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Income Tax Act 2007

Income - Terminating provisions

CZ 29B: Accommodation expenditure: North Island flooding events

You could also call this:

"Help with accommodation costs for workers in North Island flood recovery"

Illustration for Income Tax Act 2007

You work on a project to rebuild or recover areas affected by North Island flooding events. Your employer helps you with accommodation costs. This help is not counted as your income. If you start work in these areas after certain flooding events, a 5-year time limit applies. This time limit can be changed by an Order in Council. Rebuilding includes fixing and improving land and property. Recovery includes making things better than before. Your employer's help with accommodation is exempt from your income. This means you do not pay tax on it.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS834193.

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"Explaining how to apply new rules for work-related accommodation and meal expenses from 2011 to 2015"

Part CIncome
Terminating provisions

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
    1. the distant workplace is a workplace in the areas affected by the North Island flooding events.

      1. 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.

      2. 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.

      3. 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.

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

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

          1. In this section,—

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

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

                Notes
                • Section CZ 29B: inserted (with effect on 8 January 2023), on , by section 34 of the Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 (2023 No 5).
                • Section CZ 29B(3): amended (with effect on 8 January 2023), on , by section 31(1) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B(3B) heading: inserted (with effect on 8 January 2023), on , by section 31(2) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B(3B): inserted (with effect on 8 January 2023), on , by section 31(2) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B(4): amended (with effect on 8 January 2023), on , by section 31(3) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B(4)(b): amended (with effect on 8 January 2023), on , by section 31(4) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B list of defined terms North Island flooding event: repealed (with effect on 8 January 2023), on , by section 31(6) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B list of defined terms North Island flooding events: inserted (with effect on 8 January 2023), on , by section 31(6) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B list of defined terms period of continuous work: inserted (with effect on 8 January 2023), on , by section 31(5) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).
                • Section CZ 29B list of defined terms project of limited duration: inserted (with effect on 8 January 2023), on , by section 31(5) of the Taxation (Annual Rates for 2023–24, Multinational Tax, and Remedial Matters) Act 2024 (2024 No 11).