CZ 29BAccommodation expenditure: North Island flooding events

1. This section applies for the purposes of section CW 16B (Accommodation expenditure: out-of-town secondments and projects) when—

2. the employment duties of an employee require them to work on a project of limited duration for rebuilding or recovery, including the repair and reconstruction of land, infrastructure, and other property in the areas affected by the North Island flooding events; and
3. the distant workplace is a workplace in the areas affected by the North Island flooding events.

4. The value provided or expenditure incurred by the employer of the employee for or in relation to the accommodation is exempt income of the employee.

5. Despite paragraph (c)(iii) of the definition of project of limited duration and section CW 16C(2)(d) (Time periods for certain accommodation expenditure), for the purposes of this section, the 3-year limit is ignored and is replaced by 5 years, if the employee starts work at the distant workplace in the period commencing on the date of the first relevant North Island flooding event, being 8 January 2023, 26 January 2023, or 12 February 2023, as the case may be, and ending 5 years after that date.

6. For the purposes of this section and section CW 16C, the time limit is determined by whether the actual period of continuous work of the employee at the distant workplace is for a period of no more than 5 years.

7. Any time limit imposed by subsection (3) may be extended or modified by Order in Council made—

8. on the recommendation of the Minister of Revenue; and
9. before the expiry of the relevant time limit in subsection (3) that applies immediately before the Order in Council comes into force.

10. In this section and section FP 22 (Accommodation expenditure incurred during emergency events),—

11. rebuilding includes—
    1. extending, repairing, improving, subdividing, or converting any land, infrastructure, or other property; and
    2. rebuilding communities:
12. recovery includes restoration and enhancement.

13. Section CZ 30 does not apply to modify the application of this section.

14. An Order in Council under subsection (4) is secondary legislation (see Part 3 of the Legislation Act 2019 for publication requirements).

    Notes