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Student Loan Scheme Act 2011

Repayment obligations of borrowers - Repayment obligations for New Zealand-based borrowers with income other than, or as well as, salary or wages

73: Meaning of adjusted net income, Schedule 3 adjustments, and related terms

You could also call this:

“Explaining how your income is calculated for student loan repayments”

In this law, ‘adjusted net income’ means the money you earn, minus some expenses, but not including your salary or wages. There are special rules about what can be subtracted from your income, and these are called ‘Schedule 3 adjustments’.

When you tell the government about your adjusted net income, it’s called a ‘statement of adjusted net income’. You can do this in a few ways:

  1. If you don’t have any Schedule 3 adjustments, you just need to file a tax return.

  2. If you have Schedule 3 adjustments but don’t need to file a tax return, you can just tell the government about these adjustments.

  3. If you have both, you need to file a tax return and tell the government about your Schedule 3 adjustments.

The law explains these terms to help people understand how student loan repayments are calculated based on their income.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM3180163.

Topics:
Education and learning > Higher education Money and consumer rights > Banking and loans
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72: Application of this subpart, or

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74: Notification of Schedule 3 adjustments, or

"Telling the government about changes to your income for your student loan"

Part 2 Repayment obligations of borrowers
Repayment obligations for New Zealand-based borrowers with income other than, or as well as, salary or wages

73Meaning of adjusted net income, Schedule 3 adjustments, and related terms

  1. In this Act,—

    adjusted net income—

    1. means net income (as defined in section YA 1 of the Income Tax Act 2007) with any Schedule 3 adjustments; but
      1. excludes salary and wages

          1. Schedule 3 adjustments means the adjustments set out in Schedule 3 (including any adjustment determined by the Commissioner under clause 15 of that schedule)

            statement of adjusted net income means the return of income or notification of Schedule 3 adjustments (or both) referred to in subsection (2).

            1. In this Act, a borrower provides a statement of adjusted net income if the borrower—

            2. files a return of income only, if there are no Schedule 3 adjustments; or
              1. notifies Schedule 3 adjustments under section 74 or 114 only, if the borrower is not required to file a return of income under the Tax Administration Act 1994; or
                1. both files a return of income and notifies Schedule 3 adjustments under section 74 or 114, in any other case.

                  Notes
                  • Section 73: replaced, on , by section 10 of the Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 (2016 No 21).