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Income Tax Act 2007

Tax credits paid in cash - Terminating provisions

MZ 3: Exclusions from determination of family scheme income

You could also call this:

“Money not counted when calculating family tax credits”

When figuring out if you can get tax credits under the family scheme, some money isn’t counted as part of your family income. This helps decide how much you might get.

If you had put money into an income equalisation account for the 2002-03 tax year or earlier, and you get that money back in the 2003-04 tax year or later, it doesn’t count as family income. This applies to main deposits that are refunded under sections EH 10, EH 13, EH 15, EH 17, and EH 23.

However, if you earn any interest on these deposits, that interest money does count as part of your family income. The rules about interest are explained in section EH 6 or EH 40.

Remember, these rules are specifically about working out your family scheme income under section MB 1. They help determine what tax credits you might be entitled to under the family scheme.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM2582849.

Topics:
Money and consumer rights > Taxes
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Part M Tax credits paid in cash
Terminating provisions

MZ 3Exclusions from determination of family scheme income

  1. This section applies for the purposes of determining under section MB 1 (Adjustments for calculation of family scheme income) the entitlement and tax credit of a person under the family scheme.

  2. An amount of main deposit made in relation to the 2002–03 or earlier income year that is refunded to the person in the 2003–04 or later income year under any of sections EH 10, EH 13, EH 15, EH 17, and EH 23 (which relate to income equalisation accounts) is not included in family scheme income.

  3. Repealed

  4. The amount of a refund under subsections (2) and (3) does not include an amount of interest payable under section EH 6 or EH 40 (which relate to interest on deposits), as applicable.

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Notes
  • Section MZ 3: added (with effect on 1 April 2008), on , by section 371(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).
  • Section MZ 3(3) heading: repealed, on , pursuant to section 243(1) (and see section 243(2) for application) of the Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 (2019 No 5).
  • Section MZ 3(3): repealed, on , by section 243(1) (and see section 243(2) for application) of the Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 (2019 No 5).