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Tax Administration Act 1994

Determinations

90A: Determinations in relation to apportionment of interest costs

You could also call this:

"The Commissioner decides how to share interest costs in financial arrangements."

Illustration for Tax Administration Act 1994

The Commissioner can decide how interest costs are shared in a financial arrangement for the purpose of subpart FE of the Income Tax Act 2007. You can apply to the Commissioner to make a decision about your financial arrangement. The Commissioner's decision is binding on you for the purposes of subpart FE of the Income Tax Act 2007, which you can find at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1516396.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM353391.

Topics:
Money and consumer rights > Taxes
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Part 5Determinations

90ADeterminations in relation to apportionment of interest costs

  1. For the purpose of subpart FE of the Income Tax Act 2007, the Commissioner may determine the extent to which a financial arrangement provides funds to a party under the arrangement.

  2. Any determination made under subsection (1) shall be binding on persons for the purposes of subpart FE of the Income Tax Act 2007.

  3. Any taxpayer may apply to the Commissioner to exercise the Commissioner's discretion to make a determination under subsection (1), and every such application shall be made in accordance with such procedure as may be prescribed by regulations made under this Act; or, if no such regulations have been made or the regulations do not provide for the eventuality that occurs, in accordance with such procedure as may be prescribed by the Commissioner.

  4. Repealed

  5. Repealed

  6. The Commissioner may at any time—

  7. make a determination that varies, cancels, restricts or extends in scope an earlier determination under this section:
    1. issue a notice that cancels a determination under this section.

      1. A person who enters into a financial arrangement before the date of notification or publication of a determination, or notice, that is authorised by subsection (6) is not required to apply the determination to the financial arrangement, or treat the notice as affecting the financial arrangement, until the first tax year that commences after that date of notification or publication.

      2. All determinations made by the Commissioner under subsection (1) and notices issued by the Commissioner under subsection (6)(b) shall be published within 30 days of the making of the determination or notice, in a publication chosen by the Commissioner and in such form as may be specified by regulations made under this Act.

      3. For the purposes of this section, a determination or notice shall be deemed to be made when it is signed by the Commissioner.

      4. If a person has applied a determination under subsection (1), an assessment made in respect of the person must be in accordance with the determination.

      5. Subsection (9) does not apply if—

      6. since the date of the determination, the legislation on which the determination was based has been repealed or amended to the detriment of the person relying on the determination; or
        1. there was a material misrepresentation or omission in the application for the determination, whether intentional or not.

          Notes
          • Section 90A: inserted, on (applying with respect to the tax on income derived in the 1996–97 income year and subsequent years), by section 2(1) of the Tax Administration Amendment Act (No 2) 1995 (1995 No 72).
          • Section 90A(1): replaced, on (applying on and after 20 May 1999), by section 75(1) of the Taxation (Accrual Rules and Other Remedial Matters) Act 1999 (1999 No 59).
          • Section 90A(1): amended, on (effective for 2008–09 income year and later income years, unless the context requires otherwise), by section ZA 2 of the Income Tax Act 2007 (2007 No 97).
          • Section 90A(2): amended, on (effective for 2008–09 income year and later income years, unless the context requires otherwise), by section ZA 2 of the Income Tax Act 2007 (2007 No 97).
          • Section 90A(4): repealed (with effect on 1 October 1996), on , by section 73(1) of the Taxation (Remedial Provisions) Act 1997 (1997 No 74).
          • Section 90A(5): repealed (with effect on 1 October 1996), on , by section 73(1) of the Taxation (Remedial Provisions) Act 1997 (1997 No 74).
          • Section 90A(6): replaced, on , by section 108(1) of the Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
          • Section 90A(6B): inserted, on , by section 108(1) of the Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
          • Section 90A(6B): amended, on (effective for 2005–06 tax year and later tax years, except when the context requires otherwise), by section YA 2 of the Income Tax Act 2004 (2004 No 35).
          • Section 90A(7): amended, on , by section 141(a) of the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109).
          • Section 90A(7): amended, on , by section 141(b) of the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109).
          • Section 90A(7): amended, on , by section 108(2)(a) of the Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
          • Section 90A(8): amended, on , by section 108(3) of the Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
          • Section 90A(8)(2)(b): amended, on , by section 108(2)(a) of the Taxation (Venture Capital and Miscellaneous Provisions) Act 2004 (2004 No 111).
          • Section 90A(9): replaced, on (applying to 2002–03 and subsequent income years), by section 207(1) of the Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 (2001 No 85).
          • Section 90A(10): inserted, on (applying to 2002–03 and subsequent income years), by section 207(1) of the Taxation (Taxpayer Assessment and Miscellaneous Provisions) Act 2001 (2001 No 85).