Remedial amendments to portfolio investment entity tax rates

2010 amendments to portfolio investment entity (PIE) rates ensure that the prescribed investor rates and income thresholds for NZ resident investors are accurate.

Table 1 of schedule 6 of the Income Tax Act 2007 sets out the tax rates for investors in portfolio investment entities.

Amendments have been made to ensure that the prescribed investor rates (PIRs) and income thresholds for New Zealand resident natural person investors are accurate.

Additionally, row 2 has been amended to clarify that the 30% PIR applies to all non-resident investors, whether or not they have provided a notification.

Application date

The changes apply from 1 April 2010.