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MC 9: Credits for person aged 18
or “Tax credits available for dependent 18-year-olds in education”
You could also call this:

“Who is considered the main person responsible for a child's daily care”

A principal caregiver is the person who you think has the main responsibility for looking after a child every day, not just for a short time. This person doesn’t have to be the child’s parent.

Some people can’t be principal caregivers. These include groups of people, partners of some people who are new to New Zealand, and people who work in places like children’s homes.

If you’re looking after a child and you don’t live with another person who could get tax credits for that child, you might be a principal caregiver. This can happen if you look after the child for at least one-third of a 4-month period, a tax year, or the time you can get the parental tax credit.

For some tax credits, you’re a principal caregiver if you look after a child for at least one-third of a 4-month period or a tax year, even if it’s not all at once.

When working out the in-work tax credit, they only count the times when you’re the only one looking after the child.

For the parental tax credit, you’re a principal caregiver if you look after the child for at least one-third of the time you can get this credit.

If you’re a principal caregiver, you need to tell the tax office right away if anything changes that means you’re not the main caregiver anymore.

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Next up: MC 11: Relationship periods and entitlement periods

or “Time periods for determining tax credit eligibility”
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Part M Tax credits paid in cash
Entitlements under family scheme

MC 10Principal caregiver

  1. A principal caregiver, for a dependent child,—

  2. means the person, whether or not a parent of the child, who the Commissioner considers has the primary responsibility for the day-to-day care for the child, other than on a temporary basis:
    1. does not include—
      1. a body of persons, incorporated or otherwise:
        1. the spouse, civil union partner, or de facto partner of a person eligible to be a transitional resident who has not made an election under section HR 8(4) (Transitional residents):
          1. a person who is the proprietor of, or employed in, a residence established under the Oranga Tamariki Act 1989, or a residential disability care institution as defined in section 58(4) of the Health and Disability Services (Safety) Act 2001, or another institution in which a child is cared for.

          2. For the purposes of sections MD 3, MG 1, and MZ 1 (which relate to certain tax credits for families), a person is a principal caregiver of a dependent child if the person—

          3. lives apart from another person who qualifies under section MC 2 in relation to the dependent child; and
            1. has the dependent child in their exclusive care for periods totalling at least one-third of—
              1. a 4-month period:
                1. the tax year:
                  1. the entitlement period, in the case of the parental tax credit.

                  2. For the purposes of section MD 6 (Second requirement: principal care), a person is a principal caregiver of a dependent child for an entitlement period if the person—

                  3. lives apart from another person who qualifies under section MC 2 in relation to the dependent child; and
                    1. has the dependent child in their exclusive care for periods, whether or not they coincide with the entitlement period, totalling at least one-third of a 4-month period or the tax year.

                      1. If subsection (3) applies, section MD 10(3) (Calculation of in-work tax credit) is to be read as applying to the periods during which the principal caregiver has exclusive care of the dependent child.

                      2. For the purposes of section MD 11 (Entitlement to parental tax credit), a person is a principal caregiver of a dependent child if the person—

                      3. lives apart from another person who qualifies under section MC 2 in relation to the dependent child; and
                        1. has the dependent child in their exclusive care for periods totalling at least one-third of the parental entitlement period.

                          1. A person who is a principal caregiver under this section must notify the Commissioner immediately of a change in the arrangements for the care of the child that has, or will have, the effect of ending the person’s status as a principal caregiver.

                          Compare
                          Notes
                          • Section MC 10(1)(b)(iii): amended, on , by section 149 of the Children, Young Persons, and Their Families (Oranga Tamariki) Legislation Act 2017 (2017 No 31).
                          • Section MC 10(2) heading: amended, on , by section 15(1) of the Families Package (Income Tax and Benefits) Act 2017 (2017 No 51).
                          • Section MC 10(2) heading: amended, on , by section 464(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10(2): amended, on , by section 15(2) of the Families Package (Income Tax and Benefits) Act 2017 (2017 No 51).
                          • Section MC 10(3) heading: amended, on , by section 464(3) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10(4) heading: amended, on , by section 464(4) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10(4): amended (with effect on 1 April 2008), on , by section 357(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
                          • Section MC 10(4): amended, on , by section 464(5) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10 list of defined terms abating WFF tax credit: inserted, on , by section 464(6)(a) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10 list of defined terms family assistance credit: repealed, on , by section 464(6)(b) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10 list of defined terms family support: repealed, on , by section 464(6)(b) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10 list of defined terms family tax credit: inserted, on , by section 464(6)(a) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10 list of defined terms in-work payment: repealed, on , by section 464(6)(b) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                          • Section MC 10 list of defined terms in-work tax credit: inserted, on , by section 464(6)(a) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).