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Income Tax Act 2007

Income - Exempt income

CW 65: New Zealand Railways Corporation restructure: exempt income

You could also call this:

“KiwiRail and its subsidiaries are exempt from tax on certain income related to railway assets”

You should know that KiwiRail Holdings Limited and any company it fully owns don’t have to pay tax on some types of income. This includes money they get from something called the Railways vesting. It also covers money they make from selling or leasing land that the government or New Zealand Railways Corporation owned on 31 December 2012. They don’t have to pay tax if they change or end a lease on this land either. The Railways vesting is explained in another part of the law called section EZ 68.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM5490880.

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Part C Income
Exempt income

CW 65New Zealand Railways Corporation restructure: exempt income

  1. The following are exempt income of KiwiRail Holdings Limited and any company in which it directly or indirectly owns 100% of the shares (wholly-owned subsidiary):

  2. an amount derived from the Railways vesting:
    1. an amount derived by KiwiRail Holdings Limited or a wholly-owned subsidiary in relation to—
      1. a disposal or grant of land, if that land is owned on 31 December 2012 by the Crown or New Zealand Railways Corporation:
        1. the termination or variation of a lease granted by the Crown or New Zealand Railways Corporation over land, if that land is owned on 31 December 2012 by the Crown or New Zealand Railways Corporation.

        2. In this section, Railways vesting has the same meaning as in section EZ 68 (Definitions).

        Notes
        • Section CW 65: inserted (with effect on 31 December 2012), on , by section 18 of the Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 (2013 No 52).