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Income Tax Act 2007

Timing and quantifying rules - Income equalisation schemes - Definitions

EH 78: Meaning of thinning operations maximum deposit

You could also call this:

“Explains the maximum amount you can deposit from thinning operations income”

Thinning operations maximum deposit is the most money you can put into your thinning operations income equalisation account for a tax year. This amount is equal to the money you earn from thinning operations on the land where you run your forestry business during the accounting year.

When figuring out this amount, you don’t use any rules that might move income or spending to a different income year. You also don’t use any rules from the income equalisation schemes mentioned in section EH 1(2).

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1515036.

Topics:
Money and consumer rights > Taxes
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EH 77: Sections of main income equalisation scheme that apply to thinning operations income equalisation scheme, or

“Rules from main scheme apply to thinning operations scheme with small changes”

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EH 79: Other definitions, or

“Defines key terms used in the thinning operations income equalisation scheme”

Part E Timing and quantifying rules
Income equalisation schemes: Definitions

EH 78Meaning of thinning operations maximum deposit

  1. Thinning operations maximum deposit means the maximum deposit that this section says a person may make to their thinning operations income equalisation account for a tax year.

  2. The maximum deposit that a person may make is an amount equal to the income derived by them during the accounting year from carrying out thinning operations on the land on which they carry on their forestry business.

  3. In subsection (2), amount means an amount calculated without applying—

  4. any provision allocating income derived or expenditure incurred to an income year other than the income year in which the income was in fact derived or the expenditure was in fact incurred:
    1. any provision of any of the income equalisation schemes referred to in section EH 1(2).

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      Notes
      • Section EH 78 list of defined terms forestry business: inserted (with effect on 1 April 2008), on , by section 126 of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).