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Income Tax Act 2007

Memorandum accounts - Imputation credit accounts (ICA)

OB 48: ICA credit balance when Maori authority credit account starts

You could also call this:

“Transferring remaining balance when a company becomes a Māori authority”

When a company that has an imputation credit account (ICA) becomes a Maori authority, something special happens. If there’s any money left in the company’s imputation credit account, it gets taken out. This is called an imputation debit.

The day this happens is the day before the company officially becomes a Maori authority. It’s like the company is clearing out its old account before starting fresh as a Maori authority.

You can find this rule listed in a special table. It’s called “table O2: imputation debits” and it’s in row 21. The table calls it a “credit balance when Maori authority credit account starts”.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1518827.

Topics:
Money and consumer rights > Taxes
Māori affairs > Treaty of Waitangi
Business > Industry rules
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Part O Memorandum accounts
Imputation credit accounts (ICA)

OB 48ICA credit balance when Maori authority credit account starts

  1. An ICA company has an imputation debit for a credit balance in the company’s imputation credit account immediately before the company becomes a Maori authority.

  2. The imputation debit in subsection (1) is referred to in table O2: imputation debits, row 21 (credit balance when Maori authority credit account starts).

  3. The debit date is the day before the company becomes a Maori authority.

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