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Income Tax Act 2007

Taxation of certain entities - Maori authorities

HF 7: Taxable Maori authority distributions

You could also call this:

“Taxable income from Māori authorities to members”

A Maori authority distribution is considered taxable if it meets certain conditions. You need to know that the distribution comes from income the Maori authority earned in the 2004-05 tax year or later. This income must not be exempt from tax. Also, the distribution can’t be a cash payment to a member that’s related to a notional distribution. A notional distribution is when the Maori authority chooses to treat some of its income as if it were distributed, even though no actual payment was made. If the authority made this choice under [section OB 82], then a related cash distribution wouldn’t be taxable. Remember, these rules help determine which Maori authority distributions you might need to pay tax on.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1517486.

Topics:
Money and consumer rights > Taxes
Māori affairs > Māori land
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HF 6: Tax treatment of Maori authority distributions, or

“How tax applies to money you receive from a Māori authority”

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HF 8: Proportional allocation, or

“How Maori authorities fairly distribute taxable and non-taxable items to members”

Part H Taxation of certain entities
Maori authorities

HF 7Taxable Maori authority distributions

  1. A Maori authority distribution is a taxable Maori authority distribution if—

  2. the source is income of the Maori authority that is—
    1. derived by the Maori authority in the 2004–05 income year or a later income year; and
      1. not exempt income of the Maori authority; and
      2. it is not a cash distribution made to a member in relation to a notional distribution for which the Maori authority has made an election under section OB 82 (When and how co-operative company makes election).

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        Notes
        • Section HF 7: replaced (with effect on 1 April 2008), on , by section 115 of the Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 (2022 No 10).