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Income Tax Act 2007

General collection rules - Withholding tax on resident passive income (RWT)

RE 27: RWT-exempt status

You could also call this:

“Exemption from having tax deducted from your investment income”

You can ask the Commissioner for RWT-exempt status if you’re on the list in section 32E(2) of the Tax Administration Act 1994.

You’ll lose your RWT-exempt status if you don’t meet the requirements anymore or if the Commissioner takes it away under section 32L of the Tax Administration Act 1994.

If you have RWT-exempt status and you realise you don’t meet the requirements anymore, you need to tell the Commissioner. You do this under section 32K of the Tax Administration Act 1994.

When you have RWT-exempt status, you need to tell your investment provider about it. You also need to tell them if your status changes. You can find a list of investment providers in section 25E(1) of the Tax Administration Act 1994.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1520294.

Topics:
Money and consumer rights > Taxes
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RE 28: When RWT-exempt status ends, or

“When you lose your exemption from having tax withheld”

Part R General collection rules
Withholding tax on resident passive income (RWT)

RE 27RWT-exempt status

  1. A person may apply to the Commissioner for RWT-exempt status if they are a person listed in section 32E(2) of the Tax Administration Act 1994.

  2. A person ceases to have RWT-exempt status if—

  3. they no longer meet the requirements in subsection (1); or
    1. the Commissioner revokes the status under section 32L of the Tax Administration Act 1994.

      1. If a person who has RWT-exempt status becomes aware they no longer meet the requirements, they must notify the Commissioner under section 32K of the Tax Administration Act 1994.

      2. A person who has RWT-exempt status must notify their investment provider of their status and of a change in their status. For a list of investment providers, see section 25E(1) of the Tax Administration Act 1994.

      Compare
      Notes
      • Section RE 27 heading: replaced, on , by section 226(2) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27(1): replaced, on , by section 226(3) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27(2) heading: replaced, on , by section 226(4) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27(2): replaced, on , by section 226(4) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27(3): amended, on , by section 226(5) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27(4) heading: inserted, on , by section 226(6) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27(4): inserted, on , by section 226(6) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27 list of defined terms apply: inserted, on , by section 74 of the Taxation (Transformation: First Phase Simplification and Other Measures) Act 2016 (2016 No 27).
      • Section RE 27 list of defined terms RWT-exempt status: inserted, on , by section 226(7)(a) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).
      • Section RE 27 list of defined terms RWT exemption certificate: repealed, on , by section 226(7)(b) of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).