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associated persons; power of appointment

This tag is associated with 2 posts

Trading Trusts

Transactions between GST-registered trusts and beneficiaries need careful scrutiny to ensure that GST obligations are not overlooked or obfuscated by the relationship between the trustee and the beneficiary. Although GST registration is in the name of the trust, the obligations fall to the trustees. For tax purposes a GST-registered trust and its beneficiaries are associated persons.  This means … Continue reading

Appointor alert

Rules called the associated person rules apply to tax certain capital gains derived from land due to associations between builders, property developers and dealers.  These rules were strengthened with general effect from the start of the 2010/11 income year. However, an unintended consequence of the amendments to the associated person rules is that the rules can … Continue reading

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