Section CU 22 — Income Tax Act 2007: Meaning of mining company

CU 22 Meaning of mining company Meaning (1) Mining company means a company incorporated in New Zealand to which 1 of the following applies: (a) the company’s only source of income is the business described in subsection (2); or (b) the company’s main source of income is the business described in subsection (2); or (c) the company’s only activity is 1 of the activities described in subsection (3); or (d) the company’s main activity is 1 of the activities described in subsection (3); or (e) the company proposes that its only activity or its main activity be 1 of the activities described in subsection (3). Business (2) The business referred to in subsection (1)(a) and (b) is the business of mining a specified mineral in New Zealand. Activities (3) The activities referred to in subsection (1)(c), (d), and (e) are— (a) exploring, searching, or mining for a specified mineral in New Zealand; or (b) performing development work for exploring, searching, or mining for a specified mineral in New Zealand. Service for reward (4) An activity described in subsection (3) does not include an activity done or to be done as a service to another person for reward unless the reward— (a) is wholly or mainly related to and dependent on the production of the specified mineral; or (b) arises wholly or mainly through participation in profits from the production of the specified mineral. Defined in this Act: business , company , income , mining company , New Zealand , specified mineral , Compare: 2004 No 35 s CU 22