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Income Tax Act 2007

Recharacterisation of certain transactions - Imputation groups of companies

FN 13: Imputation group with no nominated company

You could also call this:

“What happens when an imputation group doesn't have a nominated company”

If you’re part of an imputation group, you need to know what happens if there’s no nominated company. During a tax year, if there’s no nominated company for your imputation group and no one is chosen to replace it, something important happens. All the companies in your group are treated as if they left the group. This change starts from the beginning of that tax year. It’s like everyone in the group has to go their separate ways for that year. If you want to know more about how a company can be replaced, you can check [section FN 6(6)].

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1516771.

Topics:
Money and consumer rights > Taxes
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“What happens when a company in an imputation group is liquidated”

Part F Recharacterisation of certain transactions
Imputation groups of companies

FN 13Imputation group with no nominated company

  1. If, during a tax year, no nominated company exists for an imputation group and no replacement is made under section FN 6(6), all companies in the imputation group are treated as having left the imputation group with effect from the start of the tax year.

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