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Income Tax Act 2007

Memorandum accounts - Maori authority credit accounts (MACA)

OK 17: MACA tax advantage arrangement

You could also call this:

“Rules for Māori authorities trying to gain unfair tax benefits”

If you’re a Maori authority, you need to know about something called a Maori authority debit. This happens when you have a tax advantage arrangement. A tax advantage arrangement is when you try to get a benefit you shouldn’t have by changing how Maori authority credits work.

If you do this, you’ll get an extra debit. The amount of this debit is the same as the tax advantage you tried to get. This debit is listed in a special table called “Maori authority debits” under row 9.

The date of this debit is set as the last day of the tax year when you started the tax advantage arrangement.

You can find more information about tax advantage arrangements in section GB 43(2) and (3).

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1519382.

Topics:
Money and consumer rights > Taxes
Māori affairs > Treaty of Waitangi
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OK 16: MACA breach of Maori authority credit ratio, or

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

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OK 18: MACA final balance, or

“What happens to the remaining balance when a Māori authority closes its credit account”

Part O Memorandum accounts
Maori authority credit accounts (MACA)

OK 17MACA tax advantage arrangement

  1. A Maori authority has a Maori authority debit for the amount of a further debit for a tax advantage arrangement referred to in section GB 43(2) and (3) (Reconstruction of Maori authority credit arrangements to obtain tax advantage).

  2. The Maori authority debit in subsection (1) is referred to in table O18: Maori authority debits, row 9 (tax advantage arrangement).

  3. The debit date is the last day of the tax year in which the tax advantage arrangement began.

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