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QB 21/03
Issued
07 May 2021

Charities business exemption – business carried on in partnership

This question we’ve been asked considers whether income derived by a charitable entity from a business will be exempt under s CW 42 if the business is carried on by a charitable entity in partnership with a non-charitable entity.

Tax Information Bulletin Vol 33 No 5 - June 2021

Income Tax Act 2007– ss CW 41(1), CW 41(5), CW 42

Calder Construction Co Ltd v CIR [1963] NZLR 921 (SC)
CIR v NTN Bearing-Saeco (NZ) Ltd (1986) 8 NZTC 5,039 (HC)
Latimer v CIR (2002) 20 NZTC 17,737 (CA)