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Goods and Services Tax Act 1985

Registration

54B: Requirements for registration for certain non-resident suppliers

You could also call this:

"Rules for non-NZ residents to register for GST if they sell goods or services in New Zealand"

The Commissioner can register you if you are not a resident in New Zealand and you meet certain requirements. You must be registered for a consumption tax in your country or be carrying on a taxable activity. You must also meet other conditions, such as your input tax being more than $500 or being liable for tax on goods you import.

If you are registered under this section and you start making taxable supplies, you will be treated as registered from the date the Commissioner specifies. You will no longer be registered under this section from the date you start making taxable supplies. Certain days are treated as the end of a taxable period, such as the day you cease to be eligible for registration under this section.

If you are already registered under section 51 and you have a branch or division that makes a taxable supply in New Zealand, your branch or division may be treated as a separate person. This separate person may apply for registration under this section if they meet the requirements. In relation to your registration, section 56(6) does not apply to require you and your branch or division to have consistent practices for taxable periods and accounting bases.

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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=DLM6032729.

Topics:
Money and consumer rights > TaxesMoney and consumer rights > Banking and loansBusiness > Industry rules
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"Stopping being registered doesn't stop you being responsible for past mistakes"

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54C: Cancellation of registration of certain non-residents, or

"When non-residents no longer meet tax rules, their GST registration can be cancelled."

Part 8Registration

54BRequirements for registration for certain non-resident suppliers

  1. Despite section 51(3), the Commissioner may register a person who is a non-resident and has not become liable to be registered under section 51(1) if the Commissioner is satisfied that the person meets the following requirements:

  2. the person—
    1. is registered for a consumption tax in the country or territory in which they are resident; or
      1. if the country or territory in which the person is resident does not have a consumption tax, or has a consumption tax that does not apply to the person's activities, is carrying on a taxable activity, and has a level of taxable activity in a country or territory that would render them liable to be registered under section 51(1) if they were carrying out the taxable activity in New Zealand; and
      2. for the first taxable period after the date of registration in New Zealand, the amount of the person’s input tax is likely to be more than $500 or the person is likely to be liable for tax levied under section 12(1) in relation to the importation of goods that are received by another person or that the person delivers to another person; and
        1. the person's taxable activity does not involve a performance of services in relation to which it is reasonably foreseeable that the performance of the services will be received in New Zealand by a person other than in the course of making taxable or exempt supplies; and
          1. the person is not making, or intending to make,—
            1. a taxable supply in New Zealand; or
              1. a supply in New Zealand that would be a taxable supply if the person were registered under section 51, to a person in New Zealand who is not a registered person; and
              2. the person is not, and does not intend to become, a member of a group of companies that makes taxable supplies in New Zealand.

                1. If a non-resident person who is registered under this section starts making taxable supplies, or becomes a member of a group of companies that is making taxable supplies, they are treated as registered on the date specified by the Commissioner under subsection (1), and not being registered under this section from the date on which they start making taxable supplies or the date on which they join the group, as applicable.

                2. For timing purposes, the following days are treated as the end of a taxable period:

                3. the day on which a person ceases to be eligible to be registered under this section:
                  1. the day on which a person who is otherwise registered becomes registered under this section.

                    1. Subsections (5) and (6) apply when a person—

                    2. is registered under section 51; and
                      1. has a branch or division; and
                        1. makes a taxable supply in New Zealand.

                          1. The person may be treated in relation to their branch or division as a separate person who may, if they meet the requirements of subsection (1), apply to the Commissioner for registration under this section.

                          2. In relation to the registration of the person, section 56(6) does not apply to require the person and the branch or division to have, between themselves, consistent practices for taxable periods and accounting bases.

                          Notes
                          • Section 54B: inserted, on , by section 141 of the Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 (2013 No 52).
                          • Section 54B heading: replaced, on , by section 68 of the Taxation (Residential Land Withholding Tax, GST on Online Services, and Student Loans) Act 2016 (2016 No 21).
                          • Section 54B(1)(b): replaced (with effect on 1 October 2016), on , by section 367(1) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
                          • Section 54B(1)(c): amended (with effect on 1 October 2016), on , by section 367(2) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
                          • Section 54B(1)(d): replaced (with effect on 1 April 2014), on , by section 367(3) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
                          • Section 54B(1)(e): inserted (with effect on 1 April 2014), on , by section 367(3) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
                          • Section 54B(4): inserted (with effect on 1 April 2014), on , by section 367(4) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
                          • Section 54B(5): inserted (with effect on 1 April 2014), on , by section 367(4) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).
                          • Section 54B(6): inserted (with effect on 1 April 2014), on , by section 367(4) of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).