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Income Tax Act 2007

Timing and quantifying rules - Terminating provisions - Definitions

EZ 36: Excepted financial arrangement that is part of financial arrangement

You could also call this:

“How to handle a special part of a financial arrangement that's treated differently”

When you have a financial arrangement under the old financial arrangements rules, you need to know about a special part called an excepted financial arrangement. If this special part is included in your financial arrangement, any income, gain, loss, or spending that comes only from this excepted part is not counted in the total amount of income or spending for your whole financial arrangement. This means you don’t have to include these amounts when you’re working out how much income you’re supposed to have earned or how much you’re supposed to have spent according to these rules.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1516112.

Topics:
Money and consumer rights > Taxes
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EZ 35: Accruals in relation to income and expenditure in respect of financial arrangements, or

“Calculating yearly income and spending for financial arrangements”

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EZ 37: Cash basis holder, or

“Person who can use simpler tax calculations for financial arrangements”

Part E Timing and quantifying rules
Terminating provisions: Definitions

EZ 36Excepted financial arrangement that is part of financial arrangement

  1. The amount of the income deemed to be derived or the expenditure deemed to be incurred by a person in respect of a financial arrangement under the old financial arrangements rules does not include the amount of any income, gain or loss, or expenditure, that is solely attributable to an excepted financial arrangement that is part of the financial arrangement.

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