, the person may later make a deposit for that accounting year only if the Commissioner is satisfied, before the deposit is made, that all the refund has been used to develop or expand a farmer’s business, if the person is a farmer, or a fishing business, if the person is a fisher, or the means by which a forester derives income from forestry, if the person is a forester, or has been used for the purpose stated in section EH 15(3)(a) for which the refund was made.

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                        Notes
                        • Section EH 4(5): amended, on , by section 167(1) (and see section 167(2) for application) of the Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 (2019 No 5).