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Income Tax Act 2007

Definitions and related matters - Associated persons and nominees - Table Y1: Associated person rules

YB 14: Tripartite relationship

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"Being linked to someone through a mutual friend or company"

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You are associated with another person if you both know a third person. This third person must be associated with you and the other person under certain rules, which are in sections YB 2 to YB 13. A limited partnership is treated like a company for this rule. You are not associated with someone if they know a third person under section YB 2 and that third person knows you under section YB 3. For this rule, a limited partnership is treated like a company. This helps when working out who is associated with whom.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1523028.

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Part YDefinitions and related matters
Associated persons and nominees: Table Y1: Associated person rules

YB 14Tripartite relationship

  1. Two persons (person A and person B) are associated persons if—

  2. person B is associated with a third person (person C) under any of sections YB 2 to YB 13; and
    1. person C is associated with person A under any of sections YB 2 to YB 13, excluding the section under which person B is associated with person C.

      1. Subsection (1) does not apply if—

      2. person B is associated with person C under section YB 2; and
        1. person C is associated with person A under section YB 3.

          1. Repealed

          2. For the purpose of applying subsection (1), a limited partnership is treated as being a company.

          Notes
          • Section YB 14: substituted, on , by section 563(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
          • Section YB 14(1)(a): amended, on (applying for income years beginning on or after 1 April 2011), by section 135(1)(a) of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130).
          • Section YB 14(1)(a): amended, on , by section 120 of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
          • Section YB 14(1)(b): amended, on (applying for income years beginning on or after 1 April 2011), by section 135(1)(b) of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130).
          • Section YB 14(1)(b): amended, on , by section 120 of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).
          • Section YB 14(3) heading: repealed (with effect on 1 April 2009), on , pursuant to section 290 of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
          • Section YB 14(3): repealed (with effect on 1 April 2009), on , by section 290 of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
          • Section YB 14(4) heading: inserted (with effect on 1 April 2010 and applying for the purposes of provisions other than the land provisions, for the 2010–11 and later income years, or of the land provisions other than section CB 11, for land acquired on or after 6 October 2009, or of section CB 11, for land on which improvements are begun on or after 6 October 2009), on , by section 100(1) of the Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 (2013 No 52).
          • Section YB 14(4): inserted (with effect on 1 April 2010 and applying for the purposes of provisions other than the land provisions, for the 2010–11 and later income years, or of the land provisions other than section CB 11, for land acquired on or after 6 October 2009, or of section CB 11, for land on which improvements are begun on or after 6 October 2009), on , by section 100(1) of the Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 (2013 No 52).
          • Section YB 14 list of defined terms limited partnership: inserted (with effect on 1 April 2010), on , by section 100(2) of the Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 (2013 No 52).