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Goods and Services Tax Act 1985

Transitional provisions

91: Certain private goods removed from tax base before 1 April 2025

You could also call this:

"Some personal items bought before 1 April 2023 are exempt from tax if you pay tax on them before 1 April 2025"

Illustration for Goods and Services Tax Act 1985

If you have goods that you got before 1 April 2023, and you did not get them to sell or use for your business, you might need to pay some tax on them. You can choose to pay this tax by telling the Commissioner before 1 April 2025. You will need to tell the Commissioner that you want to make this choice, when you want to make it, and give them the information they need about your choice. If you make this choice, you will need to pay tax on the goods, which is the tax you did not pay when you got them, minus any tax adjustments you already made for not using the goods for your business, or the tax that would have been charged if you had paid it when you got the goods, minus any tax adjustments you already made for not using the goods for your business. After you pay this tax, if you get rid of the goods, you will not need to pay any more tax on them, as long as you did not claim any tax back on them.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS853193.

Topics:
Money and consumer rights > Taxes
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"The Governor-General can make a special rule to add a non-taxable charge to a list if the Minister of Revenue agrees."

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Schedule 1: Non-taxable legislative charges, or

"Charges that don't have tax, like some artwork resale payments"

Part 12Transitional provisions

91Certain private goods removed from tax base before 1 April 2025

  1. This section applies when—

  2. a registered person has previously claimed a deduction under section 20(3) for goods, or acquired them as zero-rated supplies; and
    1. the goods were acquired before 1 April 2023; and
      1. the goods were not acquired for the principal purpose of making taxable supplies; and
        1. the goods were not used for the principal purpose of making taxable supplies.

          1. The person may elect to return output tax equal to the amount set out in subsection (3) by notifying the Commissioner before 1 April 2025, in a way acceptable to the Commissioner, of—

          2. the election; and
            1. the election date; and
              1. the information required by the Commissioner relating to the election.

                1. If a person makes an election under subsection (2), they must return output tax equal to—

                2. the input tax previously deducted for the supply minus the amount of output tax adjustments already made for non-taxable use; or
                  1. if the supply was acquired by them as a zero-rated supply, the nominal GST component chargeable under section 20(3J)(a)(i) minus the amount of output tax adjustments already made for non-taxable use.

                    1. If after returning output tax under subsection (3), the person has claimed no deduction under section 20(3) for the goods, then any future disposal of the goods is not a taxable supply.

                    Notes
                    • Section 91: inserted, on , by section 159 of the Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 (2023 No 5).