TIB - July 2000

Binding rulings

• Associated persons test – timing in relation to gross income derived from the sale or other disposition of land. Public Ruling – BR Pub 00/05
• Product Ruling – BR Prd 00/05

New legislation

• 1999–2000 deemed rate of return announced for foreign investment fund rules

Questions we’ve been asked

• Commissions paid to independent financial advisors: Income Tax (Withholding Payments) Regulations 1979, Section NC 7 Income Tax Act 1994

Legal decisions – case notes

• Whether work carried out on taxpayer’s gas distribution system was replacement (capital expenditure), or repair (revenue expenditure): Auckland Gas Limited v CIR
• Whether sale of disputant’s land involved the sale of a going concern: TRA Number 040/99. Decision Number 15/2000