The Tax Information Bulletin is a monthly publication which contains information about changes to tax-related legislation, proposed legislation, judgments, rulings and other specialist tax topics including many of the publication-types.

Xiaoquan Jia (Mr Jia) applied to judicially review the decision of the Commissioner of Inland Revenue (the Commissioner) declining to consider Mr Jia’s application under s 113 to amend his tax assessments for the 2014, 2015, and 2016 tax years. 

Mr Jia did this despite the Taxation Review Authority (TRA) having found the assessments to be correct in unsuccessful challenge proceedings brought by him under Part 8A of the TAA. 

The Court found issue estoppel applies. The decision of the TRA is a final decision of a court of competent jurisdiction as to the correctness of the Commissioner’s assessments. The TRA determined that the assessments are correct. Therefore, it is not open to Mr Jia to argue in this (or any other) proceeding with the Commissioner that the assessments are not correct.

The Court held that the Court of Appeal’s decision in Charter Holdings is clearly distinguishable from the present case. In Charter Holdings, the fact the taxpayer failed to invoke the disputes and challenge process meant there was no court decision regarding the impugned assessments. In contrast, Mr Jia has gone through the disputes and challenge process resulting in the decision of the TRA.

The Commissioner of Inland Revenue (the Commissioner) sought orders striking out certain paragraphs of the first defendant’s statement of defence on the basis that the identified paragraphs disclose no reasonably arguable defence.

The Commissioner argued that s 109 of the Tax Administration Act 1994 (TAA) barred the first defendant, Xiaoquan Jia, from challenging the correctness of income tax assessments in these civil debt proceedings.

One week before the hearing, the first defendant applied for an interim stay. He argued that he was applying for the Commissioner to amend the assessments under s 113 of the TAA (s 113 application) and that the proceedings should be stayed pending its determination.

The Court dismissed the stay application and granted the Commissioner’s strike-out application.

Otaraua Hapū Management Committee Incorporated (Otaraua) sought leave to appeal out of time against its deregistration for failure to file annual returns and against the limited backdating of its re-registration. The High Court declined leave in respect of the deregistration, finding no error and a lengthy unexplained delay, but granted leave in respect of the backdating decision. The Court exercised its broad power under s 61 of the Charities Act 2005 (the Act) to backdate re-registration to avoid deregistration tax consequences.

This interpretation statement gives an overview of eligibility for Working for Families tax credits and discusses the adjustments required to a person’s net income to determine family scheme income. Key adjustments that may be relevant are income from associated trusts and companies, passive income over $500 of dependent children, payments from trusts other than beneficiary income and other payments supporting the family if they total more than $5,000.

This interpretation statement was released for public consultation as PUB00513 with consultation closing on 9 December 2025. 

Since consultation closed, the Government announced changes to the Working for Families rules.  The changes were introduced as part of Budget 2026 on 28 May 2026 and include changes to the definition and calculation of family scheme income, and changes to the residency rules.  These changes are contained in the Taxation (Budget Measures) Act 2026, which received Royal Assent on 5 June 2026. 

The changes include amendments intended to simplify certain aspects of the family scheme income adjustments and to remove or modify some existing adjustments. 

As these legislative changes do not take effect until 1 April 2027, the Commissioner has decided to proceed with publishing this interpretation statement in substantially the same form as consulted on, reflecting the law as it currently applies. 

A revised item incorporating the enacted legislative changes will be published on or before 1 April 2027. 

This fact sheet accompanies IS 26/12: Working for Families tax credits and family scheme income, which gives an overview of eligibility for Working for Families tax credits and discusses the adjustments required to a person’s net income to determine family scheme income.

This fact sheet was released for public consultation as PUB00513 with consultation closing on 9 December 2025. 

Since consultation closed, the Government announced changes to the Working for Families rules.  The changes were introduced as part of Budget 2026 on 28 May 2026 and include changes to the definition and calculation of family scheme income, and changes to the residency rules.  These changes are contained in the Taxation (Budget Measures) Act 2026, which received Royal Assent on 5 June 2026. 

The changes include amendments intended to simplify certain aspects of the family scheme income adjustments and to remove or modify some existing adjustments. 

As these legislative changes do not take effect until 1 April 2027, the Commissioner has decided to proceed with publishing this fact sheet in substantially the same form as consulted on, reflecting the law as it currently applies. 

A revised item incorporating the enacted legislative changes will be published on or before 1 April 2027. 

This update to OS 19/03 shows the annual adjustment to the square metre rate for the dual use of premises.

This update to determination DET 09/02 shows the annual adjustment to the standard-cost household service for childcare providers.

This update to DET 19/01 shows the annual adjustment to the standard-cost household service for boarding service providers.

This update to DET 19/02 shows the annual adjustment to the standard-cost household service for short-stay accommodation.