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LE 6: Partners in partnerships
or “How tax credits for partners are calculated when partnerships receive dividends”
You could also call this:

“How to receive a tax credit for lending shares”

You might receive a tax credit if you’re part of a share-lending arrangement. This happens when someone who borrows shares (the share user) gives a special notice to the person who lends the shares (the share supplier). This notice is called a credit transfer notice.

If you get one of these notices, it tells you about a tax credit. The amount of credit you can get is only as much as what’s written on the notice. You can’t get more than that amount.

The notice is given under section 30C of the Tax Administration Act 1994. This is another part of the law that explains more about how these notices work.

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Next up: LE 7B: Credit of RSCT for imputation credit

or “Tax credit for retirement scheme contributors who add imputation credits to contributions”
Next

Part L Tax credits and other credits
Tax credits for imputation credits

LE 7Credit transfer notices

  1. This section applies in relation to a tax credit when a share supplier is given a credit transfer notice under section 30C of the Tax Administration Act 1994 by a share user under a share-lending arrangement.

  2. The person’s credit is limited to the amount shown in the credit transfer notice.

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