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Income Tax Act 2007

Memorandum accounts - Memorandum accounts of consolidated groups - Introductory provisions

OP 4: Resident imputation subgroups

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“Rules for tracking credits and debits in resident imputation subgroups”

When you’re part of a resident imputation subgroup of a trans-Tasman imputation group, you need to keep track of certain credits and debits in your imputation credit account. These credits and debits come from the imputation credit account of your trans-Tasman imputation group. They relate to companies that will be part of your subgroup (if the credit or debit happens before the subgroup is formed) or are already part of your subgroup (if the credit or debit happens when or after the subgroup is formed).

When you start your imputation credit account for the resident imputation subgroup, the opening balance is the total of the opening balances of all the companies in the subgroup. This means you add up the starting amounts from each company’s account to get the subgroup’s starting amount.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1519418.

Topics:
Money and consumer rights > Taxes
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OP 3: Changes in consolidated imputation groups, or

“How imputation credit accounts work when consolidated groups change”

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OP 5: When credits and debits arise only in consolidated imputation group accounts, or

“Rules for group-level tax credits and debits in consolidated imputation groups”

Part O Memorandum accounts
Memorandum accounts of consolidated groups: Introductory provisions

OP 4Resident imputation subgroups

  1. The resident imputation subgroup of a trans-Tasman imputation group must record in its imputation credit account the credits and debits described in subsection (2).

  2. The credits and debits referred to in subsection (1) are those that arise in the imputation credit account of the subgroup’s trans-Tasman imputation group in relation to a company that—

  3. will be part of the subgroup if the credit or debit arises before the subgroup is formed; or
    1. is part of the subgroup if the credit or debit arises when or after the subgroup is formed.

      1. The opening balance of the imputation credit account is an amount equal to the sum of the opening balances of each company that is part of the resident imputation subgroup.

      Compare
      Notes
      • Section OP 4(3) heading: inserted, on (with effect on 1 April 2008), by section 172(1) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section OP 4(3): inserted, on (with effect on 1 April 2008), by section 172(1) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section OP 4 list of defined terms amount: inserted, on (with effect on 1 April 2008), by section 172(2) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).