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Income Tax Act 2007

Definitions and related matters - General definitions

YA 5: General rule: capacity of trustees

You could also call this:

“Trustees act in a separate role from their other responsibilities”

When you act as a trustee for a trust, you are acting in a special role that is separate from your other roles. This means that when you’re a trustee, you’re not acting as yourself, but as someone responsible for the trust.

You can have other roles besides being a trustee. These other roles might include:

You as an individual person. You as a company if you’re a business that is legally recognised as its own entity. You as a trustee for a different trust or as someone who acts on behalf of others (an agent).

Remember, when you’re doing trustee work, you’re wearing your “trustee hat” and not your other hats.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS36232.

Topics:

Money and consumer rights > Taxes

YA 4: General rules for giving information or communicating matters, or

“Rules for communicating tax information”

YB 1: What this subpart does, or

“This subpart explains how people or groups are connected for tax purposes”

Part Y Definitions and related matters
General definitions

YA 5General rule: capacity of trustees

A person who is acting as a trustee of a trust is acting in a capacity that is separate from their other capacities.
The other capacities of the person referred to in subsection (1) may include—
their personal capacity:
their capacity as a body corporate that is a legal person:
their capacity as a trustee of another trust or as an agent.

Notes

Section YA 5: inserted, on 29 March 2018, by section 244 of the Taxation (Annual Rates for 2017–18, Employment and Investment Income, and Remedial Matters) Act 2018 (2018 No 5).