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Income Tax Act 2007

Memorandum accounts - Maori authority credit accounts (MACA)

OK 15: MACA debit for loss of shareholder continuity

You could also call this:

“Māori authority loses credits when shareholder ownership changes”

When you’re part of a Maori authority, there’s something called a Maori authority credit account. This account keeps track of credits, which are like points. If the authority loses what’s called ‘shareholder continuity’, it gets a debit. This means it loses some of those points.

The debit happens when there are unused credits in the account at the time shareholder continuity is lost. The amount of the debit is the same as the amount of unused credits.

This debit is listed in a special table called ‘Maori authority debits’. It’s in row 7 of that table, and it’s described as a ‘debit for loss of shareholder continuity’.

The exact moment when this debit happens is when shareholder continuity is lost. This means the authority loses those points right when the change in shareholders occurs.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1519374.

Topics:
Money and consumer rights > Taxes
Māori affairs > Treaty of Waitangi
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“Refunds or transfers of tax credits for Māori authorities”

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OK 16: MACA breach of Maori authority credit ratio, or

“Penalty for not attaching enough credits to Māori authority distributions”

Part O Memorandum accounts
Maori authority credit accounts (MACA)

OK 15MACA debit for loss of shareholder continuity

  1. A Maori authority has a Maori authority debit for the amount of a Maori authority credit retained in the Maori authority credit account and unused at the time at which shareholder continuity is lost.

  2. The Maori authority debit in subsection (1) is referred to in table O18: Maori authority debits, row 7 (debit for loss of shareholder continuity).

  3. The debit arises at the time shareholder continuity is lost.

Compare
Notes
  • Section OK 15(1): amended (with effect on 1 April 2008), on , by section 93(1) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
  • Section OK 15(3) heading: amended (with effect on 1 April 2008), on , by section 93(2) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
  • Section OK 15(3): amended (with effect on 1 April 2008), on , by section 93(2) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).