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Income Tax Act 2007

Memorandum accounts - Memorandum accounts of consolidated groups - Imputation credits of consolidated imputation groups

OP 10: Consolidated ICA allocation from company with overpaid provisional tax

You could also call this:

“Consolidated group receives credit for overpaid tax from member company”

When a company in a consolidated imputation group pays too much provisional tax, it can give some of that overpayment to the group. This is called an allocation. When this happens, the consolidated imputation group gets an imputation credit for the amount that was given to them.

You can find information about this imputation credit in a special table. It’s called the “imputation credits of consolidated imputation groups” table. Look for row 5, which is labelled “allocation from excess company”.

The credit becomes official on the day that the Commissioner is told about the allocation. The Commissioner is the person in charge of taxes.

This rule is linked to another part of the law called section RC 32. That section talks about how wholly-owned groups of companies can share their overpaid provisional tax.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1519431.

Topics:
Money and consumer rights > Taxes
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OP 9: Consolidated ICA transfer from tax pooling account, or

“Group of companies gets extra tax credit when money is moved from a shared savings account”

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OP 11: Consolidated ICA payment of further income tax, or

“Consolidated groups get credit for paying extra income tax”

Part O Memorandum accounts
Memorandum accounts of consolidated groups: Imputation credits of consolidated imputation groups

OP 10Consolidated ICA allocation from company with overpaid provisional tax

  1. A consolidated imputation group has an imputation credit for an amount allocated under section RC 32 (Wholly-owned groups of companies) by a company that has overpaid its provisional tax.

  2. The imputation credit in subsection (1) is referred to in table O19: imputation credits of consolidated imputation groups, row 5 (allocation from excess company).

  3. The credit date is the day the Commissioner is notified of the allocation.

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