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Tax Administration Act 1994

Penalties - Civil penalties

140: Where another person withholds RWT

You could also call this:

"When someone else takes out tax that you should have"

Illustration for Tax Administration Act 1994

You are treated as having withheld or accounted for tax if you are liable to pay a late payment penalty. This happens when you do not withhold resident withholding tax (RWT) or do not account for RWT under the RWT rules. You must show the Commissioner that another person withheld the RWT or accounted for it under the RWT rules.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM356176.

Topics:
Money and consumer rights > Taxes
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"Paying provisional tax late can mean you get a penalty."

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140A: Underestimation penalty where income tax underestimated as at final instalment date, or

"Paying a penalty for underestimating your income tax"

Part 9Penalties
Civil penalties

140Where another person withholds RWT

  1. For the purposes of determining a person’s liability to pay a late payment penalty, the person is treated as having withheld or accounted for an amount of tax if—

  2. they are liable to pay the late payment penalty for—
    1. not withholding resident withholding tax (RWT) under the RWT rules; or
      1. not accounting for RWT under the RWT rules; and
      2. they can satisfy the Commissioner that another person, under the RWT rules,—
        1. withheld the RWT; or
          1. accounted for the RWT.

          Notes
          • Section 140: replaced, 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).