Section CW 34 — Income Tax Act 2007: Compensation payments

CW 34 Compensation payments Exempt income (1) An amount of income from the following payments is exempt income: (a) a payment relating to incapacity for work: (b) a payment under the Workers Compensation Act 1956: (c) a payment under the Criminal Injuries Compensation Act 1963: (d) a distribution from funds approved by the Minister in charge of War Pensions to ex-prisoners of war held in German concentration camps in World War 2: (e) a payment under the laws of a State of the Federal Republic of Germany or the Republic of Austria to the victims of National Socialist persecution: (f) payments under schedule 1 of the Crown Forest Assets Act 1989 (except clause 3(b)): (g) payments of compensation, solatium payments, or payments to lessors for the purchase of leases under the Maori Reserved Land Amendment Act 1997 (but not interest paid under section 23 of the Act). Some definitions (2) In this section,— accident insurance contract is defined in section 13 of the Accident Insurance Act 1998 payment relating to incapacity for work means a payment of 1 of the following kinds made to a person because they are, or another person is, incapacitated for work: (a) a payment by a friendly society, but not a payment referred to in paragraph (d) or (e) of the definition of accident compensation payment in section CF 1(2) (Benefits, pensions, compensation, and government grants): (b) a payment from a sickness, accident, or death benefit fund to which the person was a contributor when the period of incapacity began, but not a payment referred to in paragraph (d) or (e) of the definition of accident compensation payment in section CF 1(2) : (c) a payment under a policy of personal sickness or accident insurance, or an accident insurance contract, but neither a payment referred to in paragraph (d) or (e) or (f) of the definition of accident compensation payment in section CF 1(2) nor a payment calculated according to loss of earnings or profits. Defined in this Act: accident insurance contract , exempt income , friendly society , interest , lease , pay , payment relating to incapacity for work , sickness, accident, or death benefit fund Compare: 2004 No 35 s CW 28