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Income Tax Act 2007

Memorandum accounts - Maori authority credit accounts (MACA)

OK 9: MACA reversal of tax advantage arrangement

You could also call this:

“Correction of wrongly credited tax for Māori authorities”

This section talks about what happens when someone finds out that a Maori authority wrongly got a credit in their account because of a plan to avoid paying taxes. If this happens, the Maori authority gets a credit that’s the same as the amount they had to pay back when the mistake was found out. This credit is listed in a special table called O17, and the amount they had to pay back is listed in another table called O18. The date of the credit is the same as the date when they had to pay the money back. You can find more information about paying the money back in section OK 17.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1519357.

Topics:
Money and consumer rights > Taxes
Māori affairs > Treaty of Waitangi
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OK 8: MACA resident withholding tax withheld, or

“Credit for tax withheld from passive income received by Māori authorities”

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OK 10: MACA distribution, or

“Māori authority distributions create equal debits for attached credits”

Part O Memorandum accounts
Maori authority credit accounts (MACA)

OK 9MACA reversal of tax advantage arrangement

  1. This section applies when it is established that a Maori authority credit in a Maori authority’s credit account was incorrectly determined to be the subject of an arrangement to obtain a tax advantage.

  2. The Maori authority has a Maori authority credit for an amount that equals the amount of a debit in the Maori authority credit account under section OK 17.

  3. The Maori authority credit in subsection (2) is referred to in table O17: Maori authority credits, row 9 (reversal of tax advantage arrangement). The Maori authority debit in subsection (2) is referred to in table O18: Maori authority debits, row 9 (tax advantage arrangement).

  4. The credit date is the same as the debit date for the debit under section OK 17.

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