Monthly Archives September 2015

Jedis Denied Tax-Free Status

September 29, 2015 New Zealand Taxation

A submission to grant tax-free charitable status to a group claiming to be Jedis has been denied, as the “religion” is not cogent and does not advance spiritual improvement.

In a recent decision the Charities Registration Board of the Department of Internal Affairs opted to deny granting charitable status to Jedi Society Incorporated, a group claiming to stand for the religion of the Jedi.

The Board claimed that the Jedi religion was not “…sufficiently structured, cogent or serious to advance religion; nor to advance moral or spiritual improvement in a charitable manner.”

Commenting on the results of the application Anthony Bremner, a member of the New Zealand Jedi Society’s Jedi Council, said that the notes provided by the Department of Internal Affairs regarding the application would...

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New Property Rules Receive Ascent

September 28, 2015 New Zealand Taxation

New rules will come into effect within days to ensure that incomes from property sales are properly taxed and that money used for property purchases is legitimate.

Late last week the two new Bills received Royal Assent, bringing into force new regulations regarding the requirements imposed and the taxation matters concerning the purchase and sale of property in New Zealand.

From October 1st, new rules will be enacted which will ensure that the sale of any property, barring an individual’s main home, will be subject to income tax, if the sale occurs within 2 years of the initial purchase of the home.

Also, the sale of any property will also carry with it the requirement to provide to Land Information New Zealand the IRD number of the parties involved, and, if a party does not have an IR...

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Home Detention for $40k of GST Fraud

September 18, 2015 New Zealand Taxation

Home detention has been passed as a sentence to a man who falsely used another person IRD details to claim over NZD 40 thousand in GST refunds.

On September 16th the Inland Revenue Department issued a statement saying that a former Kaitaia man has been sentenced to 10 months home detention and ordered to pay reparations of NZD 26 980 for obtaining false GST refunds worth a total of NZD 43 075.

Over the course of two years, Bruce William Pawson used the login details of his ex-de facto partner to claim false GST returns, while forging documentation to support these fake claims.

The false claims were all related to an alleged business which was involved in stud cattle breeding.

Commenting on the sentencing, the Inland Revenue’s Group Manager Investigations and Advice Patrick Goggin said th...

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Oil Slop Leads to $71 Million Tax Dispute

September 7, 2015 New Zealand Taxation

The New Zealand oil industry could be facing a NZD 71 million tax bill, as Customs claims nearly 30 years of back taxes.

Late last week Z Energy announced that it is considering launching legal proceedings against New Zealand Customs over a dispute regarding the taxation of slop oil.

Customs New Zealand has recently claimed as much as NZD 71 million of taxes could be owed by Z Energy, BP, Mobil and Chevron, due to the fact that all four companies co-mingle slop oil in the petrol products they sell in the country.

Currently, the majority of the oil imported into the country is refined at the Marsden Point oil refinery near Whangarei, and the refined product is then sent to the Wiri Oil Service Limited terminal in Auckland via the Refinery to Auckland pipeline.

The pipeline handles petrol, d...

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