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Income Tax Act 2007

Taxation of certain entities - Portfolio investment entities - Using tax credits

HM 55: Tax credits for losses

You could also call this:

“Multi-rate PIEs can get tax credits for negative tax calculations”

If you are a multi-rate PIE (a type of investment entity), you might get a tax credit in certain situations. This happens when you end up with a negative amount after doing some calculations about your tax. However, this only applies if you haven’t chosen to figure out your tax using something called the provisional tax calculation option. If you meet these conditions, you can get a tax credit for the tax year. This credit is described in another part of the law called ‘Tax credits for multi-rate PIEs’.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM2888831.

Topics:
Money and consumer rights > Taxes
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HM 54: Use of tax credits other than foreign tax credits by investors, or

“How investors can use certain tax credits from multi-rate PIE funds”

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HM 55C: Modified source rules, or

“Special rules for determining income sources for foreign investors in certain NZ investment funds”

Part H Taxation of certain entities
Portfolio investment entities: Using tax credits

HM 55Tax credits for losses

  1. A multi-rate PIE that has a negative amount arising under section HM 47(5) and has not chosen to calculate its tax liability using the provisional tax calculation option under section HM 44 has a tax credit for a tax year under section LS 1 (Tax credits for multi-rate PIEs).

Compare
  • s HL 28
Notes
  • Section HM 55: inserted, on (applying for the 2010–11 and later income years), by section 292(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).