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Income Tax Act 2007

General collection rules - General withholding and payment obligations

RA 1: What this Part does

You could also call this:

“This part outlines the rules for paying various taxes and other amounts to Inland Revenue”

This part of the law explains the rules for paying taxes and other amounts to the Commissioner. You need to know about these rules if you have to pay taxes.

The rules cover different types of payments:

You have to pay your final tax bill, which is called terminal tax. You can find more information about this in subpart RB.

If you’re a business owner or self-employed, you might need to pay provisional tax throughout the year. Subpart RC has more details on this.

There are special taxes related to employment. These include PAYE (which is the tax taken from your wages), fringe benefit tax (for extra benefits you get from your job), and employer’s superannuation contribution tax. You can learn more about these in subpart RD.

If you earn interest or dividends, you might have to pay resident withholding tax. Subpart RE explains this further.

For people who aren’t New Zealand residents but earn money here, there’s a tax called non-resident withholding tax. Look at subpart RF for more information.

If you’re part of a retirement scheme, there’s a tax on contributions called retirement scheme contribution tax. Subpart RH has the details.

There’s also a tax on selling certain types of residential land, called residential land withholding tax. You can find out more in subpart RL.

The law also covers how the Commissioner handles tax refunds (in subpart RM) and how intermediaries (people who help with tax matters) are used in the tax system (in subpart RP).

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1519726.

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Part R General collection rules
General withholding and payment obligations

RA 1What this Part does

  1. This Part provides the rules to require a person to pay to the Commissioner interim and terminal payments of tax and other amounts payable under the Inland Revenue Acts. The Part provides for—

  2. a person’s general withholding and payment obligations; and
    1. the payment of terminal tax, see subpart RB; and
      1. the payment of provisional tax, see subpart RC; and
        1. the payment of the following employment-related taxes, see subpart RD:
          1. pay-as-you-earn (PAYE):
            1. fringe benefit tax (FBT):
              1. employer’s superannuation contribution tax (ESCT); and
              2. the payment of resident withholding tax (RWT), see subpart RE; and
                1. the payment of non-resident withholding tax (NRWT), see subpart RF; and
                    1. the payment of retirement scheme contribution tax (RSCT), see subpart RH; and
                      1. the payment of residential land withholding tax (RWLT), see subpart RL; and
                        1. the treatment of refunds by the Commissioner, see subpart RM; and
                          1. the use of intermediaries in the tax system, see subpart RP.

                            Notes
                            • Section RA 1(g): repealed (with effect on 30 June 2009), on , by section 488(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
                            • Section RA 1(gb): inserted, on , by section 521(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                            • Section RA 1(gc): inserted (with effect on 1 July 2016), on , by section 128 of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).
                            • Section RA 1 list of defined terms FDP: repealed (with effect on 30 June 2009), on , by section 488(2) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
                            • Section RA 1 list of defined terms retirement scheme contribution: inserted, on , by section 521(2) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).
                            • Section RA 1 list of defined terms RSCT: inserted, on , by section 521(2) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).