Section CV 16 — Income Tax Act 2007: Non-resident shippers

CV 16 Non-resident shippers When this section applies (1) This section applies when a ship that belongs to, or is chartered by, a non-resident person carries outside New Zealand cargo, mail, or passengers shipped or embarked in New Zealand. Amount of income (2) Five percent of the amount payable to the person for the carriage, whether payable inside or outside New Zealand, is treated as income of the person. Exemption (3) Despite subsection (2), the Commissioner may determine that some or all of an amount that would otherwise be income of a person under this section is a foreign-sourced amount. Place of shipping (4) In this section, cargo, mail, or passengers shipped or embarked at a port in New Zealand for carriage outside New Zealand are treated as carried outside New Zealand from that port, even though the ship may call at another port in New Zealand before finally leaving New Zealand. Defined in this Act: amount , Commissioner , exempt income , foreign-sourced amount , income , income tax , New Zealand , non-resident , pay , resident in New Zealand , Compare: 2004 No 35 ss FC 18 , FC 19